NSEI:POLYCAB

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Market Cap

₹270.7b

Last Updated

2021/08/04 15:52 UTC

Data Sources

Company Financials +

Executive Summary

Polycab India Limited manufactures and sells wires and cables under the POLYCAB brand in India and internationally. More Details


Snowflake Analysis

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

How has Polycab India's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: POLYCAB is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: POLYCAB's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

1.3%

POLYCAB

2.9%

IN Electrical

2.5%

IN Market


1 Year Return

115.0%

POLYCAB

99.2%

IN Electrical

56.1%

IN Market

Return vs Industry: POLYCAB exceeded the Indian Electrical industry which returned 99.2% over the past year.

Return vs Market: POLYCAB exceeded the Indian Market which returned 56.1% over the past year.


Shareholder returns

POLYCABIndustryMarket
7 Day1.3%2.9%2.5%
30 Day-8.4%5.4%3.6%
90 Day22.8%19.3%13.9%
1 Year116.1%115.0%100.3%99.2%58.2%56.1%
3 Yearn/a22.4%16.0%39.9%32.7%
5 Yearn/a65.6%56.0%85.9%70.4%

Long-Term Price Volatility Vs. Market

How volatile is Polycab India's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Polycab India undervalued compared to its fair value and its price relative to the market?

32.27x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: POLYCAB (₹1815) is trading above our estimate of fair value (₹671.35)

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


Price To Earnings Ratio

PE vs Industry: POLYCAB is poor value based on its PE Ratio (32.3x) compared to the Indian Electrical industry average (30x).

PE vs Market: POLYCAB is poor value based on its PE Ratio (32.3x) compared to the Indian market (24x).


Price to Earnings Growth Ratio

PEG Ratio: POLYCAB is poor value based on its PEG Ratio (2.2x)


Price to Book Ratio

PB vs Industry: POLYCAB is overvalued based on its PB Ratio (5.7x) compared to the IN Electrical industry average (1.5x).


Future Growth

How is Polycab India forecast to perform in the next 1 to 3 years based on estimates from 15 analysts?

14.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: POLYCAB's forecast earnings growth (14.5% per year) is above the savings rate (6.8%).

Earnings vs Market: POLYCAB's earnings (14.5% per year) are forecast to grow slower than the Indian market (20.5% per year).

High Growth Earnings: POLYCAB's earnings are forecast to grow, but not significantly.

Revenue vs Market: POLYCAB's revenue (12.8% per year) is forecast to grow faster than the Indian market (12.7% per year).

High Growth Revenue: POLYCAB's revenue (12.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: POLYCAB's Return on Equity is forecast to be low in 3 years time (17.9%).


Past Performance

How has Polycab India performed over the past 5 years?

24.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: POLYCAB has high quality earnings.

Growing Profit Margin: POLYCAB's current net profit margins (8.5%) are lower than last year (9.4%).


Past Earnings Growth Analysis

Earnings Trend: POLYCAB's earnings have grown significantly by 24.4% per year over the past 5 years.

Accelerating Growth: POLYCAB's earnings growth over the past year (13%) is below its 5-year average (24.4% per year).

Earnings vs Industry: POLYCAB earnings growth over the past year (13%) underperformed the Electrical industry 20%.


Return on Equity

High ROE: POLYCAB's Return on Equity (17.7%) is considered low.


Financial Health

How is Polycab India's financial position?


Financial Position Analysis

Short Term Liabilities: POLYCAB's short term assets (₹47.7B) exceed its short term liabilities (₹20.1B).

Long Term Liabilities: POLYCAB's short term assets (₹47.7B) exceed its long term liabilities (₹2.3B).


Debt to Equity History and Analysis

Debt Level: POLYCAB's debt to equity ratio (5.2%) is considered satisfactory.

Reducing Debt: POLYCAB's debt to equity ratio has reduced from 44.1% to 5.2% over the past 5 years.

Debt Coverage: POLYCAB's debt is well covered by operating cash flow (497.9%).

Interest Coverage: POLYCAB's interest payments on its debt are well covered by EBIT (65.8x coverage).


Balance Sheet


Dividend

What is Polycab India current dividend yield, its reliability and sustainability?

0.55%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: POLYCAB's dividend (0.55%) is higher than the bottom 25% of dividend payers in the Indian market (0.34%).

High Dividend: POLYCAB's dividend (0.55%) is low compared to the top 25% of dividend payers in the Indian market (1.39%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, POLYCAB has been paying a dividend for less than 10 years.

Growing Dividend: POLYCAB's dividend payments have increased, but the company has only paid a dividend for 2 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.8%), POLYCAB'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?

0.6yrs

Average management tenure


CEO

Inder Jaisinghani (67 yo)

2yrs

Tenure

₹141,070,000

Compensation

Mr. Inder T. Jaisinghani has been Chairman of the Board at Polycab India Limited since December 20, 1997 and has been its Managing Director since August 28, 2019. He has been working with Polycab India Lim...


CEO Compensation Analysis

Compensation vs Market: Inder's total compensation ($USD1.90M) is above average for companies of similar size in the Indian market ($USD643.04K).

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


Leadership Team

Experienced Management: POLYCAB's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.


Board Members

Experienced Board: POLYCAB's board of directors are not considered experienced ( 1.6 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: POLYCAB insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Polycab India Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Polycab India Limited
  • Ticker: POLYCAB
  • Exchange: NSEI
  • Founded: 1996
  • Industry: Electrical Components and Equipment
  • Sector: Capital Goods
  • Market Cap: ₹270.735b
  • Shares outstanding: 149.17m
  • Website: https://www.polycab.com

Number of Employees


Location

  • Polycab India Limited
  • Polycab House
  • 771, Mogul Lane
  • Mumbai
  • Maharashtra
  • 400016
  • India

Listings


Biography

Polycab India Limited manufactures and sells wires and cables under the POLYCAB brand in India and internationally. The company offers power, control, shielded, flexible, instrumentation, solar, flexible/s...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/04 15:52
End of Day Share Price2021/08/04 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.