Nahar Indl. Ent.

Market Cap: Micro Cap
Industry: Textile
ISIN: INE289A01011
NSEID: NAHARINDUS
BSEID: 519136

INR

97.55

2.75 (2.9%)

BSENSE

Apr 11, 12:53 PM

BSE+NSE Vol: 7.05 k

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Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

United Polyfab

K P R Mill Ltd

Vardhman Textile

Sejal Glass

Axita Cotton

Welspun Living

Trident

Nahar Indl. Ent.

Ashima

Swan Energy

Lakshmi Mills

Why is Nahar Industrial Enterprises Ltd ?

Weak Long Term Fundamental Strength with a -1.47% CAGR growth in Net Sales over the last 5 years

Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.53
The company has been able to generate a Return on Equity (avg) of 6.54% signifying low profitability per unit of shareholders funds

Flat results in Dec 24

INTEREST(9M) At Rs 30.98 cr has Grown at 41.27%
PBT LESS OI(Q) At Rs -7.70 cr has Fallen at -216.2% (vs previous 4Q average)
DEBTORS TURNOVER RATIO(HY) Lowest at 8.38 times

Stock is technically in a Bearish range

The technical trend has deteriorated from Mildly Bearish on 23-Jan-25 and has generated -25.08% returns since then
Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -22.18% returns in the last 1 year, the stock has also underperformed BSE 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

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 Textile )

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Nahar Indl. Ent. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Nahar Indl. Ent.

-22.18%

-0.51

43.57%

SENSEX

0.45%

0.03

14.48%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.47%

EBIT Growth (5y)

12.19%

EBIT to Interest (avg)

1.53

Debt to EBITDA (avg)

5.12

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

1.22

Tax Ratio

15.00%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

0.38%

ROCE (avg)

6.06%

ROE (avg)

6.54%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

0.42

EV to EBIT

35.05

EV to EBITDA

12.04

EV to Capital Employed

0.60

EV to Sales

0.55

PEG Ratio

0.10

Dividend Yield

ROCE (Latest)

1.91%

ROE (Latest)

2.36%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

9What is working for the Company

PAT(HY)

At Rs 3.04 cr has Grown at 287.34%

NET SALES(Q)

Highest at Rs 429.66 cr

-10What is not working for the Company

INTEREST(9M)

At Rs 30.98 cr has Grown at 41.27%

PBT LESS OI(Q)

At Rs -7.70 cr has Fallen at -216.2% (vs previous 4Q average

DEBTORS TURNOVER RATIO(HY)

Lowest at 8.38 times

PAT(Q)

At Rs 5.27 cr has Fallen at -7.7% (vs previous 4Q average

NON-OPERATING INCOME(Q)

is 188.81 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for Nahar Indl. Ent.

Net Sales - Quarterly

Highest at Rs 429.66 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Net Sales (Rs Cr)

Here's what is not working for Nahar Indl. Ent.

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs -7.70 cr has Fallen at -216.2% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs -2.44 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Interest - Nine Monthly

At Rs 30.98 cr has Grown at 41.27%

over preceding nine months period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (Rs cr)

Profit After Tax (PAT) - Quarterly

At Rs 5.27 cr has Fallen at -7.7% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 5.71 Cr

MOJO Watch

Near term PAT trend is negative

PAT (Rs Cr)

Non Operating Income - Quarterly

is 188.81 % 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 8.38 times

in the last five half yearly periods

MOJO Watch

Company's pace of settling its Debtors has slowed

Debtors Turnover Ratio

Non Operating Income - Quarterly

Highest at Rs 16.37 cr

in the last five quarters

MOJO Watch

Increased income from non business activities may not be sustainable

Non Operating Income