ScoreWhy is Veranda Learning Solutions Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 0.01%
- Poor long term growth as Operating profit has grown by an annual rate 3.80% of over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 5.94 times
2
Risky - Negative Operating Profits
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of -15.56%, its profits have fallen by -59%
3
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -7.82% over the previous quarter and currently hold 33.96% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
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 Other Consumer Services)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Veranda Learning for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Veranda Learning
-33.4%
-0.27
56.62%
Sensex
-4.3%
0.44
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
76.57%
EBIT Growth (5y)
32.34%
EBIT to Interest (avg)
-6.22
Debt to EBITDA (avg)
1.94
Net Debt to Equity (avg)
0.39
Sales to Capital Employed (avg)
0.37
Tax Ratio
9.48%
Dividend Payout Ratio
0
Pledged Shares
98.04%
Institutional Holding
3.78%
ROCE (avg)
-22.41%
ROE (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
52
Industry P/E
41
Price to Book Value
1.62
EV to EBIT
21.83
EV to EBITDA
12.29
EV to Capital Employed
1.44
EV to Sales
3.70
PEG Ratio
0.49
Dividend Yield
NA
ROCE (Latest)
-10.15%
ROE (Latest)
-20.90%
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
Mildly Bearish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend21What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 3.17 times
PBT LESS OI(Q)
At Rs 9.33 cr has Grown at 115.5% (vs previous 4Q average
PAT(Q)
At Rs 10.42 cr has Grown at 123.4% (vs previous 4Q average
DEBT-EQUITY RATIO(HY)
Lowest at 0.42 times
-3What is not working for the Company
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 21.61 cr
NON-OPERATING INCOME(Q)
is 52.66 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Veranda Learning
Operating Profit to Interest - Quarterly
Highest at 3.17 times and Grown
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 9.33 cr has Grown at 115.5% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs -60.02 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 10.42 cr has Grown at 123.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs -44.46 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Debt-Equity Ratio - Half Yearly
Lowest at 0.42 times
in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Here's what is not working for Veranda Learning
Non Operating Income - Quarterly
is 52.66 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 21.61 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
