ScoreWhy is Rainbow Foundations Ltd ?
1
With HIgh Debt (Debt-Equity Ratio at 5.42 times)- the company has a Weak Long Term Fundamental Strength
- High Debt Company with a Debt to Equity ratio (avg) of 5.50 times
- The company has been able to generate a Return on Equity (avg) of 4.71% signifying low profitability per unit of shareholders funds
2
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 3.76% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -61.42% returns
Real-Time Research ReportHow 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 Realty)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Rainbow Foundat. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Rainbow Foundat.
-61.42%
-1.21
50.57%
Sensex
-3.57%
-0.27
13.41%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
41.03%
EBIT Growth (5y)
47.02%
EBIT to Interest (avg)
0.96
Debt to EBITDA (avg)
24.05
Net Debt to Equity (avg)
5.42
Sales to Capital Employed (avg)
0.21
Tax Ratio
24.79%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
4.84%
ROE (avg)
4.71%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
17
Industry P/E
36
Price to Book Value
2.03
EV to EBIT
13.30
EV to EBITDA
13.21
EV to Capital Employed
1.16
EV to Sales
3.23
PEG Ratio
0.53
Dividend Yield
NA
ROCE (Latest)
8.41%
ROE (Latest)
11.38%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend24What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 1.54 times
PAT(Latest six months)
Higher at Rs 7.68 cr
DEBTORS TURNOVER RATIO(HY)
Highest at 3.82 times
NET SALES(Q)
Highest at Rs 84.96 cr
-4What is not working for the Company
INTEREST(9M)
At Rs 28.05 cr has Grown at 22.38%
Loading Valuation Snapshot...
Here's what is working for Rainbow Foundat.
Net Sales - Quarterly
At Rs 84.96 cr has Grown at 103.8% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 41.69 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 1.54 times and Grown
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit After Tax (PAT) - Latest six months
At Rs 7.68 cr has Grown at 75.23%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Profit After Tax (PAT) - Latest six months
Higher at Rs 7.68 cr
than preceding 12 month period ended Jun 2026 of Rs 6.64 crMOJO Watch
In the half year the company has already crossed PAT of the previous twelve months
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 84.96 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Highest at 3.82 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Rainbow Foundat.
Interest - Nine Monthly
At Rs 28.05 cr has Grown at 22.38%
over preceding nine months periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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