Why is Hindustan Construction Company Ltd ?
1
High Debt Company with a Debt to Equity ratio (avg) at 3.44 times
- Poor long term growth as Net Sales has grown by an annual rate of -11.52% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at 3.44 times
- The company has reported losses. Due to this company has reported negative ROE
2
Poor long term growth as Net Sales has grown by an annual rate of -11.52% over the last 5 years
- PBT LESS OI(Q) At Rs 19.79 cr has Fallen at -74.28%
- PAT(Q) At Rs 47.78 cr has Fallen at -25.3%
- ROCE(HY) Lowest at 19.58%
3
78.89% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
4
Below par performance in long term as well as near term
- Along with generating -55.79% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
How 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 Construction)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hind.Construct. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hind.Construct.
-55.79%
-1.13
49.20%
Sensex
4.83%
0.41
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
-11.52%
EBIT Growth (5y)
17.68%
EBIT to Interest (avg)
0.82
Debt to EBITDA (avg)
4.69
Net Debt to Equity (avg)
0.87
Sales to Capital Employed (avg)
3.47
Tax Ratio
71.36%
Dividend Payout Ratio
0
Pledged Shares
78.89%
Institutional Holding
16.38%
ROCE (avg)
-68.27%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
57
Price to Book Value
4.33
EV to EBIT
9.52
EV to EBITDA
7.82
EV to Capital Employed
2.78
EV to Sales
1.28
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
29.18%
ROE (Latest)
-34.79%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
Bullish
Bullish
Technical Movement
8What is working for the Company
PAT(9M)
At Rs 188.59 cr has Grown at 325.31%
-18What is not working for the Company
PBT LESS OI(Q)
At Rs 19.79 cr has Fallen at -74.28%
PAT(Q)
At Rs 47.78 cr has Fallen at -25.3%
ROCE(HY)
Lowest at 19.58%
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.35 times
NET SALES(Q)
Lowest at Rs 960.74 cr
NON-OPERATING INCOME(Q)
is 53.22 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is not working for Hind.Construct.
Net Sales - Quarterly
At Rs 960.74 cr has Fallen at -31.71%
Year on Year (YoY)MOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 19.79 cr has Fallen at -74.28%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 47.78 cr has Fallen at -25.3%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 960.74 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Non Operating Income - Quarterly
is 53.22 % 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
Debtors Turnover Ratio- Half Yearly
Lowest at 2.35 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio






