BSE:500500

Stock Analysis Report

Executive Summary

Hindustan Motors Limited manufactures and sells vehicles and related spare parts, and steel products and components in India.

Snowflake

Fundamentals

Mediocre balance sheet and slightly overvalued.

Risks

  • Hindustan Motors has significant price volatility in the past 3 months.
  • Hindustan Motors is not covered by any analysts.

Similar Companies

Share Price & News

How has Hindustan Motors's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

3.2%

BSE:500500

-1.5%

IN Auto

-0.7%

IN Market


1 Year Return

-27.0%

BSE:500500

-32.9%

IN Auto

-12.1%

IN Market

500500 outperformed the Auto industry which returned -33% over the past year.

500500 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

500500IndustryMarket
7 Day3.2%-1.5%-0.7%
30 Day-9.5%-3.5%-4.6%
90 Day-17.8%-13.4%-4.3%
1 Year-27.0%-27.0%-31.9%-32.9%-10.3%-12.1%
3 Year4.0%4.0%-19.9%-22.5%18.9%12.8%
5 Year-25.6%-25.6%6.1%1.0%37.6%24.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Hindustan Motors undervalued based on future cash flows and its price relative to the stock market?

4.96x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Hindustan Motors to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Hindustan Motors to establish if it is available at substantial discount.


Price Based on Earnings

Hindustan Motors is good value based on earnings compared to the IN Auto industry average.

Hindustan Motors is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Hindustan Motors, we can't assess if its growth is good value.


Price Based on Value of Assets

Hindustan Motors has negative assets, we can't compare the value of its assets to the IN Auto industry average.


Next Steps

Future Growth

How is Hindustan Motors expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

14.6%

Forecasted Auto industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Hindustan Motors has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Hindustan Motors performed over the past 5 years?

66.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Hindustan Motors has delivered over 20% year on year earnings growth in the past 5 years.

Hindustan Motors's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Hindustan Motors's 1-year earnings growth is negative, it can't be compared to the IN Auto industry average.


Return on Equity

It is difficult to establish if Hindustan Motors has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) due to its liabilities exceeding its assets.


Return on Assets

Hindustan Motors used its assets more efficiently than the IN Auto industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if Hindustan Motors improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to its liabilities exceeding its assets.


Next Steps

Financial Health

How is Hindustan Motors's financial position?


Financial Position Analysis

Hindustan Motors's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

Hindustan Motors's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Hindustan Motors has negative shareholder equity (liabilities exceed assets), this is a more serious situation compared with a high debt level.

Irrelevant to check if Hindustan Motors's debt level has increased considering it has negative shareholder equity.

Hindustan Motors has no debt, it does not need to be covered by operating cash flow.

Hindustan Motors has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

High level of physical assets or inventory.

Hindustan Motors has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.


Next Steps

Dividend

What is Hindustan Motors's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Hindustan Motors's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Hindustan Motors's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Hindustan Motors has not reported any payouts.

Unable to verify if Hindustan Motors's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Hindustan Motors has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Hindustan Motors's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average management tenure


CEO

Bhikam Mishra

1.3yrs

Tenure

₹2,370,240

Compensation

Mr. Bhikam Chand Mishra is the Chief Executive Officer of Hindustan Motors Ltd., since May 26, 2018 and served as its Chief Financial Officer since November 11, 2014 until May 25, 2018. Mr. Mishra holds a  ...


CEO Compensation Analysis

Bhikam's remuneration is higher than average for companies of similar size in India.

Bhikam's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

1.3yrs

Average Tenure

66yo

Average Age

The average tenure for the Hindustan Motors management team is less than 2 years, this suggests a new team.


Board Age and Tenure

5.2yrs

Average Tenure

71yo

Average Age

The tenure for the Hindustan Motors board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • T. Vardhan (63yo)

    Executive Vice President of Corporate Finance and Director of Hm Export Limited

    • Compensation: 2.21m
  • Shanti Singhi (81yo)

    President of Admin

  • B. Khargonkar (69yo)

    Executive Vice President of Power Unit Plant

    • Compensation: 3.37m
  • P. Vijayan (61yo)

    Chief Operating Officer of Chennai Car Plant

    • Compensation: 2.60m
  • Bhikam Mishra

    Chief Executive Officer

    • Tenure: 1.3yrs
    • Compensation: 2.37m
  • Prativa Sharma

    Compliance Officer & Company Secretary

    • Tenure: 1.9yrs
    • Compensation: 282.20k
  • Mahesh Kejriwal

    Chief Financial Officer

    • Tenure: 1.3yrs

Board Members

  • T. Vardhan (63yo)

    Executive Vice President of Corporate Finance and Director of Hm Export Limited

    • Compensation: 2.21m
  • Shanti Singhi (81yo)

    President of Admin

  • A. Sankaranarayanan (77yo)

    Non-Independent & Non-Executive Director

    • Tenure: 22.6yrs
    • Compensation: 130.00k
  • Uttam Bose (58yo)

    Non-Independent & Non-Executive Director

    • Tenure: 4.9yrs
    • Compensation: 50.00k
  • Raj Johri (71yo)

    Independent & Non-Executive Director

    • Tenure: 5.5yrs
    • Compensation: 140.00k
  • Mou Mukherjee

    Independent & Non-Executive Director

    • Tenure: 4.4yrs
    • Compensation: 130.00k

Company Information

Hindustan Motors Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hindustan Motors Limited
  • Ticker: 500500
  • Exchange: BSE
  • Founded: 1942
  • Industry: automobile manufacturers
  • Sector: automobiles
  • Market Cap: ₹1.196b
  • Shares outstanding: 208.66m
  • Website: Click here

Number of Employees


Location

  • Hindustan Motors Limited
  • Birla Building
  • 13th Floor
  • Kolkata
  • West Bengal
  • 700001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500500BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 1995
HINDMOTORSNSEI (National Stock Exchange of India)YesEquity SharesININRApr 1995

Biography

Hindustan Motors Limited manufactures and sells vehicles and related spare parts, and steel products and components in India. The company offers passenger cars under the Ambassador name; and light commerci ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:37
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.