BSE:504959

Stock Analysis Report

Executive Summary

Stovec Industries Limited produces and sells textile and graphic printing consumables and printing machines in India.

Risk Analysis

Unstable dividend track record

Latest financial reports are more than 6 months old

Does not have a meaningful market cap (₹5B)



Snowflake Analysis

Flawless balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 504959 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.3%

504959

-1.5%

IN Machinery

-0.8%

IN Market


1 Year Return

-5.2%

504959

0.4%

IN Machinery

11.1%

IN Market

Return vs Industry: 504959 underperformed the Indian Machinery industry which returned -0.3% over the past year.

Return vs Market: 504959 underperformed the Indian Market which returned 11.1% over the past year.


Shareholder returns

504959IndustryMarket
7 Day-1.3%-1.5%-0.8%
30 Day-0.2%-1.7%-2.3%
90 Day5.5%3.6%2.1%
1 Year-3.0%-5.2%1.8%0.4%13.1%11.1%
3 Year4.4%-0.2%1.2%-2.7%22.9%16.2%
5 Year170.1%150.9%17.1%10.5%34.9%22.6%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Stovec Industries undervalued compared to its fair value and its price relative to the market?

22.06x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 504959 (₹2221.45) is trading above our estimate of fair value (₹503.92)

Significantly Below Fair Value: 504959 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 504959 is poor value based on its PE Ratio (22.1x) compared to the Machinery industry average (14.7x).

PE vs Market: 504959 is poor value based on its PE Ratio (22.1x) compared to the Indian market (13.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 504959's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 504959 is overvalued based on its PB Ratio (3.9x) compared to the IN Machinery industry average (1.2x).


Next Steps

Future Growth

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

16.7%

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 Stovec Industries 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 Stovec Industries performed over the past 5 years?

14.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 504959 has high quality earnings.

Growing Profit Margin: 504959's current net profit margins (11.2%) are lower than last year (14.9%).


Past Earnings Growth Analysis

Earnings Trend: 504959's earnings have grown by 14.9% per year over the past 5 years.

Accelerating Growth: 504959's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 504959 had negative earnings growth (-30.7%) over the past year, making it difficult to compare to the Machinery industry average (-3.1%).


Return on Equity

High ROE: 504959's Return on Equity (17.6%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Stovec Industries's financial position?


Financial Position Analysis

Short Term Liabilities: 504959's short term assets (₹1.2B) exceed its short term liabilities (₹282.5M).

Long Term Liabilities: 504959's short term assets (₹1.2B) exceed its long term liabilities (₹32.8M).


Debt to Equity History and Analysis

Debt Level: 504959 is debt free.

Reducing Debt: 504959 has not had any debt for past 5 years.

Debt Coverage: 504959 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 504959 has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 504959 has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 504959's debt is covered by short term assets.


Next Steps

Dividend

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

1.80%

Current Dividend Yield


Dividend Yield vs Market

company1.8%marketbottom25%0.6%markettop25%2.5%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 504959's dividend (1.8%) is higher than the bottom 25% of dividend payers in the Indian market (0.59%).

High Dividend: 504959's dividend (1.8%) is low compared to the top 25% of dividend payers in the Indian market (2.52%).


Stability and Growth of Payments

Stable Dividend: 504959's dividend payments have been volatile in the past 10 years.

Growing Dividend: 504959's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (39.7%), 504959's dividend payments are 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?

4.6yrs

Average management tenure


CEO

Shailesh Wani (51yo)

6.3yrs

Tenure

₹15,165,167

Compensation

Mr. Shailesh Wani has been Managing Director and Executive Director of Stovec Industries, Ltd. since October 1, 2013. He has attended Indian Institute of Management, Bangalore and studied BE from VJTI (Vee ...


CEO Compensation Analysis

Compensation vs Market: Shailesh's total compensation ($USD212.06K) is above average for companies of similar size in the Indian market ($USD50.21K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Shailesh Wani
MD & Executive Director6.3yrs₹15.17mno data
Paras Mehta
Chief Financial Officer4.6yrs₹3.39mno data
Sanieev Sengar
Company Secretary & Compliance Officer0.8yrsno datano data

4.6yrs

Average Tenure

Experienced Management: 504959's management team is considered experienced (4.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Shailesh Wani
MD & Executive Director6.3yrs₹15.17mno data
Eiko Ris
Additional Director0.9yrsno datano data
Marco Philippus Wadia
Non-Executive & Independent Director20.8yrs₹956.20k0.10% 5.0m
Dirk Joustra
Non-Executive Director21.1yrsno datano data
Khurshed Thanawalla
Non-Executive & Independent Chairman 12.8yrs₹1.89mno data
Sangeeta Puneet Sachdev
Additional Director1.8yrsno datano data

9.6yrs

Average Tenure

61yo

Average Age

Experienced Board: 504959's board of directors are considered experienced (9.6 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

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


Key Information

  • Name: Stovec Industries Limited
  • Ticker: 504959
  • Exchange: BSE
  • Founded: 1973
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: ₹4.839b
  • Shares outstanding: 2.09m
  • Website: https://www.spgprints.com/spgprints-group/companies-agents/stovec-industries-ltd

Location

  • Stovec Industries Limited
  • N.I.D.C. Near Lambha Village
  • Post: Narol
  • Ahmedabad
  • Gujarat
  • 382405
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
504959BSE (Mumbai Stock Exchange)YesEquity SharesININROct 2001

Biography

Stovec Industries Limited produces and sells textile and graphic printing consumables and printing machines in India. It operates through three segments: Textile Consumables and Textile Machinery, Graphics Product, and Galvanic. The Textile Consumables and Textile Machinery segment offers perforated rotary screens, lacquer and auxiliary chemicals, rotary screen printing machines, engraving equipment, components, and spares, as well as digital links. The Graphics Product segment provides anilox rollers, Rotamesh screens, and Rotaplate products. The Galvanic segment offers galvano consumables. Stovec Industries Limited also exports its products. The company was incorporated in 1973 and is based in Ahmedabad, India. Stovec Industries Limited is a subsidiary of SPGPrints B.V. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/17 12:38
End of Day Share Price2020/02/17 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.