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

Comparison

Company

Score

Quality

Valuation

Financial

Technical

PTC India

Guj Inds. Power

Waaree Renewab.

KPI Green Energy

Insolation Ener

Ujaas Energy

Sustainable Ener

Reliance Power

GMR Urban

RattanIndia Pow.

Reliance Infra.

Why is RattanIndia Power Ltd ?

Weak Long Term Fundamental Strength with a -9.66% CAGR growth in Operating Profits over the last 5 years

Low ability to service debt as the company has a high Debt to EBITDA ratio of 9.15 times
The company has been able to generate a Return on Equity (avg) of 1.19% signifying low profitability per unit of shareholders funds

Flat results in Jun 26

PAT(Latest six months) At Rs 88.69 cr has Grown at -21.40%
ROCE(HY) Lowest at 6.16%
DEBTORS TURNOVER RATIO(HY) Lowest at 1.08 times

88.65% of Promoter Shares are Pledged

In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 4.11% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -28.26% 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?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

RattanIndia Pow.

-28.26%

-0.87

32.66%

Sensex

-2.63%

-0.19

13.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.80%

EBIT Growth (5y)

-9.66%

EBIT to Interest (avg)

0.28

Debt to EBITDA (avg)

11.12

Net Debt to Equity (avg)

0.78

Sales to Capital Employed (avg)

0.42

Tax Ratio

Dividend Payout Ratio

Pledged Shares

88.65%

Institutional Holding

11.84%

ROCE (avg)

4.14%

ROE (avg)

1.19%

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

1.01

EV to EBIT

44.38

EV to EBITDA

19.13

EV to Capital Employed

1.00

EV to Sales

2.80

PEG Ratio

Dividend Yield

ROCE (Latest)

1.92%

ROE (Latest)

1.13%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bearish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bearish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bullish

Mildly Bearish

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

11What is working for the Company

PAT(Q)

At Rs 45.85 cr has Grown at 249.7% (vs previous 4Q average

OPERATING PROFIT TO INTEREST(Q)

Highest at 1.45 times

PBT LESS OI(Q)

Highest at Rs -22.03 cr.

-8What is not working for the Company

PAT(Latest six months)

At Rs 88.69 cr has Grown at -21.40%

ROCE(HY)

Lowest at 6.16%

DEBTORS TURNOVER RATIO(HY)

Lowest at 1.08 times

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 75.35 cr

NON-OPERATING INCOME(Q)

is 148.05 % of Profit Before Tax (PBT

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Here's what is working for RattanIndia Pow.

Profit After Tax (PAT) - Quarterly

At Rs 45.85 cr has Grown at 249.7% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 13.11 Cr

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Highest at 1.45 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs -22.03 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Here's what is not working for RattanIndia Pow.

Debtors Turnover Ratio- Half Yearly

Lowest at 1.08 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

Non Operating Income - Quarterly

is 148.05 % 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

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 75.35 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents