SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : JostS Engineering Company Ltd

BSE: 505750 NSE: ISIN: INE636D01041
  |   Sector:  Capital Goods & Industrial Consumables   |   Industry:  Engineering - Industrial Equipments

Snapshot

Q.1 Which industry/sub-sector does JostS Engineering Company Ltd belong to?
JostS Engineering Company Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Engineering - Industrial Equipments segment.
Q.2 Is JostS Engineering Company Ltd a good quality company?
JostS Engineering Company Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is JostS Engineering Company Ltd undervalued or overvalued?
JostS Engineering Company Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings 9.11 29.83
Price to Book 1.74 3.24
Price to Sales 1.38 1.32
EV to EBITDA 27.86 16.72
Q.4 Is JostS Engineering Company Ltd a good buy now?
JostS Engineering Company 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

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of JostS Engineering Company Ltd?
JostS Engineering Company Ltd revenue growth is 24.8% for FY-2025, which is above its 5-year CAGR of 16.07%, indicating faster growth.

Q.2 Gross Profit margin of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Gross profit margin which is the profit after deduction of direct costs, is 10.9% for FY-2025, which is above its 5-year median of 7.5%, indicating increasing margins.

Q.3 Operating Profit Margin of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 10.92% for FY-2025, which is above its 5-year median of 7.51% indicating increasing margins.

Q.4 Net Profit Margin of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Net Profit Margin is 7.4% for FY-2025, is above its 5-year median of 4.76%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 10.9 7.5
Operating Profit Margin (%) 10.92 7.51
Net Profit Margin (%) 7.4 4.76

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Return on Asset is 12.12%, which is above its 5-year historical median of 8.54%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Return on capital employed is 29.9% for FY-2025, which is above its 5-year historical median of 25.67%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.7 Return on Equity (ROE) of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Return on equity is 22.48% for FY-2025, which is above its 5-year historical median of 18.23%, indicating the business is making better use of its shareholders capital.

Q.8 Cash conversion cycle of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Cash conversion cycle is 51 days, in line with its 5-year historical median of 51 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 (x) 1.65 1.65
ROE (%) 22.48 18.23
ROCE (%) 29.9 25.67
Cash Conversion Cycle 51 days 51 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Debt-to-Equity ratio is 0.04, which is lower the industry average of 0.18, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of JostS Engineering Company Ltd?
JostS Engineering Company Ltd Debt to cash flow from operations is 0.2, which is at a healthy level.

Ownership & governance

D: Promoter shareholding and pledge status of JostS Engineering Company Ltd?

Q.1 Promoter shareholding and pledge status of JostS Engineering Company Ltd?
Promoters hold 48.06% of the JostS Engineering Company Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does JostS Engineering Company Ltd performance compare with that of its Peers?

Q.1 Revenue growth of JostS Engineering Company Ltd vs industry peers?
JostS Engineering Company Ltd revenue CAGR is 16.07%, compared to the industry median CAGR of 3.04%, indicating faster growth and gaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 24.8 3
Gross Profit Growth (%) 60 23.6
Operating Profit Growth (%) 60 21.7
Net Profit Growth (%) 60 27.1
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 1.65 0.89
ROE (%) 22.48 12.09
ROCE (%) 29.9 14.64
Cash Conversion Cycle (days) 50.74 98

Valuation & price assessment

Q.1 Stock return of JostS Engineering Company Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 16.3% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
16.3% 16% 15.8% -48.7%
Q.2 Valuation ratios of JostS Engineering Company Ltd vs historical?
The current P/E ratio of 9.11 is lower than its historical median of 29.83, indicating that the stock is trading below its historical average valuation.
Q.3 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 9.11 29.83 29.36
Price to Book 1.74 3.24 2.91
Price to Sales 1.38 1.32 2.93
EV to EBITDA 27.86 16.72 15.77

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×