ScoreWhy is Lactose (India) Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 9.74%
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.54 times
2
Positive results in Sep 25
- OPERATING PROFIT TO INTEREST(Q) Highest at 5.05 times
- NET SALES(Q) Highest at Rs 41.18 cr
- PBDIT(Q) Highest at Rs 5.25 cr.
3
With ROCE of 10.4, it has a Attractive valuation with a 1.8 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -47.54%, its profits have fallen by -51.6%
4
26.07% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
5
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 2.12% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -47.54% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Lactose (India) should be less than 10%
- Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Lactose (India) for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Lactose (India)
-47.54%
-1.00
47.68%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
31.79%
EBIT Growth (5y)
52.18%
EBIT to Interest (avg)
1.82
Debt to EBITDA (avg)
3.64
Net Debt to Equity (avg)
0.88
Sales to Capital Employed (avg)
0.83
Tax Ratio
30.88%
Dividend Payout Ratio
0
Pledged Shares
26.07%
Institutional Holding
0.62%
ROCE (avg)
9.93%
ROE (avg)
6.65%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
33
Industry P/E
19
Price to Book Value
2.53
EV to EBIT
19.04
EV to EBITDA
12.47
EV to Capital Employed
1.81
EV to Sales
1.46
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
10.45%
ROE (Latest)
7.69%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bearish
Dow Theory
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend12What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 5.05 times
NET SALES(Q)
Highest at Rs 41.18 cr
PBDIT(Q)
Highest at Rs 5.25 cr.
PBT LESS OI(Q)
Highest at Rs 2.77 cr.
PAT(Q)
Highest at Rs 2.16 cr.
EPS(Q)
Highest at Rs 1.72
-4What is not working for the Company
OPERATING CF(Y)
Lowest at Rs -0.29 Cr
PAT(9M)
At Rs 4.30 cr has Grown at -35.82%
Loading Valuation Snapshot...
Here's what is working for Lactose (India)
Operating Profit to Interest - Quarterly
Highest at 5.05 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 41.18 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 41.18 cr has Grown at 30.2% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 31.63 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 5.25 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 2.77 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 2.16 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 1.72
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Lactose (India)
Operating Cash Flow - Annually
Lowest at Rs -0.29 Cr
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
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