ScoreWhy is Redington Ltd ?
1
Strong Long Term Fundamental Strength with a 15.91% CAGR growth in Net Sales
- Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.27 times
- The company has been able to generate a Return on Capital Employed (avg) of 26.71% signifying high profitability per unit of total capital (equity and debt)
2
Positive results in Mar 26
- PAT(Q) Highest at Rs 502.15 cr.
- NET SALES(Q) Highest at Rs 33,213.03 cr
- PBT LESS OI(Q) At Rs 491.99 cr has Grown at 21.1% (vs previous 4Q average)
3
With ROCE of 17, it has a Attractive valuation with a 1.6 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -17.82%, its profits have risen by 44.9% ; the PEG ratio of the company is 0.2
4
High Institutional Holdings at 78.66%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Below par performance in long term as well as near term
- Along with generating -17.82% 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 Redington should be less than 10%
- Overall Portfolio exposure to Trading & Distributors should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Trading & Distributors)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Redington for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Redington
-17.61%
-0.36
49.07%
Sensex
-6.64%
-0.52
12.94%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
15.91%
EBIT Growth (5y)
11.10%
EBIT to Interest (avg)
7.41
Debt to EBITDA (avg)
1.22
Net Debt to Equity (avg)
0.17
Sales to Capital Employed (avg)
8.86
Tax Ratio
24.33%
Dividend Payout Ratio
39.77%
Pledged Shares
0
Institutional Holding
78.66%
ROCE (avg)
24.97%
ROE (avg)
17.36%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
28
Price to Book Value
1.70
EV to EBIT
9.36
EV to EBITDA
8.50
EV to Capital Employed
1.59
EV to Sales
0.16
PEG Ratio
0.24
Dividend Yield
3.09%
ROCE (Latest)
17.03%
ROE (Latest)
15.76%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend15What is working for the Company
PAT(Q)
Highest at Rs 502.15 cr.
NET SALES(Q)
Highest at Rs 33,213.03 cr
PBT LESS OI(Q)
At Rs 491.99 cr has Grown at 21.1% (vs previous 4Q average
-4What is not working for the Company
ROCE(HY)
Lowest at 16.98%
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 1,121.50 cr
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.52 times
Loading Valuation Snapshot...
Here's what is working for Redington
Profit After Tax (PAT) - Quarterly
Highest at Rs 502.15 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 502.15 cr has Grown at 58.9% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 316.08 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 33,213.03 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
At Rs 491.99 cr has Grown at 21.1% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 406.15 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Redington
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 1,121.50 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio- Half Yearly
Lowest at 5.52 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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