Ramco Systems Ltd (RAMCOSYS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Technvision Ven.

Moschip Tech.

Tanla Platforms

Ramco Systems

Unicommerce

Blue Cloud Soft.

Nucleus Soft.

IRIS Business

C.E. Info System

Quick Heal Tech

Subex

Why is Ramco Systems Ltd ?

Weak Long Term Fundamental Strength with a -21.35% CAGR growth in Operating Profits over the last 5 years

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -12.28
The company has been able to generate a Return on Equity (avg) of 0.64% signifying low profitability per unit of shareholders funds

With ROE of 2.7, it has a Very Expensive valuation with a 6.8 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 26.59%, its profits have risen by 111% ; the PEG ratio of the company is 2.3

Real-Time Research Report

Verdict Report

How 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 Software Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Ramco Systems for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Ramco Systems

27.0%

0.48

55.52%

Sensex

4.89%

0.41

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

2.10%

EBIT Growth (5y)

-21.35%

EBIT to Interest (avg)

-12.28

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

-0.17

Sales to Capital Employed (avg)

1.15

Tax Ratio

64.54%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

15.65%

ROCE (avg)

-22.88%

ROE (avg)

0.64%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

253

Industry P/E

Price to Book Value

6.76

EV to EBIT

104.04

EV to EBITDA

17.23

EV to Capital Employed

7.90

EV to Sales

3.29

PEG Ratio

2.28

Dividend Yield

ROCE (Latest)

7.59%

ROE (Latest)

2.67%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

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

27What is working for the Company

OPERATING CF(Y)

Highest at Rs 113.35 Cr

PAT(Q)

At Rs 12.59 cr has Grown at 229.3%

NET SALES(Q)

Highest at Rs 175.78 cr

PBT LESS OI(Q)

Highest at Rs 15.49 cr.

EPS(Q)

Highest at Rs 3.37

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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Here's what is working for Ramco Systems

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 15.49 cr has Grown at 306.81%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 12.59 cr has Grown at 229.3%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Cash Flow - Annually

Highest at Rs 113.35 Cr and Grown

each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (Rs Cr)

Net Sales - Quarterly

Highest at Rs 175.78 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 175.78 cr has Grown at 23.35%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 15.49 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 12.59 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 3.37

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)