Mehabe score: 1 G Factor: 2 Piotski Score: 2 The stock has a rating SELL. 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 2 and Piotski score of 2.
Description
Jyoti Structures Limited is in the business of execution of projects relating to power transmission and distribution. The Company is engaged in the manufacturing of transmission line towers, sub-station structures, antenna towers/masts and railway electrification structures. Site:JYOTISTRUC Main Symbol:JYOTISTRUC
Stock trades at 19.2, below its 50dma 19.9. However it is trading above its 200dma 16.23. 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 19.9.
The 52 week high is at 25.95 and the 52week low is at 4.10
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
Weakness
– has low interest coverage ratio.
-Contingent liabilities of Rs.1942.64 Cr.
-‘s cost of borrowing seems high
Competition
– The industry trades at a mean P/E of 17.8x. K E C Intl. trades at the industry’s max P/E of 23.0x. JYOTISTRUC trades at a P/E of x
– Industry’s mean G-Factor is 3.3 while the mean Piotski score is 7.0. JYOTISTRUC has a G-Factor of 2 and Piotski scoreof 2.
– Average 1 month return for industry is -8.7%. The max 1- month return was given by Kalpataru Power: a return of -4.73 %
Quarterly Results
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Company reported negative operating profit of Rs -12.0 cr for period ended Dec 2021. For same period last year, operating profit was -8.0.
The EPS for quarter ended Dec 2021 is Rs -0.21 compared to Rs -33.82 for previous quarter ended Sep 2021 and Rs -34.75 for Dec 2020.
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 2.0 cr for period ended TTM vis-vis sales of Rs 0.0 cr for the period ended Mar 2021, a growth of 0%. The 3 year sales cagr stood at -77.8%.
Net Profit reported at Rs -1353.0 cr for period ended TTM vis-vis sales of Rs -1759.0 cr for the period ended Mar 2021, rising 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities: Rs -2.0 cr for period ended Mar 2021 vis-vis Rs -4.0 cr for period ended Mar 2020
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The stock has given a return of 335% on a 1 Year basis vis-vis a return of 122% over the last 3 Years. – The compounded sales growth on a TTM bassis is -1268% vis-vis a compounded sales growth of % over the last 3 Years. – The compounded profit growth on a TTM basis is 43% vis-vis a compounded profit growth of 17% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has fallen for the period ended Dec 2021. The Dec 2021 public holding stood at 89.57% vis-vis 99.84% for Sep 2021
Conclusion
– has reduced debt. – has low interest coverage ratio.
-Contingent liabilities of Rs.1942.64 Cr.
-‘s cost of borrowing seems high
Fundamentally, the stock remains weak. The business fundamentals are on shaky ground. Weak near term results have dampened and questioned business drivers. We suggest to wait for a upturn in business performance.
Technically, the stock reflects the poor fundamentals. The stock remains below its 50 DMA 19.9 and is trading at 19.2. It has shown near term lack of bullish momentum. We suggest to observe price action. However as investors, who like to avoid timing the markets, we suggest to avoid the stock
