ScoreWhy is Panchmahal Steel Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of 5.80% and Operating profit at 15.28% over the last 5 years
2
Flat results in Sep 25
- DEBT-EQUITY RATIO(HY) Highest at 3.13 times
3
With ROCE of 0.1, it has a Very Expensive valuation with a 3.2 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 30.60%, its profits have fallen by -130%
4
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
5
Market Beating performance in long term as well as near term
- Along with generating 30.60% 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 Panchmahal Steel should be less than 10%
- Overall Portfolio exposure to Iron & Steel Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Iron & Steel Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Panchmahal Steel for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Panchmahal Steel
30.6%
0.52
58.93%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
5.80%
EBIT Growth (5y)
15.28%
EBIT to Interest (avg)
3.54
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0.31
Sales to Capital Employed (avg)
2.17
Tax Ratio
24.35%
Dividend Payout Ratio
172.12%
Pledged Shares
5.79%
Institutional Holding
3.93%
ROCE (avg)
8.60%
ROE (avg)
12.07%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
28
Price to Book Value
3.84
EV to EBIT
636.33
EV to EBITDA
76.67
EV to Capital Employed
3.17
EV to Sales
1.74
PEG Ratio
NA
Dividend Yield
0.97%
ROCE (Latest)
0.14%
ROE (Latest)
-1.14%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
DPR(Y)
Highest at 172.12%
-2What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 3.13 times
Loading Valuation Snapshot...
Here's what is working for Panchmahal Steel
Dividend Payout Ratio (DPR) - Annually
Highest at 172.12%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Panchmahal Steel
Debt-Equity Ratio - Half Yearly
Highest at 3.13 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
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