Mehabe score: 3 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
Shree Renuka Sugars Limited is an agri-business and bio-energy company. The Company is engaged in the business of sugar manufacturing, sugar refining, sugar trading, ethanol and co-generation.Site:RENUKA
Market Cap:
Rs 7,248 cr
Price:
34.0
Trading pe:
x
Book-value:
-2.81/share
Div yield:
0.00 %
Earning yield:
2.60%
Face-value:
1.00/share
52week high:
32.45
52week low:
8.05
Technical Analysis
Stock trades at 34.0, above its 50dma 18.75. It also trades above its 200dma 12.82. The stock remains bullish on techicals
The 52 week high is at 32.45 and the 52week low is at 8.05
Price Chart
P/E Chart
Sales and Margin
Strengths
–
Weakness
– has low interest coverage ratio.
-The company has delivered a poor sales growth of -10.52% over past five years.
Competition
– The industry trades at a mean P/E of 15.3x. Bannari Amm.Sug. trades at the industry’s max P/E of 24.77x. RENUKA trades at a P/E of x
– Industry’s mean G-Factor is 3.6 while the mean Piotski score is 8.0. RENUKA has a G-Factor of 5 and Piotski scoreof 7.
– Average 1 month return for industry is 30.7%. The max 1- month return was given by Sh.Renuka Sugar: a return of 106.36 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 1320.0 cr compared to Rs 1432.0 cr for period ended Mar 2020, a fall of 7.8%
Operating Profits reported at Rs 250.0 cr for period ended Mar 2021 vis-vis 66.0 for period ended Mar 2020 .
Operating Margins expanded 1433.0 bps for period ended Mar 2021 vis-vis Mar 2020 .
The EPS for Mar 2021 was Rs -0.21 compared to Rs -0.66 for previous quarter ended Dec 2020 and Rs -0.76 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 5648.0 cr for period ended Mar 2021 vis-vis sales of Rs 4876.0 cr for the period ended Mar 2020, a healthy growth of 13.7%. The 3 year sales cagr stood at -3.3%.
Net Profit reported at Rs -115.0 cr for period ended Mar 2021 vis-vis sales of Rs 2099.0 cr for the period ended Mar 2020, falling 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 235% on a 1 Year basis vis-vis a return of 39% over the last 3 Years. – The compounded sales growth on a TTM bassis is 16% vis-vis a compounded sales growth of -3% over the last 3 Years. – The compounded profit growth on a TTM basis is -105% vis-vis a compounded profit growth of 25% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Mar 2021 fii holding stood at 1.42% vis-vis 1.39% for Dec 2020 – Public shareholding has risen for the period ended Mar 2021. The Mar 2021 public holding stood at 17.83% vis-vis 15.15% for Dec 2020
Conclusion
– – has low interest coverage ratio.
-The company has delivered a poor sales growth of -10.52% over past five 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 18.75 and is trading at 34.0, thus bullish price action wise.
