ScoreWhy is Raj Rayon Industries Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 3.43%
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.72 times
2
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
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -8.02% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
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 Garments & Apparels)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Raj Rayon Inds. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Raj Rayon Inds.
-8.02%
-0.30
26.65%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
299.35%
EBIT Growth (5y)
25.44%
EBIT to Interest (avg)
-13.87
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
1.35
Sales to Capital Employed (avg)
1.66
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.04%
ROCE (avg)
-15.38%
ROE (avg)
5.22%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
34
Industry P/E
22
Price to Book Value
8.95
EV to EBIT
35.03
EV to EBITDA
25.58
EV to Capital Employed
4.38
EV to Sales
1.39
PEG Ratio
0.06
Dividend Yield
NA
ROCE (Latest)
12.51%
ROE (Latest)
26.11%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend23What is working for the Company
ROCE(HY)
Highest at 13.49%
NET SALES(Q)
At Rs 319.32 cr has Grown at 40.8% (vs previous 4Q average
DEBT-EQUITY RATIO(HY)
Lowest at 1.52 times
PBDIT(Q)
Highest at Rs 15.59 cr.
PAT(Q)
At Rs 8.02 cr has Grown at 37.4% (vs previous 4Q average
-2What is not working for the Company
INTEREST(Latest six months)
At Rs 8.23 cr has Grown at 35.81%
Loading Valuation Snapshot...
Here's what is working for Raj Rayon Inds.
Net Sales - Quarterly
At Rs 319.32 cr has Grown at 40.8% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 226.84 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Net Sales - Quarterly
Highest at Rs 319.32 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 15.59 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 8.02 cr has Grown at 37.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 5.84 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Debt-Equity Ratio - Half Yearly
Lowest at 1.52 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Raj Rayon Inds.
Interest - Latest six months
At Rs 8.23 cr has Grown at 35.81%
over previous Half yearly 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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