Welspun Enterprises Ltd (WELENT) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Powergrid Infra

Ahluwalia Contr.

Power Mech Proj.

IRB InvIT Fund

ISGEC Heavy

G R Infraproject

Welspun Enterp

PNC Infratech

Energy InfrTrust

Dilip Buildcon

Shrem InvIT

Why is Welspun Enterprises Ltd ?

Negative results in Dec 25

PAT(Q) At Rs 52.62 cr has Fallen at -30.5%
INTEREST(Latest six months) At Rs 104.04 cr has Grown at 22.23%
ROCE(HY) Lowest at 16.28%

Underperformed the market in the last 1 year

Even though the market (BSE500) has generated returns of 7.71% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -14.42% returns

Real-Time Research Report

Verdict Report

How 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 Construction)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Welspun Enterp for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Welspun Enterp

-14.42%

-0.37

39.09%

Sensex

7.07%

0.61

11.53%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

19.37%

EBIT Growth (5y)

33.59%

EBIT to Interest (avg)

2.67

Debt to EBITDA (avg)

6.34

Net Debt to Equity (avg)

0.35

Sales to Capital Employed (avg)

0.72

Tax Ratio

27.42%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

13.02%

ROCE (avg)

12.74%

ROE (avg)

11.05%

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

2.57

EV to EBIT

12.22

EV to EBITDA

11.30

EV to Capital Employed

2.16

EV to Sales

2.26

PEG Ratio

3.47

Dividend Yield

0.60%

ROCE (Latest)

17.78%

ROE (Latest)

13.52%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Sideways

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bearish

No Trend

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

2What is working for the Company

DEBTORS TURNOVER RATIO(HY)

Highest at 32.68 times

-19What is not working for the Company

PAT(Q)

At Rs 52.62 cr has Fallen at -30.5%

INTEREST(Latest six months)

At Rs 104.04 cr has Grown at 22.23%

ROCE(HY)

Lowest at 16.28%

NET SALES(Q)

At Rs 786.95 cr has Fallen at -12.18%

OPERATING PROFIT TO INTEREST (Q)

Lowest at 2.99 times

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 218.50 cr

DEBT-EQUITY RATIO(HY)

Highest at 0.72 times

PBDIT(Q)

Lowest at Rs 154.14 cr.

PBT LESS OI(Q)

Lowest at Rs 92.30 cr.

EPS(Q)

Lowest at Rs 1.76

Loading Valuation Snapshot...

Here's what is working for Welspun Enterp

Debtors Turnover Ratio- Half Yearly

Highest at 32.68 times

in the last five half yearly periods

MOJO Watch

Company has been able to settle its Debtors faster

Debtors Turnover Ratio

Here's what is not working for Welspun Enterp

Profit After Tax (PAT) - Quarterly

At Rs 52.62 cr has Fallen at -30.5%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 786.95 cr has Fallen at -12.18%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Operating Profit to Interest - Quarterly

Lowest at 2.99 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Interest - Latest six months

At Rs 104.04 cr has Grown at 22.23%

over previous Half yearly period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 154.14 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs 92.30 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 92.30 cr has Fallen at -7.53%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs 1.76

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 218.50 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio - Half Yearly

Highest at 0.72 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio