NCC Ltd (NCC) 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

Engineers India

ISGEC Heavy

G R Infraproject

Cemindia Project

Powergrid Infra

Afcons Infrastr.

Rites

NCC

Ircon Intl.

Dilip Buildcon

IRB InvIT Fund

Why is NCC Ltd ?

Negative results in Dec 25

PBT LESS OI(Q) At Rs 183.12 cr has Fallen at -22.6% (vs previous 4Q average)
PAT(Q) At Rs 147.53 cr has Fallen at -25.7% (vs previous 4Q average)
ROCE(HY) Lowest at 17.29%

Below par performance in long term as well as near term

Along with generating -22.43% 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 Construction)

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

Is NCC for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

NCC

-22.29%

-0.75

29.60%

Sensex

2.56%

0.21

12.34%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

22.65%

EBIT Growth (5y)

17.66%

EBIT to Interest (avg)

2.28

Debt to EBITDA (avg)

1.29

Net Debt to Equity (avg)

0.29

Sales to Capital Employed (avg)

2.00

Tax Ratio

24.71%

Dividend Payout Ratio

19.44%

Pledged Shares

Institutional Holding

26.80%

ROCE (avg)

17.61%

ROE (avg)

9.31%

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

1.19

EV to EBIT

6.88

EV to EBITDA

6.04

EV to Capital Employed

1.15

EV to Sales

0.54

PEG Ratio

Dividend Yield

1.54%

ROCE (Latest)

16.79%

ROE (Latest)

10.54%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

No Trend

OBV

No Trend

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-18What is not working for the Company

PBT LESS OI(Q)

At Rs 183.12 cr has Fallen at -22.6% (vs previous 4Q average

PAT(Q)

At Rs 147.53 cr has Fallen at -25.7% (vs previous 4Q average

ROCE(HY)

Lowest at 17.29%

OPERATING PROFIT TO INTEREST (Q)

Lowest at 2.22 times

DEBT-EQUITY RATIO(HY)

Highest at 0.39 times

NET SALES(Q)

At Rs 4,868.29 cr has Fallen at -8.1% (vs previous 4Q average

INTEREST(Q)

Highest at Rs 196.38 cr

EPS(Q)

Lowest at Rs 1.95

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Here's what is not working for NCC

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 183.12 cr has Fallen at -22.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 236.59 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 147.53 cr has Fallen at -25.7% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 198.46 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at 2.22 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Net Sales - Quarterly

At Rs 4,868.29 cr has Fallen at -8.1% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 5,299.35 Cr

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Interest - Quarterly

Highest at Rs 196.38 cr

in the last five quarters and Increased by 14.29 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs 1.95

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Debt-Equity Ratio - Half Yearly

Highest at 0.39 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio