RattanIndia Power Ltd (RTNPOWER) 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

PTC India

Waaree Renewab.

K.P. Energy

KPI Green Energy

Reliance Infra.

Sustainable Ener

Guj Inds. Power

GMR Urban

RattanIndia Pow.

Solarworld Ene.

Insolation Ener

Why is RattanIndia Power Ltd ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 4.33%

Low ability to service debt as the company has a high Debt to EBITDA ratio of 11.33 times

The company has declared Negative results for the last 3 consecutive quarters

PAT(9M) At Rs 9.60 cr has Grown at -90.00%
ROCE(HY) Lowest at 6.91%
INVENTORY TURNOVER RATIO(HY) Lowest at 11.47 times

88.65% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
The proportion of pledged holdings has increased by 88.65% over the last quarter

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 5.48% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -21.74% returns

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 Power)

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

Is RattanIndia Pow. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

RattanIndia Pow.

-22.1%

-0.47

47.29%

Sensex

5.37%

0.47

11.36%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.91%

EBIT Growth (5y)

30.55%

EBIT to Interest (avg)

0.29

Debt to EBITDA (avg)

12.11

Net Debt to Equity (avg)

0.70

Sales to Capital Employed (avg)

0.39

Tax Ratio

Dividend Payout Ratio

Pledged Shares

88.65%

Institutional Holding

11.88%

ROCE (avg)

4.14%

ROE (avg)

0.38%

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

1.03

EV to EBIT

31.98

EV to EBITDA

16.07

EV to Capital Employed

1.02

EV to Sales

2.50

PEG Ratio

4.92

Dividend Yield

ROCE (Latest)

2.70%

ROE (Latest)

1.89%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

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

7What is working for the Company

PAT(Q)

At Rs 54.26 cr has Grown at 153.5% (vs previous 4Q average

-13What is not working for the Company

PAT(9M)

At Rs 9.60 cr has Grown at -90.00%

ROCE(HY)

Lowest at 6.91%

INVENTORY TURNOVER RATIO(HY)

Lowest at 11.47 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.30 times

DEBT-EQUITY RATIO(HY)

Highest at 0.85 times

NET SALES(Q)

At Rs 727.99 cr has Fallen at -7.4% (vs previous 4Q average

NON-OPERATING INCOME(Q)

is 181.83 % of Profit Before Tax (PBT

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Here's what is working for RattanIndia Pow.

Profit After Tax (PAT) - Quarterly

At Rs 54.26 cr has Grown at 153.5% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 21.40 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Here's what is not working for RattanIndia Pow.

Inventory Turnover Ratio- Half Yearly

Lowest at 11.47 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Debtors Turnover Ratio- Half Yearly

Lowest at 1.30 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Net Sales - Quarterly

At Rs 727.99 cr has Fallen at -7.4% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 786.31 Cr

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Non Operating Income - Quarterly

is 181.83 % 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

Debt-Equity Ratio - Half Yearly

Highest at 0.85 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