Thirumalai Chemicals Ltd (TIRUMALCHM) 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

I G Petrochems

Indo Borax & Ch.

Andhra Sugars

J.G.Chemicals

TGV Sraac

Amines & Plast.

TruAlt Bioenergy

Grauer & Weil

Fischer Medical

Chemplast Sanmar

Thirumalai Chem.

Why is Thirumalai Chemicals Ltd ?

Weak Long Term Fundamental Strength with a -175.46% CAGR growth in Operating Profits over the last 5 years

Low ability to service debt as the company has a high Debt to EBITDA ratio of -55.32 times
The company has been able to generate a Return on Equity (avg) of 6.69% signifying low profitability per unit of shareholders funds

Negative results in Jun 26

DEBTORS TURNOVER RATIO(HY) Lowest at 8.81 times
CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 262.03 cr
INTEREST(Q) Highest at Rs 51.97 cr

Risky - Negative Operating Profits

The company has recorded a negative EBIT of Rs. -69.71 cr
Over the past year, while the stock has generated a return of -41.26%, its profits have fallen by -29.2%
The stock is trading risky as compared to its average historical valuations

Below par performance in long term as well as near term

Along with generating -41.26% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months

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 Commodity Chemicals)

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

Is Thirumalai Chem. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Thirumalai Chem.

-41.26%

-0.95

43.28%

Sensex

-2.63%

-0.19

13.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

6.00%

EBIT Growth (5y)

-175.46%

EBIT to Interest (avg)

3.37

Debt to EBITDA (avg)

Negative Net Debt

Net Debt to Equity (avg)

1.22

Sales to Capital Employed (avg)

1.02

Tax Ratio

14.11%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

11.53%

ROCE (avg)

16.80%

ROE (avg)

6.69%

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

1.29

EV to EBIT

-56.44

EV to EBITDA

196.72

EV to Capital Employed

1.13

EV to Sales

2.15

PEG Ratio

Dividend Yield

ROCE (Latest)

-3.67%

ROE (Latest)

-10.23%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

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

8What is working for the Company

OPERATING PROFIT TO INTEREST(Q)

Highest at 0.63 times

NET SALES(Q)

Highest at Rs 546.67 cr

PBDIT(Q)

Highest at Rs 32.57 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 5.96%

-14What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 8.81 times

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 262.03 cr

INTEREST(Q)

Highest at Rs 51.97 cr

PAT(Q)

At Rs -43.67 cr has Fallen at -9.2% (vs previous 4Q average

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Here's what is working for Thirumalai Chem.

Operating Profit to Interest - Quarterly

Highest at 0.63 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Net Sales - Quarterly

Highest at Rs 546.67 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Net Sales - Quarterly

At Rs 546.67 cr has Grown at 26.0% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 433.88 Cr

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 32.57 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Highest at 5.96%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Here's what is not working for Thirumalai Chem.

Interest - Quarterly

At Rs 51.97 cr has Grown at 120.21%

Quarter on Quarter (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Debtors Turnover Ratio- Half Yearly

Lowest at 8.81 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Interest - Quarterly

Highest at Rs 51.97 cr

in the last five quarters and Increased by 120.21 % (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Profit After Tax (PAT) - Quarterly

At Rs -43.67 cr has Fallen at -9.2% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs -39.98 Cr

MOJO Watch

Near term PAT trend is negative

PAT (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 262.03 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents