Kernex Microsystems (India) Analysis

dividend

Pros

Cons

• Unable to calculate sustainability of dividends as Kernex Microsystems (India) has not reported any payouts.
• Unable to evaluate Kernex Microsystems (India)'s dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Kernex Microsystems (India)'s dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Kernex Microsystems (India) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Kernex Microsystems (India) is profitable, therefore cash runway is not a concern.
• Kernex Microsystems (India) is profitable, therefore cash runway is not a concern.
• Debt is covered by short term assets, assets are 1.8x debt.
• Kernex Microsystems (India)'s cash and other short term assets cover its long term commitments.

Cons

• Operating cash flow is negative therefore debt is not well covered.
• The level of debt compared to net worth has increased over the past 5 years (23.6% vs 44.3% today).
• Kernex Microsystems (India)'s level of debt (44.3%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• Kalidindi's remuneration is about average for companies of similar size in India.
• More shares have been bought than sold by Kernex Microsystems (India) individual insiders in the past 3 months.
• The tenure for the Kernex Microsystems (India) management team is about average.

Cons

• The average tenure for the Kernex Microsystems (India) board of directors is less than 3 years, this suggests a new board.

misc

Pros

Cons

• Kernex Microsystems (India) is not covered by any analysts.
• Kernex Microsystems (India) has significant price volatility in the past 3 months.

past

Pros

• Kernex Microsystems (India)'s year on year earnings growth rate has been positive over the past 5 years.
• Kernex Microsystems (India) used its assets more efficiently than the IN Electronic industry average last year based on Return on Assets.

Cons

• Kernex Microsystems (India) has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
• It is difficult to establish if Kernex Microsystems (India) improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
• Kernex Microsystems (India) has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
• Kernex Microsystems (India) has become profitable in the last year making it difficult to compare the IN Electronic industry average.

value

Pros

• Kernex Microsystems (India) is good value based on assets compared to the IN Electronic industry average.
• Kernex Microsystems (India) is good value based on earnings compared to the IN Electronic industry average.
• Kernex Microsystems (India) is good value based on earnings compared to the India market.
• BSE:532686 is up 29% outperforming the Electronic industry which returned 0.9% over the past month.
• BSE:532686 is up 29% outperforming the market in India which returned 8% over the past month.

Cons

• 532686 underperformed the Electronic industry which returned 0.1% over the past year.
• 532686 underperformed the Market in India which returned -14.5% over the past year.