TVS Holdings Ltd (TVSHLTD) 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

TVS Holdings

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Why is TVS Holdings Ltd ?

High Management Efficiency with a high ROCE of 16.79%

High Debt Company with a Debt to Equity ratio (avg) of 5.54 times

High Debt Company with a Debt to Equity ratio (avg) of 5.54 times

Healthy long term growth as Net Sales has grown by an annual rate of 23.43% and Operating profit at 34.76%

With a growth in Net Profit of 33.41%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 10 consecutive quarters
NET SALES(9M) At Rs 45,412.31 cr has Grown at 30.82%
ROCE(HY) Highest at 18.27%
DEBT-EQUITY RATIO(HY) Lowest at 5.59 times

With ROCE of 20.8, it has a Very Attractive valuation with a 1.5 Enterprise value to Capital Employed

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 18.04%, its profits have risen by 50.6% ; the PEG ratio of the company is 0.3

Majority shareholders : Promoters

Market Beating Performance

Even though the market (BSE500) has generated negative returns of -2.24% in the last 1 year, the stock has been able to generate 18.04% returns

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to TVS Holdings should be less than 10%
Overall Portfolio exposure to Holding Company should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Holding Company)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is TVS Holdings for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

TVS Holdings

18.04%

0.57

31.38%

Sensex

-7.55%

-0.58

13.06%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

23.43%

EBIT Growth (5y)

34.76%

EBIT to Interest (avg)

2.50

Debt to EBITDA (avg)

4.69

Net Debt to Equity (avg)

4.76

Sales to Capital Employed (avg)

1.31

Tax Ratio

33.77%

Dividend Payout Ratio

16.17%

Pledged Shares

16.94%

Institutional Holding

13.12%

ROCE (avg)

17.27%

ROE (avg)

21.94%

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

4.16

EV to EBIT

7.43

EV to EBITDA

6.29

EV to Capital Employed

1.55

EV to Sales

0.99

PEG Ratio

0.31

Dividend Yield

0.65%

ROCE (Latest)

20.84%

ROE (Latest)

26.76%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bullish

Moving Averages

Bearish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

OBV

Mildly Bearish

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

27What is working for the Company

ROCE(HY)

Highest at 18.27%

DEBT-EQUITY RATIO(HY)

Lowest at 5.59 times

INVENTORY TURNOVER RATIO(HY)

Highest at 22.60 times

NET SALES(Q)

Highest at Rs 15,587.53 cr

PBT LESS OI(Q)

At Rs 1,374.28 cr has Grown at 46.53%

PAT(Q)

At Rs 424.11 cr has Grown at 53.8%

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 5,402.94 cr

-2What is not working for the Company

DEBTORS TURNOVER RATIO(HY)

Lowest at 20.70 times

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Here's what is working for TVS Holdings

Net Sales - Quarterly

Highest at Rs 15,587.53 cr and Grown

each quarter in the last five quarters

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 1,374.28 cr has Grown at 46.53%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 424.11 cr has Grown at 53.8%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Debt-Equity Ratio - Half Yearly

Lowest at 5.59 times and Fallen

each half year in the last five half yearly periods

MOJO Watch

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

Debt-Equity Ratio

Inventory Turnover Ratio- Half Yearly

Highest at 22.60 times and Grown

each half year in the last five half yearly periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Net Sales - Quarterly

At Rs 15,587.53 cr has Grown at 32.09%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 5,402.94 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for TVS Holdings

Debtors Turnover Ratio- Half Yearly

Lowest at 20.70 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Non Operating Income - Quarterly

Highest at Rs 30.05 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income