ScoreWhy is Veranda Learning Solutions Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0.01%
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 5.94 times
2
With ROCE of -10.2, it has a Very Expensive valuation with a 1.7 Enterprise value to Capital Employed
- 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 -28.61%, its profits have risen by 109.2% ; the PEG ratio of the company is 0.6
3
98.04% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
4
Below par performance in long term as well as near term
- Along with generating -28.61% 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 ReportHow 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 Other Consumer Services)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Veranda Learning for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Veranda Learning
-29.14%
-0.56
51.79%
Sensex
8.53%
0.73
11.73%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
76.57%
EBIT Growth (5y)
32.34%
EBIT to Interest (avg)
-6.22
Debt to EBITDA (avg)
1.94
Net Debt to Equity (avg)
0.39
Sales to Capital Employed (avg)
0.37
Tax Ratio
9.48%
Dividend Payout Ratio
0
Pledged Shares
98.04%
Institutional Holding
3.78%
ROCE (avg)
-22.41%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
61
Industry P/E
43
Price to Book Value
1.91
EV to EBIT
24.95
EV to EBITDA
14.04
EV to Capital Employed
1.65
EV to Sales
4.23
PEG Ratio
0.58
Dividend Yield
NA
ROCE (Latest)
-10.15%
ROE (Latest)
-20.90%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bearish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend21What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 3.17 times
PBT LESS OI(Q)
At Rs 9.33 cr has Grown at 115.5% (vs previous 4Q average
PAT(Q)
At Rs 10.42 cr has Grown at 123.4% (vs previous 4Q average
DEBT-EQUITY RATIO(HY)
Lowest at 0.42 times
-3What is not working for the Company
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 21.61 cr
NON-OPERATING INCOME(Q)
is 52.66 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Veranda Learning
Operating Profit to Interest - Quarterly
Highest at 3.17 times and Grown
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 9.33 cr has Grown at 115.5% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -60.02 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 10.42 cr has Grown at 123.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs -44.46 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Debt-Equity Ratio - Half Yearly
Lowest at 0.42 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Veranda Learning
Non Operating Income - Quarterly
is 52.66 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 21.61 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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