ScoreWhy is RSWM Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 5.15%
- Poor long term growth as Net Sales has grown by an annual rate of 14.38% over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 5.96 times
2
With a growth in Operating Profit of 14.27%, the company declared Very Positive results in Jun 26
- The company has declared positive results for the last 7 consecutive quarters
- ROCE(HY) Highest at 5.96%
- OPERATING PROFIT TO INTEREST(Q) Highest at 2.77 times
- PBDIT(Q) Highest at Rs 90.14 cr.
3
With ROCE of 4.3, it has a Very Attractive valuation with a 0.9 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 49.49%, its profits have risen by 244.8% ; the PEG ratio of the company is 0.1
4
Despite the size of the company, domestic mutual funds hold only 0.01% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to RSWM Ltd should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is RSWM Ltd for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
RSWM Ltd
50.17%
1.26
39.90%
Sensex
-2.64%
-0.19
13.57%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
14.38%
EBIT Growth (5y)
22.68%
EBIT to Interest (avg)
1.42
Debt to EBITDA (avg)
7.69
Net Debt to Equity (avg)
1.23
Sales to Capital Employed (avg)
1.61
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
1.70%
ROCE (avg)
5.62%
ROE (avg)
7.47%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
25
Price to Book Value
0.77
EV to EBIT
21.02
EV to EBITDA
9.62
EV to Capital Employed
0.90
EV to Sales
0.60
PEG Ratio
0.07
Dividend Yield
NA
ROCE (Latest)
4.27%
ROE (Latest)
4.26%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend22What is working for the Company
ROCE(HY)
Highest at 5.96%
OPERATING PROFIT TO INTEREST(Q)
Highest at 2.77 times
PBDIT(Q)
Highest at Rs 90.14 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 7.76%
PBT LESS OI(Q)
Highest at Rs 18.45 cr.
PAT(Q)
At Rs 19.65 cr has Grown at 35.7% (vs previous 4Q average
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for RSWM Ltd
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 18.45 cr has Grown at 2228.1% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 0.79 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 2.77 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Operating Profit (PBDIT) - Quarterly
Highest at Rs 90.14 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 7.76%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 18.45 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 19.65 cr has Grown at 35.7% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 14.48 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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