ScoreWhy is Megastar Foods Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 9.27%
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.29 times
2
With a growth in Net Profit of 47.17%, the company declared Very Positive results in Sep 25
- The company has declared positive results for the last 2 consecutive quarters
- NET SALES(Q) Highest at Rs 137.97 cr
- PBT LESS OI(Q) Highest at Rs 3.31 cr.
- PAT(Q) Highest at Rs 2.34 cr.
3
With ROCE of 9, it has a Fair valuation with a 1.7 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 5.94%, its profits have risen by 38.4% ; the PEG ratio of the company is 1.3
4
Majority shareholders : Promoters
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Megastar Foods should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Megastar Foods for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Megastar Foods
28.91%
0.10
57.42%
Sensex
-4.95%
0.44
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
30.16%
EBIT Growth (5y)
25.94%
EBIT to Interest (avg)
2.45
Debt to EBITDA (avg)
7.94
Net Debt to Equity (avg)
1.19
Sales to Capital Employed (avg)
1.88
Tax Ratio
25.14%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
3.98%
ROCE (avg)
9.97%
ROE (avg)
11.76%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
38
Industry P/E
46
Price to Book Value
3.43
EV to EBIT
18.12
EV to EBITDA
13.47
EV to Capital Employed
2.11
EV to Sales
0.89
PEG Ratio
0.25
Dividend Yield
NA
ROCE (Latest)
11.65%
ROE (Latest)
9.01%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bullish
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend21What is working for the Company
PAT(Latest six months)
At Rs 5.30 cr has Grown at 201.14%
ROCE(HY)
Highest at 11.43%
DEBTORS TURNOVER RATIO(HY)
Highest at 10.83 times
NET SALES(Q)
Highest at Rs 146.06 cr
PBDIT(Q)
Highest at Rs 9.86 cr.
-4What is not working for the Company
INTEREST(Q)
At Rs 4.70 cr has Grown at 30.19%
Loading Valuation Snapshot...
Here's what is working for Megastar Foods
Profit After Tax (PAT) - Latest six months
At Rs 5.30 cr has Grown at 201.14%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 146.06 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 9.86 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Highest at 10.83 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Here's what is not working for Megastar Foods
Interest - Quarterly
At Rs 4.70 cr has Grown at 30.19%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
