ScoreWhy is Purple Finance Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 0%
- Poor long term growth as Operating profit has grown by an annual rate of -213.98%
2
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -5.28%, its profits have fallen by -104%
3
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -7.1% over the previous quarter and currently hold 43.14% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
4
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -5.28% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Purple Finance should be less than 10%
- Overall Portfolio exposure to Non Banking Financial Company (NBFC) should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Non Banking Financial Company (NBFC))
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Purple Finance for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Purple Finance
47.73%
-0.10
50.58%
Sensex
-4.95%
0.44
11.83%
Management Risk
Growth
Capital StructureValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Industry P/E
21
Price to Book Value
3.08
EV to EBIT
166.27
EV to EBITDA
92.73
EV to Capital Employed
2.20
EV to Sales
9.94
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
-4.83%
ROE (Latest)
-5.18%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
Bearish
Bearish
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Dow Theory
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend22What is working for the Company
NET SALES(Q)
Highest at Rs 17.00 cr
PBDIT(Q)
Highest at Rs 4.52 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 26.59%
PBT LESS OI(Q)
Highest at Rs 0.25 cr.
PAT(Q)
Highest at Rs 0.02 cr.
EPS(Q)
Highest at Rs 0.00
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Purple Finance
Net Sales - Quarterly
At Rs 17.00 cr has Grown at 84.3% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 9.23 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Net Sales - Quarterly
Highest at Rs 17.00 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 4.52 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 26.59%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 0.25 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 0.02 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 0.00
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
