White Organic Agro Analysis

dividend

Pros

Cons

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

health

Pros

• White Organic Agro is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• White Organic Agro is profitable, therefore cash runway is not a concern.
• White Organic Agro is profitable, therefore cash runway is not a concern.
• Debt is covered by short term assets, assets are 16.2x debt.
• White Organic Agro's cash and other short term assets cover its long term commitments.
• White Organic Agro earns more interest than it pays, coverage of interest payments is not a concern.
• White Organic Agro's level of debt (11.9%) compared to net worth is satisfactory (less than 40%).
• Low level of unsold assets.

Cons

• Debt is not well covered by operating cash flow (3.1%, less than 20% of total debt).
• The level of debt compared to net worth has increased over the past 5 years (0.1% vs 11.9% today).

management

Pros

• The tenure for the White Organic Agro board of directors is about average.
• Darshak's remuneration is lower than average for companies of similar size in India.
• Darshak's compensation has been consistent with company performance over the past year, both up more than 20%.

Cons

• The average tenure for the White Organic Agro management team is less than 2 years, this suggests a new team.

misc

Pros

Cons

• White Organic Agro is not covered by any analysts.
• White Organic Agro has significant price volatility in the past 3 months.

past

Pros

• White Organic Agro has delivered over 20% year on year earnings growth in the past 5 years.
• White Organic Agro 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).

Cons

• White Organic Agro's 1-year earnings growth is negative, it can't be compared to the 5-year average.
• It is difficult to establish if White Organic Agro has efficiently used its assets last year compared to the IN Food industry average (Return on Assets) as it is loss-making.
• White Organic Agro has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
• White Organic Agro's 1-year earnings growth is negative, it can't be compared to the IN Food industry average.

value

Pros

• White Organic Agro is good value based on assets compared to the IN Food industry average.
• BSE:513713 is up 39.8% outperforming the Food industry which returned 5% over the past month.
• BSE:513713 is up 39.8% outperforming the market in India which returned 8% over the past month.

Cons

• White Organic Agro is overvalued based on earnings compared to the IN Food industry average.
• White Organic Agro is overvalued based on earnings compared to the India market.
• 513713 underperformed the Food industry which returned 18.8% over the past year.
• 513713 underperformed the Market in India which returned -14.5% over the past year.