ScoreWhy is Avantel Ltd ?
1
With a fall in Net Profit of -67.34%, the company declared Very Negative results in Sep 25
- The company has declared negative results for the last 3 consecutive quarters
- The company has declared negative results in Mar 25 after 2 consecutive negative quarters
- OPERATING PROFIT TO INTEREST(Q) Lowest at 8.98 times
- PAT(Q) At Rs 4.27 cr has Fallen at -67.3% (vs previous 4Q average)
- NET SALES(Q) At Rs 55.42 cr has Fallen at -11.1% (vs previous 4Q average)
2
With ROE of 10.4, it has a Very Expensive valuation with a 12.6 Price to Book Value
- 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 -5.80%, its profits have fallen by -42.7%
3
Despite the size of the company, domestic mutual funds hold only 0% 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
Real-Time Research ReportHow 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 Aerospace & Defense)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Avantel for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Avantel
25.56%
-0.10
56.26%
Sensex
8.49%
0.44
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
24.28%
EBIT Growth (5y)
7.42%
EBIT to Interest (avg)
15.21
Debt to EBITDA (avg)
0.44
Net Debt to Equity (avg)
-0.06
Sales to Capital Employed (avg)
1.07
Tax Ratio
36.86%
Dividend Payout Ratio
8.67%
Pledged Shares
0
Institutional Holding
0.60%
ROCE (avg)
36.43%
ROE (avg)
23.86%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
248
Industry P/E
30
Price to Book Value
12.53
EV to EBIT
141.73
EV to EBITDA
87.86
EV to Capital Employed
13.24
EV to Sales
19.38
PEG Ratio
NA
Dividend Yield
0.13%
ROCE (Latest)
16.50%
ROE (Latest)
10.40%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 49.56 cr
-32What is not working for the Company
OPERATING PROFIT TO INTEREST(Q)
Lowest at 7.09 times
PAT(Q)
At Rs 2.74 cr has Fallen at -67.4% (vs previous 4Q average
ROCE(HY)
Lowest at 14.74%
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.18 times
NET SALES(Q)
At Rs 51.72 cr has Fallen at -9.0% (vs previous 4Q average
INTEREST(Q)
Highest at Rs 1.77 cr
EPS(Q)
Lowest at Rs 0.10
Loading Valuation Snapshot...
Here's what is working for Avantel
Cash and Cash Equivalents - Half Yearly
Highest at Rs 49.56 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 Avantel
Operating Profit to Interest - Quarterly
Lowest at 7.09 times and Fallen
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Profit After Tax (PAT) - Quarterly
At Rs 2.74 cr has Fallen at -67.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 8.42 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Interest - Quarterly
At Rs 1.77 cr has Grown at 40.48%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Net Sales - Quarterly
At Rs 51.72 cr has Fallen at -9.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 56.82 CrMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Interest - Quarterly
Highest at Rs 1.77 cr
in the last five quarters and Increased by 40.48 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 0.10
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Lowest at 2.18 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
