Why is Foseco India Ltd. ?
1
Flat results in Mar 26
- DEBTORS TURNOVER RATIO(HY) Lowest at 4.30 times
2
With ROE of 8.1, it has a Very Expensive valuation with a 3.8 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 14.07%, its profits have risen by 6.6%
3
Despite the size of the company, domestic mutual funds hold only 1.56% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Specialty Chemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Foseco India for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Foseco India
12.2%
0.28
50.49%
Sensex
-5.16%
-0.39
13.26%
Quality key factors
Factor
Value
Sales Growth (5y)
18.25%
EBIT Growth (5y)
38.75%
EBIT to Interest (avg)
69.09
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.29
Sales to Capital Employed (avg)
1.64
Tax Ratio
27.40%
Dividend Payout Ratio
25.05%
Pledged Shares
0
Institutional Holding
0.66%
ROCE (avg)
99.18%
ROE (avg)
17.21%
Valuation Key Factors 
Factor
Value
P/E Ratio
41
Industry P/E
42
Price to Book Value
3.83
EV to EBIT
37.47
EV to EBITDA
34.04
EV to Capital Employed
4.97
EV to Sales
5.95
PEG Ratio
NA
Dividend Yield
0.47%
ROCE (Latest)
13.00%
ROE (Latest)
8.09%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bullish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bearish
No Trend
Technical Movement
6What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 289.50 cr
NET SALES(Q)
Highest at Rs 162.70 cr
PBDIT(Q)
Highest at Rs 29.29 cr.
PBT LESS OI(Q)
Highest at Rs 26.83 cr.
PAT(Q)
Highest at Rs 23.96 cr.
-1What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.30 times
Loading Valuation Snapshot...
Here's what is working for Foseco India
Net Sales - Quarterly
Highest at Rs 162.70 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 29.29 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 26.83 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 23.96 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 289.50 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Foseco India
Debtors Turnover Ratio- Half Yearly
Lowest at 4.30 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 5.43 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income