NSEI:BHARATWIRE

Stock Analysis Report

Executive Summary

Bharat Wire Ropes Limited manufactures and sells steel wire ropes in India.

Snowflake

Fundamentals

Imperfect balance sheet with weak fundamentals.


Similar Companies

Share Price & News

How has Bharat Wire Ropes's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-6.3%

BHARATWIRE

4.5%

IN Metals and Mining

2.3%

IN Market


1 Year Return

-69.9%

BHARATWIRE

-30.6%

IN Metals and Mining

0.3%

IN Market

Return vs Industry: BHARATWIRE underperformed the Indian Metals and Mining industry which returned -30.6% over the past year.

Return vs Market: BHARATWIRE underperformed the Indian Market which returned 0.3% over the past year.


Shareholder returns

BHARATWIREIndustryMarket
7 Day-6.3%4.5%2.3%
30 Day-10.7%-2.2%2.2%
90 Day-24.0%-14.3%-2.7%
1 Year-69.9%-69.9%-27.7%-30.6%2.3%0.3%
3 Year-47.2%-47.2%1.5%-9.9%20.7%14.7%
5 Yearn/a3.8%-13.4%41.4%28.2%

Price Volatility Vs. Market

How volatile is Bharat Wire Ropes's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Bharat Wire Ropes undervalued compared to its fair value and its price relative to the market?

1.15x

Price to Book (PB) ratio


Share Price vs. Fair Value

Undervalued: Insufficient data to calculate BHARATWIRE's fair value to establish if it is undervalued.

Significantly Undervalued: Insufficient data to calculate BHARATWIRE's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: BHARATWIRE is unprofitable, so we can't compare its PE Ratio to the Metals and Mining industry average.

PE vs Market: BHARATWIRE is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BHARATWIRE is overvalued based on its PB Ratio (1.1x) compared to the IN Metals and Mining industry average (0.8x).


Next Steps

Future Growth

How is Bharat Wire Ropes forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

68.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BHARATWIRE is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: BHARATWIRE is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: BHARATWIRE is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: Insufficient data to determine if BHARATWIRE's revenue is forecast to grow faster than the Indian market.

High Growth Revenue: Insufficient data to determine if BHARATWIRE's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: Insufficient data to determine if BHARATWIRE's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Bharat Wire Ropes performed over the past 5 years?

-90.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: BHARATWIRE is unprofitable, and losses have increased over the past 5 years at a rate of -90% per year.

Accelerating Growth: Unable to compare BHARATWIRE's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: BHARATWIRE is unprofitable, making it difficult to compare its past year earnings growth to the Metals and Mining industry (14.3%).


Return on Equity

High ROE: BHARATWIRE has a negative Return on Equity (-58.06%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: BHARATWIRE is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: BHARATWIRE is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Bharat Wire Ropes's financial position?


Financial Position Analysis

Short Term Liabilities: BHARATWIRE's short term assets (₹1.7B) do not cover its short term liabilities (₹3.0B)

Long Term Liabilities: BHARATWIRE's short term assets (1.7B) do not cover its long term liabilities (3.6B)


Debt to Equity History and Analysis

Debt Level: BHARATWIRE's debt to equity ratio (612%) is considered high

Reducing Debt: BHARATWIRE's debt to equity ratio has increased from 37.6% to 612% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: BHARATWIRE's debt is not covered by short term assets (assets are 0.3x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable BHARATWIRE has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: BHARATWIRE is unprofitable but has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 92.5% per year.


Next Steps

Dividend

What is Bharat Wire Ropes's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.5%industryaverage4.4%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate BHARATWIRE's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate BHARATWIRE's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if BHARATWIRE's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if BHARATWIRE's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of BHARATWIRE's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of Bharat Wire Ropes's salary, the management and board of directors tenure and is there insider trading?

