ScoreWhy is Indokem Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 4.51%
- Poor long term growth as Net Sales has grown by an annual rate of 13.02% over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.94 times
2
The company has declared Positive results for the last 5 consecutive quarters
- PAT(Latest six months) At Rs 1.11 cr has Grown at 180.43%
- OPERATING CF(Y) Highest at Rs 4.02 Cr
- ROCE(HY) Highest at 10.09%
3
With ROCE of 8.8, it has a Very Expensive valuation with a 27.7 Enterprise value to Capital Employed
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 930.39%, its profits have risen by 322% ; the PEG ratio of the company is 1.3
4
Despite the size of the company, domestic mutual funds hold only 0.32% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Indokem should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Indokem for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Indokem
947.72%
17.36
53.59%
Sensex
4.69%
0.39
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.02%
EBIT Growth (5y)
135.03%
EBIT to Interest (avg)
0.59
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0.32
Sales to Capital Employed (avg)
1.91
Tax Ratio
3.09%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.20%
ROCE (avg)
1.47%
ROE (avg)
4.48%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
404
Industry P/E
35
Price to Book Value
36.16
EV to EBIT
314.71
EV to EBITDA
239.79
EV to Capital Employed
27.67
EV to Sales
12.84
PEG Ratio
1.25
Dividend Yield
NA
ROCE (Latest)
8.79%
ROE (Latest)
8.95%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
PAT(Latest six months)
At Rs 1.11 cr has Grown at 180.43%
OPERATING CF(Y)
Highest at Rs 4.02 Cr
ROCE(HY)
Highest at 10.09%
-4What is not working for the Company
NET SALES(Q)
Lowest at Rs 40.30 cr
PBT LESS OI(Q)
Lowest at Rs -0.12 cr.
Loading Valuation Snapshot...
Here's what is working for Indokem
Profit After Tax (PAT) - Latest six months
At Rs 1.11 cr has Grown at 180.43%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Operating Cash Flow - Annually
Highest at Rs 4.02 Cr and Grown
each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Here's what is not working for Indokem
Net Sales - Quarterly
Lowest at Rs 40.30 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 40.30 cr has Grown at -6.91%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs -0.12 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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