Signet Industries Ltd (SIGIND) 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

Rama Vision

Lahoti Overseas

Maximus Interna.

Excel Realty

Metroglobal

Signet Industrie

Anik Industries

Variman Global

Dhoot Indl.Fin

Parshva Enterpr.

Hind.Appliances

Why is Signet Industries Ltd ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 10.47% and Operating profit at 12.47% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.32
The company has been able to generate a Return on Equity (avg) of 6.72% signifying low profitability per unit of shareholders funds

Flat results in Sep 25

OPERATING CF(Y) Lowest at Rs 15.74 Cr
INTEREST(9M) At Rs 49.44 cr has Grown at 21.56%
DPR(Y) Lowest at 9.41%

Below par performance in long term as well as near term

Along with generating -32.59% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months

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 Trading & Distributors)

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

Is Signet Industrie for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Signet Industrie

-32.59%

-0.57

57.67%

Sensex

4.83%

0.41

11.83%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.47%

EBIT Growth (5y)

12.47%

EBIT to Interest (avg)

1.32

Debt to EBITDA (avg)

4.29

Net Debt to Equity (avg)

1.68

Sales to Capital Employed (avg)

1.96

Tax Ratio

29.74%

Dividend Payout Ratio

9.41%

Pledged Shares

Institutional Holding

ROCE (avg)

12.95%

ROE (avg)

6.72%

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

0.61

EV to EBIT

6.02

EV to EBITDA

5.46

EV to Capital Employed

0.85

EV to Sales

0.44

PEG Ratio

0.14

Dividend Yield

1.02%

ROCE (Latest)

14.20%

ROE (Latest)

8.15%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

9What is working for the Company

PAT(9M)

At Rs 14.73 cr has Grown at 106.00%

-8What is not working for the Company

OPERATING CF(Y)

Lowest at Rs 15.74 Cr

INTEREST(9M)

At Rs 49.44 cr has Grown at 21.56%

DPR(Y)

Lowest at 9.41%

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 14.67 cr

DEBT-EQUITY RATIO(HY)

Highest at 1.74 times

Loading Valuation Snapshot...

Here's what is working for Signet Industrie

Profit After Tax (PAT) - Latest six months

At Rs 7.32 cr has Grown at 97.27%

Year on Year (YoY)

MOJO Watch

PAT trend is very positive

PAT (Rs Cr)

Here's what is not working for Signet Industrie

Operating Cash Flow - Annually

Lowest at Rs 15.74 Cr and Fallen

each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (Rs Cr)

Interest - Nine Monthly

At Rs 49.44 cr has Grown at 21.56%

over preceding nine months period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 14.67 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio - Half Yearly

Highest at 1.74 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Dividend Payout Ratio (DPR) - Annually

Lowest at 9.41%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)