Why is Sree Rayalaseema Hi-Strength Hypo Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of -2.50% over the last 5 years
2
Negative results in Sep 25
- OPERATING CF(Y) Lowest at Rs 65.48 Cr
- ROCE(HY) Lowest at 12.80%
- DEBTORS TURNOVER RATIO(HY) Lowest at 5.51 times
3
Despite the size of the company, domestic mutual funds hold only 0.02% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
4
Below par performance in long term as well as near term
- Along with generating -30.41% 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 Commodity Chemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Sr.Rayala.Hypo for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Sr.Rayala.Hypo
-29.96%
-0.67
44.87%
Sensex
4.83%
0.41
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
-2.50%
EBIT Growth (5y)
4.43%
EBIT to Interest (avg)
43.46
Debt to EBITDA (avg)
0.21
Net Debt to Equity (avg)
-0.40
Sales to Capital Employed (avg)
1.50
Tax Ratio
25.99%
Dividend Payout Ratio
5.72%
Pledged Shares
0
Institutional Holding
0.11%
ROCE (avg)
22.61%
ROE (avg)
13.39%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
40
Price to Book Value
0.84
EV to EBIT
5.17
EV to EBITDA
4.76
EV to Capital Employed
0.73
EV to Sales
0.66
PEG Ratio
1.10
Dividend Yield
0.58%
ROCE (Latest)
14.05%
ROE (Latest)
9.46%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
2What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 413.48 cr
NET SALES(Q)
Highest at Rs 182.39 cr
-8What is not working for the Company
OPERATING CF(Y)
Lowest at Rs 65.48 Cr
ROCE(HY)
Lowest at 12.80%
DEBTORS TURNOVER RATIO(HY)
Lowest at 5.51 times
Loading Valuation Snapshot...
Here's what is working for Sr.Rayala.Hypo
Net Sales - Quarterly
Highest at Rs 182.39 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 413.48 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Sr.Rayala.Hypo
Operating Cash Flow - Annually
Lowest at Rs 65.48 Cr and Fallen
each year in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 5.51 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio






