Synergy Green Industries Ltd (SGIL) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Nelcast

Happy Forgings

Steelcast

Inv.& Prec.Cast.

Tirupati Forge

Magna Electrocas

Nitin Castings

Balu Forge

Synergy Green

ANB Metal

Amic Forging

Why is Synergy Green Industries Ltd ?

High Debt company with Weak Long Term Fundamental Strength

Poor long term growth as Net Sales has grown by an annual rate of 12.98% and Operating profit at 3.74% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.53

With a fall in Operating Profit of -4.73%, the company declared Very Negative results in Mar 26

The company has declared negative results for the last 3 consecutive quarters
OPERATING PROFIT TO INTEREST(Q) Lowest at 1.56 times
PBT LESS OI(Q) At Rs -4.09 cr has Fallen at -271.1% (vs previous 4Q average)
PAT(Q) At Rs 0.42 cr has Fallen at -80.8% (vs previous 4Q average)

Real-Time Research Report

Verdict Report

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 Castings & Forgings)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Synergy Green for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Synergy Green

14.13%

0.38

37.24%

Sensex

-7.5%

-0.58

13.00%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

12.98%

EBIT Growth (5y)

3.74%

EBIT to Interest (avg)

1.53

Debt to EBITDA (avg)

3.14

Net Debt to Equity (avg)

2.15

Sales to Capital Employed (avg)

2.17

Tax Ratio

38.41%

Dividend Payout Ratio

9.20%

Pledged Shares

Institutional Holding

1.73%

ROCE (avg)

16.26%

ROE (avg)

10.38%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

152

Industry P/E

Price to Book Value

7.26

EV to EBIT

54.92

EV to EBITDA

26.56

EV to Capital Employed

2.99

EV to Sales

2.85

PEG Ratio

Dividend Yield

0.19%

ROCE (Latest)

5.44%

ROE (Latest)

4.78%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bullish

Mildly Bearish

Dow Theory

Mildly Bearish

Bullish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

2What is working for the Company

NET SALES(Q)

At Rs 119.04 cr has Grown at 38.1% (vs previous 4Q average

-29What is not working for the Company

OPERATING PROFIT TO INTEREST(Q)

Lowest at 1.56 times

PBT LESS OI(Q)

At Rs -4.09 cr has Fallen at -271.1% (vs previous 4Q average

PAT(Q)

At Rs 0.42 cr has Fallen at -80.8% (vs previous 4Q average

ROCE(HY)

Lowest at 8.02%

DEBT-EQUITY RATIO(HY)

Highest at 2.25 times

DEBTORS TURNOVER RATIO(HY)

Lowest at 5.64 times

INTEREST(Q)

Highest at Rs 6.69 cr

NON-OPERATING INCOME(Q)

is 1,378.13 % of Profit Before Tax (PBT

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Here's what is working for Synergy Green

Net Sales - Quarterly

Highest at Rs 119.04 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 119.04 cr has Grown at 38.1% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 86.21 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Here's what is not working for Synergy Green

Operating Profit to Interest - Quarterly

Lowest at 1.56 times and Fallen

each quarter in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -4.09 cr has Fallen at -271.1% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 2.39 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 0.42 cr has Fallen at -80.8% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 2.18 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Interest - Quarterly

At Rs 6.69 cr has Grown at 40.84%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -4.09 cr. and Fallen

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Interest - Quarterly

Highest at Rs 6.69 cr

in the last five quarters and Increased by 40.84 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Non Operating Income - Quarterly

is 1,378.13 % 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

Debt-Equity Ratio - Half Yearly

Highest at 2.25 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio- Half Yearly

Lowest at 5.64 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio