IRIS Business Services Ltd (IRIS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Artificial Elect

Ramco Systems

Unicommerce

ABM Knowledge

Intense Tech.

Ace Soft. Exp.

Blue Cloud Soft.

IRIS Business

Virinchi

Quick Heal Tech

Subex

Why is IRIS Business Services Ltd ?

With ROE of 12, it has a Very Expensive valuation with a 3.4 Price to Book Value

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -30.05%, its profits have risen by 74.4% ; the PEG ratio of the company is 0.4

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 2.12% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -30.05% returns

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 Software Products)

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

Is IRIS Business for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

IRIS Business

-30.05%

-0.68

44.11%

Sensex

4.83%

0.41

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

15.32%

EBIT Growth (5y)

33.38%

EBIT to Interest (avg)

7.05

Debt to EBITDA (avg)

0.52

Net Debt to Equity (avg)

-0.46

Sales to Capital Employed (avg)

1.71

Tax Ratio

31.85%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

14.53%

ROCE (avg)

26.48%

ROE (avg)

14.22%

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

3.40

EV to EBIT

66.05

EV to EBITDA

52.30

EV to Capital Employed

5.48

EV to Sales

4.58

PEG Ratio

0.41

Dividend Yield

ROCE (Latest)

8.29%

ROE (Latest)

12.00%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bearish

Mildly 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

20What is working for the Company

OPERATING CF(Y)

Highest at Rs 27.78 Cr

PAT(Latest six months)

Higher at Rs 16.34 cr

DEBTORS TURNOVER RATIO(HY)

Highest at 4.65 times

EPS(Q)

Highest at Rs 56.83

-12What is not working for the Company

PBT LESS OI(Q)

At Rs -115.45 cr has Fallen at -2964.76%

ROCE(HY)

Lowest at -53.05%

OPERATING PROFIT TO NET SALES(Q)

Lowest at 0.53%

PBDIT(Q)

Lowest at Rs 0.15 cr.

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Here's what is working for IRIS Business

Profit After Tax (PAT) - Quarterly

At Rs 16.08 cr has Grown at 328.1%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Cash Flow - Annually

Highest at Rs 27.78 Cr and Grown

each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 16.08 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 56.83

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Debtors Turnover Ratio- Half Yearly

Highest at 4.65 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 IRIS Business

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -115.45 cr has Fallen at -2964.76%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 0.53% and Fallen

each quarter in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 0.15 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -115.45 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Non Operating Income - Quarterly

Highest at Rs 2.54 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income