ScoreWhy is Essar Shipping Ltd ?
1
With a Negative Book Value, the company has a Weak Long Term Fundamental Strength
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 9.32 times
- The company has reported losses and also has negative networth. This is not a good sign for the investors. Either company will have to raise fresh capital or report profits to sustain going forward
2
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 03-Feb-25 and has generated -25.3% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
3
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 -10.96%, its profits have risen by 127.4% ; the PEG ratio of the company is 2.9
4
Despite the size of the company, domestic mutual funds hold only 0.03% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
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 Shipping)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Essar Shipping for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Essar Shipping
-10.78%
-0.17
64.41%
SENSEX
0.45%
0.03
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-35.73%
EBIT Growth (5y)
-182.97%
EBIT to Interest (avg)
-0.16
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
-0.68
Tax Ratio
0.89%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.03%
ROCE (avg)
21.15%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
375
Industry P/E
7
Price to Book Value
-0.21
EV to EBIT
-40.17
EV to EBITDA
-40.52
EV to Capital Employed
-3.35
EV to Sales
14.35
PEG Ratio
2.94
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
No Trend
No Trend
OBV
Mildly Bearish
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend26What is working for the Company
PAT(Q)
At Rs 38.50 cr has Grown at 301.8 %
NET SALES(HY)
Higher at Rs 150.88 cr
PBT LESS OI(Q)
Highest at Rs -30.44 cr.
-7What is not working for the Company
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 6.14 cr
DEBT-EQUITY RATIO(HY)
Highest at -0.73 times
NON-OPERATING INCOME(Q)
is 179.06 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Essar Shipping
Net Sales - Half Yearly
At Rs 150.88 cr has Grown at 2,115.57 %
Year on Year (YoY)MOJO Watch
Sales trend is very positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 38.50 cr has Grown at 301.8 %
over average PAT of the previous four quarters of Rs -19.08 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Half Yearly
Higher at Rs 150.88 cr
than preceding 12 month period ended Dec 2024 of Rs 11.89 crMOJO Watch
In the half year the company has already crossed sales of the previous twelve months
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs -30.44 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Essar Shipping
Non Operating Income - Quarterly
is 179.06 % 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
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 6.14 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debt-Equity Ratio - Half Yearly
Highest at -0.73 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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