Welcast Steels Limited Fundamental Analysis
Welcast Steels Limited (ZWELCAST.BO) shows weak financial fundamentals with a PE ratio of -8.43, profit margin of -10.83%, and ROE of -14.14%. The company generates $0.5B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 9.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze ZWELCAST.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakZWELCAST.BO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentZWELCAST.BO trades at attractive valuation levels.
Growth Score
ModerateZWELCAST.BO shows steady but slowing expansion.
Financial Health Score
ExcellentZWELCAST.BO maintains a strong and stable balance sheet.
Profitability Score
WeakZWELCAST.BO struggles to sustain strong margins.
Key Financial Metrics
Is ZWELCAST.BO Expensive or Cheap?
P/E Ratio
ZWELCAST.BO trades at -8.43 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, ZWELCAST.BO's PEG of -0.09 indicates potential undervaluation.
Price to Book
The market values Welcast Steels Limited at 1.30 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -9.09 times EBITDA. This is generally considered low.
How Well Does ZWELCAST.BO Make Money?
Net Profit Margin
For every $100 in sales, Welcast Steels Limited keeps $-10.83 as profit after all expenses.
Operating Margin
Core operations generate -7.16 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-14.14 in profit for every $100 of shareholder equity.
ROA
Welcast Steels Limited generates $-14.89 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Welcast Steels Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Welcast Steels 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
ZWELCAST.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
-8.43
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.09
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.30
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.91
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
27.22
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.14
vs 25 benchmark
ROA
Return on assets percentage
-0.15
vs 25 benchmark
ROCE
Return on capital employed
-0.10
vs 25 benchmark
How ZWELCAST.BO Stacks Against Its Sector Peers
| Metric | ZWELCAST.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | -8.43 | 27.70 | Better (Cheaper) |
| ROE | -14.14% | 1061.00% | Weak |
| Net Margin | -10.83% | -1600.00% (disorted) | Weak |
| Debt/Equity | 0.00 | 0.60 | Strong (Low Leverage) |
| Current Ratio | 27.22 | 3.22 | Strong Liquidity |
| ROA | -14.89% | 535.00% | Weak |
ZWELCAST.BO outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Welcast Steels Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value