ScoreWhy is Shanthi Gears Ltd. ?
1
Negative results in Sep 25
- PBT LESS OI(Q) At Rs 22.74 cr has Fallen at -22.1% (vs previous 4Q average)
- INVENTORY TURNOVER RATIO(HY) Lowest at 0.72 times
- PAT(Q) At Rs 21.51 cr has Fallen at -11.4% (vs previous 4Q average)
2
With ROE of 21.5, it has a Very Expensive valuation with a 8.4 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 -10.18%, its profits have risen by 2.8% ; the PEG ratio of the company is 13.8
3
Despite the size of the company, domestic mutual funds hold only 0.03% of the company
- Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business
4
Below par performance in long term as well as near term
- Along with generating -10.18% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
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 Shanthi Gears for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Shanthi Gears
-5.28%
-0.26
39.58%
Sensex
8.49%
0.43
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
23.71%
EBIT Growth (5y)
68.37%
EBIT to Interest (avg)
82.14
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.40
Sales to Capital Employed (avg)
1.36
Tax Ratio
26.22%
Dividend Payout Ratio
39.94%
Pledged Shares
0
Institutional Holding
3.39%
ROCE (avg)
32.05%
ROE (avg)
20.28%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
42
Industry P/E
37
Price to Book Value
8.10
EV to EBIT
34.59
EV to EBITDA
29.94
EV to Capital Employed
12.81
EV to Sales
6.19
PEG Ratio
NA
Dividend Yield
1.87%
ROCE (Latest)
41.85%
ROE (Latest)
19.47%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend1What is working for the Company
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 91.72 cr
-22What is not working for the Company
PAT(Q)
At Rs 17.36 cr has Fallen at -25.3% (vs previous 4Q average
ROCE(HY)
Lowest at 29.23%
NET SALES(Q)
Lowest at Rs 116.82 cr
PBDIT(Q)
Lowest at Rs 22.99 cr.
PBT LESS OI(Q)
Lowest at Rs 19.08 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at 19.68%
EPS(Q)
Lowest at Rs 2.11
Loading Valuation Snapshot...
Here's what is working for Shanthi Gears
Cash and Cash Equivalents - Half Yearly
Highest at Rs 91.72 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 Shanthi Gears
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 19.08 cr has Fallen at -29.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 27.13 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 17.36 cr has Fallen at -25.3% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 23.24 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 116.82 cr and Fallen
each quarter in the last five quartersMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 116.82 cr has Fallen at -19.1% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 144.38 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 22.99 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite negative
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 19.08 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 19.68%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Earnings per Share (EPS) - Quarterly
Lowest at Rs 2.11
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
