ScoreWhy is Vardhman Special Steels Ltd ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.56 times
2
Poor long term growth as Net Sales has grown by an annual rate of 8.54% and Operating profit at 3.61% over the last 5 years
3
Positive results in Jun 26
- PBT LESS OI(Q) At Rs 45.54 cr has Grown at 49.7% (vs previous 4Q average)
- NET SALES(Q) Highest at Rs 486.01 cr
- PBDIT(Q) Highest at Rs 58.43 cr.
4
With ROE of 11.2, it has a Very Expensive valuation with a 2.6 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 30.14%, its profits have risen by 64.9% ; the PEG ratio of the company is 0.6
5
Majority shareholders : Promoters
6
Market Beating performance in long term as well as near term
- Along with generating 30.14% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Vardhman Special should be less than 10%
- Overall Portfolio exposure to Iron & Steel Products should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Iron & Steel Products)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Vardhman Special for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Vardhman Special
30.14%
0.87
34.81%
Sensex
-2.63%
-0.19
13.57%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
8.54%
EBIT Growth (5y)
3.61%
EBIT to Interest (avg)
7.97
Debt to EBITDA (avg)
0.93
Net Debt to Equity (avg)
-0.09
Sales to Capital Employed (avg)
1.84
Tax Ratio
25.63%
Dividend Payout Ratio
26.34%
Pledged Shares
0
Institutional Holding
3.82%
ROCE (avg)
15.15%
ROE (avg)
13.55%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
36
Industry P/E
25
Price to Book Value
2.60
EV to EBIT
20.02
EV to EBITDA
16.55
EV to Capital Employed
2.76
EV to Sales
1.77
PEG Ratio
0.59
Dividend Yield
0.87%
ROCE (Latest)
11.55%
ROE (Latest)
11.22%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Bullish
Bullish
OBV
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend17What is working for the Company
PBT LESS OI(Q)
At Rs 45.54 cr has Grown at 49.7% (vs previous 4Q average
NET SALES(Q)
Highest at Rs 486.01 cr
PBDIT(Q)
Highest at Rs 58.43 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 12.02%
PAT(Q)
Highest at Rs 41.19 cr.
EPS(Q)
Highest at Rs 4.26
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Vardhman Special
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 45.54 cr has Grown at 49.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 30.43 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
Highest at Rs 486.01 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 58.43 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 12.02%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 45.54 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 41.19 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 41.19 cr has Grown at 35.0% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 30.51 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 4.26
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
GET THE MARKETSMOJO APP
Company
Stocks
Portfolio
"Investment in securities markets are subject to market risk. Read all the related documents carefully before investing."
