ScoreWhy is Aartech Solonics Ltd ?
1
Poor Management Efficiency with a low ROE of 9.21%
- The company has been able to generate a Return on Equity (avg) of 9.21% signifying low profitability per unit of shareholders funds
2
Flat results in Dec 25
- PAT(Q) At Rs 0.60 cr has Fallen at -27.1% (vs previous 4Q average)
- NET SALES(Q) At Rs 7.38 cr has Fallen at -7.8% (vs previous 4Q average)
3
Stock is technically in a Mildly Bearish range
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
4
With ROE of 9.7, it has a Expensive valuation with a 3.9 Price to Book Value
- 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 -26.76%, its profits have fallen by -48.5%
5
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 0.10% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -26.76% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Aartech Solonics should be less than 10%
- Overall Portfolio exposure to Heavy Electrical Equipment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Heavy Electrical Equipment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Aartech Solonics for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Aartech Solonics
-10.54%
-0.45
59.64%
Sensex
-11.64%
-0.49
12.94%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
34.39%
EBIT Growth (5y)
81.77%
EBIT to Interest (avg)
0.93
Debt to EBITDA (avg)
1.82
Net Debt to Equity (avg)
-0.19
Sales to Capital Employed (avg)
0.91
Tax Ratio
33.92%
Dividend Payout Ratio
14.37%
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
3.79%
ROE (avg)
10.82%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
29
Industry P/E
54
Price to Book Value
4.30
EV to EBIT
21.94
EV to EBITDA
20.33
EV to Capital Employed
5.08
EV to Sales
3.29
PEG Ratio
0.30
Dividend Yield
0.21%
ROCE (Latest)
19.75%
ROE (Latest)
13.00%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bearish
Moving Averages
Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bearish
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend16What is working for the Company
NET SALES(Latest six months)
At Rs 24.75 cr has Grown at 66.22%
ROCE(HY)
Highest at 17.01%
PAT(Q)
At Rs 1.57 cr has Grown at 37.6% (vs previous 4Q average
-5What is not working for the Company
NET SALES(Q)
At Rs 7.29 cr has Fallen at -20.2% (vs previous 4Q average
DEBTORS TURNOVER RATIO(HY)
Lowest at 2.50 times
NON-OPERATING INCOME(Q)
is 74.89 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Aartech Solonics
Profit After Tax (PAT) - Quarterly
At Rs 1.57 cr has Grown at 37.6% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 1.14 CrMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Here's what is not working for Aartech Solonics
Net Sales - Quarterly
At Rs 7.29 cr has Fallen at -20.2% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 9.14 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Non Operating Income - Quarterly
is 74.89 % 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
Debtors Turnover Ratio- Half Yearly
Lowest at 2.50 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio
Non Operating Income - Quarterly
Highest at Rs 1.64 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
