BSE:507817

Stock Analysis Report

Wires and Fabriks (S.A.)

Executive Summary

Wires and Fabriks (S.A.) Limited manufactures and supplies paper machine clothing in India.

Snowflake

Fundamentals

Excellent balance sheet and fair value.

Risks

  • Wires and Fabriks (S.A.) is not covered by any analysts.

Share Price & News

How has Wires and Fabriks (S.A.)'s share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.4%

BSE:507817

-2.3%

IN Machinery

-2.1%

IN Market


1 Year Return

-30.4%

BSE:507817

-29.0%

IN Machinery

-14.7%

IN Market

507817 underperformed the Machinery industry which returned -29% over the past year.

507817 underperformed the Market in India which returned -14.7% over the past year.


Share holder returns

507817IndustryMarket
7 Day-3.4%-2.3%-2.1%
30 Day0.5%-10.0%-3.9%
90 Day2.3%-20.2%-10.1%
1 Year-29.7%-30.4%-27.8%-29.0%-12.9%-14.7%
3 Year-17.0%-18.6%-5.7%-9.3%17.7%11.5%
5 Year-25.8%-29.8%33.2%25.8%35.4%22.5%

Price Volatility Vs. Market

How volatile is Wires and Fabriks (S.A.)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Wires and Fabriks (S.A.) undervalued based on future cash flows and its price relative to the stock market?

>50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

Wires and Fabriks (S.A.)'s share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Wires and Fabriks (S.A.) is overvalued based on earnings compared to the IN Machinery industry average.

Wires and Fabriks (S.A.) is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Wires and Fabriks (S.A.), we can't assess if its growth is good value.


Price Based on Value of Assets

Wires and Fabriks (S.A.) is good value based on assets compared to the IN Machinery industry average.


Next Steps

Future Growth

How is Wires and Fabriks (S.A.) expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

28.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Wires and Fabriks (S.A.) is high growth as no revenue estimate data is available.

Wires and Fabriks (S.A.)'s earnings are expected to grow significantly at over 20% yearly.

Unable to compare Wires and Fabriks (S.A.)'s revenue growth to the India market average as no estimate data is available.

Wires and Fabriks (S.A.)'s earnings growth is expected to exceed the India market average.

Wires and Fabriks (S.A.)'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 Wires and Fabriks (S.A.) will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Wires and Fabriks (S.A.) performed over the past 5 years?

-37.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Wires and Fabriks (S.A.)'s year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Wires and Fabriks (S.A.)'s 1-year earnings growth exceeds its 5-year average (35% vs -37.2%)

Wires and Fabriks (S.A.)'s earnings growth has exceeded the IN Machinery industry average in the past year (35% vs 13.3%).


Return on Equity

Wires and Fabriks (S.A.) has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Wires and Fabriks (S.A.) used its assets less efficiently than the IN Machinery industry average last year based on Return on Assets.


Return on Capital Employed

Wires and Fabriks (S.A.)'s use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Wires and Fabriks (S.A.)'s financial position?


Financial Position Analysis

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

Wires and Fabriks (S.A.)'s cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Wires and Fabriks (S.A.)'s level of debt (80.9%) 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 (109% vs 80.9% today).

Debt is well covered by operating cash flow (40.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4.9x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.5x debt.


Next Steps

Dividend

What is Wires and Fabriks (S.A.)'s current dividend yield, its reliability and sustainability?

0.82%

Current Dividend Yield


Dividend Yield and Payments Analysis

Wires and Fabriks (S.A.)'s pays a higher dividend yield than the bottom 25% of dividend payers in India (0.65%).

Wires and Fabriks (S.A.)'s dividend is below the markets top 25% of dividend payers in India (2.64%).

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

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (7x 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 Wires and Fabriks (S.A.)'s salary, the management and board of directors tenure and is there insider trading?

8.4yrs

Average management tenure


CEO

Mahendra Khaitan (58yo)

5.2yrs

Tenure

₹20,480,662

Compensation

Mr. Mahendra Kumar Khaitan has been Managing Director at Wires & Fabriks (S.A.) Limited since May 25, 2016 and serves as its Chief Executive Officer. Mr. Khaitan served as Joint Managing Director at Wires  ...


CEO Compensation Analysis

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

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


Management Age and Tenure

8.4yrs

Average Tenure

38yo

Average Age

The average tenure for the Wires and Fabriks (S.A.) management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

5.5yrs

Average Tenure

71yo

Average Age

The tenure for the Wires and Fabriks (S.A.) board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Kishan Khaitan

    Chairman & MD

    • Tenure: 3.8yrs
    • Compensation: ₹20.49m
  • Mahendra Khaitan (58yo)

    MD, CEO & Executive Director

    • Tenure: 5.2yrs
    • Compensation: ₹20.48m
  • Devesh Khaitan (38yo)

    Deputy CEO of Chemicals & Executive Director

    • Tenure: 5.2yrs
    • Compensation: ₹19.19m
  • Rajesh Patni

    Chief Financial Officer

    • Tenure: 8.4yrs
    • Compensation: ₹4.22m
  • Shiv Julasaria

    General Manager of Finance & Administration

    • Tenure: 0.0yrs
  • Abhishek Upadhyaya (30yo)

    Compliance Officer & Company Secretary

    • Tenure: 0.0yrs
    • Compensation: ₹695.00k

Board Members

  • Subrata Kumar Mitra (71yo)

    Non Executive & Independent Director

    • Tenure: 5.8yrs
    • Compensation: ₹195.00k
  • Kishan Khaitan

    Chairman & MD

    • Tenure: 3.8yrs
    • Compensation: ₹20.49m
  • Mahendra Khaitan (58yo)

    MD, CEO & Executive Director

    • Tenure: 5.2yrs
    • Compensation: ₹20.48m
  • Mohan Bhagat (83yo)

    Non Executive & Independent Director

    • Tenure: 27.1yrs
    • Compensation: ₹180.00k
  • Satish Ajmera (74yo)

    Non Executive & Independent Director

    • Tenure: 17.8yrs
    • Compensation: ₹105.00k
  • Devesh Khaitan (38yo)

    Deputy CEO of Chemicals & Executive Director

    • Tenure: 5.2yrs
    • Compensation: ₹19.19m
  • Pranika Rawat (29yo)

    Non Executive Non Independent Director

    • Tenure: 4.0yrs
    • Compensation: ₹105.00k
  • Saroj Khemka (72yo)

    Non Executive & Independent Director

    • Tenure: 0.0yrs
    • Compensation: ₹210.00k

Company Information

Wires and Fabriks (S.A.) Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Wires and Fabriks (S.A.) Limited
  • Ticker: 507817
  • Exchange: BSE
  • Founded: 1957
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: ₹223.259m
  • Shares outstanding: 3.06m
  • Website: https://www.wirefabrik.com

Location

  • Wires and Fabriks (S.A.) Limited
  • 63, Industrial Area
  • Jhotwara
  • Jaipur
  • Rajasthan
  • 302012
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
507817BSE (Mumbai Stock Exchange)YesEquity SharesININRJan 2002

Biography

Wires and Fabriks (S.A.) Limited manufactures and supplies paper machine clothing in India. It offers a range of forming fabrics; woven dryer screens and spiral link dryer screens; pulp fabrics, including  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/25 12:45
End of Day Share Price2019/08/23 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.