SAB Industries Ltd () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Niraj Cement

Navkar Urban.

Bharat Road

Sadbhav Engg.

SAB Industries

Desco Infra.

Modulex Const.

Winsol Engineers

Kay Cee

Chavda Infra Ltd

Mayasheel Vent.

Why is SAB Industries Ltd ?

With a Operating Losses, the company has a Weak Long Term Fundamental Strength

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -1.07
INTEREST(9M) At Rs 4.08 cr has Grown at 97.10%
NET SALES(Q) At Rs 6.97 cr has Fallen at -30.7% (vs previous 4Q average)
PBT LESS OI(Q) At Rs -23.40 cr has Fallen at -478.2% (vs previous 4Q average)

With ROCE of 0.8, it has a Very Expensive valuation with a 0.5 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 -33.84%, its profits have risen by 115.3% ; the PEG ratio of the company is 0.4

Real-Time Research Report

Verdict Report

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 Construction)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is SAB Industries for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

SAB Industries

-33.84%

-0.49

69.25%

Sensex

4.84%

0.40

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

75.58%

EBIT Growth (5y)

24.23%

EBIT to Interest (avg)

-1.07

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

0.13

Sales to Capital Employed (avg)

0.07

Tax Ratio

8.15%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.01%

ROCE (avg)

-0.17%

ROE (avg)

7.45%

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

0.44

EV to EBIT

61.44

EV to EBITDA

56.43

EV to Capital Employed

0.50

EV to Sales

6.32

PEG Ratio

0.38

Dividend Yield

ROCE (Latest)

0.82%

ROE (Latest)

1.01%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

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

11What is working for the Company

PAT(Latest six months)

Higher at Rs 23.29 cr

-23What is not working for the Company

INTEREST(9M)

At Rs 4.08 cr has Grown at 97.10%

NET SALES(Q)

At Rs 6.97 cr has Fallen at -30.7% (vs previous 4Q average

PBT LESS OI(Q)

At Rs -23.40 cr has Fallen at -478.2% (vs previous 4Q average

PAT(Q)

At Rs -23.19 cr has Fallen at -440.5% (vs previous 4Q average

OPERATING PROFIT TO INTEREST (Q)

Lowest at -2.67 times

PBDIT(Q)

Lowest at Rs -0.08 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at -1.15%

EPS(Q)

Lowest at Rs -15.25

Loading Valuation Snapshot...

Here's what is not working for SAB Industries

Interest - Nine Monthly

At Rs 4.08 cr has Grown at 97.10%

over preceding nine months period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Net Sales - Quarterly

At Rs 6.97 cr has Fallen at -30.7% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 10.06 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -23.40 cr has Fallen at -478.2% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 6.19 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -23.19 cr has Fallen at -440.5% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 6.81 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at -2.67 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit (PBDIT) - Quarterly

Lowest at Rs -0.08 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at -1.15%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -23.40 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -15.25

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)