ScoreWhy is Megastar Foods Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.29 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.29 times
- The company has been able to generate a Return on Capital Employed (avg) of 9.27% signifying low profitability per unit of total capital (equity and debt)
2
Healthy long term growth as Net Sales has grown by an annual rate of 30.52%
3
With a growth in Net Profit of 28.57%, the company declared Very Positive results in Dec 25
- The company has declared positive results for the last 3 consecutive quarters
- PBT LESS OI(Q) Highest at Rs 3.55 cr.
- PAT(Q) Highest at Rs 3.06 cr.
- NET SALES(Q) Highest at Rs 141.21 cr
4
With ROCE of 8.9, it has a Attractive valuation with a 1.7 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 -4.27%, its profits have risen by 160.6% ; the PEG ratio of the company is 0.2
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Megastar Foods should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Megastar Foods for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Megastar Foods
-4.27%
-0.08
55.28%
Sensex
10.41%
0.90
11.52%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
30.52%
EBIT Growth (5y)
30.85%
EBIT to Interest (avg)
2.41
Debt to EBITDA (avg)
8.41
Net Debt to Equity (avg)
1.68
Sales to Capital Employed (avg)
1.83
Tax Ratio
25.96%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
2.85%
ROCE (avg)
9.78%
ROE (avg)
12.29%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
32
Industry P/E
53
Price to Book Value
2.76
EV to EBIT
16.55
EV to EBITDA
12.36
EV to Capital Employed
1.66
EV to Sales
0.85
PEG Ratio
0.20
Dividend Yield
NA
ROCE (Latest)
8.95%
ROE (Latest)
5.85%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bullish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend25What is working for the Company
PBT LESS OI(Q)
Highest at Rs 3.55 cr.
PAT(Q)
Highest at Rs 3.06 cr.
NET SALES(Q)
Highest at Rs 141.21 cr
EPS(Q)
Highest at Rs 2.71
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Megastar Foods
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 3.55 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 3.06 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 141.21 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 141.21 cr has Grown at 23.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 114.85 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 2.71
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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