#TATAINVEST Zoomed 60% Might be a TRAP for Retail Investors.
The company together with Tata Sons is a promoter of the Tata Mutual Fund. The company is also the principal shareholder of Tata Securities Ltd a company engaged in the distribution of mutual funds and other investment-related securities. Tata Investment said the company aims to remain invested in leaders in sectors, that they believe have the potential to remain value accretive over the medium and long term. The company further said it continues to invest for the long term while availing opportunities to realize gains to augment the operating income for dividend distribution.
Fundamentals
Growth Ratio
1. Profit Growth 5 Years: -0.10 %
2. Sales growth of 5 Years: -1.36 %
Profitability Ratio
1. Operating profit Margin: 90.3 %
2. Net Profit Margin: ₹ 245 Cr.
3. Return on Equity: 1.20 %
4. Return on Capital Employed: 1.36 %
Leverage Ratio
1. Debt to Equity Ratio: 0.00
2. Debt to Profit Ratio: 0.00
Management Efficiency Ratio
1. Working Capital: ₹ 32.1 Cr.
2. Debtors Days/Receivable days: 57.6
Valuation Ratio
1. Price to Book Value (PB Ratio): 0.70
2. Price to Earning Ratio (PE Ratio): 55.8
3. Price/Earning to Earning Growth (PEG): -558
Highlights
1. The company has delivered a poor sales growth of -1.36% over the past five years.
2. Tax rate seems low
3. Company has a low return on equity of 1.20% for last 3 years.
4. Debtor days have increased from 30.0 to 57.6 days.
