Mehabe score: 2 G Factor: 5 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 5 and Piotski score of 8.
Description
Incorporated in 1952 by Johnston Pump Company Inc., USA, WPIL is engaged in the entire value chain of Pumps & Pumping Systems from concept to commissioning and execution of water supply projects on a turnkey basis for industrial units, power utilities, irrigation departments, etc. Clients include irrigation departments of various states like Telangana, Madhya Pradesh, central utilities, large PSUs, and various private sector entities.
In 2002, Mr. Prakash Agarwal acquired a controlling stake in the company from the B. M. Khaitan group.Site:505872Main Symbol:WPIL
Stock trades at 843.0, below its 50dma 886.15. However it is trading above its 200dma 771.38. The stock remains weak in the short term due to near term bearish momentum. However overall bullish structure remains intact. Price action will further build up as it moves above its dma50, currently situated at 886.15.
The 52 week high is at 1121.55 and the 52week low is at 421.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– has delivered good profit growth of 142.17% CAGR over last 5 years
Weakness
– The company has delivered a poor sales growth of 6.40% over past five years.
-Contingent liabilities of Rs.340.86 Cr.
– might be capitalizing the interest cost
Competition
– The industry trades at a mean P/E of 17.4x. KSB trades at the industry’s max P/E of 31.8x. 505872 trades at a P/E of 9.28x
– Industry’s mean G-Factor is 3.8 while the mean Piotski score is 8.0. 505872 has a G-Factor of 5 and Piotski scoreof 8.
– Average 1 month return for industry is -4.4%. The max 1- month return was given by Roto Pumps: a return of 2.13 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 225.0 cr compared to Rs 202.0 cr for period ended Jun 2020, a rise of 11.4%
Operating Profits reported at Rs 25.0 cr for period ended Jun 2021 vis-vis 19.0 for period ended Jun 2020 .
Operating Margins expanded 170.5 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 11.37 compared to Rs 38.42 for previous quarter ended Mar 2021 and Rs 6.75 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 1018.0 cr for period ended TTM vis-vis sales of Rs 995.0 cr for the period ended Mar 2021, a growth of 2.3%. The 3 year sales cagr stood at -4.1%.
Net Profit reported at Rs 89.0 cr for period ended TTM vis-vis sales of Rs 84.0 cr for the period ended Mar 2021, rising 5.6%.
Company reported a poor Net Profit CAGR of -10.9% 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 230.0 cr for period ended Mar 2021 vis-vis Rs 55.0 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 worsened on its Return on Equity (RoE) metric. The RoE on Last Year basis was 17.0% compared to 21.0% over the last 3 Years. – The stock has given a return of 83% on a 1 Year basis vis-vis a return of -2% over the last 3 Years. – The compounded sales growth on a TTM bassis is 11% vis-vis a compounded sales growth of 6% over the last 3 Years. – The compounded profit growth on a TTM basis is 48% vis-vis a compounded profit growth of 28% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Sep 2021 fii holding stood at 4.74% vis-vis 4.43% for Jun 2021 – Public shareholding has remained largely constant. The Sep 2021 public holding stood at 20.36% vis-vis 20.68% for Jun 2021
Conclusion
– has reduced debt.
– has delivered good profit growth of 142.17% CAGR over last 5 years – The company has delivered a poor sales growth of 6.40% over past five years.
-Contingent liabilities of Rs.340.86 Cr.
– might be capitalizing the interest cost
