Mehabe score: 2 G Factor: 0 Piotski Score: 4 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 0 and Piotski score of 4.
Description
Sunedison Infrastructure is engaged in the business of rendering engineering, procurement and construction services in respect of solar power plants, setting up of solar power plants, solar water pumps, generating power and also rendering other related services.Site:531260Main Symbol:SUNEDISON
Stock trades at 64.9, above its 50dma 53.58. It also trades above its 200dma 51.59. The stock remains bullish on techicals
The 52 week high is at 123.65 and the 52week low is at 16.85
Price Chart
P/E Chart
Sales and Margin
Strengths
– Stock is trading at 0.16 times its book value
– is expected to give good quarter
Weakness
– has low interest coverage ratio.
– has a low return on equity of -17.80% for last 3 years.
-Contingent liabilities of Rs.31.57 Cr.
– has high debtors of 334.10 days.
Competition
– The industry trades at a mean P/E of 31.7x. Adani Green trades at the industry’s max P/E of 526.27x. 531260 trades at a P/E of x
– Industry’s mean G-Factor is 2.8 while the mean Piotski score is 9.0. 531260 has a G-Factor of 0 and Piotski scoreof 4.
– Average 1 month return for industry is -2.1%. The max 1- month return was given by Adani Green: a return of 13.92 %
Quarterly Results
Sales for period ended Sep 2021 is Rs 15.07 cr compared to Rs 25.71 cr for period ended Sep 2020, a fall of 41.4%
Company reported negative operating profit of Rs -0.82 cr for period ended Sep 2021. For same period last year, operating profit was 1.72
The EPS for Sep 2021 was Rs 5.12 compared to Rs -23.5 for previous quarter ended Jun 2021 and Rs -8.57 for Sep 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 61.0 cr for period ended TTM vis-vis sales of Rs 72.0 cr for the period ended Mar 2021, a fall of 18.0%. The 3 year sales cagr stood at -4.9%.
Operating margins shrank to -53.0% for period ended TTM vis-vis -35.0% for period ended Mar 2021, contraction of 1800.0 bps.
Net Profit reported at Rs -26.0 cr for period ended TTM vis-vis sales of Rs -28.0 cr for the period ended Mar 2021, rising 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 106% on a 1 Year basis vis-vis a return of % over the last 3 Years. – The compounded sales growth on a TTM bassis is 10% vis-vis a compounded sales growth of % over the last 3 Years. – The compounded profit growth on a TTM basis is -25% vis-vis a compounded profit growth of % over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Sep 2021 public holding stood at 25.0% vis-vis 25.0% for Jun 2021
Conclusion
– Stock is trading at 0.16 times its book value
– is expected to give good quarter – has low interest coverage ratio.
– has a low return on equity of -17.80% for last 3 years.
-Contingent liabilities of Rs.31.57 Cr.
– has high debtors of 334.10 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 53.58 and is trading at 64.9 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
