Why is Salzer Electronics Ltd ?
1
Flat results in Mar 26
- PAT(9M) At Rs 35.66 cr has Grown at -31.40%
- ROCE(HY) Lowest at 10.75%
- OPERATING PROFIT TO INTEREST (Q) Lowest at 2.52 times
2
Underperformed the market in the last 1 year
- Even though the market (BSE500) generated negative returns of -1.51% in the last 1 year, its fall in the stock was much higher with a return of -31.26%
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 Other Electrical Equipment)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Salzer Electron. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Salzer Electron.
-31.6%
-0.64
49.01%
Sensex
-8.2%
-0.62
13.07%
Quality key factors
Factor
Value
Sales Growth (5y)
22.92%
EBIT Growth (5y)
20.56%
EBIT to Interest (avg)
2.72
Debt to EBITDA (avg)
3.16
Net Debt to Equity (avg)
0.87
Sales to Capital Employed (avg)
1.47
Tax Ratio
25.11%
Dividend Payout Ratio
9.47%
Pledged Shares
17.20%
Institutional Holding
4.46%
ROCE (avg)
11.15%
ROE (avg)
9.32%
Valuation Key Factors 
Factor
Value
P/E Ratio
21
Industry P/E
44
Price to Book Value
1.88
EV to EBIT
13.59
EV to EBITDA
11.07
EV to Capital Employed
1.47
EV to Sales
0.93
PEG Ratio
NA
Dividend Yield
0.40%
ROCE (Latest)
10.82%
ROE (Latest)
8.93%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
8What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 3.95 times
NET SALES(Q)
At Rs 474.14 cr has Grown at 26.19%
-9What is not working for the Company
PAT(9M)
At Rs 35.66 cr has Grown at -31.40%
ROCE(HY)
Lowest at 10.75%
OPERATING PROFIT TO INTEREST (Q)
Lowest at 2.52 times
DEBT-EQUITY RATIO(HY)
Highest at 0.90 times
PBT LESS OI(Q)
Lowest at Rs 12.13 cr.
Loading Valuation Snapshot...
Here's what is working for Salzer Electron.
Net Sales - Quarterly
Highest at Rs 474.14 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 474.14 cr has Grown at 26.19%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Highest at 3.95 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Salzer Electron.
Operating Profit to Interest - Quarterly
Lowest at 2.52 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Profit After Tax (PAT) - Nine Monthly
At Rs 35.66 cr has Grown at -31.40%
Year on Year (YoY)MOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 12.13 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Debt-Equity Ratio - Half Yearly
Highest at 0.90 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio






