Hindustan Petroleum Corporation Ltd. (HINDPETRO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

C P C L

MRPL

Gulf Oil Lubric.

ONGC

B P C L

Oil India

Reliance Industr

I O C L

Castrol India

HPCL

Vedanta Oil and

Why is Hindustan Petroleum Corporation Ltd. ?

Low ability to service debt as the company has a high Debt to EBITDA ratio of 1.83 times

Low ability to service debt as the company has a high Debt to EBITDA ratio of 1.83 times

Poor long term growth as Operating profit has grown by an annual rate -157.18% of over the last 5 years

PAT(Q) At Rs -12,264.67 cr has Fallen at -371.8% (vs previous 4Q average)
CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 170.93 cr
PBDIT(Q) Lowest at Rs -16,122.30 cr.

Risky - Negative Operating Profits

The company has recorded a negative EBIT of Rs. -682.53 cr
Over the past year, while the stock has generated a return of -3.49%, its profits have fallen by -83.6%
At the current price, the company has a high dividend yield of 3.9
The stock is trading risky as compared to its average historical valuations

Real-Time Research Report

Verdict Report

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 Oil)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is HPCL for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

HPCL

-4.04%

-0.10

35.14%

Sensex

-3.09%

-0.21

13.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

11.97%

EBIT Growth (5y)

-157.18%

EBIT to Interest (avg)

0.74

Debt to EBITDA (avg)

1.03

Net Debt to Equity (avg)

0.80

Sales to Capital Employed (avg)

3.84

Tax Ratio

100.00%

Dividend Payout Ratio

33.18%

Pledged Shares

Institutional Holding

36.43%

ROCE (avg)

8.30%

ROE (avg)

18.49%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.28

EV to EBIT

-199.71

EV to EBITDA

19.65

EV to Capital Employed

1.15

EV to Sales

0.29

PEG Ratio

Dividend Yield

3.94%

ROCE (Latest)

19.69%

ROE (Latest)

27.53%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company

ROCE(HY)

Highest at 22.25%

DEBTORS TURNOVER RATIO(HY)

Highest at 64.39 times

NET SALES(Q)

Highest at Rs 140,584.25 cr

-12What is not working for the Company

PAT(Q)

At Rs -12,264.67 cr has Fallen at -371.8% (vs previous 4Q average

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 170.93 cr

PBDIT(Q)

Lowest at Rs -16,122.30 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at -11.47%

PBT LESS OI(Q)

Lowest at Rs -18,788.97 cr.

EPS(Q)

Lowest at Rs -57.64

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Here's what is working for HPCL

Net Sales - Quarterly

Highest at Rs 140,584.25 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 140,584.25 cr has Grown at 27.3% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 110,442.84 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Debtors Turnover Ratio- Half Yearly

Highest at 64.39 times

in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Here's what is not working for HPCL

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -18,788.97 cr has Fallen at -451.5% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 5,345.50 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -12,264.67 cr has Fallen at -371.8% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 4,511.72 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs -16,122.30 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at -11.47%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -18,788.97 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -57.64

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 170.93 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents