Refex Industries Ltd (REFEX) 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

Solar Industries

Refex Industries

Monolithisch Ind

PCBL Chemical

Stallion India

Keltech Energies

Prem. Explosives

Linde India

GOCL Corpn.

Ellen.Indl.Gas

Beezaasan Exp.

Why is Refex Industries Ltd ?

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.63 times

Healthy long term growth as Net Sales has grown by an annual rate of 33.61% and Operating profit at 69.43%

Positive results in Jun 26

NET SALES(Q) At Rs 916.31 cr has Grown at 160.42%
PBT LESS OI(Q) At Rs 98.18 cr has Grown at 181.48%
PAT(Q) At Rs 71.20 cr has Grown at 151.8%

With ROE of 15.4, it has a Attractive valuation with a 2.8 Price to Book Value

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 -27.64%, its profits have risen by 54.9% ; the PEG ratio of the company is 0.3

43.51% 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 2.22% over the last quarter

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 2.91% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -27.64% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Refex Industries should be less than 10%
Overall Portfolio exposure to Other Chemical products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Chemical products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Refex Industries for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Refex Industries

-27.81%

-0.51

54.08%

Sensex

-3.2%

-0.24

13.59%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

33.61%

EBIT Growth (5y)

69.43%

EBIT to Interest (avg)

7.62

Debt to EBITDA (avg)

1.27

Net Debt to Equity (avg)

-0.11

Sales to Capital Employed (avg)

1.76

Tax Ratio

27.09%

Dividend Payout Ratio

Pledged Shares

43.51%

Institutional Holding

1.31%

ROCE (avg)

20.38%

ROE (avg)

20.53%

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

2.80

EV to EBIT

9.95

EV to EBITDA

9.46

EV to Capital Employed

3.03

EV to Sales

1.42

PEG Ratio

0.33

Dividend Yield

0.48%

ROCE (Latest)

25.24%

ROE (Latest)

15.43%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

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

28What is working for the Company

NET SALES(Q)

At Rs 916.31 cr has Grown at 160.42%

PBT LESS OI(Q)

At Rs 98.18 cr has Grown at 181.48%

PAT(Q)

At Rs 71.20 cr has Grown at 151.8%

ROCE(HY)

Highest at 23.20%

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 393.35 cr

-12What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 2.57 times

INTEREST(Q)

Highest at Rs 12.92 cr

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Here's what is working for Refex Industries

Net Sales - Quarterly

At Rs 916.31 cr has Grown at 160.42%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 98.18 cr has Grown at 181.48%

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 71.20 cr has Grown at 151.8%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 393.35 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for Refex Industries

Interest - Quarterly

At Rs 12.92 cr has Grown at 27.29%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Interest - Quarterly

Highest at Rs 12.92 cr

in the last five quarters and Increased by 27.29 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Debtors Turnover Ratio- Half Yearly

Lowest at 2.57 times

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

Highest at Rs 12.35 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income