Mehabe score: 6 G Factor: 6 Piotski Score: 8 The stock has a rating . 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 6 and Piotski score of 8.
Description
Kothari Petrochemicals is engaged in the Manufacturers of Poly Iso Butylene.(Source : 201903 Annual Report Page No: 46)Site:KOTHARIPETMain Symbol:KOTHARIP
Stock trades at 43.2, above its 50dma 40.12. It also trades above its 200dma 30.09. The stock remains bullish on techicals
The 52 week high is at 51.15 and the 52week low is at 14.15
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– is almost debt free.
– has delivered good profit growth of 19.86% CAGR over last 5 years
Weakness
– Though the company is reporting repeated profits, it is not paying out dividend
-The company has delivered a poor sales growth of 1.59% over past five years.
Competition
– The industry trades at a mean P/E of 9.0x. Panama Petrochem trades at the industry’s max P/E of 12.08x. KOTHARIPET trades at a P/E of 11.3x
– Industry’s mean G-Factor is 6.5 while the mean Piotski score is 9.0. KOTHARIPET has a G-Factor of 6 and Piotski scoreof 8.
– Average 1 month return for industry is 6.4%. The max 1- month return was given by Dhunseri Vent.: a return of 27.43 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 76.14 cr compared to Rs 25.55 cr for period ended Jun 2020, a rise of 198.0%
Operating Profits reported at Rs 10.54 cr for period ended Jun 2021 vis-vis 2.36 for period ended Jun 2020 .
Operating Margins expanded 460.6 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 1.24 compared to Rs 1.09 for previous quarter ended Mar 2021 and Rs 0.17 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 279.0 cr for period ended TTM vis-vis sales of Rs 229.0 cr for the period ended Mar 2021, a healthy growth of 17.9%. The 3 year sales cagr stood at -2.4%.
Net Profit reported at Rs 29.0 cr for period ended TTM vis-vis sales of Rs 23.0 cr for the period ended Mar 2021, rising 20.7%.
Company recorded a healthy Net Profit CAGR of 34.2% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
CashFlow from operating activities: Rs 31.0 cr for period ended Mar 2021 vis-vis Rs 27.0 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 had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 20.0% compared to 18.0% over the last 3 Years. – The stock has given a return of 181% on a 1 Year basis vis-vis a return of 21% over the last 3 Years. – The compounded sales growth on a TTM bassis is -16% vis-vis a compounded sales growth of 6% over the last 3 Years. – The compounded profit growth on a TTM basis is 31% vis-vis a compounded profit growth of 33% over the last 3 Years.
Ratios
Conclusion
– has reduced debt.
– is almost debt free.
– has delivered good profit growth of 19.86% CAGR over last 5 years – Though the company is reporting repeated profits, it is not paying out dividend
-The company has delivered a poor sales growth of 1.59% over past five years.
