Mehabe score: 4 G Factor: 5 Piotski Score: 7 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 5 and Piotski score of 7.
Description
PTC India is principally engaged in trading of power.Site:PTCMain Symbol:PTC
Stock trades at 103.0, above its 50dma 97.61. It also trades above its 200dma 83.33. The stock remains bullish on techicals
The 52 week high is at 110.80 and the 52week low is at 44.65
Price Chart
P/E Chart
Sales and Margin
Strengths
– Stock is trading at 0.69 times its book value
-Stock is providing a good dividend yield of 7.29%.
– has been maintaining a healthy dividend payout of 40.54%
Weakness
– has low interest coverage ratio.
-The company has delivered a poor sales growth of 6.41% over past five years.
-Promoter holding is low: 16.22%
– has a low return on equity of 10.28% for last 3 years.
Competition
– The industry trades at a mean P/E of 38.9x. Adani Enterp. trades at the industry’s max P/E of 132.12x. PTC trades at a P/E of 6.38x
– Industry’s mean G-Factor is 3.4 while the mean Piotski score is 7.0. PTC has a G-Factor of 5 and Piotski scoreof 7.
– Average 1 month return for industry is -4.6%. The max 1- month return was given by Adani Enterp.: a return of 8.83 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 4958.0 cr compared to Rs 4631.0 cr for period ended Jun 2020, a rise of 7.1%
Operating Profits reported at Rs 409.0 cr for period ended Jun 2021 vis-vis 404.0 for period ended Jun 2020 .
Operating Margins contracted -47.5 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 4.06 compared to Rs 2.32 for previous quarter ended Mar 2021 and Rs 3.07 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 18673.0 cr for period ended TTM vis-vis sales of Rs 18346.0 cr for the period ended Mar 2021, a growth of 1.8%. The 3 year sales cagr stood at 7.2%.
Net Profit reported at Rs 478.0 cr for period ended TTM vis-vis sales of Rs 449.0 cr for the period ended Mar 2021, rising 6.1%.
Company recorded a Net Profit CAGR of 4.0% 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 had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 11.0% compared to 10.0% over the last 3 Years. – The stock has given a return of 75% on a 1 Year basis vis-vis a return of 7% over the last 3 Years. – The compounded sales growth on a TTM bassis is 8% vis-vis a compounded sales growth of 13% over the last 3 Years. – The compounded profit growth on a TTM basis is 29% vis-vis a compounded profit growth of 32% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has risen for the period ended Jun 2021. The Jun 2021 fii holding stood at 34.29% vis-vis 31.95% for Mar 2021 – Public shareholding has remained largely constant. The Jun 2021 public holding stood at 39.4% vis-vis 39.26% for Mar 2021
Conclusion
– Stock is trading at 0.69 times its book value
-Stock is providing a good dividend yield of 7.29%.
– has been maintaining a healthy dividend payout of 40.54% – has low interest coverage ratio.
-The company has delivered a poor sales growth of 6.41% over past five years.
-Promoter holding is low: 16.22%
– has a low return on equity of 10.28% for last 3 years.
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 97.61 and is trading at 103.0, thus bullish price action wise.
