Tega Industries Ltd (TEGA) 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

Kennametal India

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Titagarh Rail

Jyoti CNC Auto.

Tega Inds.

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Kaynes Tech

Elecon Engg.Co

Jupiter Wagons

Why is Tega Industries Ltd ?

Poor long term growth as Operating profit has grown by an annual rate -15.56% of over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

PAT(Q) At Rs -108.25 cr has Fallen at -403.5% (vs previous 4Q average)
ROCE(HY) Lowest at 5.88%
OPERATING PROFIT TO INTEREST (Q) Lowest at 0.48 times

With ROE of 4.2, it has a Very Expensive valuation with a 3.8 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 -12.78%, its profits have fallen by -100.5%

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 Industrial Manufacturing)

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

Is Tega Inds. for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Tega Inds.

-12.09%

-0.39

32.85%

Sensex

-9.76%

-0.72

13.50%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

31.50%

EBIT Growth (5y)

-15.56%

EBIT to Interest (avg)

7.59

Debt to EBITDA (avg)

1.25

Net Debt to Equity (avg)

-0.56

Sales to Capital Employed (avg)

0.87

Tax Ratio

100.00%

Dividend Payout Ratio

6.65%

Pledged Shares

Institutional Holding

21.48%

ROCE (avg)

18.19%

ROE (avg)

13.64%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

3.77

EV to EBIT

127.83

EV to EBITDA

47.27

EV to Capital Employed

7.36

EV to Sales

3.57

PEG Ratio

Dividend Yield

0.12%

ROCE (Latest)

9.16%

ROE (Latest)

4.19%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

OBV

No Trend

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

18What is working for the Company

NET SALES(Q)

At Rs 1,723.44 cr has Grown at 307.4% (vs previous 4Q average

DEBT-EQUITY RATIO(HY)

Lowest at 0.12 times

-25What is not working for the Company

PAT(Q)

At Rs -108.25 cr has Fallen at -403.5% (vs previous 4Q average

ROCE(HY)

Lowest at 5.88%

OPERATING PROFIT TO INTEREST (Q)

Lowest at 0.48 times

INTEREST(Q)

Highest at Rs 116.71 cr

OPERATING PROFIT TO NET SALES (Q)

Lowest at 3.22%

PBT LESS OI(Q)

Lowest at Rs -133.89 cr.

EPS(Q)

Lowest at Rs -14.41

Loading Valuation Snapshot...

Here's what is working for Tega Inds.

Net Sales - Quarterly

At Rs 1,723.44 cr has Grown at 307.4% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 422.98 Cr

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Net Sales - Quarterly

Highest at Rs 1,723.44 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Debt-Equity Ratio - Half Yearly

Lowest at 0.12 times

in the last five half yearly periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Here's what is not working for Tega Inds.

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -133.89 cr has Fallen at -548.2% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 29.88 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs -108.25 cr has Fallen at -403.5% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 35.67 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Interest - Quarterly

At Rs 116.71 cr has Grown at 2,192.93%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit to Interest - Quarterly

Lowest at 0.48 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest - Quarterly

Highest at Rs 116.71 cr

in the last five quarters and Increased by 2,192.93 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit Margin - Quarterly

Lowest at 3.22%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs -133.89 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs -14.41

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)