Why is Sukhjit Starch & Chemicals Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.52 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.52 times
2
Poor long term growth as Net Sales has grown by an annual rate of 14.86% and Operating profit at 10.28% over the last 5 years
3
With a fall in Operating Profit of -24.91%, the company declared Very Negative results in Sep 25
- The company has declared negative results for the last 4 consecutive quarters
- PAT(Latest six months) At Rs 9.31 cr has Grown at -64.69%
- ROCE(HY) Lowest at 6.21%
- OPERATING PROFIT TO INTEREST (Q) Lowest at 2.06 times
4
Below par performance in long term as well as near term
- Along with generating -49.83% 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 Other Agricultural Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Sukhjit Starch for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Sukhjit Starch
-48.02%
-1.44
34.70%
Sensex
4.29%
0.45
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
14.86%
EBIT Growth (5y)
10.28%
EBIT to Interest (avg)
3.22
Debt to EBITDA (avg)
2.94
Net Debt to Equity (avg)
0.58
Sales to Capital Employed (avg)
1.57
Tax Ratio
22.83%
Dividend Payout Ratio
7.82%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
12.49%
ROE (avg)
11.12%
Valuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
13
Price to Book Value
0.83
EV to EBIT
16.55
EV to EBITDA
9.30
EV to Capital Employed
0.89
EV to Sales
0.55
PEG Ratio
NA
Dividend Yield
0.68%
ROCE (Latest)
5.39%
ROE (Latest)
4.16%
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
Mildly Bullish
Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
1What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 16.09 cr
-21What is not working for the Company
PAT(Latest six months)
At Rs 9.31 cr has Grown at -64.69%
ROCE(HY)
Lowest at 6.21%
OPERATING PROFIT TO INTEREST (Q)
Lowest at 2.06 times
DPR(Y)
Lowest at 7.82%
NET SALES(Q)
Lowest at Rs 314.61 cr
INTEREST(Q)
Highest at Rs 8.84 cr
PBT LESS OI(Q)
Lowest at Rs 0.32 cr.
NON-OPERATING INCOME(Q)
is 93.48 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Sukhjit Starch
Cash and Cash Equivalents - Half Yearly
Highest at Rs 16.09 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 Sukhjit Starch
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 0.32 cr has Fallen at -95.9% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 7.72 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Latest six months
At Rs 9.31 cr has Grown at -64.69%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 314.61 cr has Fallen at -14.5% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 367.99 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Lowest at 2.06 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Net Sales - Quarterly
Lowest at Rs 314.61 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Interest - Quarterly
Highest at Rs 8.84 cr
in the last five quarters and Increased by 21.60 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 0.32 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Non Operating Income - Quarterly
is 93.48 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Dividend Payout Ratio (DPR) - Annually
Lowest at 7.82%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
Non Operating Income - Quarterly
Highest at Rs 4.59 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income






