Kothari Products Ltd (KOTHARIPRO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Chandrima Mercan

Oswal Agro Mills

Veritas (India)

Kothari Products

Sakuma Exports

S T C

Yamuna Syndicate

Sunrise Efficie.

Balgopal Commer.

HP Telecom

Shiv Aum Steels Ltd

Why is Kothari Products Ltd ?

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

Poor long term growth as Net Sales has grown by an annual rate of -21.93% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -7.16

Flat results in Sep 25

OPERATING CF(Y) Lowest at Rs 100.26 Cr
INVENTORY TURNOVER RATIO(HY) Lowest at 12.08 times
INTEREST(Q) Highest at Rs 3.93 cr

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -5.62%, its profits have risen by 148.8% ; the PEG ratio of the company is 0.1

Below par performance in long term as well as near term

Along with generating -5.62% 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 Trading & Distributors)

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

Is Kothari Products for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kothari Products

-5.62%

-0.10

55.89%

Sensex

4.56%

0.37

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-21.93%

EBIT Growth (5y)

11.41%

EBIT to Interest (avg)

-7.16

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

1.26

Tax Ratio

14.88%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

-4.27%

ROE (avg)

1.33%

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

0.40

EV to EBIT

-18.67

EV to EBITDA

-20.38

EV to Capital Employed

0.41

EV to Sales

0.47

PEG Ratio

0.07

Dividend Yield

ROCE (Latest)

-2.18%

ROE (Latest)

4.11%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

15What is working for the Company

PAT(Latest six months)

Higher at Rs 25.24 cr

NET SALES(Q)

Highest at Rs 282.86 cr

-18What is not working for the Company

OPERATING CF(Y)

Lowest at Rs 100.26 Cr

INVENTORY TURNOVER RATIO(HY)

Lowest at 12.08 times

INTEREST(Q)

Highest at Rs 3.93 cr

NON-OPERATING INCOME(Q)

is 233.76 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for Kothari Products

Profit After Tax (PAT) - Quarterly

At Rs 3.99 cr has Grown at 120.5% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs -19.50 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 282.86 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Here's what is not working for Kothari Products

Operating Cash Flow - Annually

Lowest at Rs 100.26 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)

Interest - Quarterly

At Rs 3.93 cr has Grown at 31.44%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Inventory Turnover Ratio- Half Yearly

Lowest at 12.08 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Interest - Quarterly

Highest at Rs 3.93 cr

in the last five quarters and Increased by 31.44 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Non Operating Income - Quarterly

is 233.76 % 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