Kellton Tech Solutions Ltd (KELLTONTEC) 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

Hypersoft Tech.

Excelsoft Tech.

IZMO

Kellton Tech

Expleo Solutions

Innovana Think.

Genesys Intl.

Veefin Solutions

Kody Technolab

TAC Infosec

Sahana Systems

Why is Kellton Tech Solutions Ltd ?

Poor long term growth as Net Sales has grown by an annual rate of 8.98% and Operating profit at 6.67% over the last 5 years

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

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 5.94% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -23.08% 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 Computers - Software & Consulting)

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

Is Kellton Tech for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kellton Tech

-23.08%

-0.45

51.80%

Sensex

2.27%

0.18

12.28%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.98%

EBIT Growth (5y)

6.67%

EBIT to Interest (avg)

6.53

Debt to EBITDA (avg)

1.18

Net Debt to Equity (avg)

0.09

Sales to Capital Employed (avg)

1.56

Tax Ratio

14.55%

Dividend Payout Ratio

Pledged Shares

14.37%

Institutional Holding

1.22%

ROCE (avg)

16.68%

ROE (avg)

14.11%

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

1.20

EV to EBIT

7.46

EV to EBITDA

6.62

EV to Capital Employed

1.19

EV to Sales

0.78

PEG Ratio

Dividend Yield

ROCE (Latest)

15.20%

ROE (Latest)

12.11%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

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

13What is working for the Company

PAT(Latest six months)

At Rs 49.46 cr has Grown at 21.88%

NET SALES(Q)

Highest at Rs 307.89 cr

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 67.29 cr

DEBT-EQUITY RATIO(HY)

Lowest at 0.18 times

PBDIT(Q)

Highest at Rs 38.82 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 12.61%

PBT LESS OI(Q)

Highest at Rs 29.45 cr.

EPS(Q)

Highest at Rs 2.61

-4What is not working for the Company

ROCE(HY)

Lowest at 14.38%

DEBTORS TURNOVER RATIO(HY)

Lowest at 3.20 times

INTEREST(Q)

Highest at Rs 5.53 cr

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Here's what is working for Kellton Tech

Net Sales - Quarterly

Highest at Rs 307.89 cr and Grown

each quarter in the last five quarters

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 38.82 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 12.61%

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 29.45 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 25.41 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 25.41 cr has Grown at 21.5%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 2.61

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 67.29 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio - Half Yearly

Lowest at 0.18 times

in the last five half yearly periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Kellton Tech

Interest - Quarterly

Highest at Rs 5.53 cr

in the last five quarters and Increased by 10.16 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Debtors Turnover Ratio- Half Yearly

Lowest at 3.20 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio