Why is IST Ltd ?
1
Poor Management Efficiency with a low ROE of 9.64%
- The company has been able to generate a Return on Equity (avg) of 9.64% signifying low profitability per unit of shareholders funds
2
Poor long term growth as Operating profit has grown by an annual rate -1.87% of over the last 5 years
3
Negative results in Dec 24
- PAT(Q) At Rs 23.30 cr has Fallen at -40.5 %
- INTEREST(Q) At Rs 1.65 cr has Grown at 164,999,900.00 %
- NET SALES(Q) At Rs 27.35 cr has Fallen at -6.1 %
4
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 09-Apr-25 and has generated 3.83% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
5
With ROE of 10.9, it has a Very Expensive valuation with a 0.7 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -16.00%, its profits have risen by 22.9% ; the PEG ratio of the company is 0.3
6
Despite the size of the company, domestic mutual funds hold only 0% 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
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 Auto Ancillary)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is IST for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
IST
-16.0%
-0.45
35.26%
SENSEX
0.45%
0.03
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
0.17%
EBIT Growth (5y)
-1.87%
EBIT to Interest (avg)
16.33
Debt to EBITDA (avg)
0.10
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
0.12
Tax Ratio
22.32%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
1.10%
ROCE (avg)
8.38%
ROE (avg)
9.64%
Valuation Key Factors 
Factor
Value
P/E Ratio
6
Industry P/E
28
Price to Book Value
0.66
EV to EBIT
11.61
EV to EBITDA
10.83
EV to Capital Employed
0.64
EV to Sales
7.68
PEG Ratio
0.29
Dividend Yield
NA
ROCE (Latest)
5.62%
ROE (Latest)
10.94%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
Technical Movement
2What is working for the Company
PAT(9M)
At Rs 123.16 cr has Grown at 21.46 %
-14What is not working for the Company
PAT(Q)
At Rs 23.30 cr has Fallen at -40.5 %
INTEREST(Q)
At Rs 1.65 cr has Grown at 164,999,900.00 %
NET SALES(Q)
At Rs 27.35 cr has Fallen at -6.1 %
PBT LESS OI(Q)
Lowest at Rs 16.63 cr.
NON-OPERATING INCOME(Q)
is 46.23 % of Profit Before Tax (PBT
EPS(Q)
Lowest at Rs 19.91
Loading Valuation Snapshot...
Here's what is not working for IST
Profit After Tax (PAT) - Quarterly
At Rs 23.30 cr has Fallen at -40.5 %
over average PAT of the previous four quarters of Rs 39.19 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Interest - Quarterly
At Rs 1.65 cr has Grown at 164,999,900.00 %
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Net Sales - Quarterly
Lowest at Rs 27.35 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 27.35 cr has Fallen at -6.1 %
over average Net Sales of the previous four quarters of Rs 29.14 CrMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 16.63 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Non Operating Income - Quarterly
is 46.23 % 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 19.91
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)