Why is Signpost India Ltd ?
1
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.23 times
2
Poor long term growth as Net Sales has grown by an annual rate of 8.39% and Operating profit at 5.03% over the last 5 years
- NET SALES(Q) Highest at Rs 142.34 cr
- PBDIT(Q) Highest at Rs 37.87 cr.
- OPERATING PROFIT TO NET SALES(Q) Highest at 26.61%
3
Stock is technically in a Bullish range
- The technical trend has improved from Mildly Bullish on 22-Apr-26 and has generated 11.2% returns since then
- Multiple factors for the stock are Bullish like MACD, Bollinger Band, KST and OBV
4
With ROCE of 14.5, it has a Expensive valuation with a 4.5 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 45.89%, its profits have fallen by -1.4%
5
Reducing Promoter Confidence
- Promoters have decreased their stake in the company by -7.36% over the previous quarter and currently hold 60.38% of the company
- Promoters decreasing their stake may signify reduced confidence in the future of the business
How much should you hold?
- Overall Portfolio exposure to Signpost India should be less than 10%
- Overall Portfolio exposure to Media & Entertainment should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Media & Entertainment)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Signpost India for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Signpost India
22.73%
0.87
52.76%
Sensex
-1.65%
-0.49
12.94%
Quality key factors
Factor
Value
Sales Growth (5y)
16.94%
EBIT Growth (5y)
21.87%
EBIT to Interest (avg)
6.43
Debt to EBITDA (avg)
1.68
Net Debt to Equity (avg)
0.62
Sales to Capital Employed (avg)
1.19
Tax Ratio
26.61%
Dividend Payout Ratio
7.90%
Pledged Shares
0
Institutional Holding
0.26%
ROCE (avg)
21.87%
ROE (avg)
21.01%
Valuation Key Factors 
Factor
Value
P/E Ratio
19
Industry P/E
32
Price to Book Value
4.96
EV to EBIT
14.29
EV to EBITDA
10.77
EV to Capital Employed
3.44
EV to Sales
2.72
PEG Ratio
0.21
Dividend Yield
0.19%
ROCE (Latest)
22.75%
ROE (Latest)
24.37%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
Mildly Bullish
No Trend
Technical Movement
13What is working for the Company
PAT(Latest six months)
At Rs 39.74 cr has Grown at 145.01%
NET SALES(Latest six months)
At Rs 314.18 cr has Grown at 26.44%
-8What is not working for the Company
INTEREST(Latest six months)
At Rs 9.98 cr has Grown at 46.55%
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 24.02 cr
DEBTORS TURNOVER RATIO(HY)
Lowest at 1.82 times
Loading Valuation Snapshot...
Here's what is working for Signpost India
Profit After Tax (PAT) - Latest six months
At Rs 39.74 cr has Grown at 145.01%
Year on Year (YoY)MOJO Watch
PAT trend is very positive
PAT (Rs Cr)
Net Sales - Latest six months
At Rs 314.18 cr has Grown at 26.44%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Here's what is not working for Signpost India
Interest - Latest six months
At Rs 9.98 cr has Grown at 46.55%
over previous Half yearly periodMOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 24.02 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
Debtors Turnover Ratio- Half Yearly
Lowest at 1.82 times
in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio