Prime Focus Ltd (PFOCUS) 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

Tips Music

Saregama India

Nazara Technolo.

Amagi Media Labs

PVR Inox

Prime Focus

Zee Entertainmen

D B Corp

Sun TV Network

Netwrk.18 Media

Hathway Cable

Why is Prime Focus Ltd ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 13.01% over the last 5 years
High Debt Company with a Debt to Equity ratio (avg) of 46.76 times
The company has been able to generate a Return on Capital Employed (avg) of 7.39% signifying low profitability per unit of total capital (equity and debt)

With ROCE of 11.1, it has a Very Expensive valuation with a 3.4 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 48.64%, its profits have risen by 7728% ; the PEG ratio of the company is 0

Despite the size of the company, domestic mutual funds hold only 0.21% 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 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 Media & Entertainment)

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

Is Prime Focus for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Prime Focus

48.69%

0.87

56.06%

Sensex

-7.08%

-0.53

13.25%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

13.01%

EBIT Growth (5y)

39.76%

EBIT to Interest (avg)

0.74

Debt to EBITDA (avg)

8.06

Net Debt to Equity (avg)

2.29

Sales to Capital Employed (avg)

0.75

Tax Ratio

9.83%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

4.83%

ROCE (avg)

5.53%

ROE (avg)

167.48%

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

9.07

EV to EBIT

31.00

EV to EBITDA

16.68

EV to Capital Employed

3.45

EV to Sales

5.08

PEG Ratio

0.03

Dividend Yield

ROCE (Latest)

11.13%

ROE (Latest)

11.51%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

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

33What is working for the Company

OPERATING PROFIT TO INTEREST(Q)

Highest at 3.30 times

PAT(Latest six months)

Higher at Rs 174.87 cr

ROCE(HY)

Highest at 11.19%

NET SALES(Q)

Highest at Rs 1,384.47 cr

PBDIT(Q)

Highest at Rs 488.48 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 35.28%

PBT LESS OI(Q)

Highest at Rs 122.70 cr.

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 688.29 cr

DEBT-EQUITY RATIO(HY)

Lowest at 2.74 times

-6What is not working for the Company

PAT(Q)

At Rs 88.42 cr has Fallen at -40.7%

INTEREST(Q)

Highest at Rs 148.06 cr

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Here's what is working for Prime Focus

Operating Profit to Interest - Quarterly

Highest at 3.30 times and Grown

each quarter in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 122.70 cr has Grown at 564.07%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Net Sales - Quarterly

Highest at Rs 1,384.47 cr and Grown

each quarter in the last five quarters

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 1,384.47 cr has Grown at 41.42%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 488.48 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 35.28% and Grown

each quarter 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 122.70 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 688.29 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio - Half Yearly

Lowest at 2.74 times

in the last five half yearly periods

MOJO Watch

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

Debt-Equity Ratio

Here's what is not working for Prime Focus

Profit After Tax (PAT) - Quarterly

At Rs 88.42 cr has Fallen at -40.7%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Interest - Quarterly

Highest at Rs 148.06 cr

in the last five quarters and Increased by 11.42 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)