ScoreWhy is Rane (Madras) Ltd ?
1
High Debt Company with a Debt to Equity ratio (avg) at 2.27 times
- High Debt Company with a Debt to Equity ratio (avg) at 2.27 times
- The company has been able to generate a Return on Capital Employed (avg) of 6.85% signifying low profitability per unit of total capital (equity and debt)
2
Despite the size of the company, domestic mutual funds hold only 0.22% 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
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 2.00% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -17.57% returns
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 Auto Components & Equipments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Rane (Madras) for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Rane (Madras)
-17.5%
-0.48
36.65%
Sensex
4.67%
0.39
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
27.99%
EBIT Growth (5y)
34.06%
EBIT to Interest (avg)
1.20
Debt to EBITDA (avg)
6.20
Net Debt to Equity (avg)
1.16
Sales to Capital Employed (avg)
2.36
Tax Ratio
45.88%
Dividend Payout Ratio
34.57%
Pledged Shares
0
Institutional Holding
1.08%
ROCE (avg)
4.60%
ROE (avg)
17.53%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
39
Industry P/E
39
Price to Book Value
3.06
EV to EBIT
18.21
EV to EBITDA
9.62
EV to Capital Employed
1.96
EV to Sales
0.81
PEG Ratio
NA
Dividend Yield
1.06%
ROCE (Latest)
10.74%
ROE (Latest)
7.85%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend18What is working for the Company
OPERATING CF(Y)
Highest at Rs 339.32 Cr
OPERATING PROFIT TO INTEREST(Q)
Highest at 5.22 times
DPS(Y)
Highest at Rs 8.00
DPR(Y)
Highest at 26.24%
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 434.30 cr
NET SALES(Q)
Highest at Rs 919.31 cr
PBT LESS OI(Q)
At Rs 27.18 cr has Grown at 32.7% (vs previous 4Q average
PAT(Q)
Highest at Rs 22.62 cr.
-3What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 10.67 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 0.48 times
Loading Valuation Snapshot...
Here's what is working for Rane (Madras)
Profit After Tax (PAT) - Quarterly
At Rs 22.62 cr has Grown at 91.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 11.79 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Cash Flow - Annually
Highest at Rs 339.32 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)
Operating Profit to Interest - Quarterly
Highest at 5.22 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 919.31 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 27.18 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 27.18 cr has Grown at 32.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 20.49 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 22.62 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 434.30 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Dividend per Share (DPS) - Annually
Highest at Rs 8.00
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (Rs)
Dividend Payout Ratio (DPR) - Annually
Highest at 26.24%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Rane (Madras)
Debt-Equity Ratio - Half Yearly
Highest at 10.67 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Debtors Turnover Ratio- Half Yearly
Lowest at 0.48 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 4.09 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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