Zen Technologies Ltd (ZENTEC) 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

MTAR Technologie

Apollo Micro Sys

Sigma Advanced S

Paras Defence

Garden Reach Sh.

Mishra Dhatu Nig

Astra Microwave

Data Pattern

Zen Technologies

Swan Defence

Cochin Shipyard

Why is Zen Technologies Ltd ?

With a fall in EPS of -28.75%, the company declared Very Negative results in Jun 26

The company has declared negative results for the last 5 consecutive quarters
The company has declared negative results in Jun 25 after 13 consecutive negative quarters
PAT(Q) At Rs 36.83 cr has Fallen at -23.6% (vs previous 4Q average)
ROCE(HY) Lowest at 16.04%
NET SALES(Q) Lowest at Rs 141.64 cr

With ROE of 10.2, it has a Very Expensive valuation with a 8.2 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 22.61%, its profits have fallen by -27.6%

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 Aerospace & Defense)

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

Is Zen Technologies for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

Zen Technologies

22.45%

0.60

37.62%

Sensex

-1.65%

-0.12

13.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

61.85%

EBIT Growth (5y)

129.03%

EBIT to Interest (avg)

30.99

Debt to EBITDA (avg)

0.56

Net Debt to Equity (avg)

-0.18

Sales to Capital Employed (avg)

0.54

Tax Ratio

25.97%

Dividend Payout Ratio

6.44%

Pledged Shares

Institutional Holding

16.88%

ROCE (avg)

31.48%

ROE (avg)

13.65%

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

8.22

EV to EBIT

77.80

EV to EBITDA

68.69

EV to Capital Employed

9.79

EV to Sales

22.65

PEG Ratio

Dividend Yield

0.12%

ROCE (Latest)

14.35%

ROE (Latest)

10.20%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Dow Theory

No Trend

OBV

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

4What is working for the Company

OPERATING PROFIT TO INTEREST(Q)

Highest at 35.53 times

DEBTORS TURNOVER RATIO(HY)

Highest at 3.07 times

-24What is not working for the Company

PAT(Q)

At Rs 36.83 cr has Fallen at -23.6% (vs previous 4Q average

ROCE(HY)

Lowest at 16.04%

NET SALES(Q)

Lowest at Rs 141.64 cr

PBDIT(Q)

Lowest at Rs 38.73 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 27.34%

PBT LESS OI(Q)

Lowest at Rs 29.47 cr.

NON-OPERATING INCOME(Q)

is 39.40 % of Profit Before Tax (PBT

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Here's what is working for Zen Technologies

Operating Profit to Interest - Quarterly

Highest at 35.53 times

in the last five quarters

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Debtors Turnover Ratio- Half Yearly

Highest at 3.07 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 Zen Technologies

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 29.47 cr has Fallen at -43.9% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 52.57 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 36.83 cr has Fallen at -23.6% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 48.19 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 141.64 cr has Fallen at -17.6% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 171.92 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Net Sales - Quarterly

Lowest at Rs 141.64 cr

in the last five quarters

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 38.73 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 27.34%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs 29.47 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Non Operating Income - Quarterly

is 39.40 % 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