NSEI:SKFINDIA

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Executive Summary

SKF India Limited manufactures and supplies products, solutions, and services in the area of bearings, seals, mechatronics, and lubrication systems primarily in India.


Snowflake Analysis

Flawless balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: SKFINDIA's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

1.7%

SKFINDIA

6.9%

IN Machinery

6.4%

IN Market


1 Year Return

-21.1%

SKFINDIA

-26.6%

IN Machinery

-14.8%

IN Market

Return vs Industry: SKFINDIA exceeded the Indian Machinery industry which returned -26.6% over the past year.

Return vs Market: SKFINDIA underperformed the Indian Market which returned -14.8% over the past year.


Shareholder returns

SKFINDIAIndustryMarket
7 Day1.7%6.9%6.4%
30 Day9.2%9.8%9.5%
90 Day-18.2%-13.0%-7.4%
1 Year-20.6%-21.1%-25.2%-26.6%-13.1%-14.8%
3 Year-7.7%-9.5%-26.2%-29.3%-3.7%-8.8%
5 Year9.7%6.4%-0.1%-6.2%23.7%12.1%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

25.08x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SKFINDIA (₹1468.2) is trading above our estimate of fair value (₹458.62)

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


Price To Earnings Ratio

PE vs Industry: SKFINDIA is poor value based on its PE Ratio (25.1x) compared to the Machinery industry average (11.1x).

PE vs Market: SKFINDIA is poor value based on its PE Ratio (25.1x) compared to the Indian market (10.6x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SKFINDIA is overvalued based on its PB Ratio (3.8x) compared to the IN Machinery industry average (0.9x).


Next Steps

Future Growth

How is SKF India forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

12.0%

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 SKF 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 SKF India performed over the past 5 years?

11.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SKFINDIA has high quality earnings.

Growing Profit Margin: SKFINDIA's current net profit margins (10.2%) are lower than last year (11.1%).


Past Earnings Growth Analysis

Earnings Trend: SKFINDIA's earnings have grown by 11.4% per year over the past 5 years.

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

Earnings vs Industry: SKFINDIA had negative earnings growth (-13.9%) over the past year, making it difficult to compare to the Machinery industry average (-6.6%).


Return on Equity

High ROE: SKFINDIA's Return on Equity (15.2%) is considered low.


Next Steps

Financial Health

How is SKF India's financial position?


Financial Position Analysis

Short Term Liabilities: SKFINDIA's short term assets (₹18.4B) exceed its short term liabilities (₹5.2B).

Long Term Liabilities: SKFINDIA's short term assets (₹18.4B) exceed its long term liabilities (₹476.1M).


Debt to Equity History and Analysis

Debt Level: SKFINDIA is debt free.

Reducing Debt: SKFINDIA had no debt 5 years ago.

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

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


Balance Sheet


Next Steps

Dividend

What is SKF India's current dividend yield, its reliability and sustainability?

0.82%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: SKFINDIA's dividend (0.82%) is higher than the bottom 25% of dividend payers in the Indian market (0.79%).

High Dividend: SKFINDIA's dividend (0.82%) is low compared to the top 25% of dividend payers in the Indian market (3.23%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (20.5%), SKFINDIA'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?

1.8yrs

Average management tenure


CEO

Manish Bhatnagar (50yo)

1.83yrs

Tenure

₹25,732,631

Compensation

Mr. Manish Bhatnagar is Managing Director, Chief Executive Officer and Director at SKF India Limited since August 16, 2018. He has been Vice President and General Manager of Asia Water Section, Danaher Cor ...


CEO Compensation Analysis

Compensation vs Market: Manish's total compensation ($USD340.54K) is about average for companies of similar size in the Indian market ($USD435.23K).

Compensation vs Earnings: Insufficient data to compare Manish's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Manish Bhatnagar
MD, CEO & Director1.83yrs₹25.73mno data
Anurag Bhagania
CFO & Director of Finance1yrno datano data
Dilnavaz Gulestani
Deputy Manager of Legal & Secretarialno datano datano data
Ranjan Kumar
Director of Ethics0.83yrno datano data
Gautam Kumar
Director of Human Resourcesno datano datano data
Bharti Deshpande
Head of Internal Auditno datano datano data
Soami Pamnani
Head of Knowledge Engineeringno datano datano data
Mattias Axelsson
Regional Head of Logistics & Demand Chain Asia4yrsno datano data
Sandip Sen
Head of SKF Lincoln Business Unit4yrsno datano data
Mandeep Sehgal
Head of Automotive Aftermarket Businessno datano datano data

1.8yrs

Average Tenure

50yo

Average Age

Experienced Management: SKFINDIA's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Manish Bhatnagar
MD, CEO & Director1.83yrs₹25.73mno data
Bernd Stephan
Additional Director3yrsno datano data
Gopal Subramanyam
Independent Chairman of the Board1.08yrsno datano data
Aldo Cedrone
Director1.08yrsno datano data
Werner Hoffmann
Director1.08yrsno datano data
Anu Wakhlu
Independent Director1.08yrsno datano data

1.1yrs

Average Tenure

62yo

Average Age

Experienced Board: SKFINDIA's board of directors are not considered experienced ( 1.1 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

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


Key Information

  • Name: SKF India Limited
  • Ticker: SKFINDIA
  • Exchange: NSEI
  • Founded: 1907
  • Industry: Industrial Machinery
  • Sector: Capital Goods
  • Market Cap: ₹72.528b
  • Shares outstanding: 49.44m
  • Website: https://www.skf.com/in

Number of Employees


Location

  • SKF India Limited
  • Mahatma Gandhi Memorial Building
  • Netaji Subhash Road
  • Mumbai
  • Maharashtra
  • 400002
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500472BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 1996
SKFINDIANSEI (National Stock Exchange of India)YesEquity SharesININRJul 1996

Biography

SKF India Limited manufactures and supplies products, solutions, and services in the area of bearings, seals, mechatronics, and lubrication systems primarily in India. The company’s products primarily include bearings, units, and housings; seals; lubrication solutions; actuation systems and engineering tools; magnetic bearings/permanent magnet electric motors; drive-by-wire products; maintenance products; condition monitoring products; power transmission products; coupling systems; test and measurement equipment; and vehicle aftermarket products. It also provides services, such as asset management, training, engineering consultancy, logistics, mechanical maintenance, lubrication management, life cycle management, remanufacturing and maintenance, and products reuse and recycling services. The company was formerly known as SKF Bearings India Limited and changed its name to SKF India Limited in 2004. SKF India Limited was founded in 1907 and is based in Mumbai, India. SKF India Limited is a subsidiary of Aktiebolaget SKF. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/06 13:26
End of Day Share Price2020/06/05 00:00
Earnings2020/03/31
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.