Why is Prakash Pipes Ltd ?
1
Poor long term growth as Net Sales has grown by an annual rate of 11.84% and Operating profit at 4.34% over the last 5 years
2
The company has declared Negative results for the last 4 consecutive quarters
- PAT(Latest six months) At Rs 19.47 cr has Grown at -58.93%
- PBT LESS OI(Q) At Rs 13.42 cr has Fallen at -20.4% (vs previous 4Q average)
- ROCE(HY) Lowest at 16.39%
3
Stock is technically in a Mildly Bearish range
- The technical trend has deteriorated from Mildly Bearish on 12-May-26 and has generated 4.26% returns since then
- Multiple factors for the stock are Bearish like MACD, Bollinger Band and KST
4
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 -55.98% returns
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 Plastic Products - Industrial)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Prakash Pipes for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Prakash Pipes
-15.18%
-1.36
41.19%
Sensex
-11.8%
-0.49
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
10.17%
EBIT Growth (5y)
-0.28%
EBIT to Interest (avg)
19.54
Debt to EBITDA (avg)
0.25
Net Debt to Equity (avg)
-0.08
Sales to Capital Employed (avg)
2.01
Tax Ratio
25.68%
Dividend Payout Ratio
6.91%
Pledged Shares
0
Institutional Holding
0.89%
ROCE (avg)
39.25%
ROE (avg)
17.76%
Valuation Key Factors 
Factor
Value
P/E Ratio
12
Industry P/E
32
Price to Book Value
1.21
EV to EBIT
10.19
EV to EBITDA
7.94
EV to Capital Employed
1.23
EV to Sales
0.66
PEG Ratio
NA
Dividend Yield
1.40%
ROCE (Latest)
11.72%
ROE (Latest)
10.31%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bullish
RSI
No Signal
Bearish
Bollinger Bands
Bearish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Mildly Bullish
Dow Theory
Mildly Bearish
Mildly Bearish
OBV
Mildly Bullish
No Trend
Technical Movement
13What is working for the Company
NET SALES(Q)
Highest at Rs 241.45 cr
PBDIT(Q)
Highest at Rs 18.21 cr.
PBT LESS OI(Q)
Highest at Rs 13.54 cr.
PAT(Q)
Highest at Rs 16.42 cr.
EPS(Q)
Highest at Rs 6.86
-5What is not working for the Company
ROCE(HY)
Lowest at 12.29%
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 56.17 cr
NON-OPERATING INCOME(Q)
is 38.59 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Prakash Pipes
Profit After Tax (PAT) - Quarterly
At Rs 16.42 cr has Grown at 51.8% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 10.82 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 241.45 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 241.45 cr has Grown at 22.5% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 197.18 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 18.21 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
Highest at Rs 13.54 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 16.42 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 6.86
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Prakash Pipes
Non Operating Income - Quarterly
is 38.59 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 56.17 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents