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Check Before You Invest : Jay Jalaram Technologies Ltd

BSE: 0 NSE: KORE ISIN: INE0J6801010
  |   Sector:  Retail   |   Industry:  Retailing

Snapshot

Q.1 Which industry/sub-sector does Jay Jalaram Technologies Ltd belong to?
Jay Jalaram Technologies Ltd belongs to the Retail sector, operating specifically within the Retailing segment.
Q.2 Is Jay Jalaram Technologies Ltd a good quality company?
Jay Jalaram Technologies 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 Jay Jalaram Technologies Ltd undervalued or overvalued?
Jay Jalaram Technologies Ltd appears Undervalued, as its key valuation ratios are lower than 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 20.9 98.67
Price to Book 2.17 7.75
Price to Sales 0.21 0.89
EV to EBITDA 11.19 40.14
Q.4 Is Jay Jalaram Technologies Ltd a good buy now?
Jay Jalaram Technologies Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. 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 Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd revenue growth is 23.9% for FY-2025, which is below its 5-year CAGR of 47.65%, indicating slower growth.

Q.2 Gross Profit margin of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies 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 1.4%, indicating increasing margins.

Q.3 Operating Profit Margin of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 2.39% for FY-2025, which is in line with its 5-year median of 2.34% indicating stable margins.

Q.4 Net Profit Margin of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Net Profit Margin is 1.01% for FY-2025, is above its 5-year median of 0.9%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 1.6 1.4
Operating Profit Margin (%) 2.39 2.34
Net Profit Margin (%) 1.01 0.9

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Return on Asset is 4.1%, which is above its 5-year historical median of 3.85%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Return on capital employed is 15.69% for FY-2025, which is in line with its 5-year historical median of 15.84%. 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 Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Return on equity is 14.47% for FY-2025, which is in line with its 5-year historical median of 15.04%, indicating the business is making similar use of its shareholders capital.

Q.8 Cash conversion cycle of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Cash conversion cycle is 39 days, above its 5-year historical median of 22 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level 5-year
Historic Median
Asset Turnover (x) 4.05 4.26
ROE (%) 14.47 15.04
ROCE (%) 15.69 15.84
Cash Conversion Cycle 39 days 22 days

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

Q.9 Debt to Equity ratio of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Debt-to-Equity ratio is 0.86, which is above the industry average of 0.25, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of Jay Jalaram Technologies Ltd?
Jay Jalaram Technologies Ltd Debt to cash flow from operations is -1.68, which is at a unhealthy level.

Ownership & governance

D: Promoter shareholding and pledge status of Jay Jalaram Technologies Ltd?

Q.1 Promoter shareholding and pledge status of Jay Jalaram Technologies Ltd?
Promoters hold 69.20% of the Jay Jalaram Technologies Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does Jay Jalaram Technologies Ltd performance compare with that of its Peers?

Q.1 Revenue growth of Jay Jalaram Technologies Ltd vs industry peers?
Jay Jalaram Technologies Ltd revenue CAGR is 47.65%, compared to the industry median CAGR of 0.00%, indicating faster growth and gaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 23.9 0
Gross Profit Growth (%) 37.5 19.8
Operating Profit Growth (%) 23.1 16.2
Net Profit Growth (%) 40 18.2
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 4.05 1.11
ROE (%) 14.47 3.58
ROCE (%) 15.69 11.9
Cash Conversion Cycle (days) 39.3 38

Valuation & price assessment

Q.1 Stock return of Jay Jalaram Technologies Ltd over the last decade?
Over the last 3 year(s), the stock has delivered a CAGR of -16.4% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
- - -16.4% -23.3%
Q.2 Valuation ratios of Jay Jalaram Technologies Ltd vs historical?
The current P/E ratio of 20.9 is lower than its historical median of 98.67, 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 20.9 98.67 37.15
Price to Book 2.17 7.75 2.76
Price to Sales 0.21 0.89 1.31
EV to EBITDA 11.19 40.14 14.00

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