NLC India Ltd. is engaged in the mining and exploration of lignite and generation of thermal power in India. The company owns opencast mines and thermal power stations. It supplies power to diverse industries such as electricity boards, cement companies and paint companies, in addition to other small sectors and brick industries. NLC India also in the generation of thermal power through its thermal power stations comprising 3 thermal power stations. The company was founded on November 14, 1956
It's current Price/Book of 1.09 is about median in its peer group.
The market expects NLC India Ltd to grow at about the same rate as the peers and to maintain the median returns it currently generates.
NLC India Ltd has relatively high profit margins while operating with median asset turns.
Changes in annual revenues (relative to peers) are better than the change in its (relative to peers), implying the company is focused more on revenues.
NLC India Ltd return on assets currently and over the past five years suggest that its relatively high operating returns are sustainable.
The company's relatively high pre-tax margin suggests tight control on operating costs versus peers.
While NLC India Ltd revenues growth has been below the peer median in the last few years, the market still gives the stock a that is around peer median and seems to see the company as a long-term strategic bet.
The company's level of capital investment is relatively low and suggests it is milking the business.
NLC India Ltd seems to be constrained by the current level of debt.
Date of Trade (Time if applicable): 15th May 2017
Entry Date: Buy Stop
Stock: NLC India Ltd - NLCINDIA
Current Price: 107.20
Time Frame: Daily
Type of Trade: Swing trade
Reason For Trade:
Fundamentally Strong Stock
is above 50 i.e at 56.5. According to analysis, NLCndia just got above it's and showing good signal.
MACD: MACAD is crossing over the zero line. 0.113 and Signal Line: 0.153. According to analysis, a centerline crossover just happend and it's a positive signal.
Price is above 50 and 200
Book Value is 106.91. Price is near its book value
has crossed 20
Price is above 50 and 200
Target 1: 122 (Majority shares should be sold at this price)
Target 2: 150
Stock is trading at 0.97 times its book value
Stock is providing a good dividend yield of 3.17%.
Company has been maintaining a healthy dividend payout of 33.67%
Monthly chart is neutral slightly tilted toward sentiment.
The company has delivered a poor growth of 9.19% over past five years.
Company has a low return on equity of 9.53% for last 3 years.
Contingent liabilities of Rs .5091.25 Cr .
Negative cash flow in recent years
Weekly chart is indicating start of downtrend (MACAD).