Steelco Gujarat Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Steelco Gujarat Ltd trades at ₹178, in a confirmed uptrend and 34 weeks into that stage. That is +475.6% against its own 200-day average. It sits at 100% of a 52-week range of ₹104 to ₹178. On relative strength it has no relative-strength read yet.

Today the stock is in a confirmed uptrend — week 34 of stage 2, confirmed. At ₹178 it trades +475.6% versus its 200-day average and sits at 100% of its 52-week range (₹104–₹178).

Against the market, two honest reads. Cumulative: over the last 1 months the stock moved +71% while the NIFTY 500 moved +0% — ahead of the index over the full window. Recent form: no trailing-13-week read yet — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

P/E does not price Steelco Gujarat Ltd — earnings are negative, so there is no multiple to rank against its own history. The revenue and margin lines below are where a turn, when it comes, would show first. On sales the market values Steelco Gujarat Ltd at 0.2× its FY15 revenue of ₹571 Cr.

With earnings negative, P/E does not price — there is no multiple to rank against its own history. The revenue and margin lines below are where the turn, when it comes, will show first.

Put together: the multiple is unremarkable against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: No read Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Steelco Gujarat Ltd reads as no read on its fundamental arc. Under eight usable quarters on the growth trio — not enough history for an honest trajectory read.

Why it matters: with too little history, an honest page says so instead of guessing a trajectory.

The return-on-capital curve is not shown — net worth is negative, so a return on capital is not a meaningful number in any basis. This is a distressed balance sheet, and the stage is read from the growth curves alone.

One or more growth curves carry a base-effect spike — a large year-on-year move off a near-zero or loss-making comparable quarter. Those spikes are capped before the classifier reads the trajectory, and shown pinned on the chart, so a single distorted quarter does not drive the stage call.

Fewer than eight usable quarters on the growth curves — this page will not guess a trajectory from a stub of history.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Steelco Gujarat Ltd reported ₹101 Cr of revenue in the Dec 15 quarter, −42.8% year on year. Over 1 years it has compounded at 7.3% a year. The last full year, FY15, came in at ₹571 Cr. The last four reported quarters add to ₹506 Cr.

FY15 revenue came in at ₹571 Cr (+7.3% on the year), capping 1 years at 7.3% compound. The latest quarter (Dec 15) printed ₹101 Cr, −42.8% year on year.

Pace check: the last four quarters averaged −11.4% growth against the decade's 7.3% — the current year is running slower than its own long-run rate.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Steelco Gujarat Ltd's operating margin is −3.5% in the Dec 15 quarter, −0.8 percentage points against the same quarter a year ago.

The latest quarter's operating margin is −3.5%, −0.8 pp against the same quarter a year ago. Across 2 fiscal years the operating margin has ranged 1.0%–3.0%.

Why the margin moved: operating margin went +158.5 pp year on year while gross margin went +24.7 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Steelco Gujarat Ltd posted a net loss of ₹8.6 Cr in the Dec 15 quarter. The full FY15 year was a loss of ₹3.0 Cr. That loss is 8.6% of the quarter's revenue. The same quarter a year earlier lost ₹0.5 Cr.

Dec 15 profit was ₹−8.6 Cr, null year on year. On the full year, FY15 printed ₹−3.0 Cr (null).

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Steelco Gujarat Ltd's cash-flow history is too thin to judge how much reported profit converts into cash. In FY15 that was ₹43.0 Cr of operating cash against ₹−3.0 Cr of profit. After ₹−64.0 Cr of capital spending, ₹107 Cr was left as free cash. Cash resolution here is annual, because quarterly cash statements are not published.

FY15: operating cash of ₹43.0 Cr against reported profit of ₹−3.0 Cr, leaving free cash of ₹107 Cr after ₹−64.0 Cr of capital spending.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Router verdict: no single sink dominates — the next section checks both the working-capital cycle and the capital spending.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Steelco Gujarat Ltd's cash conversion cycle runs −5 days in FY15, down from 6 days in FY14. Capital spending ran ₹−64.0 Cr over the last 1 years. At FY15 sales of ₹571 Cr each day of that cycle holds about ₹1.6 Cr, so roughly ₹−8.0 Cr sits inside the business at any moment.

FY15: debtors at 36 days, inventory at 63 days — roughly 2.1 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of −5 days, tighter than FY14's 6.

The full loop: cash goes out to suppliers and production on day 0; stock waits 63 days to sell; customers pay about 36 days after that; and suppliers themselves are paid at 104 days — netting out to the −5-day cycle.

In money terms: at FY15 sales of ₹571 Cr, each day of the cycle holds about ₹1.6 Cr — so the −5-day loop keeps roughly ₹−8.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹−64.0 Cr over the last 1 fiscal years against ₹3.0 Cr of depreciation — spending at or below maintenance level. Capital work-in-progress stands at ₹1.0 Cr (FY15) — capacity paid for but not yet earning.

The synthesis: neither the cycle nor the build-out is hoarding the cash — the machine is reasonably clean.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Steelco Gujarat Ltd earns a ROCE of 5% in FY15. A return-on-invested-capital spread against the cost of capital is not computable from what is held here. The wiring behind it is −0.5% net margin on 2.40× asset turns.

FY15 ROCE is 5%.

Why the return is what it is — the wiring (FY15): −0.5% net margin × 2.40× asset turns × −6.80× balance-sheet leverage ≈ 8.2% on equity. Margin does its share; leverage is modest — this is an earned return, not a borrowed one.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

Steelco Gujarat Ltd's net worth is negative — it owes more than it owns — so a debt-to-equity ratio is not meaningful here. Operating profit covers the interest bill 0×. Over 1 years borrowings went from ₹151 Cr to ₹132 Cr. Capital spending ran ₹−64.0 Cr across the last 1 of those years.

FY15: borrowings of ₹132 Cr against equity of ₹−35.0 Cr — net worth is NEGATIVE: the company owes more than it owns, so a debt-to-equity ratio is not meaningful (it just goes negative). This is a balance sheet under water. Operating profit covers the interest bill 0×. Over 1 years borrowings went from ₹151 Cr to ₹132 Cr while capital spending ran ₹−64.0 Cr in just the last 1 — the build-out is being paid for out of cash, not debt.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

Promoters cut 20.0 points of Steelco Gujarat Ltd over 8 quarters, the biggest move on the register. That takes promoters to 74.7% of the company. Domestic institutions moved +0.0 points over the same window, to 0.0%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Promoters: −20.0 points over 8 quarters to 74.7%; Domestic institutions: +0.0 points over 8 quarters to 0.0%.

🚨 Why the register moved: promoters drove it (−20.0 points) — distribution into the market’s bid.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Steelco Gujarat Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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