ScoreWhy is REC Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 19.73%
2
Flat results in Jun 26
- CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 1,611.09 cr
- NET SALES(Q) Lowest at Rs 14,434.92 cr
3
With ROE of 19.2, it has a Expensive valuation with a 1 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 -11.02%, its profits have fallen by -5%
- At the current price, the company has a high dividend yield of 5.5
4
High Institutional Holdings at 32.79%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 0.6% over the previous quarter.
5
Below par performance in long term as well as near term
- Along with generating -11.02% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to REC Ltd should be less than 10%
- Overall Portfolio exposure to Finance should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Finance)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is REC Ltd for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
REC Ltd
-11.37%
-0.41
27.56%
Sensex
-4.1%
-0.30
13.47%
Management Risk
Growth
Capital StructureValuationValuation Key Factors 
Factor
Value
P/E Ratio
5
Industry P/E
21
Price to Book Value
1.01
EV to EBIT
10.63
EV to EBITDA
10.62
EV to Capital Employed
1.00
EV to Sales
10.12
PEG Ratio
NA
Dividend Yield
5.54%
ROCE (Latest)
9.51%
ROE (Latest)
19.19%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
DEBT-EQUITY RATIO(HY)
Lowest at 6.05 times
-3What is not working for the Company
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 1,611.09 cr
NET SALES(Q)
Lowest at Rs 14,434.92 cr
Loading Valuation Snapshot...
Here's what is working for REC Ltd
Debt-Equity Ratio - Half Yearly
Lowest at 6.05 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for REC Ltd
Net Sales - Quarterly
Lowest at Rs 14,434.92 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 1,611.09 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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