Nishat Power Ltd. (NPL) 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

The Hub Power Co. Ltd.

Lalpir Power Ltd.

Engro Powergen Qadirpur Ltd.

Kot Addu Power Co. Ltd.

Pakgen Power Ltd.

Nishat Chunian Power Ltd.

Saif Power Ltd.

Nishat Power Ltd.

Altern Energy Ltd.

K-Electric Ltd.

Why is Nishat Power Ltd. ?

Poor long term growth as Net Sales has grown by an annual rate of -4.61% and Operating profit at -11.91% over the last 5 years

Negative results in Mar 25

NET PROFIT(HY) At PKR -775.3 MM has Grown at -132.3%
NET SALES(Q) At PKR 1,696.04 has Fallen at -50.85%
INTEREST(HY) At PKR 36.68 MM has Grown at 89.2%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 0%, its profits have fallen by -52.5%
At the current price, the company has a high dividend yield of 30.3

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 Power)

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

Is Nishat Power Ltd. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nishat Power Ltd.

-100.0%

-0.04

48.38%

Pakistan KSE 100 Share

60.28%

2.81

22.77%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-11.26%

EBIT Growth (5y)

-26.78%

EBIT to Interest (avg)

59.35

Debt to EBITDA (avg)

0.41

Net Debt to Equity (avg)

-0.60

Sales to Capital Employed (avg)

0.51

Tax Ratio

4.33%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

ROCE (avg)

18.88%

ROE (avg)

14.61%

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

0.45

EV to EBIT

-2.22

EV to EBITDA

-1.69

EV to Capital Employed

-0.46

EV to Sales

-0.68

PEG Ratio

Dividend Yield

17.02%

ROCE (Latest)

Negative Capital Employed

ROE (Latest)

6.57%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

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

10What is working for the Company

OPERATING CASH FLOW(Y)

Highest at PKR 13,605.76 MM

DEBT-EQUITY RATIO (HY)

Lowest at -59.86 %

INTEREST COVERAGE RATIO(Q)

The company hardly has any interest cost

DIVIDEND PAYOUT RATIO(Y)

Highest at 109.03%

RAW MATERIAL COST(Y)

Fallen by -20.79% (YoY

CASH AND EQV(HY)

Highest at PKR 26,017.04 MM

-26What is not working for the Company

NET PROFIT(HY)

At PKR -775.3 MM has Grown at -132.3%

NET SALES(Q)

At PKR 1,696.04 MM has Fallen at -50.85%

INTEREST(HY)

At PKR 36.68 MM has Grown at 89.2%

ROCE(HY)

Lowest at -1.97%

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.54%

Here's what is working for Nishat Power Ltd.

Operating Cash Flow

Highest at PKR 13,605.76 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (PKR MM)

Debt-Equity Ratio

Lowest at -59.86 % and Grown

In each half year in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Cash and Eqv

Highest at PKR 26,017.04 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Dividend Payout Ratio

Highest at 109.03%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by -20.79% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Nishat Power Ltd.

Net Profit

At PKR -775.3 MM has Grown at -132.3%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (PKR MM)

Net Sales

At PKR 1,696.04 MM has Fallen at -50.85%

over average net sales of the previous four periods of PKR 3,450.91 MM

MOJO Watch

Near term sales trend is extremely negative

Net Sales (PKR MM)

Interest

At PKR 36.68 MM has Grown at 89.2%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (PKR MM)

Inventory Turnover Ratio

Lowest at 2.54%

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio