Majestic Auto Ltd (MAJESAUTO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Dev Accele.

PTL Enterprises

Radiant Cash

Mercantile Vent.

Majestic Auto

Mizzen Ventures

Sanmitra Commerc

ITCONS E-Soluti.

Yaap Digital

Clear Secured

Nilkanth Engg

Why is Majestic Auto Ltd ?

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

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.55
The company has been able to generate a Return on Equity (avg) of 3.39% signifying low profitability per unit of shareholders funds

Flat results in Dec 25

NET SALES(Latest six months) At Rs 16.52 cr has Grown at -50.52%
OPERATING PROFIT TO INTEREST (Q) Lowest at -3.06 times
PBDIT(Q) Lowest at Rs -1.50 cr.

With ROE of 1.4, it has a Very Expensive valuation with a 0.4 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 -6.00%, its profits have risen by 33.4% ; the PEG ratio of the company is 0.5
At the current price, the company has a high dividend yield of 13.4

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 Diversified Commercial Services)

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

Is Majestic Auto for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Majestic Auto

-6.0%

-0.14

41.76%

Sensex

-3.52%

-0.27

12.93%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-5.02%

EBIT Growth (5y)

-34.19%

EBIT to Interest (avg)

1.55

Debt to EBITDA (avg)

4.37

Net Debt to Equity (avg)

-0.77

Sales to Capital Employed (avg)

0.09

Tax Ratio

29.78%

Dividend Payout Ratio

152.78%

Pledged Shares

Institutional Holding

0.05%

ROCE (avg)

5.72%

ROE (avg)

3.39%

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

0.44

EV to EBIT

-60.12

EV to EBITDA

-18.17

EV to Capital Employed

-1.45

EV to Sales

-5.00

PEG Ratio

0.50

Dividend Yield

13.43%

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

1.44%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

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

17What is working for the Company

PAT(Q)

At Rs 5.45 cr has Grown at 280.5%

DEBT-EQUITY RATIO(HY)

Lowest at 0.02 times

DEBTORS TURNOVER RATIO(HY)

Highest at 6,062.00 times

-14What is not working for the Company

NET SALES(Latest six months)

At Rs 16.52 cr has Grown at -50.52%

OPERATING PROFIT TO INTEREST (Q)

Lowest at -3.06 times

PBDIT(Q)

Lowest at Rs -1.50 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 0.00%

PBT LESS OI(Q)

Lowest at Rs -3.50 cr.

NON-OPERATING INCOME(Q)

is 148.01 % of Profit Before Tax (PBT

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Here's what is working for Majestic Auto

Profit After Tax (PAT) - Quarterly

At Rs 5.45 cr has Grown at 280.5%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Debt-Equity Ratio - Half Yearly

Lowest at 0.02 times

in the last five half yearly periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Debtors Turnover Ratio- Half Yearly

Highest at 6,062.00 times

in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Majestic Auto

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -3.50 cr has Fallen at -184.34%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Net Sales - Latest six months

At Rs 16.52 cr has Grown at -50.52%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at -3.06 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit (PBDIT) - Quarterly

Lowest at Rs -1.50 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 0.00%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -3.50 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Non Operating Income - Quarterly

is 148.01 % 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