ScoreWhy is Rajapalayam Mills Ltd ?
1
Poor Management Efficiency with a low ROCE of 1.40%
- The company has been able to generate a Return on Capital Employed (avg) of 1.40% signifying low profitability per unit of total capital (equity and debt)
2
Low ability to service debt as the company has a high Debt to EBITDA ratio of 9.43 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 9.43 times
- The company has been able to generate a Return on Equity (avg) of 3.37% signifying low profitability per unit of shareholders funds
3
Healthy long term growth as Operating profit has grown by an annual rate 43.70%
4
The company has declared Positive results for the last 4 consecutive quarters
- PAT(9M) Higher at Rs 105.15 Cr
- NET SALES(Q) Highest at Rs 269.34 cr
5
With ROCE of 1.3, it has a Very Attractive valuation with a 0.5 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 -8.11%, its profits have risen by 595.8% ; the PEG ratio of the company is 0
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Rajapalayam Mill should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Rajapalayam Mill for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Rajapalayam Mill
-9.34%
-0.29
28.13%
Sensex
-8.18%
-0.62
13.07%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
18.00%
EBIT Growth (5y)
43.70%
EBIT to Interest (avg)
0.77
Debt to EBITDA (avg)
10.02
Net Debt to Equity (avg)
0.47
Sales to Capital Employed (avg)
0.25
Tax Ratio
18.47%
Dividend Payout Ratio
1.24%
Pledged Shares
0
Institutional Holding
0.09%
ROCE (avg)
1.37%
ROE (avg)
3.37%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
7
Industry P/E
23
Price to Book Value
0.32
EV to EBIT
41.27
EV to EBITDA
15.67
EV to Capital Employed
0.53
EV to Sales
2.02
PEG Ratio
0.01
Dividend Yield
0.06%
ROCE (Latest)
1.29%
ROE (Latest)
4.67%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
PAT(9M)
Higher at Rs 105.15 Cr
NET SALES(Q)
Highest at Rs 269.34 cr
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Rajapalayam Mill
Profit After Tax (PAT) - Quarterly
At Rs 29.05 cr has Grown at 640.0%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 269.34 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 269.34 cr has Grown at 21.32%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Rajapalayam Mill
Non Operating Income - Quarterly
Highest at Rs 5.21 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
