ScoreWhy is Nelcast Ltd. ?
1
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.80
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.80
- The company has been able to generate a Return on Equity (avg) of 5.93% signifying low profitability per unit of shareholders funds
2
Healthy long term growth as Operating profit has grown by an annual rate 37.87%
3
The company declared positive results in Dec'25 after flat results in Sep'25
- ROCE(HY) Highest at 9.93%
- OPERATING PROFIT TO INTEREST(Q) Highest at 4.21 times
- DEBT-EQUITY RATIO(HY) Lowest at 0.52 times
4
With ROCE of 8.4, 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 91.85%, its profits have risen by 83.2% ; the PEG ratio of the company is 0.4
5
Despite the size of the company, domestic mutual funds hold only 0% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Nelcast should be less than 10%
- Overall Portfolio exposure to Castings & Forgings should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Castings & Forgings)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Nelcast for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Nelcast
91.85%
1.51
61.02%
Sensex
-3.74%
-0.28
13.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
20.11%
EBIT Growth (5y)
37.87%
EBIT to Interest (avg)
1.80
Debt to EBITDA (avg)
3.96
Net Debt to Equity (avg)
0.40
Sales to Capital Employed (avg)
1.42
Tax Ratio
25.28%
Dividend Payout Ratio
6.40%
Pledged Shares
0
Institutional Holding
0.47%
ROCE (avg)
7.09%
ROE (avg)
5.93%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
46
Price to Book Value
2.48
EV to EBIT
19.80
EV to EBITDA
15.00
EV to Capital Employed
2.06
EV to Sales
1.26
PEG Ratio
0.36
Dividend Yield
0.31%
ROCE (Latest)
8.42%
ROE (Latest)
6.50%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend21What is working for the Company
ROCE(HY)
Highest at 9.93%
OPERATING PROFIT TO INTEREST(Q)
Highest at 4.21 times
DEBT-EQUITY RATIO(HY)
Lowest at 0.52 times
PBDIT(Q)
Highest at Rs 33.29 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 10.10%
PBT LESS OI(Q)
Highest at Rs 18.78 cr.
PAT(Q)
Highest at Rs 15.90 cr.
EPS(Q)
Highest at Rs 1.83
-2What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.57 times
Loading Valuation Snapshot...
Here's what is working for Nelcast
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 18.78 cr has Grown at 146.4% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 7.62 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 4.21 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
At Rs 15.90 cr has Grown at 72.9% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 9.20 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 33.29 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 10.10%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 18.78 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 15.90 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 1.83
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debt-Equity Ratio - Half Yearly
Lowest at 0.52 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Nelcast
Debtors Turnover Ratio- Half Yearly
Lowest at 3.57 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
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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