United Breweries

Market Cap: Large Cap
Industry: Breweries & Distilleries
ISIN: INE686F01025
NSEID: UBL
BSEID: 532478

INR

2,023.20

17.2 (0.86%)

BSENSE

Apr 11, 12:53 PM

BSE+NSE Vol: 69.13 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

Assoc.Alcohols

Som Distilleries

Radico Khaitan

Globus Spirits

Varun Beverages

G M Breweries

Sula Vineyards

United Spirits

Tilaknagar Inds.

Allied Blenders

United Breweries

Why is United Breweries Ltd. ?

Poor long term growth as Operating profit has grown by an annual rate -2.52% of over the last 5 years

The company has declared negative results in Dec'2024 after 2 consecutive positive quarters

PBT LESS OI(Q) At Rs 76.94 cr has Fallen at -45.9% (vs previous 4Q average)
PAT(Q) At Rs 54.58 cr has Fallen at -53.8% (vs previous 4Q average)
CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 153.89 cr

Stock is technically in a Mildly Bearish range

The stocks MACD and KST technical factors are also Bearish

With ROE of 11.2, it has a Very Expensive valuation with a 12.6 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 9.80%, its profits have risen by 30.4% ; the PEG ratio of the company is 4

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 Breweries & Distilleries)

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

Is United Breweries for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

United Breweries

9.91%

0.37

26.72%

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)

5.38%

EBIT Growth (5y)

-2.52%

EBIT to Interest (avg)

51.97

Debt to EBITDA (avg)

0.23

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

1.64

Tax Ratio

26.87%

Dividend Payout Ratio

64.48%

Pledged Shares

12.40%

Institutional Holding

24.11%

ROCE (avg)

12.11%

ROE (avg)

8.32%

Valuation

Valuation Scorecard

Valuation grade scale :

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

Valuation Key Factors

Factor

Value

P/E Ratio

120

Industry P/E

Price to Book Value

12.55

EV to EBIT

94.17

EV to EBITDA

66.52

EV to Capital Employed

12.63

EV to Sales

6.08

PEG Ratio

3.96

Dividend Yield

0.50%

ROCE (Latest)

13.74%

ROE (Latest)

11.18%

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

No Signal

Bullish

Bollinger Bands

Sideways

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Bullish

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

0What is working for the Company

NO KEY POSITIVE TRIGGERS

-11What is not working for the Company

PBT LESS OI(Q)

At Rs 76.94 cr has Fallen at -45.9% (vs previous 4Q average

PAT(Q)

At Rs 54.58 cr has Fallen at -53.8% (vs previous 4Q average

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 153.89 cr

NET SALES(Q)

At Rs 2,000.26 cr has Fallen at -6.4% (vs previous 4Q average

PBDIT(Q)

Lowest at Rs 141.48 cr.

EPS(Q)

Lowest at Rs 1.45

Loading Valuation Snapshot...

Here's what is not working for United Breweries

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 76.94 cr has Fallen at -45.9% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 142.35 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 54.58 cr has Fallen at -53.8% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 118.07 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Net Sales - Quarterly

At Rs 2,000.26 cr has Fallen at -6.4% (vs previous 4Q average)

over average Net Sales of the previous four quarters of Rs 2,137.42 Cr

MOJO Watch

Near term sales trend is negative

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 141.48 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Lowest at Rs 76.94 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is negative

PBT less Other Income (Rs Cr)

Earnings per Share (EPS) - Quarterly

Lowest at Rs 1.45

in the last five quarters

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 153.89 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents