Why is Empower India Ltd ?
1
Weak Long Term Fundamental Strength with a -216.00% CAGR growth in Operating Profits over the last 5 years
- Company's ability to service its debt is weak with a poor EBIT to Interest (avg) ratio of 1.20
- The company has been able to generate a Return on Equity (avg) of 1.02% signifying low profitability per unit of shareholders funds
2
Flat results in Dec 25
- PAT(9M) At Rs 4.07 cr has Grown at -23.35%
3
Risky - Negative EBITDA
- The stock is trading risky as compared to its average historical valuations
- Over the past year, while the stock has generated a return of 48.78%, its profits have fallen by -49%
How much should you hold?
- Overall Portfolio exposure to Empower India 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
Is Empower India for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Empower India
-13.9%
0.78
62.41%
Sensex
-11.8%
-0.49
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
177.71%
EBIT Growth (5y)
29.84%
EBIT to Interest (avg)
0.90
Debt to EBITDA (avg)
Negative Net Debt
Net Debt to Equity (avg)
-0.01
Sales to Capital Employed (avg)
0.27
Tax Ratio
0.31%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.03%
ROCE (avg)
0.31%
ROE (avg)
1.94%
Valuation Key Factors 
Factor
Value
P/E Ratio
11
Industry P/E
22
Price to Book Value
0.66
EV to EBIT
81.57
EV to EBITDA
81.57
EV to Capital Employed
0.66
EV to Sales
1.28
PEG Ratio
0.02
Dividend Yield
NA
ROCE (Latest)
0.41%
ROE (Latest)
5.59%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Movement
18What is working for the Company
NET SALES(Latest six months)
At Rs 81.68 cr has Grown at 91.56%
PAT(Latest six months)
Higher at Rs 15.43 cr
ROCE(HY)
Highest at 5.04%
-8What is not working for the Company
PAT(Q)
At Rs 1.49 cr has Fallen at -66.9% (vs previous 4Q average
INVENTORY TURNOVER RATIO(HY)
Lowest at 3.95 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 3.84 times
NON-OPERATING INCOME(Q)
is 128.19 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Empower India
Net Sales - Latest six months
At Rs 81.68 cr has Grown at 91.56%
Year on Year (YoY)MOJO Watch
Sales trend is very positive
Net Sales (Rs Cr)
Here's what is not working for Empower India
Profit After Tax (PAT) - Quarterly
At Rs 1.49 cr has Fallen at -66.9% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 4.50 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Inventory Turnover Ratio- Half Yearly
Lowest at 3.95 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Non Operating Income - Quarterly
is 128.19 % 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 3.84 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio