The Indian Wood Products Company Ltd (IWP) 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

Sh. Ajit Pulp

Ludlow Jute

Ruchira Papers

Genus Paper & Bo

Pakka

Indian Wood Prod

Star Paper Mills

S. V. J. Enterp.

Shreyans Inds.

Exim Routes

Nikita Greentech

Why is The Indian Wood Products Company Ltd ?

Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 2.18%

Poor long term growth as Net Sales has grown by an annual rate of 7.74% and Operating profit at 10.63% over the last 5 years
Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.28

Flat results in Mar 26

CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 1.12 cr
PBDIT(Q) Lowest at Rs 3.16 cr.
OPERATING PROFIT TO NET SALES (Q) Lowest at 4.61%

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -5.03% in the last 1 year, its fall in the stock was much higher with a return of -35.89%

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 Paper, Forest & Jute Products)

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

Is Indian Wood Prod for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Indian Wood Prod

-35.89%

-0.86

41.93%

Sensex

-10.21%

-0.78

13.06%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.74%

EBIT Growth (5y)

10.63%

EBIT to Interest (avg)

1.28

Debt to EBITDA (avg)

6.11

Net Debt to Equity (avg)

0.18

Sales to Capital Employed (avg)

0.46

Tax Ratio

29.57%

Dividend Payout Ratio

17.49%

Pledged Shares

Institutional Holding

0.32%

ROCE (avg)

2.19%

ROE (avg)

0.86%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.61

EV to EBIT

25.25

EV to EBITDA

18.86

EV to Capital Employed

0.67

EV to Sales

1.26

PEG Ratio

Dividend Yield

0.41%

ROCE (Latest)

2.65%

ROE (Latest)

1.25%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

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

5What is working for the Company

DEBT-EQUITY RATIO(HY)

Lowest at 0.19 times

DEBTORS TURNOVER RATIO(HY)

Highest at 4.91 times

NET SALES(Q)

At Rs 68.50 cr has Grown at 25.80%

-8What is not working for the Company

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 1.12 cr

PBDIT(Q)

Lowest at Rs 3.16 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 4.61%

PBT LESS OI(Q)

Lowest at Rs 0.58 cr.

EPS(Q)

Lowest at Rs 0.02

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Here's what is working for Indian Wood Prod

Net Sales - Quarterly

Highest at Rs 68.50 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 68.50 cr has Grown at 25.80%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Debt-Equity Ratio - Half Yearly

Lowest at 0.19 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

Debtors Turnover Ratio- Half Yearly

Highest at 4.91 times

in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Indian Wood Prod

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 3.16 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 4.61%

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 0.58 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 0.02

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 1.12 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents