TRIVENI - Fundamental Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Fundamental Rating: 3.4

Here’s a focused breakdown of Triveni Engineering & Industries Ltd. (TRIVENI) and its current fundamentals

📊 Core Financials

Profitability Snapshot

ROE: 7.93%, ROCE: 8.62% — modest efficiency in capital and equity deployment

EPS: ₹9.88 — earnings per share is fair but not standout

PAT Qtr vs. Prev Qtr: ₹2.1 Cr. vs ₹183 Cr — huge drop in profitability, which weighs on sentiment

Leverage & Stability

Debt-to-Equity: 0.63 — moderately leveraged, not excessive for a manufacturing entity

Cash flows may be under pressure post recent profit dip

📈 Valuation Insights

Metric Value Remarks

P/E Ratio 38.6 Expensive relative to industry PE of 18.3

P/B Ratio ~2.59 Justified if ROE improves, else might be overvalued

PEG Ratio -2.16 Negative PEG — problematic; signals unreliable growth trajectory

Dividend Yield 0.95% Decent for passive income; not a high-yield stock

🏭 Business Model & Competitive Edge

Sector: Sugar, distillery, and engineering services — cyclical and policy-driven

Strengths

Diversified revenue mix between core sugar and newer tech/engineering segments

Government thrust on ethanol blending could boost distillery division

Weaknesses

Sugar prices are highly regulated and volatile

Weak quarterly performance shows sensitivity to commodity fluctuations

📉 Technical Signals

RSI: 40.8 — near oversold territory, but not yet reversal zone

MACD: -7.35 — bearish outlook persists

Price vs DMA: Stock trading below 50-DMA and 200-DMA — downward pressure remains

Volume Drop: Lower-than-average volume suggests waning trader interest

📍 Entry Zone & Investment Perspective

Suggested Entry: ₹340–₹360 — approaching support zone, suitable if earnings recover

Target Hold Horizon: ₹430–₹470 within 12–15 months, assuming sector tailwinds and margin rebound

Ideal Investor Profile: Risk-tolerant, value-focused investors watching ethanol policy trends and rural consumption cycles

Would you like to see a side-by-side with Dwarikesh Sugar or EID Parry to compare how Triveni stacks up in the sugar and ethanol space? Or perhaps explore earnings rebound patterns post Qtr-on-Qtr declines?

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