Why is Sasken Technologies Ltd ?
1
The company is Net-Debt Free
2
Poor long term growth as Operating profit has grown by an annual rate -22.22% of over the last 5 years
3
With a growth in Net Profit of 217.29%, the company declared Outstanding results in Mar 26
- The company has declared positive results for the last 3 consecutive quarters
- PBDIT(Q) Highest at Rs 33.16 cr.
- PBT LESS OI(Q) Highest at Rs 22.10 cr.
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 90.90 cr
4
With ROE of 4.9, it has a Very Expensive valuation with a 2.6 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 17.48%, its profits have fallen by -21.5%
5
Despite the size of the company, domestic mutual funds hold only 0% 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
6
Market Beating performance in long term as well as near term
- Along with generating 17.48% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
How much should you hold?
- Overall Portfolio exposure to Sasken Technol. should be less than 10%
- Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Sasken Technol. for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Sasken Technol.
17.48%
0.43
40.37%
Sensex
-3.65%
-0.28
13.49%
Quality key factors
Factor
Value
Sales Growth (5y)
15.71%
EBIT Growth (5y)
-22.22%
EBIT to Interest (avg)
56.75
Debt to EBITDA (avg)
0.43
Net Debt to Equity (avg)
-0.10
Sales to Capital Employed (avg)
0.68
Tax Ratio
19.40%
Dividend Payout Ratio
75.18%
Pledged Shares
0
Institutional Holding
19.65%
ROCE (avg)
12.35%
ROE (avg)
12.64%
Valuation Key Factors 
Factor
Value
P/E Ratio
47
Industry P/E
21
Price to Book Value
2.59
EV to EBIT
66.31
EV to EBITDA
31.95
EV to Capital Employed
2.76
EV to Sales
2.15
PEG Ratio
NA
Dividend Yield
1.83%
ROCE (Latest)
2.37%
ROE (Latest)
4.90%
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
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Mildly Bullish
Mildly Bullish
Technical Movement
36What is working for the Company
PBDIT(Q)
Highest at Rs 33.16 cr.
PBT LESS OI(Q)
Highest at Rs 22.10 cr.
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 90.90 cr
DEBTORS TURNOVER RATIO(HY)
Highest at 6.37 times
NET SALES(Q)
Highest at Rs 334.02 cr
PAT(Q)
Highest at Rs 26.99 cr.
EPS(Q)
Highest at Rs 17.77
-1What is not working for the Company
NON-OPERATING INCOME(Q)
is 40.96 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Sasken Technol.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 22.10 cr has Grown at 238.8% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 6.52 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 26.99 cr has Grown at 143.5% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 11.09 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 334.02 cr has Grown at 44.1% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 231.79 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 33.16 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 22.10 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
Highest at Rs 334.02 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 26.99 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 17.77
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 90.90 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debtors Turnover Ratio- Half Yearly
Highest at 6.37 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 Sasken Technol.
Non Operating Income - Quarterly
is 40.96 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Non Operating Income - Quarterly
Highest at Rs 15.33 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income






