Mehabe score: 4 G Factor: 1 Piotski Score: 6 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 1 and Piotski score of 6.
Description
Spaceage Products is engaged in the business of Trading.Site:538920
Market Cap:
Rs 19.8 cr
Price:
63.3
Trading pe:
198.0x
Book-value:
10.4/share
Div yield:
0.00 %
Earning yield:
0.68%
Face-value:
10.0/share
52week high:
66.65
52week low:
9.60
Technical Analysis
Stock trades at 63.3, above its 50dma 46.38. It also trades above its 200dma 27.19. The stock remains bullish on techicals
The 52 week high is at 66.65 and the 52week low is at 9.60
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
Weakness
– Stock is trading at 6.10 times its book value
-The company has delivered a poor sales growth of -17.40% over past five years.
-Promoter holding is low: 6.89%
– has a low return on equity of 0.11% for last 3 years.
– has high debtors of 1058.50 days.
Competition
– The industry trades at a mean P/E of 44.1x. Spaceage Product trades at the industry’s max P/E of 197.75x. 538920 trades at a P/E of 198.0x
– Industry’s mean G-Factor is 3.5 while the mean Piotski score is 7.0. 538920 has a G-Factor of 1 and Piotski scoreof 6.
– Average 1 month return for industry is 17.0%. The max 1- month return was given by Redington India: a return of 45.85 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 0.04 cr compared to Rs 0.03 cr for period ended Mar 2020, a rise of 33.3%
Operating Profits reported at Rs 0.02 cr for period ended Mar 2021 vis-vis 0.01 for period ended Mar 2020 .
Operating Margins expanded 1666.7 bps for period ended Mar 2021 vis-vis Mar 2020 .
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 0.21 cr for period ended Mar 2021 vis-vis sales of Rs 0.1 cr for the period ended Mar 2020, a healthy growth of 52.4%. The 3 year sales cagr stood at -13.1%.
Operating margins expanded to 71.43% for period ended Mar 2021 vis-vis 10.0% for period ended Mar 2020, expansion of 6143.0 bps.
Net Profit reported at Rs 0.1 cr for period ended Mar 2021 vis-vis sales of Rs 0.0 cr for the period ended Mar 2020, 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 570% on a 1 Year basis vis-vis a return of % over the last 3 Years. – The compounded sales growth on a TTM bassis is -56% vis-vis a compounded sales growth of -50% over the last 3 Years. – The compounded profit growth on a TTM basis is -100% vis-vis a compounded profit growth of % over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Mar 2021 public holding stood at 93.11% vis-vis 93.11% for Dec 2020
Conclusion
– is almost debt free. – Stock is trading at 6.10 times its book value
-The company has delivered a poor sales growth of -17.40% over past five years.
-Promoter holding is low: 6.89%
– has a low return on equity of 0.11% for last 3 years.
– has high debtors of 1058.50 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 46.38 and is trading at 63.3 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
