BSE:500493

Stock Analysis Report

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Executive Summary

Bharat Forge Limited manufactures and sells forged and machined components in India and internationally. More Details


Snowflake Analysis

High growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has Bharat Forge's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 500493 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 500493's weekly volatility (6%) has been stable over the past year.


Market Performance


7 Day Return

-1.2%

500493

-1.3%

IN Auto Components

-0.9%

IN Market


1 Year Return

23.7%

500493

14.1%

IN Auto Components

17.8%

IN Market

Return vs Industry: 500493 exceeded the Indian Auto Components industry which returned 14.1% over the past year.

Return vs Market: 500493 exceeded the Indian Market which returned 17.8% over the past year.


Shareholder returns

500493IndustryMarket
7 Day-1.2%-1.3%-0.9%
30 Day18.7%6.0%5.2%
90 Day34.0%32.3%23.2%
1 Year24.2%23.7%15.5%14.1%20.0%17.8%
3 Year-14.8%-16.7%-16.6%-19.1%8.5%3.2%
5 Year56.9%50.6%54.7%48.0%82.3%68.5%

Long-Term Price Volatility Vs. Market

How volatile is Bharat Forge's share price compared to the market and industry in the last 5 years?


Simply Wall St News

2 years ago | Simply Wall St

June Growth Stock Picks

2 years ago | Simply Wall St

Best-In-Class Growth Stocks

Valuation

Is Bharat Forge undervalued compared to its fair value and its price relative to the market?

5.48x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 500493 (₹621.85) is trading above our estimate of fair value (₹128.89)

Significantly Below Fair Value: 500493 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 500493 is unprofitable, so we can't compare its PE Ratio to the IN Auto Components industry average.

PE vs Market: 500493 is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 500493's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 500493 is overvalued based on its PB Ratio (5.5x) compared to the IN Auto Components industry average (1.7x).


Next Steps

Future Growth

How is Bharat Forge forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?

87.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 500493 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (7%).

Earnings vs Market: 500493 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 500493's is expected to become profitable in the next 3 years.

Revenue vs Market: 500493's revenue (22.6% per year) is forecast to grow faster than the Indian market (12.3% per year).

High Growth Revenue: 500493's revenue (22.6% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 500493's Return on Equity is forecast to be low in 3 years time (14.5%).


Next Steps

Past Performance

How has Bharat Forge performed over the past 5 years?

-17.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 500493 is currently unprofitable.

Growing Profit Margin: 500493 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 500493 is unprofitable, and losses have increased over the past 5 years at a rate of 17.9% per year.

Accelerating Growth: Unable to compare 500493's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 500493 is unprofitable, making it difficult to compare its past year earnings growth to the Auto Components industry (-44.3%).


Return on Equity

High ROE: 500493 has a negative Return on Equity (-2.95%), as it is currently unprofitable.


Next Steps

Financial Health

How is Bharat Forge's financial position?


Financial Position Analysis

Short Term Liabilities: 500493's short term assets (₹56.2B) exceed its short term liabilities (₹39.3B).

Long Term Liabilities: 500493's short term assets (₹56.2B) exceed its long term liabilities (₹28.1B).


Debt to Equity History and Analysis

Debt Level: 500493's debt to equity ratio (93.7%) is considered high.

Reducing Debt: 500493's debt to equity ratio has increased from 85.9% to 93.7% over the past 5 years.

Debt Coverage: 500493's debt is well covered by operating cash flow (21.5%).

Interest Coverage: 500493 is unprofitable, therefore interest payments are not well covered by earnings.


Balance Sheet


Next Steps

Dividend

What is Bharat Forge current dividend yield, its reliability and sustainability?

0.56%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 500493's dividend (0.56%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: 500493's dividend (0.56%) is low compared to the top 25% of dividend payers in the Indian market (1.83%).


Stability and Growth of Payments

Stable Dividend: 500493's dividend payments have been volatile in the past 10 years.

Growing Dividend: 500493's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: 500493 is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: 500493's dividends in 3 years are forecast to be well covered by earnings (29.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.5yrs

Average management tenure


CEO

Baba Kalyani (71 yo)

no data

Tenure

₹176,414,545

Compensation

Dr. Babasaheb Neelkanth Kalyani, also known as Baba, B.E. (Mech.) (Hons.), M.S. (MIT) has been the Managing Director of Bharat Forge Limited since 1993 and has been its Chairman of the Board since August 1...


CEO Compensation Analysis

Compensation vs Market: Baba's total compensation ($USD2.41M) is above average for companies of similar size in the Indian market ($USD731.14K).

Compensation vs Earnings: Baba's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Babasaheb Kalyani
Chairman & MDno data₹176.41m0.20%
₹ 548.7m
Kishore Saletore
CFO & Executive Director5.92yrs₹29.56m0.00019%
₹ 529.9k
S. Bhave
Director of HR & IRno data₹10.97mno data
Tejaswini Chaudhari
Compliance Officer & Company Secretary4.5yrs₹2.98mno data
V. Munje
President of Corporate & Group General Counselno data₹12.54mno data
Amit Kalyani
Deputy MD & Executive Director16.67yrs₹46.27m0.15%
₹ 419.6m
G. Agarwal
Deputy MD & Executive Director22.67yrs₹46.49m0.0010%
₹ 2.9m
B. Kalyani
Senior VP of F.M.D & Executive Director14.67yrs₹38.20m0.0014%
₹ 3.8m
Subodh Tandale
Executive Director14.67yrs₹38.82mno data
D. Moorthy
President of Corporate Affairs & Infrastuctureno data₹10.32mno data
Madan Takale
Executive VP & Director of Engineeringno data₹19.68mno data
R. Bhatia
President & CEO of Defense Productsno data₹25.09mno data

5.5yrs

Average Tenure

60yo

Average Age

Experienced Management: 500493's management team is seasoned and experienced (5.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Babasaheb Kalyani
Chairman & MDno data₹176.41m0.20%
₹ 548.7m
Kishore Saletore
CFO & Executive Director5.92yrs₹29.56m0.00019%
₹ 529.9k
Amit Kalyani
Deputy MD & Executive Director16.67yrs₹46.27m0.15%
₹ 419.6m
G. Agarwal
Deputy MD & Executive Director22.67yrs₹46.49m0.0010%
₹ 2.9m
B. Kalyani
Senior VP of F.M.D & Executive Director14.67yrs₹38.20m0.0014%
₹ 3.8m
Subodh Tandale
Executive Director14.67yrs₹38.82mno data
Puranam Ravikumar
Independent Director11.67yrs₹1.50m0.0014%
₹ 4.0m
Lalita Gupte
Independent Director14.08yrs₹825.00kno data
Shobhan Thakore
Independent Non-Executive Director34.58yrs₹1.95m0.0060%
₹ 16.8m
Prakash Bhalerao
Non Executive Director15.42yrs₹1.80mno data
Vimal Bhandari
Independent Director7.92yrs₹825.00kno data
Pratap Govind Pawar
Independent Director15.67yrs₹1.95mno data

14.7yrs

Average Tenure

69yo

Average Age

Experienced Board: 500493's board of directors are seasoned and experienced ( 14.7 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Bharat Forge Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Bharat Forge Limited
  • Ticker: 500493
  • Exchange: BSE
  • Founded: 1961
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: ₹278.892b
  • Shares outstanding: 465.52m
  • Website: https://www.bharatforge.com

Number of Employees


Location

  • Bharat Forge Limited
  • Pune Cantonment
  • Mundhwa
  • Pune
  • Maharashtra
  • 411036
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500493BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 2001
BHARATFORGNSEI (National Stock Exchange of India)YesEquity SharesININRJul 2001
BHFORBDL (Bourse de Luxembourg)GDR-REPR 1 ORD INR2 REG'SLUUSDApr 2005

Biography

Bharat Forge Limited manufactures and sells forged and machined components in India and internationally. It operates in two segments, Forgings and Others. The company offers automotive components, includin...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/20 12:17
End of Day Share Price2021/01/20 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.