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Walchandnagar Industries

NSEI:WALCHANNAG
Snowflake Description

Imperfect balance sheet with questionable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
WALCHANNAG
NSEI
₹4B
Market Cap
  1. Home
  2. IN
  3. Capital Goods
Company description

Walchandnagar Industries Limited operates as a heavy engineering and project execution company worldwide. The last earnings update was 73 days ago. More info.


Add to Portfolio Compare Print
  • Walchandnagar Industries has significant price volatility in the past 3 months.
WALCHANNAG Share Price and Events
7 Day Returns
15.2%
NSEI:WALCHANNAG
-0.3%
IN Machinery
0.8%
IN Market
1 Year Returns
-42.3%
NSEI:WALCHANNAG
-15.4%
IN Machinery
-0.7%
IN Market
WALCHANNAG Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Walchandnagar Industries (WALCHANNAG) 15.2% 17% 6.8% -42.3% -31.3% 62%
IN Machinery -0.3% 1.7% 0.8% -15.4% 21.6% 123.1%
IN Market 0.8% 2.1% 5.8% -0.7% 41.2% 72.5%
1 Year Return vs Industry and Market
  • WALCHANNAG underperformed the Machinery industry which returned -15.4% over the past year.
  • WALCHANNAG underperformed the Market in India which returned -0.7% over the past year.
Price Volatility
WALCHANNAG
Industry
5yr Volatility vs Market

Value

 Is Walchandnagar Industries undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Walchandnagar Industries to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Walchandnagar Industries.

NSEI:WALCHANNAG Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Extrapolated from most recent financials. See below
Discount Rate (Cost of Equity) See below 20.6%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NSEI:WALCHANNAG
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Machinery Unlevered Beta Simply Wall St/ S&P Global 1.07
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.067 (1 + (1- 35%) (101.41%))
1.516
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.52
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (1.516 * 8.6%)
20.59%

Discounted Cash Flow Calculation for NSEI:WALCHANNAG using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Walchandnagar Industries is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NSEI:WALCHANNAG DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 20.59%)
2019 524.70 Est @ 11.33% 435.11
2020 578.18 Est @ 10.19% 397.60
2021 632.53 Est @ 9.4% 360.70
2022 688.48 Est @ 8.85% 325.57
2023 746.70 Est @ 8.46% 292.82
2024 807.82 Est @ 8.18% 262.69
2025 872.40 Est @ 7.99% 235.26
2026 940.98 Est @ 7.86% 210.42
2027 1,014.07 Est @ 7.77% 188.05
2028 1,092.18 Est @ 7.7% 167.95
Present value of next 10 years cash flows ₹2,876.17
NSEI:WALCHANNAG DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹1,092.18 × (1 + 7.55%) ÷ (20.59% – 7.55%)
₹9,008.03
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹9,008.03 ÷ (1 + 20.59%)10
₹1,385.23
NSEI:WALCHANNAG Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹2,876.17 + ₹1,385.23
₹4,261.40
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹4,261.40 / 38.07
₹111.94
NSEI:WALCHANNAG Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹111.94
Current discount Discount to share price of ₹104.50
= -1 x (₹104.50 - ₹111.94) / ₹111.94
6.6%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Walchandnagar Industries is available for.
Intrinsic value
7%
Share price is ₹104.5 vs Future cash flow value of ₹111.94
Current Discount Checks
For Walchandnagar Industries to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Walchandnagar Industries's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Walchandnagar Industries's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Walchandnagar Industries's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Walchandnagar Industries's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NSEI:WALCHANNAG PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in INR ₹1.65
NSEI:WALCHANNAG Share Price ** NSEI (2019-04-18) in INR ₹104.5
India Machinery Industry PE Ratio Median Figure of 139 Publicly-Listed Machinery Companies 18.65x
India Market PE Ratio Median Figure of 2,738 Publicly-Listed Companies 16.33x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Walchandnagar Industries.

NSEI:WALCHANNAG PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NSEI:WALCHANNAG Share Price ÷ EPS (both in INR)

= 104.5 ÷ 1.65

63.43x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Walchandnagar Industries is overvalued based on earnings compared to the IN Machinery industry average.
  • Walchandnagar Industries is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Walchandnagar Industries's expected growth come at a high price?
Raw Data
NSEI:WALCHANNAG PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 63.43x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 0 Analysts
Not available
India Machinery Industry PEG Ratio Median Figure of 27 Publicly-Listed Machinery Companies 1.72x
India Market PEG Ratio Median Figure of 584 Publicly-Listed Companies 1.32x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Walchandnagar Industries, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Walchandnagar Industries's assets?
Raw Data
NSEI:WALCHANNAG PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in INR ₹89.52
NSEI:WALCHANNAG Share Price * NSEI (2019-04-18) in INR ₹104.5
India Machinery Industry PB Ratio Median Figure of 167 Publicly-Listed Machinery Companies 1.63x
India Market PB Ratio Median Figure of 3,628 Publicly-Listed Companies 1.11x
NSEI:WALCHANNAG PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NSEI:WALCHANNAG Share Price ÷ Book Value per Share (both in INR)

= 104.5 ÷ 89.52

1.17x

* Primary Listing of Walchandnagar Industries.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Walchandnagar Industries is good value based on assets compared to the IN Machinery industry average.
X
Value checks
We assess Walchandnagar Industries's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Machinery industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Machinery industry average (and greater than 0)? (1 check)
  5. Walchandnagar Industries has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Walchandnagar Industries expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

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 Walchandnagar Industries 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 Simply Wall St do have past financial data. You can see them here.

Show me the analysis anyway

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
13.9%
Expected Machinery industry annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Walchandnagar Industries expected to grow at an attractive rate?
  • Unable to compare Walchandnagar Industries's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
  • Unable to compare Walchandnagar Industries's earnings growth to the India market average as no estimate data is available.
  • Unable to compare Walchandnagar Industries's revenue growth to the India market average as no estimate data is available.
Annual Growth Rates Comparison
Raw Data
NSEI:WALCHANNAG Future Growth Rates Data Sources
Data Point Source Value (per year)
India Machinery Industry Earnings Growth Rate Market Cap Weighted Average 13.9%
India Machinery Industry Revenue Growth Rate Market Cap Weighted Average 12.9%
India Market Earnings Growth Rate Market Cap Weighted Average 18.5%
India Market Revenue Growth Rate Market Cap Weighted Average 11.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NSEI:WALCHANNAG Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NSEI:WALCHANNAG Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-12-31 3,839 63
2018-09-30 4,051 -22
2018-06-30 3,769 -173
2018-03-31 3,984 498 -258
2017-12-31 4,028 -411
2017-09-30 3,864 -569
2017-06-30 4,090 -594
2017-03-31 3,979 626 -795
2016-12-31 4,112 -647
2016-09-30 4,405 -439
2016-06-30 4,795 -274
2016-03-31 5,200 1 -406

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Unable to determine if Walchandnagar Industries is high growth as no earnings estimate data is available.
  • Unable to determine if Walchandnagar Industries is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NSEI:WALCHANNAG Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below

All data from Walchandnagar Industries Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:WALCHANNAG Past Financials Data
Date (Data in INR Millions) EPS *
2018-12-31 1.65
2018-09-30 -0.59
2018-06-30 -4.63
2018-03-31 -6.78
2017-12-31 -10.81
2017-09-30 -14.95
2017-06-30 -15.60
2017-03-31 -20.87
2016-12-31 -10.85
2016-09-30 -11.55
2016-06-30 -7.21
2016-03-31 -10.67

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Walchandnagar Industries will efficiently use shareholders’ funds in the future without estimates of Return on Equity.

