Prakash Industries Limited
Prakash Industries Limited Fundamental Analysis
Prakash Industries Limited (PRAKASH.NS) shows moderate financial fundamentals with a PE ratio of 7.52, profit margin of 9.72%, and ROE of 9.99%. The company generates $34.0B in annual revenue with moderate year-over-year growth of 9.15%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 52.0/100 based on profitability, valuation, growth, and balance sheet metrics. The C grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze PRAKASH.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakPRAKASH.NS struggles to generate sufficient returns from assets.
Valuation Score
ModeratePRAKASH.NS shows balanced valuation metrics.
Growth Score
ModeratePRAKASH.NS shows steady but slowing expansion.
Financial Health Score
ExcellentPRAKASH.NS maintains a strong and stable balance sheet.
Profitability Score
WeakPRAKASH.NS struggles to sustain strong margins.
Key Financial Metrics
Is PRAKASH.NS Expensive or Cheap?
P/E Ratio
PRAKASH.NS trades at 7.52 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, PRAKASH.NS's PEG of 8.10 indicates potential overvaluation.
Price to Book
The market values Prakash Industries Limited at 0.73 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 4.59 times EBITDA. This is generally considered low.
How Well Does PRAKASH.NS Make Money?
Net Profit Margin
For every $100 in sales, Prakash Industries Limited keeps $9.72 as profit after all expenses.
Operating Margin
Core operations generate 9.99 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.99 in profit for every $100 of shareholder equity.
ROA
Prakash Industries Limited generates $7.24 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Prakash Industries Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Prakash Industries Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
PRAKASH.NS converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
7.52
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
8.10
vs 25 benchmark
P/B Ratio
Price to book value ratio
0.73
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.73
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.10
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.31
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.09
vs 25 benchmark
How PRAKASH.NS Stacks Against Its Sector Peers
| Metric | PRAKASH.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 7.52 | 27.01 | Better (Cheaper) |
| ROE | 9.99% | 949.00% | Weak |
| Net Margin | 9.72% | -16159.00% (disorted) | Weak |
| Debt/Equity | 0.10 | 0.48 | Strong (Low Leverage) |
| Current Ratio | 1.31 | 4.42 | Neutral |
| ROA | 7.24% | -6411.00% (disorted) | Weak |
PRAKASH.NS outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Prakash Industries Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
28.03%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
185.23%
Industry Style: Cyclical, Commodity, Value
High GrowthFCF CAGR
-65.33%
Industry Style: Cyclical, Commodity, Value
Declining