Why is Foseco India Ltd. ?
1
High Management Efficiency with a high ROE of 19.68%
2
Company has a low Debt to Equity ratio (avg) at 0 times
3
Healthy long term growth as Operating profit has grown by an annual rate 45.79%
4
Flat results in Sep 25
- DEBTORS TURNOVER RATIO(HY) Lowest at 4.30 times
- EPS(Q) Lowest at Rs 25.81
5
With ROE of 22.3, it has a Very Expensive valuation with a 8.8 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 13.91%, its profits have risen by 18.8% ; the PEG ratio of the company is 2.1
6
Majority shareholders : Promoters
7
Consistent Returns over the last 3 years
- Along with generating 13.91% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
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 Specialty Chemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Foseco India for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Foseco India
31.87%
0.31
44.23%
Sensex
-4.3%
0.43
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
19.19%
EBIT Growth (5y)
45.49%
EBIT to Interest (avg)
65.96
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.78
Sales to Capital Employed (avg)
1.64
Tax Ratio
27.44%
Dividend Payout Ratio
21.86%
Pledged Shares
0
Institutional Holding
0.69%
ROCE (avg)
99.18%
ROE (avg)
20.06%
Valuation Key Factors 
Factor
Value
P/E Ratio
42
Industry P/E
37
Price to Book Value
9.40
EV to EBIT
33.06
EV to EBITDA
30.01
EV to Capital Employed
38.99
EV to Sales
5.27
PEG Ratio
NA
Dividend Yield
0.46%
ROCE (Latest)
117.93%
ROE (Latest)
22.13%
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Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bearish
Dow Theory
Mildly Bullish
No Trend
OBV
Bullish
No Trend
Technical Movement
2What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 289.50 cr
-4What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 4.30 times
PBT LESS OI(Q)
At Rs 21.59 cr has Fallen at -8.7% (vs previous 4Q average
PAT(Q)
At Rs 18.77 cr has Fallen at -9.1% (vs previous 4Q average
EPS(Q)
Lowest at Rs 20.60
Loading Valuation Snapshot...
Here's what is working for Foseco India
Cash and Cash Equivalents - Half Yearly
Highest at Rs 289.50 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 Foseco India
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 21.59 cr has Fallen at -8.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 23.64 CrMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 18.77 cr has Fallen at -9.1% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 20.64 CrMOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 20.60
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
Debtors Turnover Ratio- Half Yearly
Lowest at 4.30 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio