Mehabe score: 3 G Factor: 3 Piotski Score: 6 The stock has a rating OBSERVE & HOLD. The mehabe team score is reflective of its fundamental and technical merits. A rating above 8 is considered good buy. The stock has a G-Factor of 3 and Piotski score of 6.
Description
Indrayani Biotech Ltd. provides travel technology and solutions to the travel industries.
Main Points
Growth Plan
Indrayani Biotech Limited (IBL) is venturing into three verticals, viz. 1. Engineering, 2. Food and agriculture, 3. Healthcare. The strategy will be mainly “inorganic” viz. Aggregation of Businesses through mergers, acquisitions and partnerships. #Site:526445Main Symbol:INDRANIB
Stock trades at 10.0, above its 50dma 8.66. It also trades above its 200dma 7.37. The stock remains bullish on techicals
The 52 week high is at 12.79 and the 52week low is at 4.75
Price Chart
P/E Chart
Sales and Margin
Strengths
–
Weakness
– has low interest coverage ratio.
-Promoter holding has decreased over last quarter: -0.36%
-‘s cost of borrowing seems high
Competition
– The industry trades at a mean P/E of 45.4x. Easy Trip Plann. trades at the industry’s max P/E of 74.93x. 526445 trades at a P/E of x
– Industry’s mean G-Factor is 2.5 while the mean Piotski score is 7.0. 526445 has a G-Factor of 3 and Piotski scoreof 6.
– Average 1 month return for industry is 6.5%. The max 1- month return was given by Easy Trip Plann.: a return of 15.16 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 7.08 cr compared to Rs 0.5 cr for period ended Dec 2019, a rise of 1316.0%
Company reported negative operating profit of Rs -0.3 cr for period ended Mar 2021. For same period last year, operating profit was -0.02
The EPS for Mar 2021 was Rs -0.85 compared to Rs -0.51 for previous quarter ended Dec 2020 and Rs -0.08 for Dec 2019
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 21.0 cr for period ended Mar 2021 vis-vis sales of Rs 0.0 cr for the period ended Mar 2020, a growth of 0%.
Operating margins expanded to -22.0% for period ended Mar 2021 vis-vis -32.0% for period ended Mar 2020, expansion of 1000.0 bps.
Net Profit reported at Rs -11.0 cr for period ended Mar 2021 vis-vis sales of Rs -0.0 cr for the period ended Mar 2020, falling 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The stock has given a return of 14% on a 1 Year basis vis-vis a return of 18% over the last 3 Years. – The compounded sales growth on a TTM bassis is 4102% vis-vis a compounded sales growth of % over the last 3 Years. – The compounded profit growth on a TTM basis is -3129% vis-vis a compounded profit growth of % over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Mar 2021 public holding stood at 27.57% vis-vis 27.2% for Dec 2020
Conclusion
– – has low interest coverage ratio.
-Promoter holding has decreased over last quarter: -0.36%
-‘s cost of borrowing seems high
Fundamentally, the stock remains weak on business fundamentals. Weak near term results have dampened and questioned business drivers. We suggest to wait for a upturn in business performance.
Technically, the stock trades above its 50 DMA 8.66 and is trading at 10.0 It has shown near term bullish momentum contrary to business fundamentals. We suggest to observe price action. However as investors, who like to avoid timing the markets, we suggest to avoid the stock
