ScoreWhy is Kansai Nerolac Paints Ltd ?
1
Company has a low Debt to Equity ratio (avg) at 0 times
2
Poor long term growth as Net Sales has grown by an annual rate of 7.52% and Operating profit at 1.87% over the last 5 years
3
Flat results in Dec 24
- DEBTORS TURNOVER RATIO(HY) Lowest at 4.69 times
- PBT LESS OI(Q) At Rs 172.61 cr has Fallen at -7.0 %
4
Stock is technically in a Mildly Bearish range
- The stocks MACD and KST technical factors are also Bearish
5
With ROE of 11.1, it has a Attractive valuation with a 3.5 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 -11.93%, its profits have risen by 0.1% ; the PEG ratio of the company is 30.2
6
Majority shareholders : Promoters
7
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -11.93% returns in the last 1 year, the stock has also underperformed BSE 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Kansai Nerolac should be less than 10%
- Overall Portfolio exposure to Paints should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Paints)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Kansai Nerolac for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Kansai Nerolac
-11.71%
-0.47
25.39%
SENSEX
0.45%
0.03
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.52%
EBIT Growth (5y)
1.87%
EBIT to Interest (avg)
24.28
Debt to EBITDA (avg)
0.35
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
1.36
Tax Ratio
24.81%
Dividend Payout Ratio
25.57%
Pledged Shares
0
Institutional Holding
15.60%
ROCE (avg)
16.54%
ROE (avg)
11.13%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
49
Price to Book Value
3.51
EV to EBIT
24.81
EV to EBITDA
19.67
EV to Capital Employed
4.07
EV to Sales
2.42
PEG Ratio
30.21
Dividend Yield
1.53%
ROCE (Latest)
16.71%
ROE (Latest)
11.05%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend2What is working for the Company
EPS(Q)
Highest at Rs 8.42
-3What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.69 times
PBT LESS OI(Q)
At Rs 172.61 cr has Fallen at -7.0 %
Loading Valuation Snapshot...
Here's what is working for Kansai Nerolac
Earnings per Share (EPS) - Quarterly
Highest at Rs 8.42
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Kansai Nerolac
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 172.61 cr has Fallen at -7.0 %
over average PBT of the previous four quarters of Rs 185.62 CrMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Lowest at 4.69 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 41.53 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
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