Mehabe score: 2 G Factor: 4 Piotski Score: 6 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 4 and Piotski score of 6.
Description
Gujarat Intrux is engaged in the business of Manufacturing and supply of stainless steel, Non- Alloy Steel and alloy steel Castings. Site:GUJINTRX Main Symbol:GUJINTRX
Stock trades at 119.0, below its 50dma 667.4 and below its 200dma 616.9. The stock remains bearish on technicals
The 52 week high is at 786.65 and the 52week low is at 357.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
-Stock is trading at 0.79 times its book value
– has been maintaining a healthy dividend payout of 21.29%
-Debtor days have improved from 86.62 to 68.43 days.
Weakness
– The company has delivered a poor sales growth of -4.11% over past five years.
– has a low return on equity of 9.37% for last 3 years.
Competition
– The industry trades at a mean P/E of 14.9x. Apollo Tricoat trades at the industry’s max P/E of 31.34x. GUJINTRX trades at a P/E of 13.8x
– Industry’s mean G-Factor is 5.1 while the mean Piotski score is 9.0. GUJINTRX has a G-Factor of 4 and Piotski scoreof 6.
– Average 1 month return for industry is -0.3%. The max 1- month return was given by Godawari Power: a return of 9.58 %
Quarterly Results
Sales for period ended Dec 2021 is Rs 11.38 cr compared to Rs 9.04 cr for period ended Dec 2020, a rise of 25.9% .
vis-vis 1.32 for period ended Dec 2020 .
Operating Margins contracted -528.7 bps for period ended Dec 2021 vis-vis Dec 2020.
Company reported operating profit of Rs 1.06 cr for period ended Dec 2021 and operating profit margin at 9.3 % for same period.
The EPS for quarter ended Dec 2021 is Rs 1.8 compared to Rs 2.47 for previous quarter ended Sep 2021 and Rs 2.74 for Dec 2020.
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 37.26 cr for period ended TTM vis-vis sales of Rs 33.71 cr for the period ended Mar 2021, a growth of 9.5%. The 3 year sales cagr stood at -2.1%.
Operating margins shrank to 11.65% for period ended TTM vis-vis 16.85% for period ended Mar 2021, contraction of 520.0 bps.
Net Profit reported at Rs 2.63 cr for period ended TTM vis-vis sales of Rs 3.87 cr for the period ended Mar 2021, falling 47.1%.
Company reported a poor Net Profit CAGR of -15.8% 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 6.12 cr for period ended Mar 2021 vis-vis Rs 3.99 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 had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 8.0% compared to 9.0% over the last 3 Years. – The stock has given a return of 14% 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 -15% vis-vis a compounded sales growth of -2% over the last 3 Years. – The compounded profit growth on a TTM basis is -34% vis-vis a compounded profit growth of 4% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Dec 2021 public holding stood at 42.39% vis-vis 42.39% for Sep 2021
Conclusion
– is almost debt free.
-Stock is trading at 0.79 times its book value
– has been maintaining a healthy dividend payout of 21.29%
-Debtor days have improved from 86.62 to 68.43 days. – The company has delivered a poor sales growth of -4.11% over past five years.
– has a low return on equity of 9.37% 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 below its 50 DMA 667.4 and is trading at 119.0. Shows a near term lack of buying interest.