Next steps:

  1. Take a look at our analysis of WALCHANNAG’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  2. Walchandnagar Industries's future outlook can be gauged by looking at industry trends and market size, and determining how well-positioned the company is compared to its competitors. Take a look at other high-growth Capital Goods companies here
  3. Walchandnagar Industries's competitive advantages and company strategy can generally be found in its financial reports archived here.
  4. Use fundamentals to screen for another stock to analyse from our database of over 75,000 companies worldwide
X
Future performance checks
We assess Walchandnagar Industries's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Walchandnagar Industries has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Walchandnagar Industries performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Walchandnagar Industries's growth in the last year to its industry (Machinery).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Walchandnagar Industries's year on year earnings growth rate has been positive over the past 5 years.
  • Walchandnagar Industries has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Walchandnagar Industries has become profitable in the last year making it difficult to compare the IN Machinery industry average.
Earnings and Revenue History
Walchandnagar Industries's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Walchandnagar Industries Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:WALCHANNAG Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 3,839.10 62.90 856.40
2018-09-30 4,051.40 -22.30 846.70
2018-06-30 3,768.90 -173.00 814.20
2018-03-31 3,984.10 -258.20 786.50
2017-12-31 4,028.41 -411.36 782.26
2017-09-30 3,864.11 -568.96 783.66
2017-06-30 4,090.41 -593.86 814.06
2017-03-31 3,979.10 -795.20 838.40
2016-12-31 4,112.14 -646.75 917.50
2016-09-30 4,405.24 -438.95 945.70
2016-06-30 4,794.74 -274.35 950.70
2016-03-31 5,200.24 -405.85 962.20
2015-09-30 5,605.10 -601.00 894.80
2015-06-30 5,795.31 -672.86 1,399.09
2015-03-31 6,114.81 -414.66 1,403.79
2014-12-31 6,569.61 -47.26 1,421.09
2014-09-30 6,382.31 -123.66 960.97
2014-06-30 7,290.74 -269.62 1,480.83
2014-03-31 7,342.44 -303.82 1,490.73
2013-12-31 7,055.54 -546.62 1,487.23
2013-09-30 7,265.14 -382.82 1,484.73
2013-06-30 7,804.45 51.26 1,935.36
2013-03-31 7,953.75 -67.44 1,930.46
2012-12-31 8,567.65 12.86 1,931.56
2012-09-30 8,814.71 121.26 1,425.38
2012-06-30 8,354.94 -96.92 1,676.10

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Walchandnagar Industries has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Walchandnagar Industries used its assets less efficiently than the IN Machinery industry average last year based on Return on Assets.
  • Walchandnagar Industries has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Walchandnagar Industries's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Machinery industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Walchandnagar Industries has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Walchandnagar Industries's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Walchandnagar Industries's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Walchandnagar Industries is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Walchandnagar Industries's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Walchandnagar Industries's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is covered by short term assets, assets are 1.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Walchandnagar Industries Company Filings, last reported 3 months ago.

