ScoreWhy is NLC India Ltd. ?
1
Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.91 times
- Poor long term growth as Net Sales has grown by an annual rate of 12.18% and Operating profit at 21.30% over the last 5 years
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 4.91 times
- The company has been able to generate a Return on Capital Employed (avg) of 7.09% signifying low profitability per unit of total capital (equity and debt)
2
Positive results in Mar 26
- PBDIT(Q) Highest at Rs 1,774.40 cr.
- NET SALES(Q) Highest at Rs 5,042.46 cr
- OPERATING PROFIT TO NET SALES(Q) Highest at 35.19%
3
Stock is technically in a Bullish range
- The technical trend has improved from Mildly Bullish on 13-Apr-26 and has generated 25.75% returns since then
- Multiple factors for the stock are Bullish like MACD, Bollinger Band, KST, DOW and OBV
4
With ROCE of 6.6, it has a Fair 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 42.21%, its profits have risen by 34.4% ; the PEG ratio of the company is 0.4
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to NLC India should be less than 10%
- Overall Portfolio exposure to Power should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Power)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is NLC India for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
NLC India
20.6%
1.20
35.31%
Sensex
-3.01%
-0.49
12.94%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
12.54%
EBIT Growth (5y)
24.49%
EBIT to Interest (avg)
2.80
Debt to EBITDA (avg)
5.17
Net Debt to Equity (avg)
1.26
Sales to Capital Employed (avg)
0.36
Tax Ratio
14.41%
Dividend Payout Ratio
15.87%
Pledged Shares
0
Institutional Holding
21.87%
ROCE (avg)
6.87%
ROE (avg)
11.68%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
23
Price to Book Value
1.84
EV to EBIT
18.40
EV to EBITDA
10.88
EV to Capital Employed
1.37
EV to Sales
3.62
PEG Ratio
1.01
Dividend Yield
1.79%
ROCE (Latest)
6.61%
ROE (Latest)
16.36%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
PAT(Latest six months)
At Rs 1,877.73 cr has Grown at 46.75%
NET SALES(Latest six months)
At Rs 9,759.21 cr has Grown at 27.38%
-13What is not working for the Company
PBT LESS OI(Q)
At Rs 500.45 cr has Fallen at -30.9% (vs previous 4Q average
PAT(Q)
At Rs 484.27 cr has Fallen at -45.0% (vs previous 4Q average
INTEREST(Latest six months)
At Rs 746.43 cr has Grown at 33.65%
EPS(Q)
Lowest at Rs 3.49
Loading Valuation Snapshot...
Here's what is working for NLC India
Net Sales - Latest six months
At Rs 9,759.21 cr has Grown at 27.38%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for NLC India
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 500.45 cr has Fallen at -30.9% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 724.44 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 484.27 cr has Fallen at -45.0% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 880.55 CrMOJO Watch
Near term PAT trend is very negative
PAT (Rs Cr)
Interest - Latest six months
At Rs 746.43 cr has Grown at 33.65%
over previous Half yearly periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 3.49
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
