Shanthi Gears
Market Cap
₹5.1b
Last Updated
2020/03/28 13:05 UTC
Data Sources
Company Financials
Executive Summary
Shanthi Gears Limited designs, manufactures, supplies, and services gears and gear boxes in India and internationally.
Risk Analysis
Snowflake Analysis
Flawless balance sheet second-rate dividend payer.
Share Price & News
How has Shanthi Gears's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SHANTIGEAR's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-1.0%
SHANTIGEAR
-5.4%
IN Machinery
-2.9%
IN Market
1 Year Return
-49.1%
SHANTIGEAR
-39.6%
IN Machinery
-29.3%
IN Market
Return vs Industry: SHANTIGEAR underperformed the Indian Machinery industry which returned -39.6% over the past year.
Return vs Market: SHANTIGEAR underperformed the Indian Market which returned -29.2% over the past year.
Shareholder returns
| SHANTIGEAR | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.0% | -5.4% | -2.9% |
| 30 Day | -29.1% | -30.3% | -26.5% |
| 90 Day | -35.0% | -30.2% | -28.5% |
| 1 Year | -47.4%-49.1% | -38.5%-39.6% | -27.9%-29.3% |
| 3 Year | -35.8%-40.9% | -35.2%-37.9% | -15.4%-20.0% |
| 5 Year | -39.8%-45.0% | -22.3%-27.0% | -3.3%-8.3% |
Price Volatility Vs. Market
How volatile is Shanthi Gears's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
How Does Shanthi Gears's (NSE:SHANTIGEAR) P/E Compare To Its Industry, After The Share Price Drop?3 weeks ago | Simply Wall St
Shanthi Gears Limited (NSE:SHANTIGEAR) Looks Interesting, And It's About To Pay A Dividend1 month ago | Simply Wall St
Can We See Significant Institutional Ownership On The Shanthi Gears Limited (NSE:SHANTIGEAR) Share Register?Valuation
Is Shanthi Gears undervalued compared to its fair value and its price relative to the market?
17.31x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: SHANTIGEAR (₹65.7) is trading above our estimate of fair value (₹19.2)
Significantly Below Fair Value: SHANTIGEAR is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SHANTIGEAR is poor value based on its PE Ratio (17.3x) compared to the Machinery industry average (10.1x).
PE vs Market: SHANTIGEAR is poor value based on its PE Ratio (17.3x) compared to the Indian market (9.2x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate SHANTIGEAR's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: SHANTIGEAR is overvalued based on its PB Ratio (2.1x) compared to the IN Machinery industry average (0.8x).
Next Steps
Future Growth
How is Shanthi Gears forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
16.7%
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 Shanthi Gears 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
- Examine Shanthi Gears's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
- Shanthi Gears competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Capital Goods industry.
Past Performance
How has Shanthi Gears performed over the past 5 years?
22.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SHANTIGEAR has high quality earnings.
Growing Profit Margin: SHANTIGEAR's current net profit margins (11.5%) are lower than last year (15.6%).
Past Earnings Growth Analysis
Earnings Trend: SHANTIGEAR's earnings have grown significantly by 22.5% per year over the past 5 years.
Accelerating Growth: SHANTIGEAR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SHANTIGEAR had negative earnings growth (-19.1%) over the past year, making it difficult to compare to the Machinery industry average (-6.2%).
Return on Equity
High ROE: SHANTIGEAR's Return on Equity (12.4%) is considered low.
Next Steps
Financial Health
How is Shanthi Gears's financial position?
Financial Position Analysis
Short Term Liabilities: SHANTIGEAR's short term assets (₹2.0B) exceed its short term liabilities (₹440.7M).
Long Term Liabilities: SHANTIGEAR's short term assets (₹2.0B) exceed its long term liabilities (₹12.8M).
Debt to Equity History and Analysis
Debt Level: SHANTIGEAR is debt free.
Reducing Debt: SHANTIGEAR has not had any debt for past 5 years.
Debt Coverage: SHANTIGEAR has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: SHANTIGEAR has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Inventory Level: SHANTIGEAR has a high level of physical assets or inventory.
Debt Coverage by Assets: Insufficient data to determine if SHANTIGEAR's debt is covered by short term assets.
Next Steps
Dividend
What is Shanthi Gears's current dividend yield, its reliability and sustainability?
3.02%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SHANTIGEAR's dividend (3.02%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).
High Dividend: SHANTIGEAR's dividend (3.02%) is low compared to the top 25% of dividend payers in the Indian market (4.18%).
Stability and Growth of Payments
Stable Dividend: SHANTIGEAR's dividend payments have been volatile in the past 10 years.
Growing Dividend: SHANTIGEAR's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (78.4%), SHANTIGEAR's payments are 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?
2.1yrs
Average board tenure
CEO
M. Karunakaran
1.08s
Tenure
₹7,104,000
Compensation
Mr. M. Karunakaran serves as a Chief Executive Officer at Shanthi Gears Limited since February 1, 2019 and serves as a Head of Operations & Technical since 2014. He has also completed Advanced Manufacturin ...
CEO Compensation Analysis
Compensation vs Market: M.'s total compensation ($USD94.25K) is above average for companies of similar size in the Indian market ($USD48.50K).
Compensation vs Earnings: Insufficient data to compare M.'s compensation with company performance.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Additional Non-Executive Director | 1.08yrs | no data | no data | |
| Independent Non-Executive Director | 2.08yrs | ₹635.00k | no data | |
| Chairman | 2.08yrs | ₹391.67k | no data | |
| Additional Director | 1yr | no data | no data | |
| Independent Non-Executive Director | 7.5yrs | ₹710.00k | no data | |
| Independent Non Executive Director | 5yrs | ₹620.00k | no data |
2.1yrs
Average Tenure
60.5yo
Average Age
Experienced Board: SHANTIGEAR's board of directors are not considered experienced ( 2.1 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: 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
Shanthi Gears Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Shanthi Gears Limited
- Ticker: SHANTIGEAR
- Exchange: NSEI
- Founded: 1960
- Industry: Industrial Machinery
- Sector: Capital Goods
- Market Cap: ₹5.082b
- Shares outstanding: 76.72m
- Website: https://www.shanthigears.com
Number of Employees
Location
- Shanthi Gears Limited
- 304-A, Trichy Road
- Singanallur
- Coimbatore
- Tamil Nadu
- 641005
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 522034 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Jan 1996 |
| SHANTIGEAR | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Jan 1996 |
Biography
Shanthi Gears Limited designs, manufactures, supplies, and services gears and gear boxes in India and internationally. The company offers standard products, such as helical and bevel helical, worm, extruder, and cooling tower gear boxes, as well as geared motors. It also provides custom built loose gears that include gears and pinions, and special gearboxes; and iron, as well as phosphor bronze, aluminum bronze, leaded bronze, and copper alloy castings. In addition, the company offers installation support, refurbishment, and on site services. Its products are used in steel, cement, sugar, crane and material handling, paper, power, rubber and plastics, off-highway and mining, process, compressor, railway, textile, and aerospace applications. The company was founded in 1960 and is based in Coimbatore, India. Shanthi Gears Limited is a subsidiary of Tube Investments of India Limited.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/03/28 13:05 |
| End of Day Share Price | 2020/03/27 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/03/31 |
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.