Why is Netweb Technologies India Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 22.30%
- Healthy long term growth as Net Sales has grown by an annual rate of 63.44% and Operating profit at 61.43%
- Company has a low Debt to Equity ratio (avg) at 0 times
2
The company has declared Positive results for the last 9 consecutive quarters
- NET SALES(Latest six months) At Rs 604.93 cr has Grown at 51.09%
- PAT(Latest six months) At Rs 61.91 cr has Grown at 49.47%
- DPS(Y) Highest at Rs 2.50
3
With ROE of 23.3, it has a Very Expensive valuation with a 31.4 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 12.20%, its profits have risen by 38.9% ; the PEG ratio of the company is 3.5
4
Falling Participation by Institutional Investors
- Institutional investors have decreased their stake by -2.23% over the previous quarter and collectively hold 13.77% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
How much should you buy?
- Overall Portfolio exposure to Netweb Technol. should be less than 10%
- Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Netweb Technol. for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Netweb Technol.
90.63%
0.19
63.02%
Sensex
8.49%
0.44
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
77.12%
EBIT Growth (5y)
80.86%
EBIT to Interest (avg)
25.99
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.43
Sales to Capital Employed (avg)
1.88
Tax Ratio
25.62%
Dividend Payout Ratio
12.37%
Pledged Shares
0
Institutional Holding
12.85%
ROCE (avg)
42.55%
ROE (avg)
22.25%
Valuation Key Factors 
Factor
Value
P/E Ratio
102
Industry P/E
27
Price to Book Value
31.41
EV to EBIT
76.64
EV to EBITDA
72.44
EV to Capital Employed
54.35
EV to Sales
9.83
PEG Ratio
1.35
Dividend Yield
0.08%
ROCE (Latest)
54.46%
ROE (Latest)
30.73%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
Bullish
Technical Movement
32What is working for the Company
NET SALES(Q)
Highest at Rs 804.93 cr
PBDIT(Q)
Highest at Rs 97.95 cr.
PBT LESS OI(Q)
Highest at Rs 91.43 cr.
PAT(Q)
Highest at Rs 73.31 cr.
EPS(Q)
Highest at Rs 12.94
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Netweb Technol.
Net Sales - Quarterly
At Rs 804.93 cr has Grown at 137.9% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 338.39 CrMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 91.43 cr has Grown at 108.9% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 43.77 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 73.31 cr has Grown at 118.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 33.56 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 804.93 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 97.95 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 91.43 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 73.31 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 12.94
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)