Rajapalayam Mill

  • Market Cap: Micro Cap
  • Industry: Garments & Apparels
  • ISIN: INE296E01026
  • NSEID: RAJPALAYAM
  • BSEID: 532503
INR
830.00
-25.1 (-2.94%)
BSENSE

Feb 13

BSE+NSE Vol: 662

  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

Comparison

Company
Score
Quality
Valuation
Financial
Technical
Sunrakshakk Inds
AB Cotspin
RSWM Ltd
Ambika Cotton
GHCL Textiles
Rajapalayam Mill
VTM
Borana Weaves
Bizotic Commer.
Foce India
Karnika Industri

Why is Rajapalayam Mills Ltd ?

1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 1.35%
  • Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 0.77
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
Below par performance in long term as well as near term
  • Along with generating -5.69% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
stock-recommendationReal-Time Research Report

Verdict Report

How much should you sell?

  1. 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 Rajapalayam Mill for you?

Medium Risk, Low Return

Absolute
Risk Adjusted
Volatility
Rajapalayam Mill
-5.69%
-0.19
29.52%
Sensex
8.52%
0.74
11.46%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor
Value
Sales Growth (5y)
19.75%
EBIT Growth (5y)
32.38%
EBIT to Interest (avg)
0.77
Debt to EBITDA (avg)
10.71
Net Debt to Equity (avg)
0.49
Sales to Capital Employed (avg)
0.24
Tax Ratio
19.69%
Dividend Payout Ratio
1.24%
Pledged Shares
0
Institutional Holding
0.09%
ROCE (avg)
1.19%
ROE (avg)
3.31%
stock-recommendationValuation

Valuation Scorecard stock-summary

stock-recommendation
Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors stock-summary

Factor
Value
P/E Ratio
10
Industry P/E
22
Price to Book Value
0.33
EV to EBIT
54.05
EV to EBITDA
17.28
EV to Capital Employed
0.55
EV to Sales
2.14
PEG Ratio
0.06
Dividend Yield
0.06%
ROCE (Latest)
0.56%
ROE (Latest)
2.31%
Loading Valuation Snapshot...
stock-recommendationTechnicals

Technical key factors

Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend

Financial Trend Scorecard stock-summary

stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

17What is working for the Company
NET SALES(Q)

Highest at Rs 242.68 cr

PAT(Q)

Highest at Rs 58.99 cr.

EPS(Q)

Highest at Rs 64.71

-1What is not working for the Company
DEBT-EQUITY RATIO(HY)

Highest at 0.50 times

Loading Valuation Snapshot...

Here's what is working for Rajapalayam Mill

Profit After Tax (PAT) - Quarterly
At Rs 58.99 cr has Grown at 73.2%
Year on Year (YoY)
MOJO Watch
Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly
Highest at Rs 242.68 cr
in the last five quarters
MOJO Watch
Near term sales trend is positive

Net Sales (Rs Cr)

Profit After Tax (PAT) - Quarterly
Highest at Rs 58.99 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 64.71
in the last five quarters
MOJO Watch
Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Here's what is not working for Rajapalayam Mill

Debt-Equity Ratio - Half Yearly
Highest at 0.50 times
in the last five half yearly periods
MOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio