Why is Southern Infoconsultants Ltd ?
1
Weak Long Term Fundamental Strength with a -8.41% CAGR growth in Net Sales over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -0.07
- The company has been able to generate a Return on Equity (avg) of 2.08% signifying low profitability per unit of shareholders funds
2
Flat results in Sep 25
- OPERATING CF(Y) Lowest at Rs -2.81 Cr
3
With ROE of 1.7, it has a Very Expensive valuation with a 2.1 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 -11.94%, its profits have fallen by -20%
4
Below par performance in long term as well as near term
- Along with generating -11.94% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
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 Computers - Software & Consulting)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Southern Infocon for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Southern Infocon
-11.94%
-0.19
62.78%
Sensex
3.75%
0.32
11.86%
Quality key factors
Factor
Value
Sales Growth (5y)
-8.41%
EBIT Growth (5y)
4.23%
EBIT to Interest (avg)
-0.07
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.69
Sales to Capital Employed (avg)
2.58
Tax Ratio
59.38%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.78%
ROCE (avg)
-0.74%
ROE (avg)
2.08%
Valuation Key Factors 
Factor
Value
P/E Ratio
120
Industry P/E
28
Price to Book Value
2.05
EV to EBIT
7.98
EV to EBITDA
7.98
EV to Capital Employed
4.41
EV to Sales
0.49
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
3.31%
ROE (Latest)
1.70%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bullish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
Technical Movement
7What is working for the Company
NET SALES(Latest six months)
At Rs 5.10 cr has Grown at 162.89%
DEBTORS TURNOVER RATIO(HY)
Highest at 2.12 times
PAT(Q)
Highest at Rs 0.16 cr.
EPS(Q)
Highest at Rs 0.32
-2What is not working for the Company
OPERATING CF(Y)
Lowest at Rs -2.81 Cr
Loading Valuation Snapshot...
Here's what is working for Southern Infocon
Net Sales - Latest six months
At Rs 5.10 cr has Grown at 162.89%
Year on Year (YoY)MOJO Watch
Sales trend is very positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 0.16 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 0.32
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Highest at 2.12 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 Southern Infocon
Operating Cash Flow - Annually
Lowest at Rs -2.81 Cr
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)






