Why is Asahi Songwon Colors Ltd ?
1
Weak Long Term Fundamental Strength with a -6.64% CAGR growth in Operating Profits over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.78 times
- The company has been able to generate a Return on Equity (avg) of 5.28% signifying low profitability per unit of shareholders funds
2
Stock is technically in a Mildly Bearish range
- Multiple factors for the stock are Mildly Bearish like MACD, Bollinger Band, KST and OBV
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 Dyes & Pigments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Asahi Songwon for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Asahi Songwon
3.59%
0.06
59.62%
SENSEX
0.45%
0.03
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
19.30%
EBIT Growth (5y)
-6.64%
EBIT to Interest (avg)
5.48
Debt to EBITDA (avg)
2.34
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
1.11
Tax Ratio
36.28%
Dividend Payout Ratio
2.94%
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
6.26%
ROE (avg)
5.28%
Valuation Key Factors 
Factor
Value
P/E Ratio
27
Industry P/E
25
Price to Book Value
1.62
EV to EBIT
20.05
EV to EBITDA
12.24
EV to Capital Employed
1.34
EV to Sales
1.09
PEG Ratio
0.14
Dividend Yield
0.15%
ROCE (Latest)
5.29%
ROE (Latest)
4.21%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
19What is working for the Company
NET SALES(HY)
At Rs 275.33 cr has Grown at 39.42 %
PAT(HY)
Higher at Rs 6.94 cr
ROCE(HY)
Highest at 5.95 %
PBT LESS OI(Q)
At Rs 2.73 cr has Grown at 30.0 %
-3What is not working for the Company
INTEREST(9M)
At Rs 12.63 cr has Grown at 34.79 %
NON-OPERATING INCOME(Q)
is 37.53 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Asahi Songwon
Profit After Tax (PAT) - Half Yearly
At Rs 6.94 cr has Grown at 1,052.74 %
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Net Sales - Half Yearly
At Rs 275.33 cr has Grown at 39.42 %
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Half Yearly
Higher at Rs 6.94 cr
than preceding 12 month period ended Dec 2024 of Rs 6.74 crMOJO Watch
In the half year the company has already crossed PAT of the previous twelve months
PAT (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 2.73 cr has Grown at 30.0 %
over average PBT of the previous four quarters of Rs 2.10 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Asahi Songwon
Interest - Nine Monthly
At Rs 12.63 cr has Grown at 34.79 %
over preceding nine months periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Non Operating Income - Quarterly
is 37.53 % 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
Non Operating Income - Quarterly
Highest at Rs 1.64 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income