Why is Kirloskar Oil Engines Ltd ?
1
Healthy long term growth as Operating profit has grown by an annual rate 42.41%
2
Positive results in Sep 25
- OPERATING PROFIT TO INTEREST(Q) Highest at 2.81 times
- CASH AND CASH EQUIVALENTS(HY) Highest at Rs 1,008.03 cr
- NET SALES(Q) Highest at Rs 1,948.38 cr
3
With ROCE of 14.8, it has a Attractive valuation with a 2.6 Enterprise value to Capital Employed
- 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 5.45%, its profits have fallen by -7%
4
High Institutional Holdings at 36.33%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 0.65% over the previous quarter.
5
Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks
- It is ranked 13 across all Small Cap and 40 across the entire market
How much should you buy?
- Overall Portfolio exposure to Kirloskar Oil should be less than 10%
- Overall Portfolio exposure to Compressors, Pumps & Diesel Engines should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Compressors, Pumps & Diesel Engines)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Kirloskar Oil for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Kirloskar Oil
89.95%
0.13
42.20%
Sensex
-4.3%
0.44
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
19.29%
EBIT Growth (5y)
37.23%
EBIT to Interest (avg)
2.82
Debt to EBITDA (avg)
4.02
Net Debt to Equity (avg)
1.24
Sales to Capital Employed (avg)
0.93
Tax Ratio
27.09%
Dividend Payout Ratio
19.29%
Pledged Shares
0
Institutional Holding
36.66%
ROCE (avg)
14.14%
ROE (avg)
14.23%
Valuation Key Factors 
Factor
Value
P/E Ratio
37
Industry P/E
49
Price to Book Value
5.94
EV to EBIT
20.36
EV to EBITDA
17.89
EV to Capital Employed
3.21
EV to Sales
3.30
PEG Ratio
2.92
Dividend Yield
0.47%
ROCE (Latest)
14.82%
ROE (Latest)
14.47%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Movement
11What is working for the Company
PAT(Latest six months)
At Rs 290.84 cr has Grown at 50.78%
NET SALES(Latest six months)
At Rs 3,820.98 cr has Grown at 29.16%
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 1,008.03 cr
-2What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 8.48 times
Loading Valuation Snapshot...
Here's what is working for Kirloskar Oil
Profit After Tax (PAT) - Latest six months
At Rs 290.84 cr has Grown at 50.78%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Latest six months
At Rs 3,820.98 cr has Grown at 29.16%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Cash and Cash Equivalents - Half Yearly
Highest at Rs 1,008.03 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 Kirloskar Oil
Debtors Turnover Ratio- Half Yearly
Lowest at 8.48 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio