NSEI:EIMCOELECO

Stock Analysis Report

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Executive Summary

Eimco Elecon (India) Limited manufactures and sells equipment for mining and construction sector in India. More Details


Snowflake Analysis

Flawless balance sheet and fair value.

Share Price & News

How has Eimco Elecon (India)'s share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: EIMCOELECO is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: EIMCOELECO's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

3.2%

EIMCOELECO

3.1%

IN Machinery

1.8%

IN Market


1 Year Return

9.1%

EIMCOELECO

9.8%

IN Machinery

7.9%

IN Market

Return vs Industry: EIMCOELECO matched the Indian Machinery industry which returned 9.8% over the past year.

Return vs Market: EIMCOELECO exceeded the Indian Market which returned 7.9% over the past year.


Shareholder returns

EIMCOELECOIndustryMarket
7 Day3.2%3.1%1.8%
30 Day5.9%13.4%10.6%
90 Day-1.0%9.0%9.7%
1 Year10.9%9.1%11.8%9.8%9.9%7.9%
3 Year-33.3%-36.5%-11.8%-15.6%8.5%3.2%
5 Year-20.9%-26.1%21.6%13.7%55.7%43.9%

Long-Term Price Volatility Vs. Market

How volatile is Eimco Elecon (India)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Eimco Elecon (India) undervalued compared to its fair value and its price relative to the market?

16.23x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: EIMCOELECO (₹331.65) is trading above our estimate of fair value (₹36.15)

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


Price To Earnings Ratio

PE vs Industry: EIMCOELECO is good value based on its PE Ratio (16.2x) compared to the IN Machinery industry average (20.5x).

PE vs Market: EIMCOELECO is good value based on its PE Ratio (16.2x) compared to the Indian market (17.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: EIMCOELECO is good value based on its PB Ratio (0.6x) compared to the IN Machinery industry average (1.2x).


Next Steps

Future Growth

How is Eimco Elecon (India) forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

39.4%

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 Eimco Elecon (India) 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 Eimco Elecon (India) performed over the past 5 years?

-5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EIMCOELECO has a large one-off gain of ₹92.4M impacting its September 30 2020 financial results.

Growing Profit Margin: EIMCOELECO's current net profit margins (9.6%) are lower than last year (15.3%).


Past Earnings Growth Analysis

Earnings Trend: EIMCOELECO's earnings have declined by 5.8% per year over the past 5 years.

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

Earnings vs Industry: EIMCOELECO had negative earnings growth (-42.1%) over the past year, making it difficult to compare to the Machinery industry average (-8.1%).


Return on Equity

High ROE: EIMCOELECO's Return on Equity (3.7%) is considered low.


Next Steps

Financial Health

How is Eimco Elecon (India)'s financial position?


Financial Position Analysis

Short Term Liabilities: EIMCOELECO's short term assets (₹1.2B) exceed its short term liabilities (₹222.9M).

Long Term Liabilities: EIMCOELECO's short term assets (₹1.2B) exceed its long term liabilities (₹117.6M).


Debt to Equity History and Analysis

Debt Level: EIMCOELECO is debt free.

Reducing Debt: EIMCOELECO had no debt 5 years ago.

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

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


Balance Sheet


Next Steps

Dividend

What is Eimco Elecon (India) current dividend yield, its reliability and sustainability?

1.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: EIMCOELECO's dividend (1.49%) is higher than the bottom 25% of dividend payers in the Indian market (0.52%).

High Dividend: EIMCOELECO's dividend (1.49%) is low compared to the top 25% of dividend payers in the Indian market (2.1%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (24.3%), EIMCOELECO'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?

4.2yrs

Average management tenure


CEO

Eimco Elecon (India) has no CEO, or we have no data on them.


Leadership Team

NamePositionTenureCompensationOwnership
Nilesh Shelat
Chief Financial Officer4.17yrs₹3.17mno data
Dinesh Patel
Group Technical Directorno data₹9.48mno data
Rikenkumar Dalwadi
Company Secretary & Compliance Officer1.92yrs₹539.03kno data
Mukulnarayan Dwivedi
VP of Marketing & Executive Director1.17yrs₹4.46mno data
Prayasvin Patel
Executive Director4yrs₹6.00m0.31%
₹ 6.0m
Ravindra Luthra
Head of Researchno data₹2.50mno data

4.2yrs

Average Tenure

63yo

Average Age

Experienced Management: EIMCOELECO's management team is considered experienced (4.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Mukulnarayan Dwivedi
VP of Marketing & Executive Director1.17yrs₹4.46mno data
Prayasvin Patel
Executive Director4yrs₹6.00m0.31%
₹ 6.0m
Pradip Patel
Non-Executive Chairman of the Boardno data₹247.50kno data
Reena Bhagwati
Independent Non-Executive Director4yrs₹75.00kno data
Nirmal Bhogilal
Independent Non Executive Director9.17yrs₹197.50k0.000020%
₹ 385.8
Prashantbhai Amin
Non-Independent & Non Executive Director13.08yrs₹125.00k0.022%
₹ 426.4k
Nalin Shah
Non-Executive Independent Director8.5yrs₹180.00k0.000070%
₹ 1.4k
Manjuladevi Shroff
Independent Non Executive Director5.75yrs₹155.00kno data

5.8yrs

Average Tenure

63yo

Average Age

Experienced Board: EIMCOELECO's board of directors are considered experienced (5.8 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

Eimco Elecon (India) Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eimco Elecon (India) Limited
  • Ticker: EIMCOELECO
  • Exchange: NSEI
  • Founded: 1974
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: ₹1.929b
  • Shares outstanding: 5.77m
  • Website: https://eimcoelecon.in

Number of Employees


Location

  • Eimco Elecon (India) Limited
  • Anand-Sojitra Road
  • Vallabh Vidyanagar
  • Gujarat
  • 388120
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
523708BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 1996
EIMCOELECONSEI (National Stock Exchange of India)YesEquity SharesININRApr 1996

Biography

Eimco Elecon (India) Limited manufactures and sells equipment for mining and construction sector in India. It offers side dump loaders, load haul dumpers, coal haulers, universal drill machines, articulate...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/28 12:13
End of Day Share Price2020/11/27 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.