Mehabe score: 5 G Factor: 4 Piotski Score: 6 The stock has a rating 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 4 and Piotski score of 6. Site:519234Main Symbol:SIEL
Stock trades at 22.2, above its 50dma 17.92. It also trades above its 200dma 15.75. The stock remains bullish on techicals
The 52 week high is at 23.70 and the 52week low is at 5.60
Price Chart
P/E Chart
Sales and Margin
Strengths
– Stock is trading at 0.47 times its book value
Weakness
– has a low return on equity of 1.26% for last 3 years.
-Earnings include an other income of Rs.3.60 Cr.
-Debtor days have increased from 64.26 to 88.57 days.
Competition
– The industry trades at a mean P/E of 26.7x. Agro Tech Foods. trades at the industry’s max P/E of 93.93x. 519234 trades at a P/E of 8.4x
– Industry’s mean G-Factor is 5.0 while the mean Piotski score is 7.0. 519234 has a G-Factor of 4 and Piotski scoreof 6.
– Average 1 month return for industry is 6.8%. The max 1- month return was given by Vijay Solvex: a return of 77.44 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 8.38 cr compared to Rs 4.68 cr for period ended Jun 2020, a rise of 79.1%
Operating Profits reported at Rs 0.5 cr for period ended Jun 2021 vis-vis 0.48 for period ended Jun 2020 .
Operating Margins contracted -429.0 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 0.79 compared to Rs 0.64 for previous quarter ended Mar 2021 and Rs 0.47 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 19.72 cr for period ended TTM vis-vis sales of Rs 16.03 cr for the period ended Mar 2021, a healthy growth of 18.7%. The 3 year sales cagr stood at 2.1%.
Operating margins shrank to 5.12% for period ended TTM vis-vis 6.18% for period ended Mar 2021, contraction of 106.0 bps.
Net Profit reported at Rs 3.67 cr for period ended TTM vis-vis sales of Rs 3.23 cr for the period ended Mar 2021, rising 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
CashFlow from operating activities: Rs 2.53 cr for period ended Mar 2021 vis-vis Rs -2.74 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 5.0% compared to 1.0% over the last 3 Years. – The stock has given a return of 248% on a 1 Year basis vis-vis a return of 30% over the last 3 Years. – The compounded sales growth on a TTM bassis is 4% vis-vis a compounded sales growth of 8% over the last 3 Years. – The compounded profit growth on a TTM basis is -19% vis-vis a compounded profit growth of 83% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 52.85% vis-vis 52.85% for Mar 2021
Conclusion
– Stock is trading at 0.47 times its book value – has a low return on equity of 1.26% for last 3 years.
-Earnings include an other income of Rs.3.60 Cr.
-Debtor days have increased from 64.26 to 88.57 days.
The business fundamentals of the stock remain stable. Stronger near term results will build interest in the stock. We suggest to wait for a upturn in business performance.
Technically, the stock remains above its 50 DMA 17.92 and is trading at 22.2, thus bullish price action wise.
