Mehabe score: 2 G Factor: 5 Piotski Score: 5 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 5.
Description
Univastu India is an ISO 9001:2015 certified construction company and we provide integrated engineering, procurement and construction services (EPC) for civil & Structural construction and infrastructure sector projects.Site:UNIVASTUMain Symbol:www.nseindia.com
Stock trades at 44.5, below its 50dma 48.49. However it is trading above its 200dma 40.58. The stock remains weak in the short term due to near term bearish momentum. However overall bullish structure remains intact. Price action will further build up as it moves above its dma50, currently situated at 48.49.
The 52 week high is at 62.50 and the 52week low is at 26.50
Price Chart
P/E Chart
Sales and Margin
Strengths
– is expected to give good quarter
– has delivered good profit growth of 72.90% CAGR over last 5 years
– has a good return on equity (ROE) track record: 3 Years ROE 27.39%
Weakness
– Though the company is reporting repeated profits, it is not paying out dividend
– has high debtors of 471.07 days.
Competition
– The industry trades at a mean P/E of 34.0x. Macrotech Devel. trades at the industry’s max P/E of 422.69x. UNIVASTU trades at a P/E of 3.95x
– Industry’s mean G-Factor is 4.6 while the mean Piotski score is 7.0. UNIVASTU has a G-Factor of 5 and Piotski scoreof 5.
– Average 1 month return for industry is 18.1%. The max 1- month return was given by National Standar: a return of 153.61 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 18.47 cr compared to Rs 6.58 cr for period ended Jun 2020, a rise of 180.7%
Operating Profits reported at Rs 5.75 cr for period ended Jun 2021 vis-vis 1.5 for period ended Jun 2020 .
Operating Margins expanded 833.5 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 2.99 compared to Rs 6.68 for previous quarter ended Mar 2021 and Rs 0.13 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 63.0 cr for period ended TTM vis-vis sales of Rs 51.0 cr for the period ended Mar 2021, a healthy growth of 19.0%. The 3 year sales cagr stood at -14.6%.
Operating margins shrank to 39.0% for period ended TTM vis-vis 40.0% for period ended Mar 2021, contraction of 100.0 bps.
Net Profit reported at Rs 13.0 cr for period ended TTM vis-vis sales of Rs 10.0 cr for the period ended Mar 2021, rising 23.1%.
Company recorded a healthy Net Profit CAGR of 37.5% over the last 3 years
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 company has improved its Return on Equity (RoE) metric. The RoE on Last Year basis was 34.0% compared to 27.0% over the last 3 Years. – The stock has given a return of 37% on a 1 Year basis vis-vis a return of -1% over the last 3 Years. – The compounded sales growth on a TTM bassis is -28% vis-vis a compounded sales growth of -14% over the last 3 Years. – The compounded profit growth on a TTM basis is 239% vis-vis a compounded profit growth of 51% over the last 3 Years.
Ratios
Conclusion
– is expected to give good quarter
– has delivered good profit growth of 72.90% CAGR over last 5 years
– has a good return on equity (ROE) track record: 3 Years ROE 27.39% – Though the company is reporting repeated profits, it is not paying out dividend
– has high debtors of 471.07 days.
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 below its 50 DMA 48.49 and is trading at 44.5. Shows a near term lack of buying interest.
