Why is Hindustan Foods Ltd ?
1
Healthy long term growth as Net Sales has grown by an annual rate of 40.84% and Operating profit at 43.45%
2
Positive results in Dec 24
- NET SALES(HY) At Rs 1,762.93 cr has Grown at 25.52 %
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 70.66 cr
- PBDIT(Q) Highest at Rs 73.23 cr.
3
Technical trend is Sideways signifying no clear price momentum
- The technical trend has improved from Mildly Bearish on 07-Apr-25 and has generated 7.65% returns since then
4
With ROCE of 13, it has a Attractive valuation with a 4.9 Enterprise value to Capital Employed
- 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 13.75%, its profits have risen by 12.7% ; the PEG ratio of the company is 5.7
5
Increasing Participation by Institutional Investors
- Institutional investors have increased their stake by 2.32% over the previous quarter and collectively hold 19.51% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
How much should you hold?
- Overall Portfolio exposure to Hindustan Foods should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Hindustan Foods for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Hindustan Foods
11.34%
0.45
30.82%
SENSEX
0.45%
0.03
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
40.84%
EBIT Growth (5y)
43.45%
EBIT to Interest (avg)
3.52
Debt to EBITDA (avg)
2.84
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
2.74
Tax Ratio
24.57%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
19.51%
ROCE (avg)
15.32%
ROE (avg)
16.41%
Valuation Key Factors 
Factor
Value
P/E Ratio
62
Industry P/E
54
Price to Book Value
8.94
EV to EBIT
35.51
EV to EBITDA
25.48
EV to Capital Employed
4.87
EV to Sales
2.09
PEG Ratio
5.66
Dividend Yield
NA
ROCE (Latest)
13.02%
ROE (Latest)
13.50%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Mildly Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
10What is working for the Company
NET SALES(HY)
At Rs 1,762.93 cr has Grown at 25.52 %
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 70.66 cr
PBDIT(Q)
Highest at Rs 73.23 cr.
PAT(Q)
Highest at Rs 28.70 cr.
EPS(Q)
Highest at Rs 2.44
-4What is not working for the Company
INTEREST(9M)
At Rs 60.42 cr has Grown at 32.27 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 14.34 times
Loading Valuation Snapshot...
Here's what is working for Hindustan Foods
Net Sales - Half Yearly
At Rs 1,762.93 cr has Grown at 25.52 %
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 73.23 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 28.70 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 28.70 cr has Grown at 20.6 %
over average PAT of the previous four quarters of Rs 23.79 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 2.44
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 70.66 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Hindustan Foods
Interest - Nine Monthly
At Rs 60.42 cr has Grown at 32.27 %
over preceding nine months periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 14.34 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 5.98 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income