Mehabe score: 6 G Factor: 6 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 6 and Piotski score of 6.
Description
Security & Intelligence Serv.(India)is directly and indirectly engaged in rendering security and related services consisting of manned guarding, training, and indirectly engaged in paramedic and emergency response services; loss prevention, asset protection and mobile patrols; facility management services consisting of cleaning, housekeeping and pest control management services in the areas of facility management; cash logistics services consisting of cash-in-transit, ATM cash replenishment activities and secure transportation of precious items and bullion; and alarm monitoring and response services consisting of trading and installation of electronic security devices and systems through its subsidiaries, joint ventures and associates.(Source : 202003-01 Annual Report Page No:101)Site:SIS
Market Cap:
Rs 6,340 cr
Price:
427.0
Trading pe:
11.0x
Book-value:
123/share
Div yield:
0.47 %
Earning yield:
13.81%
Face-value:
5.00/share
52week high:
478.00
52week low:
313.65
Technical Analysis
Stock trades at 427.0, above its 50dma 401.41. It also trades above its 200dma 403.09. The stock remains bullish on techicals
The 52 week high is at 478.00 and the 52week low is at 313.65
Price Chart
P/E Chart
Sales and Margin
Strengths
– has delivered good profit growth of 49.98% CAGR over last 5 years
Weakness
– Promoter holding has decreased over last quarter: -0.46%
Competition
– The industry trades at a mean P/E of 26.8x. Affle India trades at the industry’s max P/E of 105.89x. SIS trades at a P/E of 11.0x
– Industry’s mean G-Factor is 4.5 while the mean Piotski score is 9.0. SIS has a G-Factor of 6 and Piotski scoreof 6.
– Average 1 month return for industry is 13.6%. The max 1- month return was given by Jubilant Ingrevia: a return of 37.23 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 2445.0 cr compared to Rs 2210.0 cr for period ended Mar 2020, a rise of 10.6%
Operating Profits reported at Rs 123.0 cr for period ended Mar 2021 vis-vis 136.0 for period ended Mar 2020 .
Operating Margins contracted -112.3 bps for period ended Mar 2021 vis-vis Mar 2020 .
The EPS for Mar 2021 was Rs 6.9 compared to Rs 6.68 for previous quarter ended Dec 2020 and Rs -0.28 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 9127.0 cr for period ended Mar 2021 vis-vis sales of Rs 8485.0 cr for the period ended Mar 2020, a growth of 7.0%. The 3 year sales cagr stood at 16.1%.
Net Profit reported at Rs 365.0 cr for period ended Mar 2021 vis-vis sales of Rs 225.0 cr for the period ended Mar 2020, rising 38.4%.
Company recorded a healthy Net Profit CAGR of 31.1% 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 640.0 cr for period ended Mar 2021 vis-vis Rs 201.0 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 36.0% compared to 25.0% over the last 3 Years. – The stock has given a return of 8% on a 1 Year basis vis-vis a return of -11% over the last 3 Years. – The compounded sales growth on a TTM bassis is 8% vis-vis a compounded sales growth of 16% over the last 3 Years. – The compounded profit growth on a TTM basis is 155% vis-vis a compounded profit growth of 52% over the last 3 Years.
Ratios
Shareholding Pattern
– FII shareholding has remained largely constant. The Mar 2021 fii holding stood at 11.45% vis-vis 12.32% for Dec 2020 – Public shareholding has remained largely constant. The Mar 2021 public holding stood at 9.24% vis-vis 7.63% for Dec 2020
Conclusion
– has delivered good profit growth of 49.98% CAGR over last 5 years – Promoter holding has decreased over last quarter: -0.46%
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 above its 50 DMA 401.41 and is trading at 427.0, thus bullish price action wise.
