Mehabe score: 1 G Factor: 2 Piotski Score: 4 The stock has a rating SELL. 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 2 and Piotski score of 4.
Description
Orient Press is engaged in manufacturing activities of printing of capital market stationery, commercial printing like Text book, Annual Reports etc., security printing like MICR Cheques, Dividend Warrants, Shares & Debenture certificates, Railway tickets and coupons etc., computer stationery, telephone scratch cards, smart cards, recharge coupons and note books etc.Site:ORIENTLTDMain Symbol:ORIENTLTD
Stock trades at 75.9, below its 50dma 81.41 and below its 200dma 83.06. The stock remains bearish on technicals
The 52 week high is at 123.80 and the 52week low is at 62.25
Price Chart
P/E Chart
Sales and Margin
Strengths
– Stock is trading at 1.00 times its book value
Weakness
– has low interest coverage ratio.
-The company has delivered a poor sales growth of -7.00% over past five years.
– has a low return on equity of -1.67% for last 3 years.
-Earnings include an other income of Rs.2.02 Cr.
Competition
– The industry trades at a mean P/E of 15.0x. Huhtamaki India trades at the industry’s max P/E of 37.24x. ORIENTLTD trades at a P/E of x
– Industry’s mean G-Factor is 4.6 while the mean Piotski score is 9.0. ORIENTLTD has a G-Factor of 2 and Piotski scoreof 4.
– Average 1 month return for industry is 3.1%. The max 1- month return was given by Cosmo Films: a return of 27.65 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 32.03 cr compared to Rs 24.02 cr for period ended Jun 2020, a rise of 33.3%
Company reported negative operating profit of Rs -0.22 cr for period ended Jun 2021. For same period last year, operating profit was -1.79
The EPS for Jun 2021 was Rs -2.57 compared to Rs 0.46 for previous quarter ended Mar 2021 and Rs -3.99 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 149.0 cr for period ended TTM vis-vis sales of Rs 141.0 cr for the period ended Mar 2021, a growth of 5.4%. The 3 year sales cagr stood at -9.0%.
Net Profit reported at Rs -2.0 cr for period ended TTM vis-vis sales of Rs -3.0 cr for the period ended Mar 2021, rising 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
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 -34% over the last 3 Years. – The compounded sales growth on a TTM bassis is -16% vis-vis a compounded sales growth of -11% over the last 3 Years. – The compounded profit growth on a TTM basis is -143% vis-vis a compounded profit growth of % over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 26.94% vis-vis 26.94% for Mar 2021
Conclusion
– Stock is trading at 1.00 times its book value – has low interest coverage ratio.
-The company has delivered a poor sales growth of -7.00% over past five years.
– has a low return on equity of -1.67% for last 3 years.
-Earnings include an other income of Rs.2.02 Cr.
Fundamentally, the stock remains weak. The business fundamentals are on shaky ground. Weak near term results have dampened and questioned business drivers. We suggest to wait for a upturn in business performance.
Technically, the stock reflects the poor fundamentals. The stock remains below its 50 DMA 81.41 and is trading at 75.9. It has shown near term lack of bullish momentum. We suggest to observe price action. However as investors, who like to avoid timing the markets, we suggest to avoid the stock
