ScoreWhy is Eimco Elecon (India) Ltd ?
1
Poor Management Efficiency with a low ROE of 4.92%
- The company has been able to generate a Return on Equity (avg) of 4.92% signifying low profitability per unit of shareholders funds
2
With a fall in Net Sales of -50.81%, the company declared Very Negative results in Sep 25
- NET SALES(Q) At Rs 33.24 cr has Fallen at -45.6% (vs previous 4Q average)
- PBT LESS OI(Q) At Rs 2.62 cr has Fallen at -76.4% (vs previous 4Q average)
- PAT(Q) At Rs 5.35 cr has Fallen at -56.0% (vs previous 4Q average)
3
With ROE of 10, it has a Very Expensive valuation with a 2.4 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 -34.44%, its profits have fallen by -18.6%
4
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -24.68% over the previous quarter and currently hold 48.96% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
5
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 2.35% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -34.44% returns
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 Industrial Manufacturing)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Eimco Elecon(I) for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Eimco Elecon(I)
12.06%
-0.55
63.12%
Sensex
8.49%
0.44
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
13.81%
EBIT Growth (5y)
83.35%
EBIT to Interest (avg)
10.76
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.04
Sales to Capital Employed (avg)
0.46
Tax Ratio
19.85%
Dividend Payout Ratio
7.14%
Pledged Shares
0
Institutional Holding
4.40%
ROCE (avg)
5.67%
ROE (avg)
4.92%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
25
Industry P/E
30
Price to Book Value
2.53
EV to EBIT
29.66
EV to EBITDA
24.11
EV to Capital Employed
2.59
EV to Sales
4.23
PEG Ratio
NA
Dividend Yield
0.30%
ROCE (Latest)
8.72%
ROE (Latest)
9.98%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Bearish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
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 Trend2What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 5.53 times
PAT(Q)
At Rs 12.52 cr has Grown at 22.5% (vs previous 4Q average
-2What is not working for the Company
NON-OPERATING INCOME(Q)
is 36.93 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Eimco Elecon(I)
Profit After Tax (PAT) - Quarterly
At Rs 12.52 cr has Grown at 22.5% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 10.22 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Debtors Turnover Ratio- Half Yearly
Highest at 5.53 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 Eimco Elecon(I)
Non Operating Income - Quarterly
is 36.93 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
