Why is Solar Industries India Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 32.70%
- Healthy long term growth as Net Sales has grown by an annual rate of 31.84% and Operating profit at 41.33%
- Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.58 times
2
With a growth in Net Profit of 86.53%, the company declared Very Positive results in Jun 26
- The company has declared positive results for the last 9 consecutive quarters
- DPS(Y) Highest at Rs 11.00
- OPERATING PROFIT TO INTEREST(Q) Highest at 24.60 times
- PBDIT(Q) Highest at Rs 1,015.19 cr.
3
Majority shareholders : Promoters
4
Consistent Returns over the last 3 years
- Along with generating 28.82% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
5
With its market cap of Rs 1,70,936 cr, it is the biggest company in the sector and constitutes 24.91% of the entire sector
- Its annual Sales of Rs 11,351.49 are 7.00% of the industry
How much should you buy?
- Overall Portfolio exposure to Solar Industries should be less than 10%
- Overall Portfolio exposure to Other Chemical products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Chemical products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Solar Industries for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Solar Industries
26.94%
0.76
35.42%
Sensex
-10.5%
-0.78
13.50%
Quality key factors
Factor
Value
Sales Growth (5y)
31.84%
EBIT Growth (5y)
41.33%
EBIT to Interest (avg)
14.51
Debt to EBITDA (avg)
0.86
Net Debt to Equity (avg)
0.15
Sales to Capital Employed (avg)
1.45
Tax Ratio
26.66%
Dividend Payout Ratio
5.93%
Pledged Shares
2.27%
Institutional Holding
19.76%
ROCE (avg)
31.11%
ROE (avg)
26.30%
Valuation Key Factors 
Factor
Value
P/E Ratio
86
Industry P/E
41
Price to Book Value
27.14
EV to EBIT
60.59
EV to EBITDA
55.23
EV to Capital Employed
23.74
EV to Sales
15.09
PEG Ratio
1.48
Dividend Yield
0.06%
ROCE (Latest)
32.85%
ROE (Latest)
26.72%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Bullish
Bullish
OBV
Mildly Bearish
Bullish
Technical Movement
35What is working for the Company
DPS(Y)
Highest at Rs 11.00
OPERATING PROFIT TO INTEREST(Q)
Highest at 24.60 times
PBDIT(Q)
Highest at Rs 1,015.19 cr.
PBT LESS OI(Q)
Highest at Rs 902.94 cr.
PAT(Q)
Highest at Rs 652.55 cr.
NET SALES(Q)
Highest at Rs 3,668.20 cr
EPS(Q)
Highest at Rs 72.10
-9What is not working for the Company
DPR(Y)
Lowest at 8.15%
INTEREST(Latest six months)
At Rs 82.53 cr has Grown at 26.44%
Loading Valuation Snapshot...
Here's what is working for Solar Industries
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 902.94 cr has Grown at 99.99%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 652.55 cr has Grown at 92.7%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 3,668.20 cr has Grown at 70.26%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 24.60 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Operating Profit (PBDIT) - Quarterly
Highest at Rs 1,015.19 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 902.94 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 652.55 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Dividend per Share (DPS) - Annually
Highest at Rs 11.00 and Grown
each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (Rs)
Net Sales - Quarterly
Highest at Rs 3,668.20 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 72.10
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Solar Industries
Interest - Latest six months
At Rs 82.53 cr has Grown at 26.44%
over previous Half yearly periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Dividend Payout Ratio (DPR) - Annually
Lowest at 8.15% and Fallen
each year in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)






