Why is VL E-Governance & IT Solutions Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 0%
- Poor long term growth as Net Sales has grown by an annual rate of -97.00% and Operating profit at -251.12% over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of -5.45
2
Stock is technically in a Mildly Bearish range
- The stocks MACD and KST technical factors are also Bearish
3
With ROE of 0, it has a Very Expensive valuation with a 0.2 Price to Book Value
- Over the past year, while the stock has generated a return of -44.12%, its profits have fallen by -230%
4
Underperformed the market in the last 1 year
- Even though the market (BSE 500) generated negative returns of -0.93% in the last 1 year, its fall in the stock was much higher with a return of -44.12%
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 IT - Software )
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is VL E-Governance for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
VL E-Governance
-44.12%
-0.77
57.47%
SENSEX
0.45%
0.03
14.48%
Quality key factors
Factor
Value
Sales Growth (5y)
-97.00%
EBIT Growth (5y)
-251.12%
EBIT to Interest (avg)
-5.45
Debt to EBITDA (avg)
1.87
Net Debt to Equity (avg)
0.02
Sales to Capital Employed (avg)
0.14
Tax Ratio
0
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
9.10%
ROCE (avg)
-0.06%
ROE (avg)
0
Valuation Key Factors 
Factor
Value
P/E Ratio
350
Industry P/E
26
Price to Book Value
0.17
EV to EBIT
466.94
EV to EBITDA
466.94
EV to Capital Employed
0.19
EV to Sales
18.16
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-0.04%
ROE (Latest)
0.05%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Sideways
Moving Averages
Bearish (Daily)
KST
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Movement
14What is working for the Company
PAT(HY)
At Rs 1.75 cr has Grown at 186.21%
NET SALES(9M)
Higher at Rs 25.71 cr
EPS(Q)
Highest at Rs 0.09
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for VL E-Governance
Profit After Tax (PAT) - Quarterly
Highest at Rs 0.94 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 0.09
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Net Sales - Nine Monthly
Higher at Rs 25.71 cr
than preceding 12 month period ended Dec 2024 of Rs 22.01 crMOJO Watch
In the nine month period the company has already crossed sales of the previous twelve months
Net Sales (Rs Cr)