Mehabe score: 6 G Factor: 4 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 4 and Piotski score of 8.
Description
Sportking India is engaged in manufacturing of Cotton Yarn, Synthetic Yarn and Blended Yarn.Site:539221Main Symbol:SPORTKING
Stock trades at 2902.0, above its 50dma 2030.36. It also trades above its 200dma 1226.44. The stock remains bullish on techicals
The 52 week high is at 3197.00 and the 52week low is at 210.05
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– has delivered good profit growth of 54.12% CAGR over last 5 years
Weakness
– Stock is trading at 2.90 times its book value
-Though the company is reporting repeated profits, it is not paying out dividend
-The company has delivered a poor sales growth of 4.77% over past five years.
– might be capitalizing the interest cost
Competition
– The industry trades at a mean P/E of 13.3x. Banswara Syntex trades at the industry’s max P/E of 29.1x. 539221 trades at a P/E of 10.4x
– Industry’s mean G-Factor is 4.9 while the mean Piotski score is 8.0. 539221 has a G-Factor of 4 and Piotski scoreof 8.
– Average 1 month return for industry is 42.8%. The max 1- month return was given by Deepak Spinners: a return of 93.25 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 450.0 cr compared to Rs 221.0 cr for period ended Jun 2020, a rise of 103.6%
Operating Profits reported at Rs 125.0 cr for period ended Jun 2021 vis-vis 23.0 for period ended Jun 2020 .
Operating Margins expanded 1737.1 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 221.82 compared to Rs 124.49 for previous quarter ended Mar 2021 and Rs 1.01 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 1535.0 cr for period ended TTM vis-vis sales of Rs 1306.0 cr for the period ended Mar 2021, a healthy growth of 14.9%. The 3 year sales cagr stood at 9.8%.
Operating margins expanded to 20.0% for period ended TTM vis-vis 16.0% for period ended Mar 2021, expansion of 400.0 bps.
Net Profit reported at Rs 163.0 cr for period ended TTM vis-vis sales of Rs 85.0 cr for the period ended Mar 2021, rising 47.9%.
Company recorded a healthy Net Profit CAGR of 89.4% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
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 32.0% compared to 18.0% over the last 3 Years. – The stock has given a return of 1219% on a 1 Year basis vis-vis a return of 170% over the last 3 Years. – The compounded sales growth on a TTM bassis is -4% vis-vis a compounded sales growth of 7% over the last 3 Years. – The compounded profit growth on a TTM basis is 700% vis-vis a compounded profit growth of 73% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 25.84% vis-vis 25.84% for Mar 2021
Conclusion
– has reduced debt.
– has delivered good profit growth of 54.12% CAGR over last 5 years – Stock is trading at 2.90 times its book value
-Though the company is reporting repeated profits, it is not paying out dividend
-The company has delivered a poor sales growth of 4.77% over past five years.
– might be capitalizing the interest cost
