Why is Century Enka Ltd ?
1
Company has a low Debt to Equity ratio (avg) at 0 times
2
Poor long term growth as Net Sales has grown by an annual rate of -6.28% over the last 5 years
3
With a growth in Net Profit of 67.2%, the company declared Very Positive results in Mar 26
- The company has declared positive results for the last 2 consecutive quarters
- ROCE(HY) Highest at 8.79%
- PBDIT(Q) Highest at Rs 55.40 cr.
- OPERATING PROFIT TO NET SALES(Q) Highest at 11.46%
4
Technical trend is Sideways signifying no clear price momentum
- The technical trend has improved from Mildly Bearish on 22-May-26 and has generated -1.61% returns since then
5
With ROE of 6.8, it has a Attractive valuation with a 0.8 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 8.84%, its profits have risen by 53.8% ; the PEG ratio of the company is 0.2
6
Majority shareholders : Non Institution
How much should you buy?
- Overall Portfolio exposure to Century Enka should be less than 10%
- Overall Portfolio exposure to Garments & Apparels should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Garments & Apparels)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Century Enka for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Century Enka
23.23%
0.26
33.73%
Sensex
-1.65%
-0.49
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
-1.30%
EBIT Growth (5y)
37.78%
EBIT to Interest (avg)
24.93
Debt to EBITDA (avg)
0.47
Net Debt to Equity (avg)
-0.23
Sales to Capital Employed (avg)
1.24
Tax Ratio
22.29%
Dividend Payout Ratio
32.87%
Pledged Shares
0
Institutional Holding
12.88%
ROCE (avg)
5.69%
ROE (avg)
4.89%
Valuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
25
Price to Book Value
0.89
EV to EBIT
6.32
EV to EBITDA
4.66
EV to Capital Employed
0.86
EV to Sales
0.54
PEG Ratio
0.06
Dividend Yield
NA
ROCE (Latest)
7.97%
ROE (Latest)
6.83%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
Bearish
Bollinger Bands
Mildly Bullish
Mildly Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Movement
33What is working for the Company
ROCE(HY)
Highest at 8.79%
NET SALES(Q)
Highest at Rs 554.29 cr
PBDIT(Q)
Highest at Rs 85.73 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 15.47%
PBT LESS OI(Q)
Highest at Rs 71.24 cr.
PAT(Q)
Highest at Rs 61.70 cr.
EPS(Q)
Highest at Rs 28.24
-2What is not working for the Company
DEBTORS TURNOVER RATIO(HY)
Lowest at 8.72 times
Loading Valuation Snapshot...
Here's what is working for Century Enka
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 71.24 cr has Grown at 221.6% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 22.15 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 61.70 cr has Grown at 141.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 25.56 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 554.29 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 85.73 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 15.47% and Grown
each quarter in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 71.24 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 61.70 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
At Rs 554.29 cr has Grown at 30.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 426.35 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 28.24
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Century Enka
Debtors Turnover Ratio- Half Yearly
Lowest at 8.72 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio