NIBE Ltd (NIBE) 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

Rossell Techsys

Krishna Defence

Ideaforge Tech

Unimech Aero.

NIBE

Jaykay Enter.

Sika Interplant

Taneja Aerospace

Avantel

DCX Systems

CFF Fluid

Why is NIBE Ltd ?

Poor long term growth as Operating profit has grown by an annual rate -27.33% of over the last 5 years

Flat results in Mar 26

PAT(9M) At Rs 3.73 cr has Grown at -80.19%
DEBTORS TURNOVER RATIO(HY) Lowest at 2.05 times
INTEREST(Q) Highest at Rs 7.39 cr

With ROCE of 3.6, it has a Very Expensive valuation with a 5.9 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 -13.17%, its profits have fallen by -79%

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -0.51% in the last 1 year, its fall in the stock was much higher with a return of -13.17%

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 NIBE for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

NIBE

-13.17%

-0.25

51.85%

Sensex

-5.98%

-0.45

13.24%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

29.75%

EBIT Growth (5y)

-27.33%

EBIT to Interest (avg)

3.69

Debt to EBITDA (avg)

2.82

Net Debt to Equity (avg)

0.21

Sales to Capital Employed (avg)

1.19

Tax Ratio

98.22%

Dividend Payout Ratio

7.44%

Pledged Shares

Institutional Holding

9.02%

ROCE (avg)

9.71%

ROE (avg)

8.31%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

429

Industry P/E

Price to Book Value

6.93

EV to EBIT

163.42

EV to EBITDA

55.53

EV to Capital Employed

5.91

EV to Sales

5.24

PEG Ratio

Dividend Yield

0.07%

ROCE (Latest)

3.62%

ROE (Latest)

1.62%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

Bearish

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

Bullish

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

22What is working for the Company

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 46.84 cr

NET SALES(Q)

Highest at Rs 259.50 cr

PBDIT(Q)

Highest at Rs 51.31 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 19.77%

PBT LESS OI(Q)

Highest at Rs 35.47 cr.

PAT(Q)

Highest at Rs 29.23 cr.

EPS(Q)

Highest at Rs 19.56

-20What is not working for the Company

PAT(9M)

At Rs 3.73 cr has Grown at -80.19%

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.05 times

INTEREST(Q)

Highest at Rs 7.39 cr

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Here's what is working for NIBE

Net Sales - Quarterly

At Rs 259.50 cr has Grown at 130.48%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 35.47 cr has Grown at 160.43%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 29.23 cr has Grown at 282.6%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 259.50 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 51.31 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 19.77%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 35.47 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 29.23 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 19.56

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 46.84 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for NIBE

Interest - Quarterly

At Rs 7.39 cr has Grown at 69.11%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Interest - Quarterly

Highest at Rs 7.39 cr

in the last five quarters and Increased by 69.11 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Debtors Turnover Ratio- Half Yearly

Lowest at 2.05 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Non Operating Income - Quarterly

Highest at Rs 1.64 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income