Eimco Elecon(I)

Market Cap: Micro Cap
Industry: Engineering - Industrial Equipments
ISIN: INE158B01016
NSEID: EIMCOELECO
BSEID: 523708

INR

1,487.90

35.95 (2.48%)

BSENSE

Apr 11, 12:53 PM

BSE+NSE Vol: 5.4 k

Click here to access the older version

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Zodiac Energy

Action Const.Eq.

Praj Industries

Thermax

Elecon Engg.Co

Eimco Elecon(I)

BEML Ltd

Macpower CNC

Indef Manufactur

Denta Water

Ganesh Green

Why is Eimco Elecon (India) Ltd ?

Poor Management Efficiency with a low ROE of 4.92%

The company has been able to generate a Return on Equity (avg) of 4.92% signifying low profitability per unit of shareholders funds

Flat results in Dec 24

PAT(Q) At Rs 6.19 cr has Fallen at -50.7 %
CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 0.30 cr
NET SALES(Q) Lowest at Rs 45.84 cr

Stock is technically in a Mildly Bearish range

The stocks Bollinger Band and KST technical factors are also Bearish

With ROE of 10, it has a Expensive valuation with a 2.2 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -18.04%, its profits have risen by 38.3% ; the PEG ratio of the company is 0.6

Underperformed the market in the last 1 year

Even though the market (BSE 500) generated negative returns of -1.03% in the last 1 year, its fall in the stock was much higher with a return of -18.04%

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 Engineering - Industrial Equipments)

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

Is Eimco Elecon(I) for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Eimco Elecon(I)

-18.04%

-0.34

53.58%

SENSEX

0.45%

0.02

14.48%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

14.74%

EBIT Growth (5y)

38.13%

EBIT to Interest (avg)

10.76

Debt to EBITDA (avg)

0.12

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

0.43

Tax Ratio

19.85%

Dividend Payout Ratio

7.14%

Pledged Shares

Institutional Holding

1.04%

ROCE (avg)

3.71%

ROE (avg)

4.92%

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

2.17

EV to EBIT

25.39

EV to EBITDA

20.64

EV to Capital Employed

2.21

EV to Sales

3.62

PEG Ratio

0.57

Dividend Yield

0.34%

ROCE (Latest)

8.72%

ROE (Latest)

9.98%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

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

8What is working for the Company

NET SALES(9M)

At Rs 182.19 cr has Grown at 27.24 %

PAT(9M)

At Rs 34.03 cr has Grown at 33.09 %

ROCE(HY)

Highest at 16.35 %

INVENTORY TURNOVER RATIO(HY)

Highest at 2.96 times

-12What is not working for the Company

PAT(Q)

At Rs 6.19 cr has Fallen at -50.7 %

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 0.30 cr

NET SALES(Q)

Lowest at Rs 45.84 cr

PBDIT(Q)

Lowest at Rs 7.85 cr.

PBT LESS OI(Q)

Lowest at Rs 5.57 cr.

NON-OPERATING INCOME(Q)

is 33.29 % of Profit Before Tax (PBT

EPS(Q)

Lowest at Rs 10.73

Loading Valuation Snapshot...

Here's what is working for Eimco Elecon(I)

Inventory Turnover Ratio- Half Yearly

Highest at 2.96 times and Grown

each half year in the last five half yearly periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Here's what is not working for Eimco Elecon(I)

Net Sales - Quarterly

At Rs 45.84 cr has Fallen at -31.8 %

over average Net Sales of the previous four quarters of Rs 67.23 Cr

MOJO Watch

Near term sales trend is very negative

Net Sales (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 6.19 cr has Fallen at -50.7 %

over average PAT of the previous four quarters of Rs 12.56 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

Lowest at Rs 45.84 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 7.85 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 5.57 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 33.29 % 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

Earnings per Share (EPS) - Quarterly

Lowest at Rs 10.73

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 0.30 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents