Mehabe score: 5 G Factor: 3 Piotski Score: 5 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 5.
Description
The Anup Engg is engaged in Business of Engineering.Site:ANUPMain Symbol:ANUP
Stock trades at 969.0, above its 50dma 841.02. It also trades above its 200dma 693.17. The stock remains bullish on techicals
The 52 week high is at 1032.70 and the 52week low is at 444.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
Weakness
– Tax rate seems low
-Debtor days have increased from 119.87 to 144.00 days.
Competition
– The industry trades at a mean P/E of 27.6x. MTAR Technologie trades at the industry’s max P/E of 98.3x. ANUP trades at a P/E of 17.8x
– Industry’s mean G-Factor is 3.4 while the mean Piotski score is 8.0. ANUP has a G-Factor of 3 and Piotski scoreof 5.
– Average 1 month return for industry is 21.3%. The max 1- month return was given by MTAR Technologie: a return of 50.61 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 133.0 cr compared to Rs 70.0 cr for period ended Mar 2020, a rise of 90.0%
Operating Profits reported at Rs 35.0 cr for period ended Mar 2021 vis-vis 16.0 for period ended Mar 2020 .
Operating Margins expanded 345.9 bps for period ended Mar 2021 vis-vis Mar 2020 .
The EPS for Mar 2021 was Rs 28.02 compared to Rs 8.91 for previous quarter ended Dec 2020 and Rs 8.28 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 279.0 cr for period ended Mar 2021 vis-vis sales of Rs 245.0 cr for the period ended Mar 2020, a healthy growth of 12.2%.
Operating margins shrank to 25.0% for period ended Mar 2021 vis-vis 28.0% for period ended Mar 2020, contraction of 300.0 bps.
Net Profit reported at Rs 54.0 cr for period ended Mar 2021 vis-vis sales of Rs 43.0 cr for the period ended Mar 2020, rising 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
CashFlow from operating activities: Rs 53.0 cr for period ended Mar 2021 vis-vis Rs 32.0 cr for period ended Mar 2020
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The company has improved its Return on Equity (RoE) metric. The RoE on Last Year basis was 16.0% compared to 0% over the last 3 Years. – The stock has given a return of 113% on a 1 Year basis vis-vis a return of % over the last 3 Years. – The compounded sales growth on a TTM bassis is 14% vis-vis a compounded sales growth of % over the last 3 Years. – The compounded profit growth on a TTM basis is 26% vis-vis a compounded profit growth of % over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Jun 2021 fii holding stood at 2.08% vis-vis 1.66% for Mar 2021 – Public shareholding has risen for the period ended Jun 2021. The Jun 2021 public holding stood at 43.48% vis-vis 38.4% for Mar 2021
Conclusion
– is almost debt free. – Tax rate seems low
-Debtor days have increased from 119.87 to 144.00 days.
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 841.02 and is trading at 969.0 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
