BSE:500187

Stock Analysis Report

Executive Summary

HSIL Limited manufactures and trades in sanitary ware, faucets, and other consumer products in India.

Snowflake

Fundamentals

Adequate balance sheet average dividend payer.

Risks

  • HSIL has significant price volatility in the past 3 months.
  • HSIL is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

6.0%

BSE:500187

-1.3%

IN Building

-0.7%

IN Market


1 Year Return

-24.0%

BSE:500187

-12.8%

IN Building

-12.1%

IN Market

500187 underperformed the Building industry which returned -13% over the past year.

500187 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

500187IndustryMarket
7 Day6.0%-1.3%-0.7%
30 Day4.3%-8.3%-4.6%
90 Day-9.3%-10.8%-4.3%
1 Year-22.9%-24.0%-12.3%-12.8%-10.3%-12.1%
3 Year-29.5%-31.9%16.3%14.2%18.9%12.8%
5 Year-19.9%-24.5%84.7%78.5%37.6%24.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

35%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

HSIL's share price is below the future cash flow value, and at a moderate discount (> 20%).

HSIL's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

HSIL is overvalued based on earnings compared to the IN Building industry average.

HSIL is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

HSIL is poor value based on expected growth next year.


Price Based on Value of Assets

HSIL is good value based on assets compared to the IN Building industry average.


Next Steps

Future Growth

How is HSIL expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

22.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

HSIL's revenue is expected to grow by 9.1% yearly, however this is not considered high growth (20% yearly).

HSIL's earnings are expected to grow significantly at over 20% yearly.

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

HSIL's earnings growth is expected to exceed the India market average.

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has HSIL performed over the past 5 years?

5.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

HSIL's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

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

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


Return on Equity

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


Return on Assets

HSIL used its assets less efficiently than the IN Building industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is HSIL's financial position?


Financial Position Analysis

HSIL is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

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


Debt to Equity History and Analysis

HSIL's level of debt (79%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (110% vs 79% today).

Debt is well covered by operating cash flow (27.5%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.6x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.1x debt.


Next Steps

Dividend

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

1.68%

Expected Dividend Yield


Upcoming Dividend Payment

Purchase HSIL before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

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

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

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (3.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (3.5x coverage).


Next Steps

Management

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

13.6yrs

Average management tenure


CEO

Rajendra Somany (82yo)

13.6yrs

Tenure

₹53,339,108

Compensation

Mr. Rajendra Kumar Somany, B.Com., FI(Ceramics) (U.K.), LFAIMA, FCMI (UK),Member - IoM3 (U.K.) has been the Managing Director and Executive & Non-Independent Chairman of HSIL Limited. since January 09, 200 ...


CEO Compensation Analysis

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

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


Management Age and Tenure

13.6yrs

Average Tenure

58yo

Average Age

The average tenure for the HSIL management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

8.3yrs

Average Tenure

67yo

Average Age

The tenure for the HSIL board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Recent Insider Transactions

Buy₹76,525,64901 Jul 19
Paco Exports Ltd
EntityCompany
Shares300,000
Max Price₹255.09

Ownership Breakdown


Management Team

  • Sandip Somany (56yo)

    Executive Vice Chairman & MD

    • Tenure: 23.9yrs
    • Compensation: 58.65m
  • Anil Chandani (52yo)

    Senior Vice President of Corporate Finance

    • Compensation: 8.89m
  • Kular Shetty (60yo)

    President of Operations & Technical

    • Compensation: 1.51m
  • Rajendra Somany (82yo)

    Executive Chairman & MD

    • Tenure: 13.6yrs
    • Compensation: 53.34m
  • Sanjay Gaur (53yo)

    Chief Human Resource Officer

    • Compensation: 9.44m
  • Jitendra Somani (62yo)

    Head of SCM & Commercial

    • Compensation: 10.27m
  • Shyamalendu Banerjee

    Investor Relations Manager

  • Arun Dukkipati (72yo)

    President of Packaging Products Division

    • Compensation: 23.85m
  • Sandeep Sikka (48yo)

    Chief Financial Officer

    • Tenure: 4.3yrs
    • Compensation: 22.21m
  • Payal Puri

    Compliance Officer & Company Secretary

    • Compensation: 5.66m

Board Members

  • Sandip Somany (56yo)

    Executive Vice Chairman & MD

    • Tenure: 2.7yrs
    • Compensation: 58.65m
  • Nand Khaitan (67yo)

    Non-Executive & Independent Director

    • Tenure: 23.2yrs
    • Compensation: 1.67m
  • Ashok Jaipuria (66yo)

    Non-Executive & Independent Director

    • Tenure: 15.3yrs
    • Compensation: 1.58m
  • Girdhari Sultania (73yo)

    Non-Executive & Non-Independent Director

    • Tenure: 13.6yrs
    • Compensation: 1.64m
  • Rajendra Somany (82yo)

    Executive Chairman & MD

    • Tenure: 13.6yrs
    • Compensation: 53.34m
  • Sumita Somany (53yo)

    Non-Executive Non-Independent Director

    • Tenure: 5.3yrs
    • Compensation: 1.64m
  • Rainer Simon (69yo)

    Non-Executive & Independent Director

    • Tenure: 8.3yrs
    • Compensation: 1.58m
  • Salil Bhandari (62yo)

    Non-Executive & Independent Director

    • Tenure: 7.3yrs
    • Compensation: 1.71m
  • Vijay Bhandari (76yo)

    Non-Executive & Independent Director

    • Tenure: 4.9yrs
    • Compensation: 1.68m

Company Information

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


Key Information

  • Name: HSIL Limited
  • Ticker: 500187
  • Exchange: BSE
  • Founded: 1960
  • Industry: building products
  • Sector: capital goods
  • Market Cap: ₹16.954b
  • Shares outstanding: 72.30m
  • Website: Click here

Location

  • HSIL Limited
  • 301-302, Park Centra
  • Sector 30
  • Gurugram
  • Haryana
  • 122001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500187BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 1994
HSILNSEI (National Stock Exchange of India)YesEquity SharesININRJul 1994

Biography

HSIL Limited manufactures and trades in sanitary ware, faucets, and other consumer products in India. It operates through four segments: Building Products, Packaging Products, Consumer Products, and Retail ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:49
End of Day Share Price2019/08/16 00:00
Earnings2019/03/31
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.