NSEI:SMLISUZU

Stock Analysis Report

Executive Summary

SML Isuzu Limited manufactures and sells commercial vehicles and related parts primarily in India and internationally.


Snowflake Analysis

Adequate balance sheet with poor track record.

Share Price & News

How has SML Isuzu's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: SMLISUZU has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-2.1%

SMLISUZU

-0.05%

IN Machinery

-0.7%

IN Market


1 Year Return

6.3%

SMLISUZU

0.1%

IN Machinery

10.0%

IN Market

Return vs Industry: SMLISUZU exceeded the Indian Machinery industry which returned 0.1% over the past year.

Return vs Market: SMLISUZU underperformed the Indian Market which returned 10% over the past year.


Shareholder returns

SMLISUZUIndustryMarket
7 Day-2.1%-0.05%-0.7%
30 Day-1.8%-1.0%-0.3%
90 Day13.0%5.9%3.2%
1 Year6.9%6.3%1.6%0.1%12.0%10.0%
3 Year-53.1%-53.9%3.5%-0.4%23.9%17.1%
5 Year-41.7%-43.3%21.5%14.6%38.3%25.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is SML Isuzu undervalued compared to its fair value and its price relative to the market?

282.82x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: SMLISUZU (₹575.85) is trading above our estimate of fair value (₹22.04)

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


Price To Earnings Ratio

PE vs Industry: SMLISUZU is poor value based on its PE Ratio (282.8x) compared to the Machinery industry average (14.9x).

PE vs Market: SMLISUZU is poor value based on its PE Ratio (282.8x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SMLISUZU is overvalued based on its PB Ratio (2.1x) compared to the IN Machinery industry average (1.2x).


Next Steps

Future Growth

How is SML Isuzu 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 SML Isuzu 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 SML Isuzu performed over the past 5 years?

-30.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: SMLISUZU has high quality earnings.

Growing Profit Margin: SMLISUZU's current net profit margins (0.2%) are lower than last year (0.9%).


Past Earnings Growth Analysis

Earnings Trend: SMLISUZU's earnings have declined by -30.2% per year over the past 5 years.

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

Earnings vs Industry: SMLISUZU had negative earnings growth (-76.3%) over the past year, making it difficult to compare to the Machinery industry average (-6.2%).


Return on Equity

High ROE: SMLISUZU's Return on Equity (0.7%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is SML Isuzu's financial position?


Financial Position Analysis

Short Term Liabilities: SMLISUZU's short term assets (₹3.7B) exceed its short term liabilities (₹2.6B).

Long Term Liabilities: SMLISUZU's short term assets (₹3.7B) exceed its long term liabilities (₹1.5B).


Debt to Equity History and Analysis

Debt Level: SMLISUZU's debt to equity ratio (33.1%) is considered satisfactory.

Reducing Debt: SMLISUZU's debt to equity ratio has increased from 11.5% to 33.1% over the past 5 years.

Debt Coverage: SMLISUZU's debt is well covered by operating cash flow (36%).

Interest Coverage: SMLISUZU's interest payments on its debt are not well covered by EBIT (0.4x coverage).


Balance Sheet

Inventory Level: SMLISUZU has a high level of physical assets or inventory.

Debt Coverage by Assets: SMLISUZU's debt is covered by short term assets (assets are 2.8x debt).


Next Steps

Dividend

What is SML Isuzu's current dividend yield, its reliability and sustainability?

0.52%

Current Dividend Yield


Dividend Yield vs Market

company0.5%marketbottom25%0.6%markettop25%2.6%industryaverage1.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: SMLISUZU's dividend (0.52%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.59%).

High Dividend: SMLISUZU's dividend (0.52%) is low compared to the top 25% of dividend payers in the Indian market (2.56%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (147.1%), SMLISUZU's dividend payments are not 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?

3.8yrs

Average management tenure


CEO

Yugo Hashimoto (59yo)

1.5yrs

Tenure

₹5,060,522

Compensation

Mr. Yugo Hashimoto has been Managing Director and Chief Executive Officer at SML Isuzu Limited since August 10, 2018 and also has been its Director since August 9, 2018. 


CEO Compensation Analysis

Compensation vs Market: Yugo's total compensation ($USD70.38K) is above average for companies of similar size in the Indian market ($USD50.21K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Yugo Hashimoto
MD, CEO & Director1.5yrs₹5.06mno data
Gopal Bansal
CFO & Whole-Time Director6yrs₹17.28mno data
Parvesh Madan
Company Secretary & Compliance Officer5.8yrs₹3.26mno data
Tadanao Yamamoto
Director of Quality Assurance & Whole-Time Director1.3yrs₹1.95mno data
K. Prasad
Advisor to Chief Executive Officer3.8yrs₹3.14mno data

3.8yrs

Average Tenure

62.5yo

Average Age

Experienced Management: SMLISUZU's management team is considered experienced (3.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Yugo Hashimoto
MD, CEO & Director1.5yrs₹5.06mno data
Gopal Bansal
CFO & Whole-Time Director6yrs₹17.28mno data
Tadanao Yamamoto
Director of Quality Assurance & Whole-Time Director1.3yrs₹1.95mno data
Surender Tuteja
Independent Chairman14.7yrs₹1.24m0.0097% 807.3k
Pankaj Bajaj
Non-Executive Director13.6yrsno datano data
Vasantha Bharucha
Independent Non-Executive Director5.4yrs₹640.00kno data
Eiichi Seto
Non-Executive Director9.8yrs₹4.50mno data
Sudhir Nayar
Independent Non-Executive Director6.5yrs₹790.00kno data
Kazuo Goda
Non-Executive Director3.5yrsno datano data
Masaki Morohoshi
Non-Executive & Non-Independent Director1.9yrsno datano data

5.7yrs

Average Tenure

61yo

Average Age

Experienced Board: SMLISUZU's board of directors are considered experienced (5.7 years average tenure).


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

SML Isuzu Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: SML Isuzu Limited
  • Ticker: SMLISUZU
  • Exchange: NSEI
  • Founded: 1983
  • Industry: Construction Machinery and Heavy Trucks
  • Sector: Capital Goods
  • Market Cap: ₹8.349b
  • Shares outstanding: 14.47m
  • Website: https://www.smlisuzu.com

Number of Employees


Location

  • SML Isuzu Limited
  • SCO 204-205
  • Sector 34-A
  • Chandigarh
  • Chandigarh
  • 160135
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
505192BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 1995
SMLISUZUNSEI (National Stock Exchange of India)YesEquity SharesININRJul 1995

Biography

SML Isuzu Limited manufactures and sells commercial vehicles and related parts primarily in India and internationally. The company's products include trucks and buses. It also provides special applications vehicles, such as ambulances, tippers, dumper placers, troop carriers, prison vans, dual cab trucks, 4X4 trucks, closed vans, refrigerated vans, and recovery vans. The company offers its products through dealers. The company was formerly known as Swaraj Mazda Ltd. and changed its name to SML Isuzu Limited in 2011. SML Isuzu Limited was incorporated in 1983 and is based in Chandigarh, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 13:02
End of Day Share Price2020/02/20 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


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.