NSEI:WALCHANNAG Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 3,407.90 4,034.60 454.40
2018-09-30 3,407.90 4,034.60 454.40
2018-06-30 3,390.40 4,343.60 119.40
2018-03-31 3,390.40 4,343.60 119.40
2017-12-31 4,330.80 4,198.60 529.70
2017-09-30 4,330.80 4,198.60 529.70
2017-06-30 4,769.26 4,157.13 190.27
2017-03-31 3,644.40 4,307.20 143.40
2016-12-31 5,294.40 3,747.60 156.40
2016-09-30 5,294.40 3,747.60 156.40
2016-06-30 5,619.47 4,045.64 249.22
2016-03-31 5,619.47 4,045.64 249.22
2015-09-30 5,854.70 3,655.30 136.20
2015-06-30 6,152.10 3,387.60 231.70
2015-03-31 6,152.10 3,387.60 231.70
2014-12-31 6,703.49 3,503.01 661.93
2014-09-30 6,703.49 3,503.01 661.93
2014-06-30 6,852.00 2,946.70 382.60
2014-03-31 6,852.00 2,946.70 382.60
2013-12-31 7,064.30 2,609.68 329.57
2013-09-30 7,064.30 2,609.68 329.57
2013-06-30 2,287.50 1,763.40 365.60
2013-03-31 2,287.50 1,763.40 365.60
2012-12-31 4,026.43 2,068.81 370.79
2012-09-30 4,010.76 2,068.81 370.79
2012-06-30 3,997.90 1,557.30 562.30
  • Walchandnagar Industries's level of debt (118.4%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (37% vs 118.4% today).
  • Debt is not well covered by operating cash flow (12.4%, less than 20% of total debt).
  • Interest payments on debt are not well covered by earnings (EBIT is 1.2x annual interest expense, ideally 3x coverage).
X
Financial health checks
We assess Walchandnagar Industries's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Walchandnagar Industries has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Walchandnagar Industries's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Walchandnagar Industries dividends.
If you bought ₹2,000 of Walchandnagar Industries shares you are expected to receive ₹0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Walchandnagar Industries's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Walchandnagar Industries's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NSEI:WALCHANNAG Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 0 Analyst Estimates (S&P Global) See Below
India Machinery Industry Average Dividend Yield Market Cap Weighted Average of 98 Stocks 1.2%
India Market Average Dividend Yield Market Cap Weighted Average of 1400 Stocks 1.3%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 1.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NSEI:WALCHANNAG Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2017-01-30 0.000 0.000
2016-11-15 0.000 0.000
2016-08-12 0.000 0.000
2016-05-24 0.000 0.000
2015-01-14 0.400 0.246
2014-12-01 0.400 0.250
2013-11-28 0.400 0.503
2013-01-31 1.000 1.770
2011-11-22 1.000 1.274
2010-11-22 1.000 0.839
2010-01-25 1.000 0.453
2009-04-21 1.000 0.508

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Walchandnagar Industries has not reported any payouts.
  • Unable to verify if Walchandnagar Industries's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Walchandnagar Industries's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Walchandnagar Industries has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Walchandnagar Industries's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Walchandnagar Industries afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Walchandnagar Industries has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Walchandnagar Industries's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
G. Pillai
COMPENSATION ₹10,784,000
AGE 67
TENURE AS CEO 6.4 years
CEO Bio

Mr. G. K. Pillai has been Chairman of HMT Machine Tools Limited since December 2010 and serves as its Managing Director. Mr. Pillai has been Managing Director and Chief Executive Officer at Walchandnagar Industries Limited since November 25, 2012. He joined Instrumentation Ltd., a Government of India Enterprises, Palakkad in Kerala in 1973. After a stint of 34 years in both Public Sector and Private Sector Industry, Mr. Pillai was selected to head the prestigious organisation of the country - HEC, Ranchi as the Chairman-cum-Managing Director since May 2007. He served as the Chief Operating Officer at Walchandnagar Industries Limited from August 2012 to November 25, 2012. He served as Chairman and Managing Director of Heavy Engineering Corporation Ltd. until December 31, 2011. He has been an Executive Director of Walchandnagar Industries Limited since August 13, 2012. He was also awarded the Turnaround Leader Award at the Asia Pacific HRM Congress in Bangalore on 3rd September 2010. Apart from having a successful professional career, he has been a very active sportsmen of repute having played Hockey at the National level. He is also very active in various professional bodies with an aim to bring more professional expertise in HEC. He serves as the Chairman of CII – Jharkhand State Council, Vice-Chairman –Energy Savings Commission of the World Foundry Organisation, Chairman – Ranchi Chapter of Institute of Indian Foundrymen, President - Project Management Associate, Ranchi Chapter and the Executive Member – SCOPE. Mr. Pillai holds his BE(Hons.) from B.I.T.S, Pilani in 1973.

