Usha Martin
Market Cap
₹4.3b
Last Updated
2020/05/30 13:11 UTC
Data Sources
Company Financials
Executive Summary
Usha Martin Limited, together with its subsidiaries, manufactures and sells wires, wire ropes, and strands products in India and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Undervalued with excellent balance sheet.
Similar Companies
Share Price & News
How has Usha Martin's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: USHAMART's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
6.0%
USHAMART
6.8%
IN Metals and Mining
3.8%
IN Market
1 Year Return
-54.1%
USHAMART
-34.7%
IN Metals and Mining
-20.9%
IN Market
Return vs Industry: USHAMART underperformed the Indian Metals and Mining industry which returned -34.7% over the past year.
Return vs Market: USHAMART underperformed the Indian Market which returned -20.9% over the past year.
Shareholder returns
| USHAMART | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.0% | 6.8% | 3.8% |
| 30 Day | -9.6% | 6.6% | 0.5% |
| 90 Day | -40.7% | -17.7% | -14.8% |
| 1 Year | -54.1%-54.1% | -32.2%-34.7% | -19.3%-20.9% |
| 3 Year | -19.1%-19.1% | -30.4%-37.4% | -9.6%-14.4% |
| 5 Year | -17.5%-17.5% | 5.7%-13.8% | 13.0%2.4% |
Price Volatility Vs. Market
How volatile is Usha Martin's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall St
Does Usha Martin (NSE:USHAMART) Have A Healthy Balance Sheet?3 months ago | Simply Wall St
Are Usha Martin Limited’s (NSE:USHAMART) Returns On Investment Worth Your While?3 months ago | Simply Wall St
Could The Usha Martin Limited (NSE:USHAMART) Ownership Structure Tell Us Something Useful?Valuation
Is Usha Martin undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: USHAMART (₹14.15) is trading below our estimate of fair value (₹161.28)
Significantly Below Fair Value: USHAMART is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: USHAMART is good value based on its PE Ratio (2.3x) compared to the Metals and Mining industry average (7.3x).
PE vs Market: USHAMART is good value based on its PE Ratio (2.3x) compared to the Indian market (10x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate USHAMART's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: USHAMART is good value based on its PB Ratio (0.4x) compared to the IN Metals and Mining industry average (0.6x).
Next Steps
Future Growth
How is Usha Martin forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
20.8%
Forecasted Materials 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 Usha Martin 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 whether Usha Martin is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
- Usha Martin competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Materials industry.
Past Performance
How has Usha Martin performed over the past 5 years?
35.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: USHAMART has high quality earnings.
Growing Profit Margin: USHAMART became profitable in the past.
Past Earnings Growth Analysis
Earnings Trend: USHAMART has become profitable over the past 5 years, growing earnings by 35.4% per year.
Accelerating Growth: USHAMART has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.
Earnings vs Industry: USHAMART has become profitable in the last year, making it difficult to compare its past year earnings growth to the Metals and Mining industry (-6.8%).
Return on Equity
High ROE: USHAMART's Return on Equity (15.7%) is considered low.
Next Steps
Financial Health
How is Usha Martin's financial position?
Financial Position Analysis
Short Term Liabilities: USHAMART's short term assets (₹13.7B) exceed its short term liabilities (₹10.5B).
Long Term Liabilities: USHAMART's short term assets (₹13.7B) exceed its long term liabilities (₹4.0B).
Debt to Equity History and Analysis
Debt Level: USHAMART's debt to equity ratio (45.8%) is considered high.
Reducing Debt: USHAMART's debt to equity ratio has reduced from 197.2% to 45.8% over the past 5 years.
Debt Coverage: USHAMART's debt is well covered by operating cash flow (122%).
Interest Coverage: USHAMART's interest payments on its debt are well covered by EBIT (3.2x coverage).
Balance Sheet
Next Steps
Dividend
What is Usha Martin's current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate USHAMART's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate USHAMART's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if USHAMART's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if USHAMART's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: USHAMART is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of USHAMART's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average management tenure
CEO
Rajeev Jhawar (55yo)
12yrs
Tenure
₹15,756,000
Compensation
Mr. Rajeev Jhawar has been the Managing Director at Usha Martin Limited since May 19, 2008. Mr. Jhawar has been associated with Usha Martin for more than a decade and has rich experience in the administrat ...
CEO Compensation Analysis
Compensation vs Market: Rajeev's total compensation ($USD208.38K) is above average for companies of similar size in the Indian market ($USD50.23K).
Compensation vs Earnings: Rajeev's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Executive Director | 12yrs | ₹15.76m | 2.25% ₹96.3m | |
| Joint MD & Executive Director | 10.17yrs | ₹15.86m | 0.0033% ₹140.4k | |
| Compliance Officer & Company Secretary | 3.75yrs | ₹3.42m | no data | |
| Chief Marketing Officer & VP | no data | no data | no data | |
| President of Human Resources | no data | no data | no data | |
| Senior Vice President of Information Technology | no data | no data | no data | |
| Vice President of Commercial | no data | no data | no data | |
| Vice President of Power Plant | no data | no data | no data | |
| Chief Financial Officer | 1.08yrs | no data | no data | |
| Managing Director of Brunton Wolf Wire Ropes | no data | no data | no data |
3.8yrs
Average Tenure
55yo
Average Age
Experienced Management: USHAMART's management team is considered experienced (3.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD & Executive Director | 12yrs | ₹15.76m | 2.25% ₹96.3m | |
| Joint MD & Executive Director | 10.17yrs | ₹15.86m | 0.0033% ₹140.4k | |
| Independent Additional Director | 0.83yr | no data | no data | |
| Non-Executive Chairman | 0.33yr | ₹450.00k | no data | |
| Founder & Non-Executive Director | 15.58yrs | ₹300.00k | 0.76% ₹32.8m | |
| Additional Independent Director | 1yr | no data | no data | |
| Nominee Director | 4.5yrs | ₹350.00k | no data |
2.8yrs
Average Tenure
68yo
Average Age
Experienced Board: USHAMART's board of directors are not considered experienced ( 2.8 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: USHAMART insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Usha Martin Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Usha Martin Limited
- Ticker: USHAMART
- Exchange: NSEI
- Founded: 1960
- Industry: Steel
- Sector: Materials
- Market Cap: ₹4.282b
- Shares outstanding: 304.74m
- Website: https://www.ushamartin.com
Location
- Usha Martin Limited
- 2A, Shakespeare Sarani
- Mangal Kalash
- Kolkata
- West Bengal
- 700071
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| USHMA | BDL (Bourse de Luxembourg) | GDR REG S | LU | USD | Oct 1994 | |
| 517146 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Jan 2000 |
| USHAMART | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Jan 2000 |
Biography
Usha Martin Limited, together with its subsidiaries, manufactures and sells wires, wire ropes, and strands products in India and internationally. The company offers wire ropes, including oil and offshore, crane, mining, elevator, fishing, and general engineering ropes, as well as ropes for conveyor cords, aerial haulage, and structural systems. It also manufactures a range of industrial machines, including wire drawing machines, stranding machines, wire rope closing machines, steel plant equipment, and material handling equipment; machines for manufacturing bright bars; machines for armoring and rewinding; and copper coating lines for CO2 welding wire manufacture. Further, it provides pre-stressing products and services comprising anchorage, sheathing, multipull and single pulling hydraulic jacks and pumps, and grout pumps and agitators, as well as installation services. The company was founded in 1960 and is based in Kolkata, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/05/30 13:11 |
| End of Day Share Price | 2020/05/29 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.