Why is Brightcom Group Ltd ?
1
Company has a low Debt to Equity ratio (avg) at 0 times
2
Healthy long term growth as Net Sales has grown by an annual rate of 20.28%
3
The company has declared Positive results for the last 3 consecutive quarters
- PAT(Latest six months) At Rs 469.41 cr has Grown at 41.58%
- NET SALES(Latest six months) At Rs 3,348.82 cr has Grown at 37.08%
- ROCE(HY) Highest at 13.55%
4
Stock is technically in a Mildly Bearish range
- The technical trend has deteriorated from Mildly Bearish on 17-Aug-26 and has generated 9.18% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
5
With ROE of 9.1, it has a Very Attractive valuation with a 0.2 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 -28.37%, its profits have risen by 33.1%
6
Despite the size of the company, domestic mutual funds hold only 0% 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
How 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 IT - Software )
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Brightcom Group for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Brightcom Group
-37.0%
-0.54
52.71%
Sensex
-11.64%
-0.48
13.44%
Quality key factors
Factor
Value
Sales Growth (5y)
20.28%
EBIT Growth (5y)
18.49%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.13
Sales to Capital Employed (avg)
0.78
Tax Ratio
32.87%
Dividend Payout Ratio
0
Pledged Shares
1.08%
Institutional Holding
1.12%
ROCE (avg)
21.34%
ROE (avg)
12.58%
Valuation Key Factors 
Factor
Value
P/E Ratio
2
Industry P/E
19
Price to Book Value
0.17
EV to EBIT
0.27
EV to EBITDA
0.22
EV to Capital Employed
0.04
EV to Sales
0.06
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
15.64%
ROE (Latest)
9.10%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bearish
No Trend
Technical Movement
14What is working for the Company
PAT(Latest six months)
At Rs 469.41 cr has Grown at 41.58%
NET SALES(Latest six months)
At Rs 3,348.82 cr has Grown at 37.08%
ROCE(HY)
Highest at 13.55%
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 1,415.51 cr
DEBTORS TURNOVER RATIO(HY)
Highest at 1.34 times
OPERATING PROFIT TO NET SALES(Q)
Highest at 26.79%
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Brightcom Group
Profit After Tax (PAT) - Latest six months
At Rs 469.41 cr has Grown at 41.58%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Latest six months
At Rs 3,348.82 cr has Grown at 37.08%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 26.79%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Cash and Cash Equivalents - Half Yearly
Highest at Rs 1,415.51 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debtors Turnover Ratio- Half Yearly
Highest at 1.34 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio