Mehabe score: 4 G Factor: 5 Piotski Score: 9 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 9.
Description
Pricol Limited is engaged in the business of manufacturing and selling of instrument clusters and other allied automobile components to OEMs and replacement markets.#
The business was started in 1974 and is headquartered in Coimbatore, Tamil Nadu.#
Main Points
Product Portfolio
Company’s product portfolio includes Driver information system (DIS) clusters, sensors & switches, pumps & mechanicals products, telematics (connected vehicle solutions) & auto electrical products.#Site:PRICOLLTDMain Symbol:PRICOLLTD
Stock trades at 98.3, above its 50dma 92.09. It also trades above its 200dma 71.13. The stock remains bullish on techicals
The 52 week high is at 106.70 and the 52week low is at 32.94
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– is expected to give good quarter
Weakness
– has a low return on equity of -15.55% for last 3 years.
-‘s cost of borrowing seems high
Competition
– The industry trades at a mean P/E of 33.0x. WABCO India trades at the industry’s max P/E of 129.15x. PRICOLLTD trades at a P/E of 28.9x
– Industry’s mean G-Factor is 4.1 while the mean Piotski score is 9.0. PRICOLLTD has a G-Factor of 5 and Piotski scoreof 9.
– Average 1 month return for industry is 2.0%. The max 1- month return was given by Minda Industries: a return of 13.35 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 446.17 cr compared to Rs 283.0 cr for period ended Mar 2020, a rise of 57.7%
Operating Profits reported at Rs 55.33 cr for period ended Mar 2021 vis-vis 27.88 for period ended Mar 2020 .
Operating Margins expanded 255.0 bps for period ended Mar 2021 vis-vis Mar 2020 .
The EPS for Mar 2021 was Rs 0.11 compared to Rs 1.76 for previous quarter ended Dec 2020 and Rs 1.75 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 1413.0 cr for period ended Mar 2021 vis-vis sales of Rs 1600.0 cr for the period ended Mar 2020, a fall of 13.2%. The 3 year sales cagr stood at 1.4%.
Operating margins expanded to 13.0% for period ended Mar 2021 vis-vis 2.0% for period ended Mar 2020, expansion of 1100.0 bps.
Net Profit reported at Rs 42.0 cr for period ended Mar 2021 vis-vis sales of Rs -99.0 cr for the period ended Mar 2020, rising 0%.
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 9.0% compared to -16.0% over the last 3 Years. – The stock has given a return of 137% on a 1 Year basis vis-vis a return of 15% over the last 3 Years. – The compounded sales growth on a TTM bassis is -12% vis-vis a compounded sales growth of 1% over the last 3 Years. – The compounded profit growth on a TTM basis is 142% vis-vis a compounded profit growth of 42% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Jun 2021 fii holding stood at 10.64% vis-vis 10.52% for Mar 2021 – Public shareholding has remained largely constant. The Jun 2021 public holding stood at 52.83% vis-vis 52.74% for Mar 2021
Conclusion
– has reduced debt.
– is expected to give good quarter – has a low return on equity of -15.55% for last 3 years.
-‘s cost of borrowing seems high
