ScoreWhy is MM Forgings Ltd. ?
1
Poor long term growth as Net Sales has grown by an annual rate of 12.23% and Operating profit at 11.79% over the last 5 years
2
Positive results in Jun 26
- OPERATING CF(Y) Highest at Rs 239.70 Cr
- OPERATING PROFIT TO INTEREST(Q) Highest at 4.61 times
- DPR(Y) Highest at 16.96%
3
With ROCE of 9.7, it has a Fair valuation with a 2.1 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 87.94%, its profits have risen by 52.6% ; the PEG ratio of the company is 0.3
4
Majority shareholders : Promoters
5
Market Beating performance in long term as well as near term
- Along with generating 87.94% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to MM Forgings should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is MM Forgings for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
MM Forgings
87.94%
2.05
42.95%
Sensex
-10.5%
-0.78
13.50%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
12.23%
EBIT Growth (5y)
11.79%
EBIT to Interest (avg)
4.31
Debt to EBITDA (avg)
3.29
Net Debt to Equity (avg)
0.87
Sales to Capital Employed (avg)
0.89
Tax Ratio
7.06%
Dividend Payout Ratio
19.57%
Pledged Shares
0
Institutional Holding
9.93%
ROCE (avg)
13.01%
ROE (avg)
15.19%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
47
Price to Book Value
3.11
EV to EBIT
21.17
EV to EBITDA
13.34
EV to Capital Employed
2.13
EV to Sales
2.36
PEG Ratio
0.34
Dividend Yield
0.64%
ROCE (Latest)
9.69%
ROE (Latest)
10.03%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend23What is working for the Company
OPERATING CF(Y)
Highest at Rs 239.70 Cr
OPERATING PROFIT TO INTEREST(Q)
Highest at 4.61 times
DPR(Y)
Highest at 16.96%
PAT(Q)
Highest at Rs 90.42 cr.
EPS(Q)
Highest at Rs 18.73
-4What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.45 times
DPS(Y)
Lowest at Rs 4.00
Loading Valuation Snapshot...
Here's what is working for MM Forgings
Profit After Tax (PAT) - Quarterly
At Rs 90.42 cr has Grown at 268.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 24.52 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Cash Flow - Annually
Highest at Rs 239.70 Cr and Grown
each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 4.61 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit After Tax (PAT) - Quarterly
Highest at Rs 90.42 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 18.73
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Dividend Payout Ratio (DPR) - Annually
Highest at 16.96%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for MM Forgings
Debtors Turnover Ratio- Half Yearly
Lowest at 3.45 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
Dividend per Share (DPS) - Annually
Lowest at Rs 4.00
in the last five yearsMOJO Watch
Company is distributing lower dividend than previous years
DPS (Rs)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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