Why is Accel Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.65 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.65 times
- The company has been able to generate a Return on Equity (avg) of 3.53% signifying low profitability per unit of shareholders funds
2
The company has declared negative results in Dec'2024 after 3 consecutive positive quarters
- OPERATING PROFIT TO INTEREST (Q) Lowest at 1.70 times
- PAT(Q) Lowest at Rs 0.27 cr.
- NET SALES(Q) Lowest at Rs 38.27 cr
3
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 11-Feb-25 and has generated -20.19% returns since then
- The stocks MACD and KST technical factors are also Bearish
4
Below par performance in long term as well as near term
- Along with generating -39.17% returns in the last 1 year, the stock has also underperformed BSE 500 in the last 3 years, 1 year and 3 months
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 IT - Hardware)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Accel for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Accel
-39.17%
-0.79
49.44%
SENSEX
0.45%
0.03
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
83.21%
EBIT Growth (5y)
37.86%
EBIT to Interest (avg)
0.60
Debt to EBITDA (avg)
2.34
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.72
Tax Ratio
29.23%
Dividend Payout Ratio
52.51%
Pledged Shares
0
Institutional Holding
0.25%
ROCE (avg)
1.95%
ROE (avg)
3.53%
Valuation Key Factors 
Factor
Value
P/E Ratio
29
Industry P/E
18
Price to Book Value
1.45
EV to EBIT
17.69
EV to EBITDA
10.65
EV to Capital Employed
1.23
EV to Sales
0.96
PEG Ratio
0.45
Dividend Yield
1.82%
ROCE (Latest)
7.73%
ROE (Latest)
6.47%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-12What is not working for the Company
OPERATING PROFIT TO INTEREST (Q)
Lowest at 1.70 times
PAT(Q)
Lowest at Rs 0.27 cr.
NET SALES(Q)
Lowest at Rs 38.27 cr
INTEREST(Q)
Highest at Rs 2.13 cr
PBT LESS OI(Q)
Lowest at Rs -0.10 cr.
EPS(Q)
Lowest at Rs 0.05
Loading Valuation Snapshot...
Here's what is not working for Accel
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -0.10 cr has Fallen at -106.99%
Year on Year (YoY)MOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Operating Profit to Interest - Quarterly
Lowest at 1.70 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Profit After Tax (PAT) - Quarterly
Lowest at Rs 0.27 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 38.27 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 38.27 cr has Grown at -7.81%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Interest - Quarterly
Highest at Rs 2.13 cr
in the last five quarters and Increased by 19.66 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs -0.10 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 0.05
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)