Mehabe score: 3 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
Brand Realty Services Ltd provides real estate services. It is also engaged in publishing of newspaper.Site:531203Main Symbol:BRANDREAL
Stock trades at 41.6, below its 50dma 44.2 and below its 200dma 42.46. The stock remains bearish on technicals
The 52 week high is at 61.95 and the 52week low is at 31.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– Debtor days have improved from 7430.13 to 123.32 days.
Weakness
– Stock is trading at 2.85 times its book value
– has low interest coverage ratio.
– has a low return on equity of -11.07% for last 3 years.
Competition
– The industry trades at a mean P/E of 38.3x. Phoenix Mills trades at the industry’s max P/E of 266.11x. 531203 trades at a P/E of x
– Industry’s mean G-Factor is 3.1 while the mean Piotski score is 7.0. 531203 has a G-Factor of 2 and Piotski scoreof 4.
– Average 1 month return for industry is 3.4%. The max 1- month return was given by Oberoi Realty: a return of 15.41 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 1.27 cr compared to Rs 0.15 cr for period ended Jun 2020, a rise of 746.7%
Company reported negative operating profit of Rs -0.02 cr for period ended Jun 2021. For same period last year, operating profit was -0.05
The EPS for Jun 2021 was Rs -0.2 compared to Rs -0.13 for previous quarter ended Mar 2021 and Rs -0.3 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 6.28 cr for period ended TTM vis-vis sales of Rs 5.15 cr for the period ended Mar 2021, a healthy growth of 18.0%. The 3 year sales cagr stood at 579.7%.
Operating margins expanded to -5.89% for period ended TTM vis-vis -7.77% for period ended Mar 2021, expansion of 188.0 bps.
Net Profit reported at Rs -0.42 cr for period ended TTM vis-vis sales of Rs -0.45 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 -26% on a 1 Year basis vis-vis a return of -11% over the last 3 Years. – The compounded sales growth on a TTM bassis is 1156% vis-vis a compounded sales growth of 73% over the last 3 Years. – The compounded profit growth on a TTM basis is 39% vis-vis a compounded profit growth of 3% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 24.99% vis-vis 24.99% for Mar 2021
Conclusion
– Debtor days have improved from 7430.13 to 123.32 days. – Stock is trading at 2.85 times its book value
– has low interest coverage ratio.
– has a low return on equity of -11.07% for last 3 years.
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 44.2 and is trading at 41.6. 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
