Kirloskar Electric Company Ltd (KECL) 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

Modison

Hindusthan Insul

Prostarm Info

Permanent Magnet

Kirl. Electric

Solex Energy

Viviana Power

Mangal Electrica

Salzer Electron.

Prizor Viztech

Indo SMC

Why is Kirloskar Electric Company Ltd ?

With a Operating Losses, the company has a Weak Long Term Fundamental Strength

Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.82 times
OPERATING CF(Y) Lowest at Rs 25.42 Cr
PAT(Q) At Rs -5.99 cr has Fallen at -211.1% (vs previous 4Q average)
OPERATING PROFIT TO INTEREST (Q) Lowest at -0.07 times

75.33% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices

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 Other Electrical Equipment)

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

Is Kirl. Electric for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Kirl. Electric

8.79%

0.19

46.59%

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)

13.49%

EBIT Growth (5y)

24.11%

EBIT to Interest (avg)

0.78

Debt to EBITDA (avg)

2.64

Net Debt to Equity (avg)

0.52

Sales to Capital Employed (avg)

2.21

Tax Ratio

4.36%

Dividend Payout Ratio

Pledged Shares

75.33%

Institutional Holding

2.45%

ROCE (avg)

6.30%

ROE (avg)

31.20%

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

6.52

EV to EBIT

38.66

EV to EBITDA

32.81

EV to Capital Employed

4.64

EV to Sales

1.65

PEG Ratio

0.19

Dividend Yield

ROCE (Latest)

15.58%

ROE (Latest)

16.36%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Bearish

Dow Theory

Mildly Bearish

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

8What is working for the Company

PAT(9M)

At Rs 5.18 cr has Grown at 280.97%

ROCE(HY)

Highest at 20.56%

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 31.92 cr

DEBT-EQUITY RATIO(HY)

Lowest at 0.76 times

-20What is not working for the Company

OPERATING CF(Y)

Lowest at Rs 25.42 Cr

PAT(Q)

At Rs -5.99 cr has Fallen at -211.1% (vs previous 4Q average

OPERATING PROFIT TO INTEREST (Q)

Lowest at -0.07 times

NET SALES(Q)

Lowest at Rs 103.85 cr

PBDIT(Q)

Lowest at Rs -0.37 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at -0.36%

PBT LESS OI(Q)

Lowest at Rs -6.63 cr.

EPS(Q)

Lowest at Rs -0.90

Loading Valuation Snapshot...

Here's what is working for Kirl. Electric

Cash and Cash Equivalents - Half Yearly

Highest at Rs 31.92 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 0.76 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 Kirl. Electric

Net Sales - Quarterly

At Rs 103.85 cr has Fallen at -29.5% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 147.34 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -6.63 cr has Fallen at -563.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 1.43 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -5.99 cr has Fallen at -211.1% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 5.39 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Cash Flow - Annually

Lowest at Rs 25.42 Cr and Fallen

each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at -0.07 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales - Quarterly

Lowest at Rs 103.85 cr

in the last five quarters

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs -0.37 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at -0.36%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -6.63 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -0.90

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)