CEO Compensation
  • G.'s compensation has increased in line with Walchandnagar Industries recently becoming profitable.
  • G.'s remuneration is higher than average for companies of similar size in India.
Management Team Tenure

Average tenure of the Walchandnagar Industries management team in years:

10.3
Average Tenure
  • The average tenure for the Walchandnagar Industries management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

G. Pillai

TITLE
MD, CEO & Executive Director
COMPENSATION
₹11M
AGE
67
TENURE
6.4 yrs

Chirag Doshi

TITLE
MD & Director
COMPENSATION
₹9M
AGE
44
TENURE
11.4 yrs

G. Agrawal

TITLE
Vice President of Legal & Taxation
COMPENSATION
₹3M
TENURE
10.3 yrs

V. Vaingankar

TITLE
President of Manufacturing Technology

S. Deshmukh

TITLE
Chief Information Officer

C. Janakiram

TITLE
Head of Oil & Gas Division

M. Purwat

TITLE
Senior Vice President of Finance

P. Bhagwat

TITLE
Senior Vice President of Cement

S. K. Krishnan

TITLE
Senior Vice President of Defence

Anil Gabhe

TITLE
Chief Internal Auditor
Board of Directors Tenure

Average tenure and age of the Walchandnagar Industries board of directors in years:

7.5
Average Tenure
70
Average Age
  • The tenure for the Walchandnagar Industries board of directors is about average.
Board of Directors

Chakor Doshi

TITLE
Chairman
AGE
70
TENURE
21.3 yrs

G. Pillai

TITLE
MD, CEO & Executive Director
COMPENSATION
₹11M
AGE
67
TENURE
6.7 yrs

Chirag Doshi

TITLE
MD & Director
COMPENSATION
₹9M
AGE
44

Dilip Thakkar

TITLE
Independent Non Executive Director
AGE
82
TENURE
16.1 yrs

Anil Kakodkar

TITLE
Independent & Non Executive Director
AGE
75
TENURE
8.3 yrs

Bhavna Doshi

TITLE
Non-Executive & Independent Director
AGE
65
TENURE
5.4 yrs

Arun Gandhi

TITLE
Independent & Non Executive Director
AGE
75
TENURE
5.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
X
Management checks
We assess Walchandnagar Industries's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Walchandnagar Industries has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Those Who Purchased Walchandnagar Industries (NSE:WALCHANNAG) Shares A Year Ago Have A 51% Loss To Show For It

Unfortunately, shareholders of Walchandnagar Industries Limited (NSE:WALCHANNAG) have suffered share price declines over the last year. … To make matters worse, the returns over three years have also been really disappointing (the share price is 40% lower than three years ago). … Walchandnagar Industries managed to increase earnings per share from a loss to a profit, over the last 12 months.

Simply Wall St -

Should Walchandnagar Industries Limited (NSE:WALCHANNAG) Focus On Improving This Fundamental Metric?

By way of learning-by-doing, we'll look at ROE to gain a better understanding of Walchandnagar Industries Limited (NSE:WALCHANNAG). … One way to conceptualize this, is that for each ₹1 of shareholders' equity it has, the company made ₹0.018 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Walchandnagar Industries Limited (NSE:WALCHANNAG) Might Not Be A Great Investment

Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.

Simply Wall St -

Does Walchandnagar Industries Limited's (NSE:WALCHANNAG) CEO Pay Compare Well With Peers?

Pillai was appointed CEO of Walchandnagar Industries Limited (NSE:WALCHANNAG). … This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … Pillai's Compensation Compare With Similar Sized Companies?

Simply Wall St -

Is Walchandnagar Industries Limited's (NSE:WALCHANNAG) CEO Being Overpaid?

