ScoreWhy is Megastar Foods Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 9.27%
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 7.29 times
2
With a growth in Net Profit of 47.17%, the company declared Very Positive results in Sep 25
- The company has declared positive results for the last 2 consecutive quarters
- NET SALES(Q) Highest at Rs 137.97 cr
- PBT LESS OI(Q) Highest at Rs 3.31 cr.
- PAT(Q) Highest at Rs 2.34 cr.
3
With ROCE of 9, it has a Fair valuation with a 1.7 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 5.94%, its profits have risen by 38.4% ; the PEG ratio of the company is 1.3
4
Majority shareholders : Promoters
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Megastar Foods should be less than 10%
- Overall Portfolio exposure to FMCG should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in FMCG)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Megastar Foods for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Megastar Foods
27.76%
0.10
57.42%
Sensex
-4.3%
0.44
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
30.52%
EBIT Growth (5y)
30.85%
EBIT to Interest (avg)
2.41
Debt to EBITDA (avg)
8.41
Net Debt to Equity (avg)
1.68
Sales to Capital Employed (avg)
1.83
Tax Ratio
25.96%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
2.85%
ROCE (avg)
9.78%
ROE (avg)
12.29%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
35
Industry P/E
45
Price to Book Value
3.02
EV to EBIT
17.54
EV to EBITDA
13.10
EV to Capital Employed
1.75
EV to Sales
0.91
PEG Ratio
0.22
Dividend Yield
NA
ROCE (Latest)
8.95%
ROE (Latest)
5.85%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Sideways
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Bullish
Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend25What is working for the Company
PBT LESS OI(Q)
Highest at Rs 3.55 cr.
PAT(Q)
Highest at Rs 3.06 cr.
NET SALES(Q)
Highest at Rs 141.21 cr
EPS(Q)
Highest at Rs 2.71
-1What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Megastar Foods
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 3.55 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 3.06 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 141.21 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 141.21 cr has Grown at 23.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 114.85 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 2.71
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
