NSEI:SSWL

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Steel Strips Wheels

Executive Summary

Steel Strips Wheels Limited designs, manufactures, and sells automotive steel wheels in India and internationally.


Snowflake Analysis

Average dividend payer and slightly overvalued.


Similar Companies

Share Price & News

How has Steel Strips Wheels's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SSWL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

1.5%

SSWL

1.5%

IN Auto Components

1.1%

IN Market


1 Year Return

-44.1%

SSWL

-12.7%

IN Auto Components

-6.0%

IN Market

Return vs Industry: SSWL underperformed the Indian Auto Components industry which returned -12.7% over the past year.

Return vs Market: SSWL underperformed the Indian Market which returned -6% over the past year.


Shareholder returns

SSWLIndustryMarket
7 Day1.5%1.5%1.1%
30 Day22.2%7.7%6.2%
90 Day5.6%29.3%18.2%
1 Year-43.8%-44.1%-11.2%-12.7%-4.1%-6.0%
3 Year-49.4%-50.0%-33.4%-35.3%0.2%-4.5%
5 Year46.0%42.4%-7.9%-11.8%24.5%14.9%

Price Volatility Vs. Market

How volatile is Steel Strips Wheels's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Steel Strips Wheels undervalued compared to its fair value and its price relative to the market?

14.03x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SSWL (₹438.25) is trading above our estimate of fair value (₹22.74)

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


Price To Earnings Ratio

PE vs Industry: SSWL is good value based on its PE Ratio (14x) compared to the IN Auto Components industry average (15.2x).

PE vs Market: SSWL is poor value based on its PE Ratio (14x) compared to the Indian market (12.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SSWL is good value based on its PB Ratio (1x) compared to the IN Auto Components industry average (1.1x).


Next Steps

Future Growth

How is Steel Strips Wheels forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

21.6%

Forecasted Automobiles 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 Steel Strips Wheels 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 Steel Strips Wheels performed over the past 5 years?

10.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SSWL has high quality earnings.

Growing Profit Margin: SSWL's current net profit margins (2.9%) are lower than last year (4.4%).


Past Earnings Growth Analysis

Earnings Trend: SSWL's earnings have grown by 10% per year over the past 5 years.

Accelerating Growth: SSWL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: SSWL had negative earnings growth (-42.7%) over the past year, making it difficult to compare to the Auto Components industry average (-29.8%).


Return on Equity

High ROE: SSWL's Return on Equity (6.9%) is considered low.


Next Steps

Financial Health

How is Steel Strips Wheels's financial position?


Financial Position Analysis

Short Term Liabilities: SSWL's short term assets (₹7.3B) do not cover its short term liabilities (₹7.9B).

Long Term Liabilities: SSWL's short term assets (₹7.3B) exceed its long term liabilities (₹6.5B).


Debt to Equity History and Analysis

Debt Level: SSWL's debt to equity ratio (138.9%) is considered high.

Reducing Debt: SSWL's debt to equity ratio has reduced from 159.1% to 138.9% over the past 5 years.

Debt Coverage: SSWL's debt is not well covered by operating cash flow (18.8%).

Interest Coverage: SSWL's interest payments on its debt are not well covered by EBIT (1.8x coverage).


Balance Sheet


Next Steps

Dividend

What is Steel Strips Wheels's current dividend yield, its reliability and sustainability?

0.91%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SSWL's dividend (0.91%) is higher than the bottom 25% of dividend payers in the Indian market (0.69%).

High Dividend: SSWL's dividend (0.91%) is low compared to the top 25% of dividend payers in the Indian market (2.73%).


Stability and Growth of Payments

Stable Dividend: SSWL's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (12.8%), SSWL's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

11.5yrs

Average management tenure


CEO

Dheeraj Garg (48yo)

27.08yrs

Tenure

₹57,147,000

Compensation

Shri. Dheeraj Garg has been the Managing Director of Steel Strips Wheels Limited since June 26, 1993 and has been its Executive Director since April 29, 1993. Shri. Garg serves as Managing Director of Stee ...


CEO Compensation Analysis

Compensation vs Market: Dheeraj's total compensation ($USD760.29K) is above average for companies of similar size in the Indian market ($USD48.72K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Dheeraj Garg
MD & Executive Director27.08yrs₹57.15m29.76% 2.0b
Ayush Thareja
Chief Financial Officer1.42yrs₹1.42mno data
Andra Unnikrishnan
Deputy MD & Executive Director11.5yrs₹8.59m0.033% 2.2m
Manohar Jain
Executive Director5yrs₹5.05m0.13% 8.9m
Shaman Jindal
CGM & Company Secretaryno data₹3.61m0.0080% 547.6k
Mohan Joshi
Chief Investor Relations Officerno datano datano data

11.5yrs

Average Tenure

56.5yo

Average Age

Experienced Management: SSWL's management team is seasoned and experienced (11.5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Dheeraj Garg
MD & Executive Director27.08yrs₹57.15m29.76% 2.0b
Andra Unnikrishnan
Deputy MD & Executive Director11.5yrs₹8.59m0.033% 2.2m
Manohar Jain
Executive Director5yrs₹5.05m0.13% 8.9m
Rajinder Garg
Non Executive Chairmanno datano data1.88% 128.1m
Surinder Virdi
Non-Executive Independent Director0.75yrno datano data
Ajit Chatha
Non-Executive Independent Director0.75yr₹20.00kno data
Sanjay Sahni
Nominee Director1.67yrsno datano data
Virander Arya
Additional Non-Executive Independent Director1.17yrsno data0.0016% 109.3k
Shashi Gupta
Non-Executive Independent Director0.75yrno datano data

1.4yrs

Average Tenure

70yo

Average Age

Experienced Board: SSWL's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

Steel Strips Wheels Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Steel Strips Wheels Limited
  • Ticker: SSWL
  • Exchange: NSEI
  • Founded: 1985
  • Industry: Auto Parts and Equipment
  • Sector: Automobiles
  • Market Cap: ₹6.828b
  • Shares outstanding: 15.59m
  • Website: https://www.sswlindia.com

Number of Employees


Location

  • Steel Strips Wheels Limited
  • SCO 49-50
  • Sector 26
  • Chandigarh
  • Chandigarh
  • 160019
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
513262BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2001
SSWLNSEI (National Stock Exchange of India)YesEquity SharesININRDec 2001

Biography

Steel Strips Wheels Limited designs, manufactures, and sells automotive steel wheels in India and internationally. It offers wheels for two and three wheelers, passenger cars, multi utility vehicles, tractors, trucks, and off road vehicles, as well as provides alloy wheels for passenger cars, and MUV's and caravan vehicles. Steel Strips Wheels Limited was incorporated in 1985 and is headquartered in Chandigarh, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/11 12:50
End of Day Share Price2020/07/10 00:00
Earnings2019/12/31
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.