Mehabe score: 5 G Factor: 3 Piotski Score: 6 The stock has a rating OBSERVE & 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 3 and Piotski score of 6. Site:CYBERTECHMain Symbol:CYBERTECH
Stock trades at 192.0, above its 50dma 157.53. It also trades above its 200dma 125.33. The stock remains bullish on techicals
The 52 week high is at 208.45 and the 52week low is at 43.55
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
– has delivered good profit growth of 58.61% CAGR over last 5 years
– has been maintaining a healthy dividend payout of 19.73%
Weakness
– The company has delivered a poor sales growth of 10.07% over past five years.
-Tax rate seems low
Competition
– The industry trades at a mean P/E of 35.1x. Happiest Minds trades at the industry’s max P/E of 126.58x. CYBERTECH trades at a P/E of 22.0x
– Industry’s mean G-Factor is 3.6 while the mean Piotski score is 9.0. CYBERTECH has a G-Factor of 3 and Piotski scoreof 6.
– Average 1 month return for industry is 26.1%. The max 1- month return was given by Happiest Minds: a return of 53.72 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 33.43 cr compared to Rs 30.36 cr for period ended Jun 2020, a rise of 10.1%
Operating Profits reported at Rs 5.99 cr for period ended Jun 2021 vis-vis 6.99 for period ended Jun 2020 .
Operating Margins contracted -510.6 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 1.43 compared to Rs 1.01 for previous quarter ended Mar 2021 and Rs 1.88 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 121.0 cr for period ended TTM vis-vis sales of Rs 118.0 cr for the period ended Mar 2021, a growth of 2.5%. The 3 year sales cagr stood at 7.6%.
Operating margins shrank to 18.0% for period ended TTM vis-vis 19.0% for period ended Mar 2021, contraction of 100.0 bps.
Net Profit reported at Rs 23.0 cr for period ended TTM vis-vis sales of Rs 24.0 cr for the period ended Mar 2021, falling 4.3%.
Company recorded a healthy Net Profit CAGR of 32.0% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
CashFlow from operating activities: Rs 23.0 cr for period ended Mar 2021 vis-vis Rs 21.0 cr for period ended Mar 2020
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 23.0% compared to 17.0% over the last 3 Years. – The stock has given a return of 260% on a 1 Year basis vis-vis a return of 57% over the last 3 Years. – The compounded sales growth on a TTM bassis is 4% vis-vis a compounded sales growth of 11% over the last 3 Years. – The compounded profit growth on a TTM basis is 86% vis-vis a compounded profit growth of 108% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 62.88% vis-vis 62.83% for Mar 2021
Conclusion
– is almost debt free.
– has delivered good profit growth of 58.61% CAGR over last 5 years
– has been maintaining a healthy dividend payout of 19.73% – The company has delivered a poor sales growth of 10.07% over past five years.
-Tax rate seems low
Fundamentally, the stock remains weak on business fundamentals. Weak near term results have dampened and questioned business drivers. We suggest to wait for a upturn in business performance.
Technically, the stock trades above its 50 DMA 157.53 and is trading at 192.0 It has shown near term bullish momentum contrary to business fundamentals. We suggest to observe price action. However as investors, who like to avoid timing the markets, we suggest to avoid the stock
