Why is Asahi Songwon Colors Ltd ?
1
Weak Long Term Fundamental Strength with a -1.67% CAGR growth in Operating Profits over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 3.52 times
- The company has been able to generate a Return on Equity (avg) of 5.48% signifying low profitability per unit of shareholders funds
2
Negative results in Sep 25
- PAT(Latest six months) At Rs 5.41 cr has Grown at -39.96%
- NET SALES(Q) Lowest at Rs 120.90 cr
- PBDIT(Q) Lowest at Rs 9.49 cr.
3
Below par performance in long term as well as near term
- Along with generating -37.50% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
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 Dyes And Pigments)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Asahi Songwon for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Asahi Songwon
-20.45%
-0.73
51.24%
Sensex
8.49%
0.44
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
15.53%
EBIT Growth (5y)
-5.75%
EBIT to Interest (avg)
2.33
Debt to EBITDA (avg)
2.84
Net Debt to Equity (avg)
0.52
Sales to Capital Employed (avg)
1.18
Tax Ratio
29.62%
Dividend Payout Ratio
2.94%
Pledged Shares
0
Institutional Holding
0.30%
ROCE (avg)
5.47%
ROE (avg)
5.48%
Valuation Key Factors 
Factor
Value
P/E Ratio
17
Industry P/E
31
Price to Book Value
1.03
EV to EBIT
13.97
EV to EBITDA
8.44
EV to Capital Employed
1.02
EV to Sales
0.73
PEG Ratio
2.17
Dividend Yield
0.67%
ROCE (Latest)
7.69%
ROE (Latest)
6.27%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
Bearish
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bearish
Mildly Bearish
Technical Movement
1What is working for the Company
DEBT-EQUITY RATIO(HY)
Lowest at 0.55 times
-8What is not working for the Company
PAT(Latest six months)
At Rs 4.73 cr has Grown at -31.84%
NET SALES(Q)
Lowest at Rs 120.65 cr
Loading Valuation Snapshot...
Here's what is working for Asahi Songwon
Debt-Equity Ratio - Half Yearly
Lowest at 0.55 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Asahi Songwon
Net Sales - Quarterly
At Rs 120.65 cr has Fallen at -13.4% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 139.31 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Profit After Tax (PAT) - Latest six months
At Rs 4.73 cr has Grown at -31.84%
Year on Year (YoY)MOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 120.65 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)