Everest Kanto Cylinder Analysis

dividend

Pros

Cons

• Unable to calculate sustainability of dividends as Everest Kanto Cylinder has not reported any payouts.
• Unable to evaluate Everest Kanto Cylinder's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Everest Kanto Cylinder's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Everest Kanto Cylinder is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Everest Kanto Cylinder is profitable, therefore cash runway is not a concern.
• Everest Kanto Cylinder is profitable, therefore cash runway is not a concern.
• Debt is well covered by operating cash flow (37.8%, greater than 20% of total debt).
• Debt is covered by short term assets, assets are 2.3x debt.
• Everest Kanto Cylinder'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 (99.5% vs 48.1% today).

Cons

• Interest payments on debt are not well covered by earnings (EBIT is 1.6x annual interest expense, ideally 3x coverage).
• Everest Kanto Cylinder's level of debt (48.1%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Everest Kanto Cylinder board of directors is about average.
• Puneet Prem's compensation has been consistent with company performance over the past year, both up more than 20%.
• More shares have been bought than sold by Everest Kanto Cylinder individual insiders in the past 3 months.

Cons

• Puneet Prem's remuneration is higher than average for companies of similar size in India.
• The average tenure for the Everest Kanto Cylinder management team is less than 2 years, this suggests a new team.

misc

Pros

Cons

• Everest Kanto Cylinder is not covered by any analysts.
• Everest Kanto Cylinder has significant price volatility in the past 3 months.

past

Pros

• Everest Kanto Cylinder has delivered over 20% year on year earnings growth in the past 5 years.
• Everest Kanto Cylinder has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).

Cons

• Everest Kanto Cylinder's 1-year earnings growth is less than its 5-year average (8.7% vs 56.3%)
• Everest Kanto Cylinder used its assets less efficiently than the IN Packaging industry average last year based on Return on Assets.
• Everest Kanto Cylinder has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
• Everest Kanto Cylinder's earnings growth has not exceeded the IN Packaging industry average in the past year (8.7% vs 16.2%).

value

Pros

• Everest Kanto Cylinder's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Everest Kanto Cylinder's share price is below the future cash flow value, and at a substantial discount (> 40%).
• Everest Kanto Cylinder is good value based on assets compared to the IN Packaging industry average.
• Everest Kanto Cylinder is good value based on earnings compared to the IN Packaging industry average.
• Everest Kanto Cylinder is good value based on earnings compared to the India market.
• BSE:532684 is up 9.2% outperforming the Packaging industry which returned 6.3% over the past month.
• BSE:532684 is up 9.2% outperforming the market in India which returned 8% over the past month.

Cons

• 532684 underperformed the Packaging industry which returned -14.7% over the past year.
• 532684 underperformed the Market in India which returned -14.5% over the past year.