ScoreWhy is Hindustan Adhesives Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.39 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.39 times
2
With a fall in Net Sales of -13.83%, the company declared Very Negative results in Mar 26
- PAT(Q) At Rs 2.44 cr has Fallen at -43.5% (vs previous 4Q average)
- ROCE(HY) Lowest at 12.51%
- INVENTORY TURNOVER RATIO(HY) Lowest at 4.01 times
3
Underperformed the market in the last 1 year
- Even though the market (BSE500) generated negative returns of -0.67% in the last 1 year, its fall in the stock was much higher with a return of -18.68%
Real-Time Research ReportHow much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Plastic Products - Industrial)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hind.Adhesive for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hind.Adhesive
-18.68%
-0.47
39.74%
Sensex
-4.99%
-0.37
13.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-7.37%
EBIT Growth (5y)
38.17%
EBIT to Interest (avg)
3.23
Debt to EBITDA (avg)
2.84
Net Debt to Equity (avg)
1.10
Sales to Capital Employed (avg)
1.79
Tax Ratio
25.24%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.03%
ROE (avg)
15.45%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
8
Industry P/E
35
Price to Book Value
1.23
EV to EBIT
10.52
EV to EBITDA
7.04
EV to Capital Employed
1.11
EV to Sales
0.99
PEG Ratio
1.23
Dividend Yield
NA
ROCE (Latest)
10.55%
ROE (Latest)
15.08%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend0What is working for the Company
NO KEY POSITIVE TRIGGERS
-25What is not working for the Company
PAT(Q)
At Rs 2.44 cr has Fallen at -43.5% (vs previous 4Q average
ROCE(HY)
Lowest at 12.51%
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.01 times
OPERATING PROFIT TO INTEREST (Q)
Lowest at 2.74 times
NET SALES(Q)
Lowest at Rs 57.64 cr
INTEREST(Q)
Highest at Rs 2.46 cr
PBDIT(Q)
Lowest at Rs 6.74 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at 11.69%
PBT LESS OI(Q)
Lowest at Rs 0.29 cr.
NON-OPERATING INCOME(Q)
is 85.28 % of Profit Before Tax (PBT
EPS(Q)
Lowest at Rs 1.82
Loading Valuation Snapshot...
Here's what is not working for Hind.Adhesive
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 0.29 cr has Fallen at -94.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 5.13 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 2.44 cr has Fallen at -43.5% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 4.32 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 57.64 cr has Fallen at -11.9% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 65.43 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Interest - Quarterly
At Rs 2.46 cr has Grown at 43.02%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Operating Profit to Interest - Quarterly
Lowest at 2.74 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Inventory Turnover Ratio- Half Yearly
Lowest at 4.01 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Net Sales - Quarterly
Lowest at Rs 57.64 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Interest - Quarterly
Highest at Rs 2.46 cr
in the last five quarters and Increased by 43.02 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 6.74 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 11.69%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 0.29 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Non Operating Income - Quarterly
is 85.28 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Earnings per Share (EPS) - Quarterly
Lowest at Rs 1.82
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Non Operating Income - Quarterly
Highest at Rs 1.68 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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