ScoreWhy is Vardhman Special Steels Ltd ?
1
High Management Efficiency with a high ROCE of 15.37%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 0.73 times
3
Healthy long term growth as Operating profit has grown by an annual rate 75.35%
4
Positive results in Sep 25
- PBT LESS OI(Q) At Rs 35.28 cr has Grown at 64.4% (vs previous 4Q average)
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 2,513.90 cr
- PBDIT(Q) Highest at Rs 45.26 cr.
5
With ROE of 7.9, it has a Expensive valuation with a 2.3 Price to Book Value
- 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 8.60%, its profits have fallen by -10.2%
6
Majority shareholders : Promoters
7
Market Beating performance in long term as well as near term
- Along with generating 8.60% 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, Medium Return
Absolute
Risk Adjusted
Volatility
Vardhman Special
8.17%
0.20
43.83%
Sensex
4.7%
0.38
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
19.42%
EBIT Growth (5y)
75.35%
EBIT to Interest (avg)
7.16
Debt to EBITDA (avg)
1.06
Net Debt to Equity (avg)
-0.16
Sales to Capital Employed (avg)
1.85
Tax Ratio
25.62%
Dividend Payout Ratio
26.34%
Pledged Shares
0
Institutional Holding
4.18%
ROCE (avg)
15.22%
ROE (avg)
14.32%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
29
Industry P/E
28
Price to Book Value
2.26
EV to EBIT
23.16
EV to EBITDA
17.70
EV to Capital Employed
2.49
EV to Sales
1.48
PEG Ratio
NA
Dividend Yield
1.06%
ROCE (Latest)
10.77%
ROE (Latest)
7.92%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend10What is working for the Company
PBT LESS OI(Q)
At Rs 35.28 cr has Grown at 64.4% (vs previous 4Q average
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 2,513.90 cr
PBDIT(Q)
Highest at Rs 45.26 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 10.47%
PAT(Q)
Highest at Rs 34.56 cr.
EPS(Q)
Highest at Rs 3.58
-3What is not working for the Company
INVENTORY TURNOVER RATIO(HY)
Lowest at 0.50 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 0.57 times
Loading Valuation Snapshot...
Here's what is working for Vardhman Special
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 35.28 cr has Grown at 64.4% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 21.46 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 34.56 cr has Grown at 59.1% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 21.73 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 45.26 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 10.47%
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 35.28 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 34.56 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 3.58
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 2,513.90 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Vardhman Special
Inventory Turnover Ratio- Half Yearly
Lowest at 0.50 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Debtors Turnover Ratio- Half Yearly
Lowest at 0.57 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 11.22 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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