ScoreWhy is Rama Steel Tubes Ltd ?
1
Flat results in Sep 25
- PAT(Q) At Rs 1.39 cr has Fallen at -65.7%
- ROCE(HY) Lowest at 6.27%
- DPR(Y) Lowest at 0.00%
2
With ROE of 4.1, it has a Expensive valuation with a 3.5 Price to Book Value
- 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 -26.42%, its profits have fallen by -28.7%
3
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -10.08% over the previous quarter and currently hold 37.76% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -26.42% 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 Iron & Steel Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Rama Steel Tubes for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Rama Steel Tubes
-26.42%
-0.73
36.38%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
27.10%
EBIT Growth (5y)
20.27%
EBIT to Interest (avg)
2.41
Debt to EBITDA (avg)
3.48
Net Debt to Equity (avg)
0.07
Sales to Capital Employed (avg)
2.59
Tax Ratio
27.53%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
5.44%
ROCE (avg)
10.28%
ROE (avg)
10.64%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
85
Industry P/E
28
Price to Book Value
3.46
EV to EBIT
92.08
EV to EBITDA
70.10
EV to Capital Employed
3.29
EV to Sales
1.42
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.57%
ROE (Latest)
4.09%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
OPERATING CF(Y)
Highest at Rs 51.02 Cr
DEBTORS TURNOVER RATIO(HY)
Highest at 5.26 times
NET SALES(Q)
At Rs 320.45 cr has Grown at 21.82%
-14What is not working for the Company
PAT(Q)
At Rs 1.39 cr has Fallen at -65.7%
ROCE(HY)
Lowest at 6.27%
DPR(Y)
Lowest at 0.00%
NON-OPERATING INCOME(Q)
is 88.24 % of Profit Before Tax (PBT
EPS(Q)
Lowest at Rs 0.01
Loading Valuation Snapshot...
Here's what is working for Rama Steel Tubes
Operating Cash Flow - Annually
Highest at Rs 51.02 Cr and Grown
each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Net Sales - Quarterly
Highest at Rs 320.45 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 320.45 cr has Grown at 21.82%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Highest at 5.26 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 Rama Steel Tubes
Profit After Tax (PAT) - Quarterly
At Rs 1.39 cr has Fallen at -65.7%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Non Operating Income - Quarterly
is 88.24 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Earnings per Share (EPS) - Quarterly
Lowest at Rs 0.01
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Dividend Payout Ratio (DPR) - Annually
Lowest at 0.00%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
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