ScoreWhy is Bihar Sponge Iron Ltd ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Poor long term growth as Net Sales has grown by an annual rate of 212.09% and Operating profit at 0% over the last 5 years
- High Debt Company with a Debt to Equity ratio (avg) at 0 times
2
Flat results in Dec 24
- NET SALES(Q) Lowest at Rs 53.30 cr
- NON-OPERATING INCOME(Q) is 308.47 % of Profit Before Tax (PBT)
3
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 24-Mar-25 and has generated -8.64% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
4
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -22.20%, its profits have risen by 62.4% ; the PEG ratio of the company is 0.2
5
52.05% of Promoter Shares are Pledged
- In falling markets, high promoter pledged shares puts additional downward pressure on the stock prices
Real-Time Research ReportHow 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 Steel/Sponge Iron/Pig Iron)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Bihar Sponge for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Bihar Sponge
-22.8%
-0.42
52.76%
SENSEX
0.45%
0.03
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
212.09%
EBIT Growth (5y)
-184.78%
EBIT to Interest (avg)
0
Debt to EBITDA (avg)
10.05
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
0
Pledged Shares
52.05%
Institutional Holding
0.08%
ROCE (avg)
10.42%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
10
Industry P/E
29
Price to Book Value
-2.32
EV to EBIT
-8.60
EV to EBITDA
-11.57
EV to Capital Employed
-5.42
EV to Sales
0.48
PEG Ratio
0.16
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend7What is working for the Company
PAT(9M)
At Rs 7.04 cr has Grown at 138.64%
-5What is not working for the Company
NET SALES(Q)
Lowest at Rs 53.30 cr
NON-OPERATING INCOME(Q)
is 308.47 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Bihar Sponge
Profit After Tax (PAT) - Half Yearly
At Rs 3.35 cr has Grown at 47.58%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Here's what is not working for Bihar Sponge
Net Sales - Quarterly
At Rs 53.30 cr has Fallen at -31.7% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 78.05 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 53.30 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Non Operating Income - Quarterly
is 308.47 % 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
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