Hindustan Aeronautics Limited engages in the design, development, manufacture, repair, overhaul, upgrade, and servicing of aircraft, helicopters, aero-engines, avionics, accessories, and aerospace structures in India and internationally. More Details
Outstanding track record with excellent balance sheet.
Share Price & News
How has Hindustan Aeronautics's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: HAL is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: HAL's weekly volatility (3%) has been stable over the past year.
7 Day Return
IN Aerospace & Defense
1 Year Return
IN Aerospace & Defense
Return vs Industry: HAL underperformed the Indian Aerospace & Defense industry which returned 49.7% over the past year.
Return vs Market: HAL underperformed the Indian Market which returned 54% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Hindustan Aeronautics's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StShould You Be Adding Hindustan Aeronautics (NSE:HAL) To Your Watchlist Today?
1 month ago | Simply Wall StDid Hindustan Aeronautics' (NSE:HAL) Share Price Deserve to Gain 36%?
2 months ago | Simply Wall StThere's Been No Shortage Of Growth Recently For Hindustan Aeronautics' (NSE:HAL) Returns On Capital
Is Hindustan Aeronautics undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: HAL (₹1116.35) is trading below our estimate of fair value (₹62421.23)
Significantly Below Fair Value: HAL is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: HAL is good value based on its PE Ratio (11.5x) compared to the Indian Aerospace & Defense industry average (21.9x).
PE vs Market: HAL is good value based on its PE Ratio (11.5x) compared to the Indian market (23.7x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate HAL's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: HAL's PB Ratio (2.4x) is in line with the IN Aerospace & Defense industry average.
How is Hindustan Aeronautics forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
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 Hindustan Aeronautics 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.
How has Hindustan Aeronautics performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: HAL has high quality earnings.
Growing Profit Margin: HAL's current net profit margins (14.2%) are higher than last year (13.4%).
Past Earnings Growth Analysis
Earnings Trend: HAL's earnings have grown by 7.3% per year over the past 5 years.
Accelerating Growth: HAL's earnings growth over the past year (12.7%) exceeds its 5-year average (7.3% per year).
Earnings vs Industry: HAL earnings growth over the past year (12.7%) exceeded the Aerospace & Defense industry 7.7%.
Return on Equity
High ROE: HAL's Return on Equity (21%) is considered high.
How is Hindustan Aeronautics's financial position?
Financial Position Analysis
Short Term Liabilities: HAL's short term assets (₹401.7B) exceed its short term liabilities (₹255.1B).
Long Term Liabilities: HAL's short term assets (₹401.7B) exceed its long term liabilities (₹110.2B).
Debt to Equity History and Analysis
Debt Level: HAL's debt to equity ratio (0.04%) is considered satisfactory.
Reducing Debt: HAL's debt to equity ratio has increased from 0.02% to 0.04% over the past 5 years.
Debt Coverage: HAL's debt is well covered by operating cash flow (225113.9%).
Interest Coverage: HAL's interest payments on its debt are well covered by EBIT (12.7x coverage).
What is Hindustan Aeronautics's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: HAL's dividend (2.69%) is higher than the bottom 25% of dividend payers in the Indian market (0.35%).
High Dividend: HAL's dividend (2.69%) is in the top 25% of dividend payers in the Indian market (1.41%)
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, HAL has been paying a dividend for less than 10 years.
Growing Dividend: HAL's dividend payments have increased, but the company has only paid a dividend for 3 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (31%), HAL'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.
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
R. Madhavan (59 yo)
Shri. R. Madhavan has been a Chairman and Managing Director of Hindustan Aeronautics Limited since September 01, 2018. Shri. Madhavan served as an Executive Director of Accessories Division, LUCKNOW at Hin...
CEO Compensation Analysis
Compensation vs Market: R.'s total compensation ($USD64.06K) is below average for companies of similar size in the Indian market ($USD670.13K).
Compensation vs Earnings: R.'s compensation has increased by more than 20% in the past year.
Experienced Management: HAL's management team is considered experienced (2.4 years average tenure).
Experienced Board: HAL's board of directors are not considered experienced ( 3 years average tenure), which suggests a new board.
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Hindustan Aeronautics Limited's company bio, employee growth, exchange listings and data sources
- Name: Hindustan Aeronautics Limited
- Ticker: HAL
- Exchange: NSEI
- Founded: 1940
- Industry: Aerospace and Defense
- Sector: Capital Goods
- Market Cap: ₹371.120b
- Shares outstanding: 334.39m
- Website: https://www.hal-india.co.in
Number of Employees
- Hindustan Aeronautics Limited
- 15/1, Cubbon Road
- 560 001
Hindustan Aeronautics Limited engages in the design, development, manufacture, repair, overhaul, upgrade, and servicing of aircraft, helicopters, aero-engines, avionics, accessories, and aerospace structur...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/30 16:47|
|End of Day Share Price||2021/07/30 00:00|
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.