KCP Sugar & Industries Corporation Ltd (KCPSUGIND) 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

Ponni Sug.Erode

DCM Shriram Inds

Mawana Sugars

Ugar Sugar Works

KCP Sugar &Inds.

SBEC Sugar

KM Sugar Mills

Sakthi Sugars

Zuari Industries

Kothari Sugars

Davangere Sugar

Why is KCP Sugar & Industries Corporation Ltd ?

Weak Long Term Fundamental Strength with a -2.47% CAGR growth in Net Sales over the last 5 years

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -0.25
The company has been able to generate a Return on Equity (avg) of 7.96% signifying low profitability per unit of shareholders funds

Risky - Negative Operating Profits

The company has recorded a negative EBIT of Rs. -2.3 cr
Over the past year, while the stock has generated a return of 3.22%, its profits have risen by 259% ; the PEG ratio of the company is 0
The stock is trading risky as compared to its average historical valuations

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 Sugar)

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

Is KCP Sugar &Inds. for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

KCP Sugar &Inds.

3.22%

0.08

42.74%

Sensex

-4.88%

-0.36

13.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-2.47%

EBIT Growth (5y)

12.31%

EBIT to Interest (avg)

-0.25

Debt to EBITDA (avg)

18.47

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.58

Tax Ratio

15.73%

Dividend Payout Ratio

7.88%

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

0.96%

ROE (avg)

7.96%

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

0.86

EV to EBIT

-172.81

EV to EBITDA

106.28

EV to Capital Employed

0.86

EV to Sales

1.43

PEG Ratio

0.04

Dividend Yield

0.29%

ROCE (Latest)

-1.10%

ROE (Latest)

2.42%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bullish

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

19What is working for the Company

NET SALES(Q)

Highest at Rs 78.03 cr

PAT(Q)

Highest at Rs 46.25 cr.

EPS(Q)

Highest at Rs 4.08

-9What is not working for the Company

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 39.35 cr

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.53 times

INTEREST(Q)

Highest at Rs 3.06 cr

NON-OPERATING INCOME(Q)

is 102.47 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for KCP Sugar &Inds.

Profit After Tax (PAT) - Quarterly

At Rs 46.25 cr has Grown at 141.5%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 78.03 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 78.03 cr has Grown at 31.43%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 46.25 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 4.08

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 KCP Sugar &Inds.

Interest - Quarterly

Highest at Rs 3.06 cr

in the last five quarters and Increased by 16.79 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Non Operating Income - Quarterly

is 102.47 % 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

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 39.35 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debtors Turnover Ratio- Half Yearly

Lowest at 4.53 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Non Operating Income - Quarterly

Highest at Rs 55.52 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income