BSE:505872

Stock Analysis Report

Executive Summary

WPIL Limited, through its subsidiaries, engages in designing, developing, manufacturing, erecting, commissioning, and servicing pumps and pumping systems in India.

Snowflake

Fundamentals

Outstanding track record with flawless balance sheet and pays a dividend.

Risks

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

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-9.8%

BSE:505872

-1.9%

IN Machinery

-0.7%

IN Market


1 Year Return

-32.1%

BSE:505872

-26.4%

IN Machinery

-12.1%

IN Market

505872 underperformed the Machinery industry which returned -26.4% over the past year.

505872 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

505872IndustryMarket
7 Day-9.8%-1.9%-0.7%
30 Day-21.9%-10.0%-3.2%
90 Day-26.9%-16.0%-7.6%
1 Year-31.4%-32.1%-25.2%-26.4%-10.3%-12.1%
3 Year68.8%65.5%-3.9%-7.4%18.9%12.8%
5 Year40.4%36.4%37.0%29.4%37.6%24.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

38%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

WPIL is good value based on earnings compared to the IN Machinery industry average.

WPIL is good value based on earnings compared to the India market.


Price Based on Expected Growth

WPIL is good value based on expected growth next year.


Price Based on Value of Assets

WPIL is overvalued based on assets compared to the IN Machinery industry average.


Next Steps

Future Growth

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

13.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

WPIL's revenue is expected to grow by 8.9% yearly, however this is not considered high growth (20% yearly).

WPIL's earnings are expected to grow by 13.8% yearly, however this is not considered high growth (20% yearly).

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

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

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


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if WPIL will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has WPIL performed over the past 5 years?

52.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

WPIL has delivered over 20% year on year earnings growth in the past 5 years.

WPIL's 1-year earnings growth exceeds its 5-year average (56.4% vs 52.9%)

WPIL's earnings growth has exceeded the IN Machinery industry average in the past year (56.4% vs 14.2%).


Return on Equity

WPIL has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

WPIL used its assets more efficiently than the IN Machinery industry average last year based on Return on Assets.


Return on Capital Employed

WPIL has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is WPIL's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

WPIL's level of debt (31.5%) 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 (86.6% vs 31.5% today).

Debt is well covered by operating cash flow (102.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 21.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 5.2x debt.


Next Steps

Dividend

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

1.10%

Expected Dividend Yield


Dividend Yield and Payments Analysis

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

WPIL'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 thoroughly covered by earnings (13.1x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

4.4yrs

Average board tenure


CEO

Prakash Agarwal (48yo)

11.1yrs

Tenure

₹8,342,321

Compensation

Mr. Prakash Agarwal has been Managing Director of WPIL Limited since July 1, 2008 and serves as its Director. Mr. Agarwal has been a Non-Executive Director of Hindusthan Udyog Ltd since December 9, 1998. H ...


CEO Compensation Analysis

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

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


Board Age and Tenure

4.4yrs

Average Tenure

56yo

Average Age

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


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Prakash Agarwal (48yo)

    MD & Director

    • Tenure: 11.1yrs
    • Compensation: ₹8.34m
  • R. Sharma

    Head of Purchase

    • Tenure: 0.0yrs
  • Subrata Samanta

    Head of International (Outside India) Marketing

    • Tenure: 0.0yrs
  • B. Bhaoyal

    Head of R&D - Engineering

    • Tenure: 0.0yrs
  • Asok Bhattacharya

    Head of Domestic (India) Marketing

    • Tenure: 0.0yrs
  • Krishna Ganeriwala (56yo)

    Executive Director

    • Tenure: 17.5yrs
    • Compensation: ₹6.20m
  • U. Chakravarty

    GM of Finance

    • Tenure: 0.0yrs
    • Compensation: ₹1.75m

Board Members

  • Prakash Agarwal (48yo)

    MD & Director

    • Tenure: 11.1yrs
    • Compensation: ₹8.34m
  • Krishna Ganeriwala (56yo)

    Executive Director

    • Tenure: 17.5yrs
    • Compensation: ₹6.20m
  • Vishwanath Agarwal (80yo)

    Chairman of the Board

    • Tenure: 0.0yrs
    • Compensation: ₹140.00k
  • Samarendra Roy (76yo)

    Non Executive Independent Director

    • Tenure: 14.3yrs
    • Compensation: ₹165.00k
  • Ritu Agarwal (44yo)

    Non-Executive Director

    • Tenure: 4.4yrs
    • Compensation: ₹125.00k
  • Anjan Dasgupta (66yo)

    Additional Independent Director

    • Tenure: 1.5yrs
    • Compensation: ₹155.00k
  • Rakesh Amol (56yo)

    Additional Independent Director

    • Tenure: 0.4yrs

Company Information

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


Key Information

  • Name: WPIL Limited
  • Ticker: 505872
  • Exchange: BSE
  • Founded: 1952
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: ₹6.054b
  • Shares outstanding: 9.77m
  • Website: https://www.wpil.co.in

Number of Employees


Location

  • WPIL Limited
  • Trinity Plaza
  • 3rd Floor
  • Kolkata
  • West Bengal
  • 700046
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
505872BSE (Mumbai Stock Exchange)YesEquity SharesININRMar 2002

Biography

WPIL Limited, through its subsidiaries, engages in designing, developing, manufacturing, erecting, commissioning, and servicing pumps and pumping systems in India. It offers vertical turbine, mixed flow, a ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/19 12:39
End of Day Share Price2019/08/19 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.