Why is Ludlow Jute & Specialities Ltd ?
1
Weak Long Term Fundamental Strength with an average Return on Capital Employed (ROCE) of 3.95%
- Poor long term growth as Net Sales has grown by an annual rate of 4.02% over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 30.50 times
2
The company has declared Positive results for the last 5 consecutive quarters
- ROCE(HY) Highest at 9.21%
- NET SALES(Q) Highest at Rs 189.47 cr
- PAT(Q) At Rs 6.43 cr has Grown at 43.2%
3
Stock is technically in a Mildly Bullish range
- The technical trend has improved from Sideways on 04-Sep-26 and has generated 2.21% returns since then
- The stocks MACD and Bollinger Band technical factors are also Bullish
4
With ROCE of 9.1, it has a Attractive valuation with a 1.5 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 -18.06%, its profits have risen by 1720% ; the PEG ratio of the company is 0
5
Majority shareholders : Promoters
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 Paper, Forest & Jute Products)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Ludlow Jute for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Ludlow Jute
-24.32%
-0.35
51.12%
Sensex
-11.8%
-0.48
13.44%
Quality key factors
Factor
Value
Sales Growth (5y)
4.02%
EBIT Growth (5y)
19.95%
EBIT to Interest (avg)
1.09
Debt to EBITDA (avg)
15.48
Net Debt to Equity (avg)
1.13
Sales to Capital Employed (avg)
1.61
Tax Ratio
25.73%
Dividend Payout Ratio
0
Pledged Shares
0
Institutional Holding
0.00%
ROCE (avg)
3.25%
ROE (avg)
3.21%
Valuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
27
Price to Book Value
1.75
EV to EBIT
13.85
EV to EBITDA
11.81
EV to Capital Employed
1.35
EV to Sales
0.88
PEG Ratio
0.01
Dividend Yield
NA
ROCE (Latest)
9.07%
ROE (Latest)
9.72%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
Technical Movement
22What is working for the Company
ROCE(HY)
Highest at 9.21%
NET SALES(Q)
Highest at Rs 189.47 cr
PAT(Q)
At Rs 6.43 cr has Grown at 43.2%
PBDIT(Q)
Highest at Rs 14.44 cr.
PBT LESS OI(Q)
At Rs 8.41 cr has Grown at 35.43%
-3What is not working for the Company
DEBT-EQUITY RATIO(HY)
Highest at 1.15 times
DEBTORS TURNOVER RATIO(HY)
Lowest at 9.75 times
INTEREST(Q)
Highest at Rs 4.22 cr
Loading Valuation Snapshot...
Here's what is working for Ludlow Jute
Net Sales - Quarterly
Highest at Rs 189.47 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 189.47 cr has Grown at 67.63%
Year on Year (YoY)MOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 6.43 cr has Grown at 43.2%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 14.44 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 8.41 cr has Grown at 35.43%
Year on Year (YoY)MOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Ludlow Jute
Interest - Quarterly
Highest at Rs 4.22 cr
in the last five quarters and Increased by 10.47 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debt-Equity Ratio - Half Yearly
Highest at 1.15 times
in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Debtors Turnover Ratio- Half Yearly
Lowest at 9.75 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio