Ponni Sugars (Erode) Ltd (PONNIERODE) 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

KM Sugar Mills

Ponni Sug.Erode

Rana Sugars

Mawana Sugars

Dhampur Bio

Ugar Sugar Works

Sakthi Sugars

Kothari Sugars

Vishwaraj Sugar

KCP Sugar &Inds.

SBEC Sugar

Why is Ponni Sugars (Erode) Ltd ?

Poor long term growth as Operating profit has grown by an annual rate -14.62% of over the last 5 years

With ROE of 2.4, it has a Very Expensive valuation with a 0.4 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -35.63%, its profits have fallen by -66.4%

Below par performance in long term as well as near term

Along with generating -35.63% 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 Sugar)

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

Is Ponni Sug.Erode for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Ponni Sug.Erode

-35.71%

-1.10

32.35%

Sensex

4.83%

0.41

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.03%

EBIT Growth (5y)

-14.62%

EBIT to Interest (avg)

24.93

Debt to EBITDA (avg)

0.41

Net Debt to Equity (avg)

-0.08

Sales to Capital Employed (avg)

0.75

Tax Ratio

30.89%

Dividend Payout Ratio

13.38%

Pledged Shares

Institutional Holding

10.39%

ROCE (avg)

6.13%

ROE (avg)

5.88%

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

0.44

EV to EBIT

14.08

EV to EBITDA

7.95

EV to Capital Employed

0.40

EV to Sales

0.51

PEG Ratio

Dividend Yield

1.09%

ROCE (Latest)

2.81%

ROE (Latest)

2.35%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Sideways

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bullish

No Trend

OBV

Mildly Bearish

Mildly 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

15What is working for the Company

PBT LESS OI(Q)

At Rs 14.56 cr has Grown at 518.3% (vs previous 4Q average

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 426.90 cr

NET SALES(Q)

At Rs 113.73 cr has Grown at 24.6% (vs previous 4Q average

PBDIT(Q)

Highest at Rs 17.29 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 15.20%

PAT(Q)

Highest at Rs 13.28 cr.

EPS(Q)

Highest at Rs 16.93

-6What is not working for the Company

PAT(Latest six months)

At Rs 5.69 cr has Grown at -53.90%

Loading Valuation Snapshot...

Here's what is working for Ponni Sug.Erode

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 14.56 cr has Grown at 518.3% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 2.36 Cr

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 13.28 cr has Grown at 388.2% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 2.72 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 113.73 cr has Grown at 24.6% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 91.28 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 17.29 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 15.20%

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 14.56 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 13.28 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 16.93

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 426.90 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents