ScoreWhy is L G Balakrishnan & Bros Ltd ?
1
High Management Efficiency with a high ROE of 17.67%
2
Company has a low Debt to Equity ratio (avg) at 0 times
3
Healthy long term growth as Operating profit has grown by an annual rate 34.20%
4
Flat results in Dec 25
- CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 231.43 cr
5
With ROE of 15.2, it has a Fair valuation with a 3 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 34.47%, its profits have risen by 11.3% ; the PEG ratio of the company is 1.8
6
Increasing Participation by Institutional Investors
- Institutional investors have increased their stake by 0.56% over the previous quarter and collectively hold 19.88% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
7
Market Beating performance in long term as well as near term
- Along with generating 34.47% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to L G Balakrishnan should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is L G Balakrishnan for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
L G Balakrishnan
34.52%
0.94
36.69%
Sensex
7.92%
0.69
11.53%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
15.21%
EBIT Growth (5y)
34.20%
EBIT to Interest (avg)
36.42
Debt to EBITDA (avg)
0.27
Net Debt to Equity (avg)
-0.03
Sales to Capital Employed (avg)
1.51
Tax Ratio
22.49%
Dividend Payout Ratio
20.82%
Pledged Shares
0
Institutional Holding
19.88%
ROCE (avg)
25.81%
ROE (avg)
17.67%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
32
Price to Book Value
3.00
EV to EBIT
17.11
EV to EBITDA
13.20
EV to Capital Employed
3.05
EV to Sales
2.12
PEG Ratio
1.75
Dividend Yield
1.07%
ROCE (Latest)
17.82%
ROE (Latest)
15.18%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
NET SALES(Q)
Highest at Rs 816.56 cr
PBT LESS OI(Q)
At Rs 100.69 cr has Grown at 20.4% (vs previous 4Q average
PAT(Q)
Highest at Rs 94.38 cr.
-3What is not working for the Company
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 231.43 cr
Loading Valuation Snapshot...
Here's what is working for L G Balakrishnan
Net Sales - Quarterly
Highest at Rs 816.56 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 100.69 cr has Grown at 20.4% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 83.61 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 94.38 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 94.38 cr has Grown at 24.6% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 75.75 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Here's what is not working for L G Balakrishnan
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 231.43 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Non Operating Income - Quarterly
Highest at Rs 16.24 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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