Chemtech Industrial Valves Analysis

dividend

Pros

Cons

• Unable to evaluate Chemtech Industrial Valves's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Chemtech Industrial Valves's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Chemtech Industrial Valves is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Chemtech Industrial Valves is profitable, therefore cash runway is not a concern.
• Chemtech Industrial Valves is profitable, therefore cash runway is not a concern.
• Debt is well covered by operating cash flow (25.3%, greater than 20% of total debt).
• Chemtech Industrial Valves's cash and other short term assets cover its long term commitments.
• The level of debt compared to net worth has been reduced over the past 5 years (150.1% vs 143.6% today).
• Interest payments on debt are well covered by earnings (EBIT is 3.2x coverage).

Cons

• Debt is not covered by short term assets, assets are 0.9x debt.
• Chemtech Industrial Valves's level of debt (143.6%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Chemtech Industrial Valves board of directors is about average.
• Harsh's remuneration is lower than average for companies of similar size in India.
• Harsh's compensation has been consistent with company performance over the past year, both up more than 20%.
• The average tenure for the Chemtech Industrial Valves management team is over 5 years, this suggests they are a seasoned and experienced team.

Cons

misc

Pros

Cons

• Chemtech Industrial Valves is not covered by any analysts.

past

Pros

• Chemtech Industrial Valves has delivered over 20% year on year earnings growth in the past 5 years.
• Chemtech Industrial Valves used its assets more efficiently than the IN Trade Distributors industry average last year based on Return on Assets.
• Chemtech Industrial Valves has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
• Chemtech Industrial Valves's earnings growth has exceeded the IN Trade Distributors industry average in the past year (39.3% vs 30.2%).

Cons

• Chemtech Industrial Valves's 1-year earnings growth is less than its 5-year average (39.3% vs 64.8%)
• Whilst Chemtech Industrial Valves has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.

value

Pros

• Chemtech Industrial Valves's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Chemtech Industrial Valves's share price is below the future cash flow value, and at a substantial discount (> 40%).
• Chemtech Industrial Valves is good value based on earnings compared to the IN Trade Distributors industry average.
• Chemtech Industrial Valves is good value based on earnings compared to the India market.
• 537326 outperformed the Trade Distributors industry which returned -5.6% over the past year.
• 537326 outperformed the Market in India which returned -14.5% over the past year.

Cons

• Chemtech Industrial Valves is overvalued based on assets compared to the IN Trade Distributors industry average.
• BSE:537326 is down -4.4% underperforming the Trade Distributors industry which returned 6.8% over the past month.
• BSE:537326 is down -4.4% underperforming the market in India which returned 8% over the past month.