Why is KRN Heat Exchanger and Refrigeration Ltd ?
1
With ROE of 11.2, it has a Very Expensive valuation with a 9.2 Price to Book Value
- Over the past year, while the stock has generated a return of -7.92%, its profits have risen by 26%
2
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -7.92% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
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 Industrial Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is KRN Heat Exchan for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
KRN Heat Exchan
-7.82%
-0.15
51.29%
Sensex
4.84%
0.41
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
32.00%
EBIT Growth (5y)
21.12%
EBIT to Interest (avg)
20.27
Debt to EBITDA (avg)
0.60
Net Debt to Equity (avg)
-0.08
Sales to Capital Employed (avg)
0.95
Tax Ratio
30.94%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
11.67%
ROCE (avg)
21.39%
ROE (avg)
11.17%
Valuation Key Factors 
Factor
Value
P/E Ratio
82
Industry P/E
34
Price to Book Value
9.17
EV to EBIT
65.68
EV to EBITDA
58.20
EV to Capital Employed
9.88
EV to Sales
9.42
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
15.03%
ROE (Latest)
11.17%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Movement
21What is working for the Company
NET SALES(Q)
At Rs 152.07 cr has Grown at 35.4% (vs previous 4Q average
PBDIT(Q)
Highest at Rs 30.26 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 19.90%
PBT LESS OI(Q)
Highest at Rs 24.55 cr.
PAT(Q)
Highest at Rs 18.02 cr.
EPS(Q)
Highest at Rs 2.90
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for KRN Heat Exchan
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 24.55 cr has Grown at 59.4% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 15.40 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
Highest at Rs 152.07 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 152.07 cr has Grown at 35.4% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 112.34 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 30.26 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 19.90%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 24.55 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 18.02 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 18.02 cr has Grown at 35.2% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 13.33 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 2.90
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)






