Rathi Steel & Power Ltd () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Bansal Roofing

Sh. Bajrang All.

Kanishk Steel

Rathi Steel

Rudra Global

National Fitting

Shah Alloys

Incredible Indus

Kritika Wires

Jay Bee Laminati

Surani Steel Tub

Why is Rathi Steel & Power Ltd ?

Falling Participation by Institutional Investors

Institutional investors have decreased their stake by -2.31% over the previous quarter and collectively hold 8.78% of the company
These investors have better capability and resources to analyse fundamentals of companies than most retail investors

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -5.53% in the last 1 year, its fall in the stock was much higher with a return of -35.03%

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 Iron & Steel Products)

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

Is Rathi Steel for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Rathi Steel

-35.03%

-0.73

48.26%

Sensex

-10.52%

-0.81

13.06%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

15.22%

EBIT Growth (5y)

20.37%

EBIT to Interest (avg)

1.20

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.28

Sales to Capital Employed (avg)

6.06

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

8.78%

ROCE (avg)

16.78%

ROE (avg)

4.60%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.09

EV to EBIT

10.40

EV to EBITDA

7.26

EV to Capital Employed

1.07

EV to Sales

0.29

PEG Ratio

0.32

Dividend Yield

ROCE (Latest)

10.31%

ROE (Latest)

8.59%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

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

33What is working for the Company

NET SALES(9M)

At Rs 560.76 cr has Grown at 49.36%

OPERATING PROFIT TO INTEREST(Q)

Highest at 5.84 times

PAT(9M)

Higher at Rs 10.99 Cr

PBDIT(Q)

Highest at Rs 9.76 cr.

PBT LESS OI(Q)

Highest at Rs 7.33 cr.

EPS(Q)

Highest at Rs 0.86

-2What is not working for the Company

DEBT-EQUITY RATIO(HY)

Highest at 0.30 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 12.66 times

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Here's what is working for Rathi Steel

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 7.33 cr has Grown at 101.37%

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 7.45 cr has Grown at 96.1%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 244.44 cr and Grown

each quarter in the last five quarters

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 244.44 cr has Grown at 63.43%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Operating Profit to Interest - Quarterly

Highest at 5.84 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit (PBDIT) - Quarterly

Highest at Rs 9.76 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 7.33 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 7.45 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 0.86

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 Rathi Steel

Debt-Equity Ratio - Half Yearly

Highest at 0.30 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

Debtors Turnover Ratio- Half Yearly

Lowest at 12.66 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio