Indian Hume Pipe Company Ltd (INDIANHUME) 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

JNK

Disa India

DEE Development

ICE Make Refrig.

HLE Glascoat

Pennar Industrie

Salasar Techno

Windsor Machines

Thejo Engg.

Indian Hume Pipe

Aimtron

Why is Indian Hume Pipe Company Ltd ?

Weak Long Term Fundamental Strength with a 5.27% CAGR growth in Operating Profits over the last 5 years

Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.93 times
The company has been able to generate a Return on Equity (avg) of 7.98% signifying low profitability per unit of shareholders funds
OPERATING PROFIT TO INTEREST (Q) Lowest at 1.88 times
PAT(Q) At Rs 12.11 cr has Fallen at -15.7%
NET SALES(Q) Lowest at Rs 282.06 cr

30.69% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices

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 Industrial Manufacturing)

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

Is Indian Hume Pipe for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Indian Hume Pipe

-7.01%

-0.19

37.56%

Sensex

-2.38%

-0.19

12.70%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.68%

EBIT Growth (5y)

5.27%

EBIT to Interest (avg)

2.39

Debt to EBITDA (avg)

3.56

Net Debt to Equity (avg)

-0.12

Sales to Capital Employed (avg)

1.18

Tax Ratio

16.46%

Dividend Payout Ratio

5.48%

Pledged Shares

30.69%

Institutional Holding

2.66%

ROCE (avg)

12.61%

ROE (avg)

7.98%

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

1.24

EV to EBIT

10.67

EV to EBITDA

9.44

EV to Capital Employed

1.27

EV to Sales

1.15

PEG Ratio

Dividend Yield

1.79%

ROCE (Latest)

14.11%

ROE (Latest)

7.39%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Bullish

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

3What is working for the Company

PAT(Latest six months)

At Rs 46.80 cr has Grown at 69.40%

-15What is not working for the Company

OPERATING PROFIT TO INTEREST (Q)

Lowest at 1.88 times

PAT(Q)

At Rs 12.11 cr has Fallen at -15.7%

NET SALES(Q)

Lowest at Rs 282.06 cr

PBDIT(Q)

Lowest at Rs 22.13 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 7.85%

PBT LESS OI(Q)

Lowest at Rs 5.31 cr.

NON-OPERATING INCOME(Q)

is 66.37 % of Profit Before Tax (PBT

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Here's what is not working for Indian Hume Pipe

Net Sales - Quarterly

At Rs 282.06 cr has Fallen at -25.89%

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 5.31 cr has Fallen at -69.48%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at 1.88 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Profit After Tax (PAT) - Quarterly

At Rs 12.11 cr has Fallen at -15.7%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

Lowest at Rs 282.06 cr

in the last five quarters

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 22.13 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 7.85%

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 5.31 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Non Operating Income - Quarterly

is 66.37 % 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