Why is Steel Strips Wheels Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of 9.06% and Operating profit at 1.98% over the last 5 years
2
Underperformed the market in the last 1 year
- Even though the market (BSE500) generated negative returns of -1.76% in the last 1 year, its fall in the stock was much higher with a return of -13.42%
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 Auto Components & Equipments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Steel Str. Wheel for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Steel Str. Wheel
-13.42%
-0.35
38.29%
Sensex
-8.26%
-0.63
13.11%
Quality key factors
Factor
Value
Sales Growth (5y)
9.06%
EBIT Growth (5y)
1.98%
EBIT to Interest (avg)
3.51
Debt to EBITDA (avg)
1.95
Net Debt to Equity (avg)
0.45
Sales to Capital Employed (avg)
1.83
Tax Ratio
25.16%
Dividend Payout Ratio
10.04%
Pledged Shares
0
Institutional Holding
13.29%
ROCE (avg)
15.19%
ROE (avg)
13.53%
Valuation Key Factors 
Factor
Value
P/E Ratio
17
Industry P/E
35
Price to Book Value
1.82
EV to EBIT
10.98
EV to EBITDA
8.05
EV to Capital Employed
1.57
EV to Sales
0.79
PEG Ratio
NA
Dividend Yield
0.60%
ROCE (Latest)
14.27%
ROE (Latest)
10.54%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Bullish
No Trend
Technical Movement
12What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 4.84 times
DEBT-EQUITY RATIO(HY)
Lowest at 0.46 times
NET SALES(Q)
Highest at Rs 1,474.63 cr
PBDIT(Q)
Highest at Rs 149.82 cr.
PBT LESS OI(Q)
Highest at Rs 82.08 cr.
PAT(Q)
Highest at Rs 60.85 cr.
EPS(Q)
Highest at Rs 3.87
-3What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 8.51 times
Loading Valuation Snapshot...
Here's what is working for Steel Str. Wheel
Operating Profit to Interest - Quarterly
Highest at 4.84 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 1,474.63 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 149.82 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 82.08 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 82.08 cr has Grown at 33.5% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 61.48 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 60.85 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 60.85 cr has Grown at 28.1% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 47.51 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 3.87
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Debt-Equity Ratio - Half Yearly
Lowest at 0.46 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Steel Str. Wheel
Debtors Turnover Ratio- Half Yearly
Lowest at 8.51 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 1.21 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income






