ScoreWhy is Hindustan Adhesives Ltd ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.58 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.58 times
2
Poor long term growth as Net Sales has grown by an annual rate of -12.71% over the last 5 years
3
Flat results in Dec 25
- NO KEY NEGATIVE TRIGGERS
4
Stock is technically in a Mildly Bearish range
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
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 -10.00% returns
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Hind.Adhesive should be less than 10%
- Overall Portfolio exposure to Plastic Products - Industrial should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Plastic Products - Industrial)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Hind.Adhesive for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Hind.Adhesive
21.25%
-0.27
36.79%
Sensex
-11.8%
-0.49
12.94%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
-1.86%
EBIT Growth (5y)
51.10%
EBIT to Interest (avg)
3.49
Debt to EBITDA (avg)
2.84
Net Debt to Equity (avg)
1.10
Sales to Capital Employed (avg)
1.79
Tax Ratio
26.76%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0
ROCE (avg)
12.03%
ROE (avg)
15.45%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
8
Industry P/E
32
Price to Book Value
1.79
EV to EBIT
8.93
EV to EBITDA
6.44
EV to Capital Employed
1.37
EV to Sales
1.17
PEG Ratio
0.23
Dividend Yield
NA
ROCE (Latest)
10.55%
ROE (Latest)
15.08%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
Bearish
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend23What is working for the Company
OPERATING PROFIT TO INTEREST(Q)
Highest at 7.74 times
NET SALES(Q)
Highest at Rs 79.84 cr
PBDIT(Q)
Highest at Rs 21.36 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 26.75%
PBT LESS OI(Q)
Highest at Rs 14.48 cr.
PAT(Q)
Highest at Rs 10.64 cr.
EPS(Q)
Highest at Rs 20.78
-10What is not working for the Company
ROCE(HY)
Lowest at 12.51%
INVENTORY TURNOVER RATIO(HY)
Lowest at 4.01 times
INTEREST(Q)
Highest at Rs 2.76 cr
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Here's what is working for Hind.Adhesive
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 14.48 cr has Grown at 247.7% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 4.17 CrMOJO Watch
Near term PBT trend is very positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 10.64 cr has Grown at 159.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 4.10 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Profit to Interest - Quarterly
Highest at 7.74 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales - Quarterly
Highest at Rs 79.84 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 79.84 cr has Grown at 25.0% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 63.89 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 21.36 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 26.75%
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 14.48 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 10.64 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 20.78
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Hind.Adhesive
Inventory Turnover Ratio- Half Yearly
Lowest at 4.01 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
Interest - Quarterly
Highest at Rs 2.76 cr
in the last five quarters and Increased by 12.20 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
