Mishra Dhatu Nigam Ltd (MIDHANI) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Jaykay Enter.

Apollo Micro Sys

Astra Microwave

Paras Defence

Rossell Techsys

Swan Defence

MTAR Technologie

Zen Technologies

Avantel

Mishra Dhatu Nig

Unimech Aero.

Why is Mishra Dhatu Nigam Ltd ?

Poor long term growth as Net Sales has grown by an annual rate of 8.39% and Operating profit at 1.61% over the last 5 years

PBT LESS OI(Q) At Rs 10.38 cr has Fallen at -59.55%
NET SALES(Q) At Rs 209.73 cr has Fallen at -19.99%
PBDIT(Q) Lowest at Rs 32.76 cr.

With ROCE of 8.4, it has a Very Expensive valuation with a 3.6 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 -18.33%, its profits have risen by 22% ; the PEG ratio of the company is 2.5

Below par performance in long term as well as near term

Along with generating -18.33% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months

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 Aerospace & Defense)

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

Is Mishra Dhatu Nig for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Mishra Dhatu Nig

-18.7%

-0.41

45.20%

Sensex

4.66%

0.40

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

8.39%

EBIT Growth (5y)

1.61%

EBIT to Interest (avg)

9.71

Debt to EBITDA (avg)

1.55

Net Debt to Equity (avg)

0.22

Sales to Capital Employed (avg)

0.59

Tax Ratio

29.16%

Dividend Payout Ratio

28.78%

Pledged Shares

Institutional Holding

10.21%

ROCE (avg)

12.40%

ROE (avg)

11.05%

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

4.13

EV to EBIT

42.64

EV to EBITDA

29.53

EV to Capital Employed

3.57

EV to Sales

6.11

PEG Ratio

2.52

Dividend Yield

0.22%

ROCE (Latest)

8.36%

ROE (Latest)

7.47%

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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 Bearish

OBV

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

3What is working for the Company

DEBT-EQUITY RATIO(HY)

Lowest at 0.24 times

DEBTORS TURNOVER RATIO(HY)

Highest at 3.26 times

-10What is not working for the Company

PBT LESS OI(Q)

At Rs 10.38 cr has Fallen at -59.55%

NET SALES(Q)

At Rs 209.73 cr has Fallen at -19.99%

PBDIT(Q)

Lowest at Rs 32.76 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 15.62%

NON-OPERATING INCOME(Q)

is 46.25 % of Profit Before Tax (PBT

EPS(Q)

Lowest at Rs 0.69

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Here's what is working for Mishra Dhatu Nig

Debt-Equity Ratio - Half Yearly

Lowest at 0.24 times and Fallen

each half year 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 3.26 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 Mishra Dhatu Nig

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 10.38 cr has Fallen at -59.55%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Net Sales - Quarterly

At Rs 209.73 cr has Fallen at -19.99%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 32.76 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 15.62%

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 10.38 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 46.25 % 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

Earnings per Share (EPS) - Quarterly

Lowest at Rs 0.69

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Non Operating Income - Quarterly

Highest at Rs 8.93 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income