Why is Royal Cushion Vinyl Products Ltd ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of 4.52% and Operating profit at 0% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at 0 times
2
Flat results in Sep 25
- PBT LESS OI(Q) At Rs -3.49 cr has Fallen at -79.90%
- PAT(Q) At Rs -2.58 cr has Fallen at -203.5%
- EPS(Q) Lowest at Rs -0.71
3
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -30.73%, its profits have risen by 62% ; the PEG ratio of the company is 1.2
4
76.52% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
5
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 2.12% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -30.73% returns
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 Diversified consumer products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Royal Cush. Vin. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Royal Cush. Vin.
-30.73%
-0.74
41.68%
Sensex
4.83%
0.41
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
4.52%
EBIT Growth (5y)
6.64%
EBIT to Interest (avg)
0
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-2.92
Sales to Capital Employed (avg)
0
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
76.52%
Institutional Holding
5.40%
ROCE (avg)
5.71%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
238
Industry P/E
38
Price to Book Value
-2.65
EV to EBIT
-22.41
EV to EBITDA
-26.28
EV to Capital Employed
2.90
EV to Sales
2.56
PEG Ratio
1.15
Dividend Yield
NA
ROCE (Latest)
-8.78%
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
No Trend
Technical Movement
8What is working for the Company
PAT(9M)
At Rs 1.82 cr has Grown at 1,554.55%
OPERATING CF(Y)
Highest at Rs -18.16 Cr
NET SALES(Q)
Highest at Rs 18.84 cr
-7What is not working for the Company
PBT LESS OI(Q)
At Rs -3.49 cr has Fallen at -79.90%
PAT(Q)
At Rs -2.58 cr has Fallen at -203.5%
EPS(Q)
Lowest at Rs -0.71
Loading Valuation Snapshot...
Here's what is working for Royal Cush. Vin.
Operating Cash Flow - Annually
Highest at Rs -18.16 Cr
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Net Sales - Quarterly
Highest at Rs 18.84 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Royal Cush. Vin.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -3.49 cr has Fallen at -79.90%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs -2.58 cr has Fallen at -203.5%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs -0.71
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)






