Jai Corp Ltd (JAICORPLTD) 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

Dhabriya Poly.

Time Technoplast

Kingfa Science

Prince Pipes

Premier Polyfilm

Prakash Pipes

All Time Plastic

Apollo Pipes

Jain Irrigation

Jai Corp

Bai-Kakaji Poly.

Why is Jai Corp Ltd ?

Poor Management Efficiency with a low ROE of 5.19%

The company has been able to generate a Return on Equity (avg) of 5.19% signifying low profitability per unit of shareholders funds

Poor long term growth as Net Sales has grown by an annual rate of -0.71% over the last 5 years

Flat results in Jun 26

PAT(9M) At Rs 67.66 cr has Grown at -51.74%
NON-OPERATING INCOME(Q) is 45.87 % of Profit Before Tax (PBT)

With ROE of 11.4, it has a Expensive valuation with a 1.2 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -37.85%, its profits have fallen by -40%

Despite the size of the company, domestic mutual funds hold only 0.14% 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

Below par performance in long term as well as near term

Along with generating -37.85% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months

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 Plastic Products - Industrial)

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

Is Jai Corp for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Jai Corp

-37.78%

-0.93

40.41%

Sensex

-5.21%

-0.39

13.39%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-0.71%

EBIT Growth (5y)

4.25%

EBIT to Interest (avg)

38.99

Debt to EBITDA (avg)

0.12

Net Debt to Equity (avg)

-0.33

Sales to Capital Employed (avg)

0.39

Tax Ratio

23.50%

Dividend Payout Ratio

13.19%

Pledged Shares

Institutional Holding

2.74%

ROCE (avg)

3.35%

ROE (avg)

5.19%

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

1.17

EV to EBIT

21.72

EV to EBITDA

17.97

EV to Capital Employed

1.26

EV to Sales

2.32

PEG Ratio

Dividend Yield

0.51%

ROCE (Latest)

4.28%

ROE (Latest)

11.44%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

OBV

Mildly Bullish

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

11What is working for the Company

ROCE(HY)

Highest at 13.07%

DEBTORS TURNOVER RATIO(HY)

Highest at 11.09 times

NET SALES(Q)

Highest at Rs 157.58 cr

PBDIT(Q)

Highest at Rs 23.76 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 15.08%

PBT LESS OI(Q)

Highest at Rs 20.59 cr.

-12What is not working for the Company

PAT(Q)

At Rs 28.25 cr has Fallen at -33.8% (vs previous 4Q average

NON-OPERATING INCOME(Q)

is 45.87 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for Jai Corp

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 20.59 cr has Grown at 92.7% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 10.68 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Net Sales - Quarterly

Highest at Rs 157.58 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 157.58 cr has Grown at 22.5% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 128.59 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 23.76 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 15.08%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 20.59 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Debtors Turnover Ratio- Half Yearly

Highest at 11.09 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 Jai Corp

Profit After Tax (PAT) - Quarterly

At Rs 28.25 cr has Fallen at -33.8% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 42.64 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Non Operating Income - Quarterly

is 45.87 % 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