company background image
5325

Welspun Enterprises BSE:532553 Stock Report

Last Price

₹108.15

Market Cap

₹16.2b

7D

-3.3%

1Y

11.9%

Updated

15 Aug, 2022

Data

Company Financials
532553 fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance3/6
Financial Health1/6
Dividends2/6

532553 Stock Overview

Welspun Enterprises Limited engages in the engineering, procurement, and construction of infrastructure development projects in India.

Welspun Enterprises Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Welspun Enterprises
Historical stock prices
Current Share Price₹108.15
52 Week High₹114.50
52 Week Low₹69.00
Beta0.53
1 Month Change11.61%
3 Month Change38.39%
1 Year Change11.90%
3 Year Change10.36%
5 Year Change-14.81%
Change since IPO186.11%

Recent News & Updates

Shareholder Returns

532553IN ConstructionIN Market
7D-3.3%0.9%0.8%
1Y11.9%5.9%8.3%

Return vs Industry: 532553 exceeded the Indian Construction industry which returned 5% over the past year.

Return vs Market: 532553 exceeded the Indian Market which returned 8.2% over the past year.

Price Volatility

Is 532553's price volatile compared to industry and market?
532553 volatility
532553 Average Weekly Movement7.4%
Construction Industry Average Movement6.4%
Market Average Movement6.4%
10% most volatile stocks in IN Market9.0%
10% least volatile stocks in IN Market4.1%

Stable Share Price: 532553 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: 532553's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
197626,000Sandeep Garghttps://www.welspunenterprises.com

Welspun Enterprises Limited engages in the engineering, procurement, and construction of infrastructure development projects in India. It operates in two segments, Infrastructure, and Oil and Gas. The company develops and operates roads, water, and urban infrastructure, as well as operates and maintains projects for the transportation sector.

Welspun Enterprises Fundamentals Summary

How do Welspun Enterprises's earnings and revenue compare to its market cap?
532553 fundamental statistics
Market Cap₹16.22b
Earnings (TTM)₹1.48b
Revenue (TTM)₹17.92b

11.0x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
532553 income statement (TTM)
Revenue₹17.92b
Cost of Revenue₹12.67b
Gross Profit₹5.25b
Other Expenses₹3.78b
Earnings₹1.48b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)9.85
Gross Margin29.31%
Net Profit Margin8.24%
Debt/Equity Ratio140.8%

How did 532553 perform over the long term?

See historical performance and comparison

Dividends

1.4%

Current Dividend Yield

15%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is 532553 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 532553?

Other financial metrics that can be useful for relative valuation.

532553 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.1x
Enterprise Value/EBITDA21.2x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does 532553's PE Ratio compare to its peers?

532553 PE Ratio vs Peers
The above table shows the PE ratio for 532553 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average11x
500185 Hindustan Construction
3.4xn/a₹18.6b
539302 Power Mech Projects
11.1x30.8%₹16.3b
532430 BF Utilities
15.7xn/a₹14.2b
540710 Capacit'e Infraprojects
13.9xn/a₹9.5b
532553 Welspun Enterprises
11xn/a₹16.2b

Price-To-Earnings vs Peers: 532553 is good value based on its Price-To-Earnings Ratio (11x) compared to the peer average (11x).


Price to Earnings Ratio vs Industry

How does 532553's PE Ratio compare vs other companies in the IN Construction Industry?

Price-To-Earnings vs Industry: 532553 is good value based on its Price-To-Earnings Ratio (11x) compared to the Indian Construction industry average (18.8x)


Price to Earnings Ratio vs Fair Ratio

What is 532553's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

532553 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 532553's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of 532553 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 532553 (₹108.15) is trading above our estimate of fair value (₹18.45)

Significantly Below Fair Value: 532553 is trading above our estimate of fair value.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.


Discover undervalued companies

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


17.0%

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 Welspun Enterprises 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.


Discover growth companies

  • Take a look at our analysis of 532553’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • Welspun Enterprises competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Welspun Enterprises performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


18.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 532553 has high quality earnings.

Growing Profit Margin: 532553's current net profit margins (8.2%) are higher than last year (7.9%).


Past Earnings Growth Analysis

Earnings Trend: 532553's earnings have grown by 18% per year over the past 5 years.

Accelerating Growth: 532553's earnings growth over the past year (9.8%) is below its 5-year average (18% per year).

Earnings vs Industry: 532553 earnings growth over the past year (9.8%) underperformed the Construction industry 28.1%.


Return on Equity

High ROE: 532553's Return on Equity (8.3%) is considered low.


Discover strong past performing companies

Financial Health

How is Welspun Enterprises's financial position?

Financial Health Score

1/6

Financial Health Score 1/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: 532553's short term assets (₹16.2B) exceed its short term liabilities (₹15.5B).

Long Term Liabilities: 532553's short term assets (₹16.2B) do not cover its long term liabilities (₹25.5B).


Debt to Equity History and Analysis

Debt Level: 532553's net debt to equity ratio (119.2%) is considered high.

Reducing Debt: 532553's debt to equity ratio has increased from 11.6% to 140.8% over the past 5 years.

Debt Coverage: 532553's debt is not well covered by operating cash flow (11.4%).

Interest Coverage: 532553's interest payments on its debt are not well covered by EBIT (1x coverage).


Balance Sheet


Discover healthy companies

Dividend

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

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.39%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 532553's dividend (1.39%) is higher than the bottom 25% of dividend payers in the Indian market (0.39%).

High Dividend: 532553's dividend (1.39%) is low compared to the top 25% of dividend payers in the Indian market (1.7%).


Stability and Growth of Payments

Stable Dividend: 532553 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 532553's dividend payments have increased, but the company has only paid a dividend for 5 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (15.1%), 532553's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: 532553 is paying a dividend but the company has no free cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

0.8yrs

Average management tenure


CEO

Sandeep Garg (62 yo)

no data

Tenure

₹128,222,000

Compensation

Mr. Sandeep Garg has been Managing Director and Director at Welspun Enterprises Limited since August 08, 2022. He had been the Chief Executive Officer, Managing Director and Executive Director of Welspun E...


CEO Compensation Analysis

Compensation vs Market: Sandeep's total compensation ($USD1.61M) is above average for companies of similar size in the Indian market ($USD193.74K).

Compensation vs Earnings: Sandeep's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: 532553's management team is not considered experienced ( 0.8 years average tenure), which suggests a new team.


Board Members

Experienced Board: 532553's board of directors are considered experienced (3.3 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

Welspun Enterprises Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Welspun Enterprises Limited
  • Ticker: 532553
  • Exchange: BSE
  • Founded: 1976
  • Industry: Construction and Engineering
  • Sector: Capital Goods
  • Implied Market Cap: ₹16.221b
  • Shares outstanding: 149.98m
  • Website: https://www.welspunenterprises.com

Number of Employees


Location

  • Welspun Enterprises Limited
  • Welspun House
  • 5th Floor
  • Mumbai
  • Maharashtra
  • 400013
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/15 00:00
End of Day Share Price2022/08/12 00:00
Earnings2022/06/30
Annual Earnings2022/03/31


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.