Why is LMW Ltd ?
1
The company is Net-Debt Free
2
Poor long term growth as Net Sales has grown by an annual rate of 10.85% and Operating profit at 14.70% over the last 5 years
3
Positive results in Jun 26
- PBT LESS OI(Q) At Rs 33.51 cr has Grown at 312.36%
- PAT(Q) At Rs 57.38 cr has Grown at 369.2%
- OPERATING CF(Y) Highest at Rs 177.41 Cr
4
With ROE of 4.8, it has a Very Expensive valuation with a 5.9 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 5.94%, its profits have risen by 76% ; the PEG ratio of the company is 1.2
5
Majority shareholders : Non Institution
How much should you hold?
- Overall Portfolio exposure to LMW should be less than 10%
- Overall Portfolio exposure to Industrial Manufacturing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Industrial Manufacturing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is LMW for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
LMW
5.94%
0.19
31.64%
Sensex
-4.62%
-0.34
13.54%
Quality key factors
Factor
Value
Sales Growth (5y)
10.85%
EBIT Growth (5y)
14.70%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.56
Sales to Capital Employed (avg)
1.52
Tax Ratio
25.43%
Dividend Payout Ratio
28.59%
Pledged Shares
0
Institutional Holding
14.96%
ROCE (avg)
15.25%
ROE (avg)
9.74%
Valuation Key Factors 
Factor
Value
P/E Ratio
93
Industry P/E
72
Price to Book Value
5.91
EV to EBIT
155.88
EV to EBITDA
69.99
EV to Capital Employed
12.13
EV to Sales
4.54
PEG Ratio
1.22
Dividend Yield
0.22%
ROCE (Latest)
3.88%
ROE (Latest)
4.80%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Movement
19What is working for the Company
PBT LESS OI(Q)
At Rs 33.51 cr has Grown at 312.36%
PAT(Q)
At Rs 57.38 cr has Grown at 369.2%
OPERATING CF(Y)
Highest at Rs 177.41 Cr
NET SALES(Q)
At Rs 860.72 cr has Grown at 24.00%
-4What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 11.45 times
NON-OPERATING INCOME(Q)
is 55.03 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for LMW
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 33.51 cr has Grown at 312.36%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 57.38 cr has Grown at 369.2%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Cash Flow - Annually
Highest at Rs 177.41 Cr
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Net Sales - Quarterly
At Rs 860.72 cr has Grown at 24.00%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for LMW
Debtors Turnover Ratio- Half Yearly
Lowest at 11.45 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
is 55.03 % 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