4.8yrs

Average management tenure


CEO

Mahender Arora 0

3.2yrs

Tenure

0

Mr. Mahender Singh Arora has been Chief Executive Officer at Bharat Wire Ropes Limited since August 19, 2016. 


CEO Compensation Analysis

Compensation vs. Market: Mahender's total compensation ($USD0.00) is too low to compare against companies of similar size in the Indian market ($USD25.26K).

Compensation vs Earnings: Mahender's compensation has increased whilst the company is unprofitable.


Management Age and Tenure

4.8yrs

Average Tenure

61yo

Average Age

Experienced Management: BHARATWIRE's management team is considered experienced (4.8 years average tenure).


Board Age and Tenure

3.7yrs

Average Tenure

61yo

Average Age

Experienced Board: BHARATWIRE's board of directors are considered experienced (3.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Murarilal Mittal (61yo)

    MD & Executive Director

    • Tenure: 5.2yrs
  • Shailesh Rakhasiya (31yo)

    Company Secretary & Compliance Officer

    • Tenure: 5.2yrs
  • Venkateswararao Kandikuppa (54yo)

    Whole Time Director

    • Tenure: 6.8yrs
  • Sumit Modak (66yo)

    Project Head of Chalisgaon Plant & Whole Time Director

    • Tenure: 6.8yrs
  • Rakesh Jain (61yo)

    Chief Financial Officer

    • Tenure: 4.5yrs
  • Mayank Mittal (32yo)

    Joint MD & Executive Director

    • Tenure: 2.9yrs
  • Sharwan Mittal (72yo)

    Director of Administration

    • Tenure: 5.2yrs
    • Compensation: ₹900.00k
  • Sneha Shanbag (59yo)

    Vice President of Marketing

    • Tenure: 0yrs
    • Compensation: ₹1.44m
  • Surendra Singh (63yo)

    Deputy General Manager of Human Resource & Administration

    • Tenure: 0yrs
    • Compensation: ₹672.00k
  • Mahender Arora

    Chief Executive Officer

    • Tenure: 3.2yrs

Board Members

  • Murarilal Mittal (61yo)

    MD & Executive Director

    • Tenure: 5.2yrs
  • Satyendra Nayak (70yo)

    Additional Director

    • Tenure: 1.2yrs
    • Compensation: ₹50.00k
  • Venkateswararao Kandikuppa (54yo)

    Whole Time Director

    • Tenure: 6.8yrs
  • Ruhi Mittal (39yo)

    Non-Executive Non-Independent Director

    • Tenure: 4.5yrs
    • Compensation: ₹27.50k
  • Sumit Modak (66yo)

    Project Head of Chalisgaon Plant & Whole Time Director

    • Tenure: 6.8yrs
  • Mayank Mittal (32yo)

    Joint MD & Executive Director

    • Tenure: 2.9yrs
  • Shiv Malu (61yo)

    Non-Executive Independent Director

    • Tenure: 2.7yrs
    • Compensation: ₹117.50k
  • Sanjiv Swarup (61yo)

    Independent Chairman of the Board

    • Tenure: 1.2yrs
    • Compensation: ₹100.00k

Company Information

Bharat Wire Ropes Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Bharat Wire Ropes Limited
  • Ticker: BHARATWIRE
  • Exchange: NSEI
  • Founded: 1986
  • Industry: Steel
  • Sector: Materials
  • Market Cap: ₹1.146b
  • Shares outstanding: 44.95m
  • Website: https://www.bharatwireropes.com

Number of Employees


Location

  • Bharat Wire Ropes Limited
  • A-701, Trade World Building
  • Kamala Mills
  • Mumbai
  • Maharashtra
  • 400013
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
539799BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 2016
BHARATWIRENSEI (National Stock Exchange of India)YesEquity SharesININRApr 2016

Biography

Bharat Wire Ropes Limited manufactures and sells steel wire ropes in India. It offers wires, wire ropes, stranded wires, and slings, as well as mechanically spliced slings, hand spliced slings, earth wires ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/15 12:54
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
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.