ScoreWhy is Covance Softsol Ltd ?
1
Poor Management Efficiency with a low ROE of 7.49%
- The company has been able to generate a Return on Equity (avg) of 7.49% signifying low profitability per unit of shareholders funds
2
Company has a low Debt to Equity ratio (avg) at 0 times
3
Healthy long term growth as Net Sales has grown by an annual rate of 66.30% and Operating profit at 1,081.00%
4
Positive results in Sep 25
- NET SALES(Latest six months) At Rs 66.45 cr has Grown at 53.08%
- PBT LESS OI(Q) At Rs 7.10 cr has Grown at 172.6% (vs previous 4Q average)
- PAT(Latest six months) Higher at Rs 15.46 cr
5
With ROE of 8.2, it has a Very Attractive valuation with a 1.4 Price to Book Value
- Over the past year, while the stock has generated a return of 0.00%, its profits have risen by 870%
6
Majority shareholders : Promoters
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Covance Softsol should be less than 10%
- Overall Portfolio exposure to Computers - Software & Consulting should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Computers - Software & Consulting)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
No Data Found
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
54.50%
EBIT Growth (5y)
546.37%
EBIT to Interest (avg)
4.75
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-1.27
Sales to Capital Employed (avg)
0.88
Tax Ratio
24.87%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
-32.56%
ROE (avg)
16.83%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
8
Industry P/E
19
Price to Book Value
1.80
EV to EBIT
2.52
EV to EBITDA
2.49
EV to Capital Employed
-1.94
EV to Sales
0.63
PEG Ratio
0.05
Dividend Yield
NA
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
20.38%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bearish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend15What is working for the Company
NET SALES(Latest six months)
At Rs 71.96 cr has Grown at 25.21%
PAT(Q)
Highest at Rs 12.65 cr.
EPS(Q)
Highest at Rs 5.71
-10What is not working for the Company
NET SALES(Q)
Lowest at Rs 29.27 cr
PBDIT(Q)
Lowest at Rs 5.13 cr.
OPERATING PROFIT TO NET SALES (Q)
Lowest at 17.53%
PBT LESS OI(Q)
Lowest at Rs 4.28 cr.
NON-OPERATING INCOME(Q)
is 73.51 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Covance Softsol
Profit After Tax (PAT) - Quarterly
At Rs 12.65 cr has Grown at 47.2% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 8.59 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 12.65 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 5.71
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Covance Softsol
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 4.28 cr has Fallen at -52.1% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 8.93 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
At Rs 29.27 cr has Fallen at -19.8% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 36.49 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 29.27 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 5.13 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 17.53%
in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Lowest at Rs 4.28 cr.
in the last five quartersMOJO Watch
Near term PBT trend is negative
PBT less Other Income (Rs Cr)
Non Operating Income - Quarterly
is 73.51 % 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
Non Operating Income - Quarterly
Highest at Rs 11.88 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
