Why is Hindustan Organic Chemicals 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 -1.00 times
2
The company has declared Negative results for the last 3 consecutive quarters
- PBT LESS OI(Q) At Rs -44.24 cr has Fallen at -78.3% (vs previous 4Q average)
- PAT(Q) At Rs -36.12 cr has Fallen at -81.2% (vs previous 4Q average)
- NET SALES(9M) At Rs 399.24 cr has Grown at -23.37%
3
Stock is technically in a Mildly Bearish range
- The stocks Bollinger Band and KST technical factors are also Bearish
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 -17.46%, its profits have fallen by -110.8%
5
Underperformed the market in the last 1 year
- Even though the market (BSE 500) generated negative returns of -0.89% in the last 1 year, its fall in the stock was much higher with a return of -17.46%
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 Chemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Hind.Organ.Chem. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Hind.Organ.Chem.
-17.44%
-0.30
59.10%
SENSEX
0.45%
0.04
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
11.20%
EBIT Growth (5y)
-9.15%
EBIT to Interest (avg)
-0.31
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
2.71
Tax Ratio
0
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.02%
ROCE (avg)
468.35%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
41
Price to Book Value
-2.56
EV to EBIT
-16.81
EV to EBITDA
-17.38
EV to Capital Employed
1.67
EV to Sales
1.49
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-5.56%
ROE (Latest)
Negative BV
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
Technical Movement
0What is working for the Company
NO KEY POSITIVE TRIGGERS
-15What is not working for the Company
PBT LESS OI(Q)
At Rs -44.24 cr has Fallen at -78.3% (vs previous 4Q average
PAT(Q)
At Rs -36.12 cr has Fallen at -81.2% (vs previous 4Q average
NET SALES(9M)
At Rs 399.24 cr has Grown at -23.37%
ROCE(HY)
Lowest at -1.40%
PBDIT(Q)
Lowest at Rs -25.92 cr.
EPS(Q)
Lowest at Rs -11.74
Loading Valuation Snapshot...
Here's what is not working for Hind.Organ.Chem.
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -44.24 cr has Fallen at -78.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -24.81 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs -36.12 cr has Fallen at -81.2% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs -19.94 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Nine Monthly
At Rs 399.24 cr has Grown at -23.37%
Year on Year (YoY)MOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs -25.92 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs -44.24 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs -11.74
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Non Operating Income - Quarterly
Highest at Rs 8.34 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income