BSE:532500

Stock Analysis Report

Maruti Suzuki India

Executive Summary

Maruti Suzuki India Limited manufactures, purchases, and sells motor vehicles, components, and spare parts primarily in India, rest of Asia, Europe, Africa, Oceania, and Latin America.

Snowflake

Fundamentals

Excellent balance sheet established dividend payer.

Share Price & News

How has Maruti Suzuki India's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-2.1%

BSE:532500

-1.5%

IN Auto

-0.7%

IN Market


1 Year Return

-34.7%

BSE:532500

-32.9%

IN Auto

-12.1%

IN Market

532500 underperformed the Auto industry which returned -33% over the past year.

532500 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

532500IndustryMarket
7 Day-2.1%-1.5%-0.7%
30 Day1.6%-3.5%-4.6%
90 Day-10.9%-13.4%-4.3%
1 Year-33.8%-34.7%-31.9%-32.9%-10.3%-12.1%
3 Year26.9%22.0%-19.9%-22.5%18.9%12.8%
5 Year128.0%116.9%6.1%1.0%37.6%24.7%

Price Volatility Vs. Market

How volatile is Maruti Suzuki India's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Maruti Suzuki India undervalued based on future cash flows and its price relative to the stock market?

25.74x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Maruti Suzuki India's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Maruti Suzuki India's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Maruti Suzuki India is overvalued based on earnings compared to the IN Auto industry average.

Maruti Suzuki India is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

Maruti Suzuki India is poor value based on expected growth next year.


Price Based on Value of Assets

Maruti Suzuki India is overvalued based on assets compared to the IN Auto industry average.


Next Steps

Future Growth

How is Maruti Suzuki India expected to perform in the next 1 to 3 years based on estimates from 35 analysts?

17.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Maruti Suzuki India's revenue is expected to grow by 10.2% yearly, however this is not considered high growth (20% yearly).

Maruti Suzuki India's earnings are expected to grow by 17.6% yearly, however this is not considered high growth (20% yearly).

Maruti Suzuki India's revenue growth is positive but not above the India market average.

Maruti Suzuki India's earnings growth is positive but not above the India market average.

Maruti Suzuki India's earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Maruti Suzuki India is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Maruti Suzuki India performed over the past 5 years?

11.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Maruti Suzuki India's year on year earnings growth rate has been positive over the past 5 years.

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

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


Return on Equity

Maruti Suzuki India has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Maruti Suzuki India used its assets less efficiently than the IN Auto industry average last year based on Return on Assets.


Return on Capital Employed

Maruti Suzuki India's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Maruti Suzuki India's financial position?


Financial Position Analysis

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

Maruti Suzuki India's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Maruti Suzuki India's level of debt (0.3%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (7.8% vs 0.3% today).

Debt is well covered by operating cash flow (4188.4%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 59x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 78.5x debt.


Next Steps

Dividend

What is Maruti Suzuki India's current dividend yield, its reliability and sustainability?

1.60%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Maruti Suzuki India's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.63%).

Maruti Suzuki India's dividend is below the markets top 25% of dividend payers in India (2.52%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.9x coverage).


Next Steps

Management

What is the CEO of Maruti Suzuki India's salary, the management and board of directors tenure and is there insider trading?

1.5yrs

Average management tenure


CEO

Kenichi Ayukawa (64yo)

6.3yrs

Tenure

₹50,218,000

Compensation

Mr. Kenichi Ayukawa has been the Managing Director and Chief Executive Officer of Maruti Suzuki India Limited since April 1, 2013. Mr. Ayukawa has been an Executive Vice President of Suzuki Motor Corporati ...


CEO Compensation Analysis

Kenichi's remuneration is about average for companies of similar size in India.

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


Management Age and Tenure

1.5yrs

Average Tenure

The average tenure for the Maruti Suzuki India management team is less than 2 years, this suggests a new team.


Board Age and Tenure

11.1yrs

Average Tenure

65.5yo

Average Age

The average tenure for the Maruti Suzuki India board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Kanwaldeep Singh

    Senior Vice President of Corporate Social Responsibility

  • Manjaree Chowdhary

    Executive Officer of Legal

    • Tenure: 1.5yrs
  • R. Uppal

    Senior Executive Officer of Human Resource

  • Partho Banerjee

    Executive Director & Executive Officer of Service

  • Randhir Kalsi

    Member of Executive Board

    • Tenure: 0.3yrs
  • Ajay Seth

    Sr. Executive Officer of Finance

    • Tenure: 5.3yrs
    • Compensation: 31.13m
  • Shashank Srivastava

    Head of Marketing & Sales

    • Tenure: 0.3yrs
  • Sanjeev Grover

    Chief GM

    • Tenure: 1.4yrs
    • Compensation: 7.67m
  • P. Bannerjee

    Executive Vice President of Service

  • Kenichi Ayukawa (64yo)

    MD, CEO & Director

    • Tenure: 6.3yrs
    • Compensation: 50.22m

Board Members

  • Toshihiro Suzuki (60yo)

    Non-Executive Director

    • Tenure: 5.8yrs
    • Compensation: 550.00k
  • Pallavi Shroff (63yo)

    Independent Director

    • Tenure: 13.9yrs
    • Compensation: 2.70m
  • Kinji Nom Saito (61yo)

    Non-Executive Director

    • Compensation: 500.00k
  • Rajinder Singh (67yo)

    Independent Director

    • Tenure: 6.6yrs
    • Compensation: 5.55m
  • Takahiko Hashimoto (53yo)

    Director of Marketing & Sales and Whole-time Director

    • Tenure: 0.1yrs
  • Renu Karnad (67yo)

    Independent Director

    • Tenure: 2.1yrs
    • Compensation: 4.70m
  • Ravindra Bhargava (85yo)

    Non-Executive Chairman

    • Tenure: 11.7yrs
    • Compensation: 13.10m
  • Davinder Brar (67yo)

    Independent Director

    • Tenure: 12.9yrs
    • Compensation: 6.60m
  • Kenichi Ayukawa (64yo)

    MD, CEO & Director

    • Tenure: 11.1yrs
    • Compensation: 50.22m
  • Osamu Suzuki (89yo)

    Non-Executive Director

    • Tenure: 16.9yrs
    • Compensation: 500.00k

Company Information

Maruti Suzuki India Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Maruti Suzuki India Limited
  • Ticker: 532500
  • Exchange: BSE
  • Founded: 1981
  • Industry: automobile manufacturers
  • Sector: automobiles
  • Market Cap: ₹1.805t
  • Shares outstanding: 302.08m
  • Website: Click here

Location

  • Maruti Suzuki India Limited
  • 1 Nelson Mandela Road
  • Vasant Kunj
  • New Delhi
  • Delhi
  • 110070
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532500BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 2003
MARUTINSEI (National Stock Exchange of India)YesEquity SharesININRJul 2003

Biography

Maruti Suzuki India Limited manufactures, purchases, and sells motor vehicles, components, and spare parts primarily in India, rest of Asia, Europe, Africa, Oceania, and Latin America. The company offers p ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:33
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.