Why is HP Adhesives Ltd ?
1
Poor long term growth as Operating profit has grown by an annual rate 16.27% of over the last 5 years
2
Flat results in Sep 25
- PAT(9M) At Rs 12.21 cr has Grown at -20.69%
- EPS(Q) Lowest at Rs 0.38
3
Falling Participation by Institutional Investors
- Institutional investors have decreased their stake by -1.36% over the previous quarter and collectively hold 0.02% of the company
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors
4
Below par performance in long term as well as near term
- Along with generating -48.99% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
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 Specialty Chemicals)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is HP Adhesives for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
HP Adhesives
-27.69%
-1.19
41.29%
Sensex
-11.8%
0.44
11.83%
Quality key factors
Factor
Value
Sales Growth (5y)
2.31%
EBIT Growth (5y)
-86.14%
EBIT to Interest (avg)
9.21
Debt to EBITDA (avg)
0.18
Net Debt to Equity (avg)
-0.14
Sales to Capital Employed (avg)
1.34
Tax Ratio
Tax Ratio is Negative%
Dividend Payout Ratio
20.14%
Pledged Shares
0
Institutional Holding
0.01%
ROCE (avg)
13.00%
ROE (avg)
6.78%
Valuation Key Factors 
Factor
Value
P/E Ratio
126
Industry P/E
42
Price to Book Value
1.64
EV to EBIT
282.50
EV to EBITDA
45.49
EV to Capital Employed
1.75
EV to Sales
1.14
PEG Ratio
NA
Dividend Yield
1.19%
ROCE (Latest)
4.48%
ROE (Latest)
4.03%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Mildly Bullish
Mildly Bullish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
Mildly Bullish
Technical Movement
2What is working for the Company
DEBTORS TURNOVER RATIO(HY)
Highest at 6.74 times
-8What is not working for the Company
PBT LESS OI(Q)
At Rs -2.41 cr has Fallen at -310.5% (vs previous 4Q average
PAT(Q)
At Rs -0.91 cr has Fallen at -148.2% (vs previous 4Q average
ROCE(HY)
Lowest at 5.65%
Loading Valuation Snapshot...
Here's what is working for HP Adhesives
Debtors Turnover Ratio- Half Yearly
Highest at 6.74 times
in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Here's what is not working for HP Adhesives
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs -2.41 cr has Fallen at -310.5% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 1.15 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs -0.91 cr has Fallen at -148.2% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 1.89 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)