BSE:513729

Stock Analysis Report

Aro Granite Industries

Executive Summary

Aro Granite Industries Limited manufactures, processes, and sells polished/flamed granite tiles and slabs primarily in India.

Snowflake

Fundamentals

Adequate balance sheet average dividend payer.

Risks

  • Aro Granite Industries has significant price volatility in the past 3 months.
  • Aro Granite Industries is not covered by any analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0.7%

BSE:513729

-1.3%

IN Building

-0.7%

IN Market


1 Year Return

-34.8%

BSE:513729

-12.8%

IN Building

-12.1%

IN Market

513729 underperformed the Building industry which returned -13% over the past year.

513729 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

513729IndustryMarket
7 Day0.7%-1.3%-0.7%
30 Day-10.2%-8.3%-4.6%
90 Day-27.6%-10.8%-4.3%
1 Year-34.8%-34.8%-12.3%-12.8%-10.3%-12.1%
3 Year-46.2%-47.7%16.3%14.2%18.9%12.8%
5 Year-27.8%-32.5%84.7%78.5%37.6%24.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

5.36x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Aro Granite Industries's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Aro Granite Industries's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Aro Granite Industries is good value based on earnings compared to the IN Building industry average.

Aro Granite Industries is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Aro Granite Industries, we can't assess if its growth is good value.


Price Based on Value of Assets

Aro Granite Industries is good value based on assets compared to the IN Building industry average.


Next Steps

Future Growth

How is Aro Granite Industries expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Aro Granite Industries is high growth as no revenue estimate data is available.

Aro Granite Industries's earnings are expected to grow by 15.8% yearly, however this is not considered high growth (20% yearly).

Unable to compare Aro Granite Industries's revenue growth to the India market average as no estimate data is available.

Aro Granite Industries's earnings growth is positive but not above the India market average.

Aro Granite Industries'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 Aro Granite Industries will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Aro Granite Industries performed over the past 5 years?

-30.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Aro Granite Industries's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Aro Granite Industries's 1-year earnings growth exceeds its 5-year average (339.2% vs -30.3%)

Aro Granite Industries's earnings growth has exceeded the IN Building industry average in the past year (339.2% vs 0.9%).


Return on Equity

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


Return on Assets

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


Return on Capital Employed

Aro Granite Industries has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Aro Granite Industries's financial position?


Financial Position Analysis

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

Aro Granite Industries's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Aro Granite Industries's level of debt (71.5%) 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 (76.9% vs 71.5% today).

Operating cash flow is negative therefore debt is not well covered.

Interest payments on debt are well covered by earnings (EBIT is 5.4x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.6x debt.


Next Steps

Dividend

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

2.72%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Aro Granite Industries before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

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

Aro Granite Industries's dividend is above 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 thoroughly covered by earnings (6.9x 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 Aro Granite Industries's salary, the management and board of directors tenure and is there insider trading?

4.8yrs

Average board tenure


CEO

Sunil Arora (60yo)

₹16,553,829

Compensation

Mr. Sunil Kumar Arora, B.Sc., serves as the Managing Director, Head of Marketing and Executive Director of ARO Granite Industries Ltd. 


CEO Compensation Analysis

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

Insufficient data for Sunil to compare compensation growth.


Board Age and Tenure

4.8yrs

Average Tenure

59yo

Average Age

The tenure for the Aro Granite Industries board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Sunil Arora (60yo)

    MD, Head of Marketing & Executive Director

    • Compensation: 16.55m
  • Sabyasachi Panigrahi (49yo)

    Compliance Officer & Company Secretary

  • Shivani Arora

    Executive

    • Compensation: 728.00k
  • Sahil Arora (30yo)

    Whole Time Director

    • Compensation: 2.28m
  • K. Acharya (52yo)

    Executive Director

    • Compensation: 1.58m
  • V. Arul (52yo)

    Corporate Head of Production

  • Mahadevan Madangopal (57yo)

    Chief Financial Officer


Board Members

  • Dinesh Kothari (69yo)

    Non-Executive & Independent Director

    • Compensation: 175.00k
  • Sunil Arora (60yo)

    MD, Head of Marketing & Executive Director

    • Compensation: 16.55m
  • Sujata Arora

    Non-Executive Director

    • Tenure: 13.4yrs
    • Compensation: 150.00k
  • Sundareshwara Sastry (58yo)

    Additional Independent Director

    • Tenure: 1.8yrs
    • Compensation: 230.00k
  • Rahul Gupta (71yo)

    Non Executive & Independent Director

    • Tenure: 10.6yrs
    • Compensation: 220.00k
  • Sahil Arora (30yo)

    Whole Time Director

    • Tenure: 1.8yrs
    • Compensation: 2.28m
  • Vanitha Sood

    Non-Executive & Independent Director

    • Tenure: 4.8yrs
    • Compensation: 90.00k
  • K. Acharya (52yo)

    Executive Director

    • Tenure: 4.8yrs
    • Compensation: 1.58m

Company Information

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


Key Information

  • Name: Aro Granite Industries Limited
  • Ticker: 513729
  • Exchange: BSE
  • Founded: 1988
  • Industry: building products
  • Sector: capital goods
  • Market Cap: ₹563.040m
  • Shares outstanding: 15.30m
  • Website: Click here

Number of Employees


Location

  • Aro Granite Industries Limited
  • Koneripalli Village
  • Via: Shoolagiri
  • Hosur
  • Tamil Nadu
  • 635117
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
513729BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2001
AROGRANITENSEI (National Stock Exchange of India)YesEquity SharesININRDec 2001

Biography

Aro Granite Industries Limited manufactures, processes, and sells polished/flamed granite tiles and slabs primarily in India. The company also exports its products to North America, South America, Europe,  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:37
End of Day Share Price2019/08/16 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.