Radico Khaitan Ltd. (RADICO) 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

Globus Spirits

G M Breweries

Radico Khaitan

Allied Blenders

Varun Beverages

Assoc.Alcohols

United Spirits

Tilaknagar Inds.

United Breweries

Sula Vineyards

Som Distilleries

Why is Radico Khaitan Ltd. ?

With ROCE of 19.3, it has a Very Expensive valuation with a 10 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 14.38%, its profits have risen by 73.4% ; the PEG ratio of the company is 0.9

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 Beverages)

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

Is Radico Khaitan for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Radico Khaitan

14.69%

0.46

31.49%

Sensex

-5.02%

-0.39

12.81%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

20.44%

EBIT Growth (5y)

17.92%

EBIT to Interest (avg)

13.45

Debt to EBITDA (avg)

1.20

Net Debt to Equity (avg)

0.19

Sales to Capital Employed (avg)

1.26

Tax Ratio

25.18%

Dividend Payout Ratio

15.30%

Pledged Shares

Institutional Holding

43.85%

ROCE (avg)

14.64%

ROE (avg)

12.80%

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

11.75

EV to EBIT

46.32

EV to EBITDA

38.88

EV to Capital Employed

10.02

EV to Sales

6.08

PEG Ratio

0.90

Dividend Yield

0.15%

ROCE (Latest)

19.34%

ROE (Latest)

15.54%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

OBV

No Trend

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

26What is working for the Company

ROCE(HY)

Highest at 19.28%

OPERATING PROFIT TO INTEREST(Q)

Highest at 16.27 times

DEBT-EQUITY RATIO(HY)

Lowest at 0.21 times

NET SALES(Q)

Highest at Rs 1,546.75 cr

PBDIT(Q)

Highest at Rs 267.19 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 17.27%

PBT LESS OI(Q)

Highest at Rs 213.41 cr.

PAT(Q)

Highest at Rs 162.10 cr.

EPS(Q)

Highest at Rs 11.57

-1What is not working for the Company

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 53.91 cr

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Here's what is working for Radico Khaitan

Operating Profit to Interest - Quarterly

Highest at 16.27 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Profit After Tax (PAT) - Quarterly

At Rs 162.10 cr has Grown at 40.1% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 115.71 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 1,546.75 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 267.19 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 17.27%

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 213.41 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 213.41 cr has Grown at 38.8% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 153.79 Cr

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 162.10 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 11.57

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Debt-Equity Ratio - Half Yearly

Lowest at 0.21 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 Radico Khaitan

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 53.91 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Non Operating Income - Quarterly

Highest at Rs 2.61 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income