ScoreWhy is Meghmani Organics Ltd ?
1
Weak Long Term Fundamental Strength with a -146.49% CAGR growth in Operating Profits over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -7.26
- The company has been able to generate a Return on Equity (avg) of 7.18% signifying low profitability per unit of shareholders funds
2
Stock is technically in a Bearish range
- The technical trend has deteriorated from Mildly Bearish on 13-Jan-25 and has generated -10.82% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band, KST and DOW
3
Risky - Negative Operating Profits
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -24.44%, its profits have risen by 1.6%
4
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
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 Dyes & Pigments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Meghmani Organi. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Meghmani Organi.
-23.97%
-0.59
41.27%
SENSEX
0.45%
0.04
14.48%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-3.43%
EBIT Growth (5y)
-146.49%
EBIT to Interest (avg)
-7.26
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
0
Sales to Capital Employed (avg)
1.01
Tax Ratio
36.67%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
2.21%
ROCE (avg)
8.77%
ROE (avg)
7.18%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
25
Price to Book Value
1.07
EV to EBIT
-106.82
EV to EBITDA
29.86
EV to Capital Employed
1.05
EV to Sales
1.22
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-2.84%
ROE (Latest)
-5.48%
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
Bearish
Dow Theory
Bearish
Bearish
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend18What is working for the Company
NET SALES(HY)
At Rs 1,112.40 cr has Grown at 52.29 %
OPERATING PROFIT TO INTEREST(Q)
Highest at 3.17 times
PBDIT(Q)
Highest at Rs 40.83 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 7.18%
PAT(Q)
Highest at Rs -4.39 cr.
PBT LESS OI(Q)
Highest at Rs -1.73 cr.
EPS(Q)
Highest at Rs -0.17
-7What is not working for the Company
INTEREST(HY)
At Rs 39.10 cr has Grown at 199.16 %
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.12 times
NON-OPERATING INCOME(Q)
is 123.35 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Meghmani Organi.
Net Sales - Quarterly
Highest at Rs 568.51 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 3.17 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Operating Profit (PBDIT) - Quarterly
Highest at Rs 40.83 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 7.18% and Grown
each quarter in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit After Tax (PAT) - Quarterly
Highest at Rs -4.39 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 568.51 cr has Grown at 32.2 %
over average Net Sales of the previous four quarters of Rs 429.89 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs -1.73 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs -0.17
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Meghmani Organi.
Interest - Half Yearly
At Rs 39.10 cr has Grown at 199.16 %
over previous Half yearly periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Non Operating Income - Quarterly
is 123.35 % 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
Debtors Turnover Ratio- Half Yearly
Lowest at 3.12 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
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