Check Before You Invest : Anand Rayons Ltd

BSE: 542721 NSE: ISIN: INE02GA01012

| Sector: Miscellaneous | Industry: Trading

Snapshot

Q.1 Which industry/sub-sector does Anand Rayons Ltd belong to?

Anand Rayons Ltd belongs to the Miscellaneous sector, operating specifically within the Trading segment.

Q.2 Is Anand Rayons Ltd a good quality company?

Anand Rayons Ltd is a average quality company, based on a somewhat consistent 7-year financial track record.

Q.3 Is Anand Rayons Ltd undervalued or overvalued?

Anand Rayons Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.

Q.4 Is Anand Rayons Ltd a good buy now?

Anand Rayons Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Anand Rayons Ltd?

Anand Rayons Ltd revenue growth is -8.9% for FY-2025, which is below its 5-year CAGR of 5.17%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Anand Rayons Ltd?

Anand Rayons Ltd Return on capital employed is 9.24% for FY-2025, which is below its 5-year historical median of 10.76%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.3 Return on Asset of Anand Rayons Ltd?

Anand Rayons Ltd Return on Asset is 4.02%, which is in line with its 5-year historical median of 4.02%, indicating stable asset utilization efficiency.

Q.4 Return on Equity (ROE) of Anand Rayons Ltd?

Anand Rayons Ltd Return on equity is 6.78% for FY-2025, which is below its 5-year historical median of 9.03%, indicating the business is making worse use of its shareholders capital.

Q.5 Cash conversion cycle of Anand Rayons Ltd?

Anand Rayons Ltd Cash conversion cycle is 58 days, in line with its 5-year historical median of 56 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	3.65	4.38
ROE	6.78	9.03
ROCE	9.24	10.76
Cash Conversion Cycle	58 days	56 days

Q.6 Gross Profit margin of Anand Rayons Ltd?

Anand Rayons Ltd Gross profit margin which is the profit after deduction of direct costs, is 1.6% for FY-2025, which is above its 5-year median of 1.3%, indicating increasing margins.

Q.7 Operating Profit Margin of Anand Rayons Ltd?

Anand Rayons Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 2.4% for FY-2025, which is above its 5-year median of 2.12% indicating increasing margins.

Q.8 Net Profit Margin of Anand Rayons Ltd?

Anand Rayons Ltd Net Profit Margin is 1.11% for FY-2025, is above with its 5-year median of 0.91%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	1.6	1.3
Operating Profit Margin	2.4	2.12
Net Profit Margin	1.11	0.91

Q.9 Debt to Equity ratio of Anand Rayons Ltd?

Anand Rayons Ltd Debt-to-Equity ratio is 0.24, which is above with the industry average of 0.17, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Anand Rayons Ltd?

Anand Rayons Ltd Debt to cash flow from operations is 1.43, which is at a healthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Anand Rayons Ltd?

Promoters hold 52.57% of the Anand Rayons Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Anand Rayons Ltd vs industry peers?

Anand Rayons Ltd revenue CAGR is 5.17%, compared to the industry median CAGR of 12.68%, indicating slower growth and losing its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	-8.9	12.7
Gross Profit Growth	25	17.5
Operating Profit Growth	14.3	15.5
Net Profit Growth	-	NAN

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	3.65	0.81
ROE	6.78	2.6
ROCE	9.24	3.8
Cash Conversion Cycle (days)	57.84	61

Valuation & price assessment

Q.1 Stock return of Anand Rayons Ltd over the last decade?

Over the last 5 year(s), the stock has delivered a CAGR of 13.76% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	-	13.8%	11.7%	-76.4%

Q.3 Valuation ratios of Anand Rayons Ltd vs historical?

The current P/E is lower that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	13.3	28.77	33.44
Price to Book	1.3	2.58	1.58
Price to Sales	0.31	0.25	2.20
EV to EBITDA	10.69	14.92	14.05

Check more companies

3. Redington

6. Lloyds Enterprises

7. MMTC

8. Cello World

9. Jeena Sikho Life

10. SG Mart

Check trending companies

1. Siemens Ltd.

2. Tata Elxsi Ltd.

3. Tata Power Company Ltd.

4. Aditya Birla Capital Ltd.

5. L&T Technology Services Ltd.