Why is Indus Towers Ltd ?
1
High Management Efficiency with a high ROCE of 20.01%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.27 times
3
Healthy long term growth as Net Sales has grown by an annual rate of 18.42% and Operating profit at 19.86%
4
Flat results in Mar 26
- PAT(Latest six months) At Rs 3,568.80 cr has Grown at -38.28%
- ROCE(HY) Lowest at 18.41%
- PBT LESS OI(Q) Lowest at Rs 2,210.10 cr.
5
Stock is technically in a Mildly Bullish range
- The technical trend has improved from Mildly Bearish on 13-May-26 and has generated 5.74% returns since then
- The stocks MACD and Bollinger Band technical factors are also Bullish
6
With ROCE of 19.5, it has a Expensive valuation with a 2.4 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 13.74%, its profits have fallen by -28.1%
7
High Institutional Holdings at 44.77%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
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 Telecom - Equipment & Accessories)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Indus Towers for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Indus Towers
10.39%
0.51
27.07%
Sensex
-3.01%
-0.50
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
11.45%
EBIT Growth (5y)
12.10%
EBIT to Interest (avg)
7.47
Debt to EBITDA (avg)
1.42
Net Debt to Equity (avg)
0.39
Sales to Capital Employed (avg)
0.62
Tax Ratio
25.57%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
44.65%
ROCE (avg)
19.93%
ROE (avg)
22.34%
Valuation Key Factors 
Factor
Value
P/E Ratio
14
Industry P/E
20
Price to Book Value
2.45
EV to EBIT
10.59
EV to EBITDA
6.26
EV to Capital Employed
2.05
EV to Sales
3.42
PEG Ratio
NA
Dividend Yield
3.80%
ROCE (Latest)
19.51%
ROE (Latest)
18.02%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
No Trend
No Trend
Technical Movement
8What is working for the Company
DEBT-EQUITY RATIO(HY)
Lowest at 0.53 times
DEBTORS TURNOVER RATIO(HY)
Highest at 6.58 times
OPERATING PROFIT TO INTEREST(Q)
Highest at 12.50 times
NET SALES(Q)
Highest at Rs 8,431.10 cr
-4What is not working for the Company
PAT(9M)
At Rs 5,314.60 cr has Grown at -29.32%
ROCE(HY)
Lowest at 18.41%
Loading Valuation Snapshot...
Here's what is working for Indus Towers
Operating Profit to Interest - Quarterly
Highest at 12.50 times
in the last five quartersMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Debt-Equity Ratio - Half Yearly
Lowest at 0.53 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Debtors Turnover Ratio- Half Yearly
Highest at 6.58 times and Grown
each half year in the last five half yearly periodsMOJO Watch
Company has been able to settle its Debtors faster
Debtors Turnover Ratio
Net Sales - Quarterly
Highest at Rs 8,431.10 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Indus Towers
Profit After Tax (PAT) - Nine Monthly
At Rs 5,314.60 cr has Grown at -29.32%
Year on Year (YoY)MOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)