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ESAB IndiaBSE:500133 Stock Report

Market Cap

₹36.0b

7D

-5.5%

1Y

73.8%

Updated

26 Oct, 2021

Data

Company Financials
500133 fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance4/6
Financial Health5/6
Dividends3/6

500133 Overview

ESAB India Limited manufactures and sells welding and cutting equipment in India.

Price History & Performance

Summary of all time highs, changes and price drops for ESAB India
Historical stock prices
Current Share Price₹2,337.20
52 Week High₹1,300.00
52 Week Low₹2,500.00
Beta0.34
1 Month Change7.11%
3 Month Change24.48%
1 Year Change73.83%
3 Year Change162.95%
5 Year Change301.65%
Change since IPO4,769.17%

Recent News & Updates

Shareholder Returns

500133IN MachineryIN Market
7D-5.5%-5.3%-4.6%
1Y73.8%80.6%61.7%

Return vs Industry: 500133 underperformed the Indian Machinery industry which returned 80.6% over the past year.

Return vs Market: 500133 exceeded the Indian Market which returned 61.7% over the past year.

Price Volatility

Is 500133's price volatile compared to industry and market?
500133 volatility
500133 Beta0.34
Industry Beta0.78
Market Beta1

Stable Share Price: 500133 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 500133's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1987808Rohit Gambhirhttps://www.esabindia.com

ESAB India Limited manufactures and sells welding and cutting equipment in India. The company offers gas equipment; welding consumables; welding automation and robotics; ESAB digital solutions; filler metals; arc welding equipment; plasma cutting equipment; and cutting automation products, as well as PPE products and accessories, including helmets and head protection, gloves, clothes, eye protection products, and accessories. It serves the shipbuilding, petrochemical, construction, transport, offshore, energy, and general engineering industries, as well as repair and maintenance of steel, mills, cement, sugar industries, etc. The company sells its products under the Arcair, Exaton, GASARC, Stoody, TBI Industries, Thermal Dynamics, Tweco, and Victor brand names.

ESAB India Fundamentals Summary

How do ESAB India's earnings and revenue compare to its market cap?
500133 fundamental statistics
Market Cap₹35.98b
Earnings (TTM)₹724.70m
Revenue (TTM)₹7.43b

49.6x

P/E Ratio

4.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
500133 income statement (TTM)
Revenue₹7.43b
Cost of Revenue₹4.70b
Gross Profit₹2.73b
Expenses₹2.00b
Earnings₹724.70m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 28, 2021

Earnings per share (EPS)47.08
Gross Margin36.70%
Net Profit Margin9.75%
Debt/Equity Ratio1.3%

How did 500133 perform over the long term?

See historical performance and comparison

Dividends

2.1%

Current Dividend Yield

93%

Payout Ratio

Valuation

Is ESAB India undervalued compared to its fair value and its price relative to the market?

49.64x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 500133 (₹2337.2) is trading above our estimate of fair value (₹684.08)

Significantly Below Fair Value: 500133 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 500133 is poor value based on its PE Ratio (49.6x) compared to the Indian Machinery industry average (24.3x).

PE vs Market: 500133 is poor value based on its PE Ratio (49.6x) compared to the Indian market (20.9x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 500133's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 500133 is overvalued based on its PB Ratio (13.9x) compared to the IN Machinery industry average (1.9x).


Future Growth

How is ESAB India forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

16.0%

Forecasted Capital Goods 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 ESAB India 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.


Past Performance

How has ESAB India performed over the past 5 years?

19.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 500133 has high quality earnings.

Growing Profit Margin: 500133's current net profit margins (9.8%) are higher than last year (9.6%).


Past Earnings Growth Analysis

Earnings Trend: 500133's earnings have grown by 19.7% per year over the past 5 years.

Accelerating Growth: 500133's earnings growth over the past year (17.2%) is below its 5-year average (19.7% per year).

Earnings vs Industry: 500133 earnings growth over the past year (17.2%) underperformed the Machinery industry 77.1%.


Return on Equity

High ROE: 500133's Return on Equity (28%) is considered high.


Financial Health

How is ESAB India's financial position?


Financial Position Analysis

Short Term Liabilities: 500133's short term assets (₹2.9B) exceed its short term liabilities (₹1.2B).

Long Term Liabilities: 500133's short term assets (₹2.9B) exceed its long term liabilities (₹69.1M).


Debt to Equity History and Analysis

Debt Level: 500133's debt to equity ratio (1.3%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 500133's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 500133's debt is well covered by operating cash flow (2135.1%).

Interest Coverage: 500133 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is ESAB India current dividend yield, its reliability and sustainability?

2.14%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 500133's dividend (2.14%) is higher than the bottom 25% of dividend payers in the Indian market (0.35%).

High Dividend: 500133's dividend (2.14%) is in the top 25% of dividend payers in the Indian market (1.42%)


Stability and Growth of Payments

Stable Dividend: 500133's dividend payments have been volatile in the past 10 years.

Growing Dividend: 500133's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (93.5%), 500133's dividend payments are not well 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?

7.6yrs

Average board tenure


CEO

Rohit Gambhir (48 yo)

6.92yrs

Tenure

₹23,490,964

Compensation

Mr. Rohit Gambhir has been the Managing Director of ESAB India Limited since November 1, 2014. Mr. Gambhir served as the Chief Executive Officer at ESAB India Limited since November 1, 2013 until November...


CEO Compensation Analysis

Compensation vs Market: Rohit's total compensation ($USD313.07K) is about average for companies of similar size in the Indian market ($USD306.13K).

Compensation vs Earnings: Rohit's compensation has increased by more than 20% in the past year.


Board Members

Experienced Board: 500133's board of directors are considered experienced (7.6 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

ESAB India Limited's employee growth, exchange listings and data sources


Key Information

  • Name: ESAB India Limited
  • Ticker: 500133
  • Exchange: BSE
  • Founded: 1987
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: ₹35.977b
  • Shares outstanding: 15.39m
  • Website: https://www.esabindia.com

Number of Employees


Location

  • ESAB India Limited
  • Plot No. 13, Industrial Estate
  • 3rd Main Road
  • Chennai
  • Tamil Nadu
  • 600058
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/26 16:12
End of Day Share Price2021/10/26 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.