ScoreComparison
Company
Score
Quality
Valuation
Financial
Technical
Why is Sitara Chemicals Industries Ltd. ?
1
Poor Management Efficiency with a low ROCE of 8.91%
- The company has been able to generate a Return on Capital Employed (avg) of 8.91% signifying low profitability per unit of total capital (equity and debt)
2
High Debt Company with a Debt to Equity ratio (avg) at 0 times
- Poor long term growth as Operating profit has grown by an annual rate 17.87% of over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at 0 times
- The company has been able to generate a Return on Equity (avg) of 5.14% signifying low profitability per unit of shareholders funds
3
Poor long term growth as Operating profit has grown by an annual rate 17.87% of over the last 5 years
4
Positive results in Mar 25
- OPERATING CASH FLOW(Y) Highest at PKR 3,084.22 MM
- INTEREST COVERAGE RATIO(Q) Highest at 329.88
- RAW MATERIAL COST(Y) Fallen by -3.62% (YoY)
5
With ROE of 3.5, it has a expensive valuation with a 0.5 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 0%, its profits have fallen by -35.9%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Sitara Chemicals Industries Ltd. should be less than 10%
- Overall Portfolio exposure to Specialty Chemicals should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Sitara Chemicals Industries Ltd. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Sitara Chemicals Industries Ltd.
-100.0%
1.30
45.87%
Pakistan KSE 100 Share
60.28%
2.81
22.77%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
21.27%
EBIT Growth (5y)
20.31%
EBIT to Interest (avg)
1.93
Debt to EBITDA (avg)
2.88
Net Debt to Equity (avg)
0.92
Sales to Capital Employed (avg)
0.96
Tax Ratio
52.85%
Dividend Payout Ratio
25.10%
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
8.91%
ROE (avg)
5.14%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
Price to Book Value
1.07
EV to EBIT
9.62
EV to EBITDA
6.89
EV to Capital Employed
1.04
EV to Sales
1.14
PEG Ratio
0.29
Dividend Yield
1.17%
ROCE (Latest)
10.76%
ROE (Latest)
5.25%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend16What is working for the Company
OPERATING CASH FLOW(Y)
Highest at PKR 3,084.22 MM
INTEREST COVERAGE RATIO(Q)
Highest at 329.88
RAW MATERIAL COST(Y)
Fallen by -3.62% (YoY
CASH AND EQV(HY)
Highest at PKR 2,140.79 MM
OPERATING PROFIT(Q)
Highest at PKR 1,339.2 MM
OPERATING PROFIT MARGIN(Q)
Highest at 16.02 %
PRE-TAX PROFIT(Q)
Highest at PKR 524.88 MM
NET PROFIT(Q)
Highest at PKR 347.11 MM
EPS(Q)
Highest at PKR 16.2
-2What is not working for the Company
DEBT-EQUITY RATIO
(HY)
Highest at 91.89 %
Here's what is working for Sitara Chemicals Industries Ltd.
Interest Coverage Ratio
Highest at 329.88
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Operating Cash Flow
Highest at PKR 3,084.22 MM
in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (PKR MM)
Operating Profit
Highest at PKR 1,339.2 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (PKR MM)
Operating Profit Margin
Highest at 16.02 %
in the last five periodsMOJO Watch
Company's profit margin has improved
Operating Profit to Sales
Pre-Tax Profit
Highest at PKR 524.88 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (PKR MM)
Pre-Tax Profit
At PKR 524.88 MM has Grown at 82.35%
over average net sales of the previous four periods of PKR 287.85 MMMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (PKR MM)
Net Profit
Highest at PKR 347.11 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (PKR MM)
Net Profit
At PKR 347.11 MM has Grown at 139.97%
over average net sales of the previous four periods of PKR 144.65 MMMOJO Watch
Near term Net Profit trend is positive
Net Profit (PKR MM)
EPS
Highest at PKR 16.2
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (PKR)
Cash and Eqv
Highest at PKR 2,140.79 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Raw Material Cost
Fallen by -3.62% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at PKR 382.31 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (PKR MM)
Here's what is not working for Sitara Chemicals Industries Ltd.
Debt-Equity Ratio
Highest at 91.89 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
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