Welspun Corp Ltd. (WELCORP) 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

Technocraf.Inds.

Welspun Corp

Usha Martin

APL Apollo Tubes

Jayaswal Neco

Shyam Metalics

Mah. Seamless

Jindal Saw

Gallantt Ispat L

Ratnamani Metals

Godawari Power

Why is Welspun Corp Ltd. ?

Company has a Debt to Equity ratio (avg) of 0.07 times

Healthy long term growth as Net Sales has grown by an annual rate of 25.00% and Operating profit at 30.22%

With a growth in Net Profit of 42.28%, the company declared Very Positive results in Jun 26

OPERATING CF(Y) Highest at Rs 3,204.28 Cr
PAT(Q) At Rs 1,046.49 cr has Grown at 198.6%
OPERATING PROFIT TO INTEREST(Q) Highest at 15.32 times

High Institutional Holdings at 34.57%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
Their stake has increased by 1.85% over the previous quarter.

Consistent Returns over the last 3 years

Along with generating 111.69% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to Welspun Corp 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 Welspun Corp for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Welspun Corp

111.69%

3.13

35.66%

Sensex

-3.21%

-0.24

13.52%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

25.00%

EBIT Growth (5y)

30.22%

EBIT to Interest (avg)

4.34

Debt to EBITDA (avg)

5.69

Net Debt to Equity (avg)

-0.16

Sales to Capital Employed (avg)

1.52

Tax Ratio

19.82%

Dividend Payout Ratio

8.18%

Pledged Shares

Institutional Holding

34.57%

ROCE (avg)

14.23%

ROE (avg)

14.44%

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

5.37

EV to EBIT

23.77

EV to EBITDA

19.87

EV to Capital Employed

6.18

EV to Sales

2.76

PEG Ratio

0.51

Dividend Yield

0.27%

ROCE (Latest)

24.36%

ROE (Latest)

17.62%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

Bearish

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Bullish

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

26What is working for the Company

OPERATING CF(Y)

Highest at Rs 3,204.28 Cr

PAT(Q)

At Rs 1,046.49 cr has Grown at 198.6%

OPERATING PROFIT TO INTEREST(Q)

Highest at 15.32 times

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 2,971.93 cr

PBDIT(Q)

Highest at Rs 692.34 cr.

OPERATING PROFIT TO NET SALES(Q)

Highest at 16.96%

PBT LESS OI(Q)

Highest at Rs 1,143.34 cr.

EPS(Q)

Highest at Rs 39.67

-2What is not working for the Company

NO KEY NEGATIVE TRIGGERS

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Here's what is working for Welspun Corp

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 1,143.34 cr has Grown at 168.38%

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 1,046.49 cr has Grown at 198.6%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Operating Cash Flow - Annually

Highest at Rs 3,204.28 Cr and Grown

each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (Rs Cr)

Operating Profit to Interest - Quarterly

Highest at 15.32 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit (PBDIT) - Quarterly

Highest at Rs 692.34 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 16.96%

in the last five quarters

MOJO Watch

Company's efficiency has improved

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 1,143.34 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 1,046.49 cr.

in the last five quarters

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 39.67

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 2,971.93 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 Welspun Corp

Non Operating Income - Quarterly

Highest at Rs 63.79 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income