JTL Industries Ltd (JTLIND) 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

Sambhv Steel

Venus Pipes

Rhetan TMT Ltd

Kalyani Steels

JTL Industries

Bharat Wire

Welspun Special.

MSP Steel & Pow.

Vardhman Special

Mahamaya Steel

Hi-Tech Pipes

Why is JTL Industries Ltd ?

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.58 times

Poor long term growth as Operating profit has grown by an annual rate 15.67% of over the last 5 years

With a growth in Net Profit of 124.72%, the company declared Very Positive results in Mar 26

PBT LESS OI(Q) At Rs 48.23 cr has Grown at 256.20%
NET SALES(Q) At Rs 692.68 cr has Grown at 47.55%
PBDIT(Q) Highest at Rs 57.74 cr.

With ROCE of 7.9, it has a Attractive valuation with a 1.7 Enterprise value to Capital Employed

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 -2.14%, its profits have fallen by -0.4%

Despite the size of the company, domestic mutual funds hold only 0% 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

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -2.14% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to JTL Industries should be less than 10%
Overall Portfolio exposure to Iron & Steel Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Iron & Steel Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is JTL Industries for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

JTL Industries

-2.14%

-0.04

59.95%

Sensex

-6.4%

-0.49

12.94%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

18.30%

EBIT Growth (5y)

15.67%

EBIT to Interest (avg)

19.12

Debt to EBITDA (avg)

0.85

Net Debt to Equity (avg)

0.13

Sales to Capital Employed (avg)

2.50

Tax Ratio

23.76%

Dividend Payout Ratio

4.97%

Pledged Shares

5.31%

Institutional Holding

3.40%

ROCE (avg)

19.13%

ROE (avg)

15.66%

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

1.78

EV to EBIT

21.30

EV to EBITDA

18.44

EV to Capital Employed

1.69

EV to Sales

1.33

PEG Ratio

Dividend Yield

0.17%

ROCE (Latest)

7.93%

ROE (Latest)

6.62%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Mildly Bullish

Dow Theory

Mildly Bearish

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

24What is working for the Company

PBT LESS OI(Q)

At Rs 48.23 cr has Grown at 256.20%

NET SALES(Q)

At Rs 692.68 cr has Grown at 47.55%

PBDIT(Q)

Highest at Rs 57.74 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 8.34%

PAT(Q)

Highest at Rs 34.41 cr.

EPS(Q)

Highest at Rs 0.88

-3What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.16 times

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Here's what is working for JTL Industries

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 48.23 cr has Grown at 256.20%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 34.41 cr has Grown at 104.6%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 692.68 cr has Grown at 47.55%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 57.74 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 8.34% and Grown

each quarter 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 48.23 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Net Sales - Quarterly

Highest at Rs 692.68 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 34.41 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 0.88

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for JTL Industries

Debtors Turnover Ratio- Half Yearly

Lowest at 5.16 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio