Mehabe score: 7 G Factor: 5 Piotski Score: 8 The stock has a rating . 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 8.
Description
The company manufactures CPVC and UPVC pipes and fittings for industrial and domestic applications. It offers piping systems and fittings in the segments such as plumbing, sewage, agriculture and borewell. #Site:PRINCEPIPEMain Symbol:PRINCEPIPE
Stock trades at 701.0, above its 50dma 679.53. It also trades above its 200dma 497.8. The stock remains bullish on techicals
The 52 week high is at 794.85 and the 52week low is at 114.85
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
– is almost debt free.
– has delivered good profit growth of 49.49% CAGR over last 5 years
Weakness
– Stock is trading at 7.40 times its book value
Competition
– The industry trades at a mean P/E of 30.3x. Astral trades at the industry’s max P/E of 108.74x. PRINCEPIPE trades at a P/E of 34.8x
– Industry’s mean G-Factor is 4.9 while the mean Piotski score is 9.0. PRINCEPIPE has a G-Factor of 5 and Piotski scoreof 8.
– Average 1 month return for industry is 1.9%. The max 1- month return was given by Nilkamal Ltd: a return of 26.45 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 331.0 cr compared to Rs 302.0 cr for period ended Jun 2020, a rise of 9.6%
Operating Profits reported at Rs 41.0 cr for period ended Jun 2021 vis-vis 32.0 for period ended Jun 2020 .
Operating Margins expanded 179.1 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 1.61 compared to Rs 8.84 for previous quarter ended Mar 2021 and Rs 1.02 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 2100.0 cr for period ended TTM vis-vis sales of Rs 2072.0 cr for the period ended Mar 2021, a growth of 1.3%. The 3 year sales cagr stood at 10.1%.
Operating margins expanded to 18.0% for period ended TTM vis-vis 17.0% for period ended Mar 2021, expansion of 100.0 bps.
Net Profit reported at Rs 228.0 cr for period ended TTM vis-vis sales of Rs 222.0 cr for the period ended Mar 2021, rising 2.6%.
Company recorded a healthy Net Profit CAGR of 40.6% 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 307.0 cr for period ended Mar 2021 vis-vis Rs -155.0 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 had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 24.0% compared to 22.0% over the last 3 Years. – The stock has given a return of 502% on a 1 Year basis vis-vis a return of % over the last 3 Years. – The compounded sales growth on a TTM bassis is 27% vis-vis a compounded sales growth of 16% over the last 3 Years. – The compounded profit growth on a TTM basis is 95% vis-vis a compounded profit growth of 45% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Jun 2021 fii holding stood at 3.05% vis-vis 2.43% for Mar 2021 – Public shareholding has risen for the period ended Jun 2021. The Jun 2021 public holding stood at 21.24% vis-vis 18.72% for Mar 2021
Conclusion
– has reduced debt.
– is almost debt free.
– has delivered good profit growth of 49.49% CAGR over last 5 years – Stock is trading at 7.40 times its book value
