Senco Gold Ltd (SENCO) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Sky Gold & Diam.

T B Z

Senco Gold

P N Gadgil Jewe.

Timex Group

D.P. Abhushan

Goldiam Intl.

KDDL Ltd

Ethos

Vaibhav Global

Augmont Enterpri

Why is Senco Gold Ltd ?

Healthy long term growth as Net Sales has grown by an annual rate of 30.26% and Operating profit at 48.15%

The company has declared Positive results for the last 3 consecutive quarters

NET SALES(9M) At Rs 8,123.67 cr has Grown at 54.74%
ROCE(HY) Highest at 18.55%
PAT(9M) Higher at Rs 522.02 Cr

With ROCE of 18.9, it has a Very Attractive valuation with a 1.6 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 -6.52%, its profits have risen by 168.4% ; the PEG ratio of the company is 0.1

High Institutional Holdings at 20.42%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Senco Gold should be less than 10%
Overall Portfolio exposure to Gems, Jewellery And Watches should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Gems, Jewellery And Watches)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Senco Gold for you?

High Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Senco Gold

-6.52%

-0.15

42.58%

Sensex

-8.82%

-0.65

13.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

30.26%

EBIT Growth (5y)

48.15%

EBIT to Interest (avg)

3.16

Debt to EBITDA (avg)

4.41

Net Debt to Equity (avg)

0.87

Sales to Capital Employed (avg)

1.65

Tax Ratio

25.00%

Dividend Payout Ratio

10.27%

Pledged Shares

Institutional Holding

20.42%

ROCE (avg)

12.97%

ROE (avg)

14.73%

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

2.20

EV to EBIT

8.45

EV to EBITDA

7.73

EV to Capital Employed

1.64

EV to Sales

0.80

PEG Ratio

0.06

Dividend Yield

0.52%

ROCE (Latest)

18.89%

ROE (Latest)

22.85%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Dow Theory

No Trend

Mildly Bullish

OBV

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

20What is working for the Company

NET SALES(9M)

At Rs 8,123.67 cr has Grown at 54.74%

ROCE(HY)

Highest at 18.55%

PAT(9M)

Higher at Rs 522.02 Cr

-11What is not working for the Company

PBT LESS OI(Q)

At Rs 123.68 cr has Fallen at -27.6% (vs previous 4Q average

PAT(Q)

At Rs 101.14 cr has Fallen at -29.6% (vs previous 4Q average

DEBTORS TURNOVER RATIO(HY)

Lowest at 37.51 times

INTEREST(Q)

Highest at Rs 67.94 cr

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Here's what is working for Senco Gold

Net Sales - Quarterly

At Rs 3,056.03 cr has Grown at 45.0% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 2,107.51 Cr

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Here's what is not working for Senco Gold

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 123.68 cr has Fallen at -27.6% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 170.71 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 101.14 cr has Fallen at -29.6% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 143.58 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Interest - Quarterly

Highest at Rs 67.94 cr

in the last five quarters and Increased by 21.15 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Debtors Turnover Ratio- Half Yearly

Lowest at 37.51 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio