Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Eimco Elecon (India). This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
Eimco Elecon (India)'s
is considered below, and whether this is a fair price.
Price based on past earnings
Eimco Elecon (India)'s earnings available for a low price, and how does
this compare to other companies in the same industry?
Eimco Elecon (India)'s earnings are expected to grow by 15.8% yearly, however this is not considered high growth (20% yearly).
Eimco Elecon (India)'s revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Eimco Elecon (India)'s performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
Eimco Elecon (India)
has a total score of
2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Eimco Elecon (India)'s finances.
The net worth of a company is the difference between its assets and liabilities.
Eimco Elecon (India) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Eimco Elecon (India)'s cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Eimco Elecon (India)'s finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is covered by short term assets, assets are 301.7x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. M. G. Rao has been a Whole-time Director of Eimco Elecon (India) Limited since September 8, 2011. Mr. Rao served as a Vice President of Products at McNally Bharat Engineering Co. Ltd. Mr. Rao served as Vice President of GMM Pfaudler Ltd. Mr. Rao has 30 years of experience and holds B.E. (Mech) and M.E.
M.'s compensation has been consistent with company performance over the past year.
M.'s remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
Eimco Elecon (India)
management team in years:
The tenure for the Eimco Elecon (India) management team is about average.
Chief Financial Officer
Group Technical Director
Vice President of Marketing
Company Secretary & Compliance Officer
Head of Research
Board of Directors Tenure
Average tenure and age of the
Eimco Elecon (India)
board of directors in years:
The tenure for the Eimco Elecon (India) board of directors is about average.
How Many Eimco Elecon (India) Limited (NSE:EIMCOELECO) Shares Do Institutions Own?
A look at the shareholders of Eimco Elecon (India) Limited (NSE:EIMCOELECO) can tell us which group is most powerful. … We also tend to see lower insider ownership in companies that were previously publicly owned. … Eimco Elecon (India) is not a large company by global standards.
Is Eimco Elecon (India) Limited's (NSE:EIMCOELECO) CEO Being Overpaid?
Rao became the CEO of Eimco Elecon (India) Limited (NSE:EIMCOELECO) in 2011M … View our latest analysis for Eimco Elecon (India). … Our data indicates that Eimco Elecon (India) Limited is worth ₹2.3b, and total annual CEO compensation is ₹8.0m?
Here's How P/E Ratios Can Help Us Understand Eimco Elecon (India) Limited (NSE:EIMCOELECO)
We'll look at Eimco Elecon (India) Limited's (NSE:EIMCOELECO) P/E ratio and reflect on what it tells us about the company's share price. … Eimco Elecon (India) has a P/E ratio of 10.47, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
What Should Investors Know About Eimco Elecon (India) Limited's (NSE:EIMCOELECO) Capital Returns?
and want a simplistic look at the return on Eimco Elecon (India) Limited (NSE:EIMCOELECO) stock. … Therefore, looking at how efficiently Eimco Elecon (India) is able to use capital to create earnings will help us understand your potential return. … See our latest analysis for Eimco Elecon (India)
Is Eimco Elecon (India) Limited's (NSE:EIMCOELECO) PE Ratio A Signal To Buy For Investors?
Eimco Elecon (India) Limited (NSE:EIMCOELECO) is trading with a trailing P/E of 12.2x, which is lower than the industry average of 26.5x. … While this makes EIMCOELECO appear like a great stock to buy, you might change your mind after I explain the assumptions behind the P/E ratio. … Check out our latest analysis for Eimco Elecon (India)
Why Eimco Elecon (India) Limited's (NSE:EIMCOELECO) ROE Of 5.52% Does Not Tell The Whole Story
and want to begin learning the link between company’s fundamentals and stock market performance. … Eimco Elecon (India) Limited (NSE:EIMCOELECO) generated a below-average return on equity of 5.52% in the past 12 months, while its industry returned 10.80%. … An investor may attribute an inferior ROE to a relatively inefficient performance, and whilst this can often be the case, knowing the nuts and bolts of the ROE calculation may change that perspective and give you a deeper insight into EIMCOELECO's past performance.
Eimco Elecon (India) Limited (NSE:EIMCOELECO): The Best Of Both Worlds
Eimco Elecon (India) Limited (NSE:EIMCOELECO) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … that has been able to sustain great financial health over the past
Does Eimco Elecon (India) Limited's (NSE:EIMCOELECO) PE Ratio Signal A Buying Opportunity?
It compares a stock’s price per share to the stock’s earnings per share. … Formula Price-Earnings Ratio = Price per share ÷ Earnings per share P/E Calculation for EIMCOELECO Price per share = ₹437.5 Earnings per share = ₹39.615 ∴ Price-Earnings Ratio = ₹437.5 ÷ ₹39.615 = 11x On its own, the P/E ratio doesn’t tell you much; however, it becomes extremely useful when you compare it with other similar companies. … For example, if you are inadvertently comparing lower risk firms with EIMCOELECO, then EIMCOELECO’s P/E would naturally be lower than its peers, since investors would value those with lower risk with a higher price.
What You Must Know About Eimco Elecon (India) Limited's (NSE:EIMCOELECO) 8.17% ROE
See our latest analysis for Eimco Elecon (India) What you must know about ROE Firstly, Return on Equity, or ROE, is simply the percentage of last years’ earning against the book value of shareholders’ equity. … Eimco Elecon (India)’s cost of equity is 13.40%. … Since Eimco Elecon (India)’s return does not cover its cost, with a difference of -5.24%, this means its current use of equity is not efficient and not sustainable.
Does Eimco Elecon (India) Limited's (NSE:EIMCOELECO) Recent Track Record Look Strong?
When Eimco Elecon (India) Limited (NSEI:EIMCOELECO) released its most recent earnings update (30 September 2017), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … For Eimco Elecon (India), its most recent earnings (trailing twelve month) is ₹216.5M, which, in comparison to the prior year's level, has climbed up by 35.58%. … This shows that, generally, Eimco Elecon (India) has been able to steadily raise its bottom line over the last few years as well.
Eimco Elecon (India) Limited manufactures and sells equipment for mining and construction sector in India. It offers air motors, side dump loaders, load haul dumpers, coal haulers, universal drill machines, low profile dump trucks, rocker shovel loaders, articulated wheel loaders, and chair lift man riding systems. The company also exports its products. Eimco Elecon (India) Limited was incorporated in 1974 and is headquartered in Vallabh Vidyanagar, India.
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.