This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … Our data indicates that Walchandnagar Industries Limited is worth ₹4.0b, and total annual CEO compensation is ₹11m? … Pillai receives more in total compensation than the median of a group of companies in the same market, and of similar size to Walchandnagar Industries Limited.

Simply Wall St -

Is Walchandnagar Industries Limited's (NSE:WALCHANNAG) Balance Sheet A Threat To Its Future?

While small-cap stocks, such as Walchandnagar Industries Limited (NSE:WALCHANNAG) with its market cap of ₹5.35b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … the current state of its operations and pathway to profitability.

Simply Wall St -

Before You Buy Walchandnagar Industries Limited's (NSE:WALCHANNAG), Consider This

Broadly speaking, there are two types of risk you should consider when investing in stocks such as WALCHANNAG. … The first risk to consider is company-specific, which can be diversified away when you invest in other companies in the same industry as WALCHANNAG, because it is rare that an entire industry collapses at once. … The second type is market risk, one that you cannot diversify away, since it arises from macroeconomic factors which directly affects all the stocks in the market.

Simply Wall St -

How Did Walchandnagar Industries Limited's (NSE:WALCHANNAG) Earnings Growth Stack Up Against The Industry?

When Walchandnagar Industries Limited (NSEI:WALCHANNAG) released its most recent earnings update (31 December 2017), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … Check out our latest analysis for Walchandnagar Industries How Well Did WALCHANNAG Perform? … For Walchandnagar Industries, its latest earnings (trailing twelve month) is -₹411.36M, which, relative to the previous year's level, has become less negative.

Simply Wall St -

Is Walchandnagar Industries Limited (NSEI:WALCHANNAG) A Financially Sound Company?

Additionally, WALCHANNAG has generated cash from operations of ₹544.4M during the same period of time, resulting in an operating cash to total debt ratio of 0.13x, signalling that WALCHANNAG’s debt is not appropriately covered by operating cash. … Its cash flow coverage of less than a quarter of debt means that operating efficiency could be an issue. … Furthermore, its cash flow coverage of less than a quarter of debt means that operating efficiency could also be an issue.

Simply Wall St -

Company Info

Description

Walchandnagar Industries Limited operates as a heavy engineering and project execution company worldwide. It operates in the Heavy Engineering, Foundry and Machine Shop, and Others segments. The company offers booster motor casings and nozzles for aerospace applications; machinery for cement and sugar plants; critical equipment comprising combustion chambers, al. alloy bridges, launching systems, motor casings, etc. for defense sector; high and low speed, planetary, and marine gear boxes; and mechanical precision instruments and components under the TIWAC brand. It also provides centrifugal machines; equipment for various nuclear power plants; industrial boilers and steam generators; and equipment for onshore production facilities, refineries, and petrochemical and fertilizer plants, as well as undertakes turnkey sugar projects. In addition, the company offers manufactures grey and ductile iron castings; offers consulting engineering services in the areas of nuclear and thermal plants, oil and gas engineering, submarines and ships, complex projects, and special purpose machine and R&D projects; and supplies machinery and equipment for steam and power generation plants. Walchandnagar Industries Limited was incorporated in 1908 and is based in Mumbai, India.

Details
Name: Walchandnagar Industries Limited
WALCHANNAG
Exchange: NSEI
Founded: 1908
₹3,978,336,422
38,070,205
Website: http://www.walchand.com
Address: Walchandnagar Industries Limited
3, Walchand Terraces,
Opposite Air Conditioned Market,
Mumbai,
Maharashtra, 400034,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NSEI WALCHANNAG Equity Shares National Stock Exchange of India IN INR 18. Sep 1996
BSE 507410 Equity Shares Mumbai Stock Exchange IN INR 18. Sep 1996
Number of employees
Current staff
Staff numbers
1,654
Walchandnagar Industries employees.
Industry
Industrial Machinery
Capital Goods
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/20 12:46
End of day share price update: 2019/04/18 00:00
Last earnings filing: 2019/02/06
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.