NSEI:EROSMEDIA

Stock Analysis Report

Eros International Media

Executive Summary

Eros International Media Limited, together with its subsidiaries, engages in the production, exploitation, and distribution of films in India, UAE and internationally.


Snowflake Analysis

Good value with adequate balance sheet.

Share Price & News

How has Eros International Media's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

1.9%

EROSMEDIA

0.6%

IN Entertainment

-0.07%

IN Market


1 Year Return

-82.9%

EROSMEDIA

13.3%

IN Entertainment

9.5%

IN Market

Return vs Industry: EROSMEDIA underperformed the Indian Entertainment industry which returned 13.3% over the past year.

Return vs Market: EROSMEDIA underperformed the Indian Market which returned 9.5% over the past year.


Shareholder returns

EROSMEDIAIndustryMarket
7 Day1.9%0.6%-0.07%
30 Day-8.7%5.5%-1.3%
90 Day-8.7%14.0%1.9%
1 Year-82.9%-82.9%14.0%13.3%11.5%9.5%
3 Year-93.4%-93.4%2.6%1.2%23.6%16.7%
5 Year-96.6%-96.6%34.4%33.7%35.5%22.9%

Price Volatility Vs. Market

How volatile is Eros International Media's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Eros International Media undervalued compared to its fair value and its price relative to the market?

1.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EROSMEDIA (₹13.45) is trading below our estimate of fair value (₹13.81)

Significantly Below Fair Value: EROSMEDIA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: EROSMEDIA is good value based on its PE Ratio (1x) compared to the Entertainment industry average (16.5x).

PE vs Market: EROSMEDIA is good value based on its PE Ratio (1x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: EROSMEDIA is good value based on its PB Ratio (0x) compared to the IN Entertainment industry average (0.6x).


Next Steps

Future Growth

How is Eros International Media forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.0%

Forecasted Media 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 Eros International Media 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 Eros International Media performed over the past 5 years?

-4.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EROSMEDIA has high quality earnings.

Growing Profit Margin: EROSMEDIA's current net profit margins (14%) are lower than last year (24.9%).


Past Earnings Growth Analysis

Earnings Trend: EROSMEDIA's earnings have declined by -4.2% per year over the past 5 years.

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

Earnings vs Industry: EROSMEDIA had negative earnings growth (-51.7%) over the past year, making it difficult to compare to the Entertainment industry average (5.9%).


Return on Equity

High ROE: EROSMEDIA's Return on Equity (4.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Eros International Media's financial position?


Financial Position Analysis

Short Term Liabilities: EROSMEDIA's short term assets (₹10.2B) do not cover its short term liabilities (₹13.4B).

Long Term Liabilities: EROSMEDIA's short term assets (₹10.2B) exceed its long term liabilities (₹2.6B).


Debt to Equity History and Analysis

Debt Level: EROSMEDIA's debt to equity ratio (20.1%) is considered satisfactory.

Reducing Debt: EROSMEDIA's debt to equity ratio has reduced from 32.9% to 20.1% over the past 5 years.

Debt Coverage: EROSMEDIA's debt is well covered by operating cash flow (75.7%).

Interest Coverage: EROSMEDIA's interest payments on its debt are not well covered by EBIT (2.3x coverage).


Balance Sheet

Inventory Level: EROSMEDIA has a low level of unsold assets or inventory.

Debt Coverage by Assets: EROSMEDIA's debt is covered by short term assets (assets are 1.9x debt).


Next Steps

  • Explore more healthy companies in the Media industry.

Dividend

What is Eros International Media's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

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


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: EROSMEDIA is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of EROSMEDIA'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?

2.4yrs

Average board tenure


CEO

Pradeep Dwivedi (49yo)

Mr. Pradeep Kumar Dwivedi has been Chief Executive Officer of Eros International Media Limited since February 10, 2020. He served as Chief Executive Officer of Sakal Media Group. Mr. Dwivedi served as Chie ...


Board Members

NamePositionTenureCompensationOwnership
Sunil Lulla
Executive Vice Chairman & MD10.4yrs₹48.01m0.0044% 56.5k
Kishore Lulla
Executive Director0yrs₹14.07mno data
Dhirendra Swarup
Independent Non-Executive Chairman2.5yrs₹10.53mno data
Sunil Srivastav
Non-Executive Independent Director1.8yrs₹2.45mno data
Bindu Saxena
Additional Independent Director0.4yrsno datano data
Rakesh Sood
Non-Executive Independent Director4.8yrs₹5.98mno data
Subramaniam Lakshminarayanan
Non Executive Independent Director2.3yrs₹3.94mno data

2.4yrs

Average Tenure

61yo

Average Age

Experienced Board: EROSMEDIA's board of directors are not considered experienced ( 2.4 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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Eros International Media Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Eros International Media Limited
  • Ticker: EROSMEDIA
  • Exchange: NSEI
  • Founded: 1977
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: ₹1.286b
  • Shares outstanding: 95.62m
  • Website: https://www.erosplc.com/?page_id=897

Location

  • Eros International Media Limited
  • 901/902, Supreme Chambers
  • Off. Veera Desai Road
  • Mumbai
  • Maharashtra
  • 400053
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EROSMEDIANSEI (National Stock Exchange of India)YesEquity SharesININROct 2010
533261BSE (Mumbai Stock Exchange)YesEquity SharesININROct 2010

Biography

Eros International Media Limited, together with its subsidiaries, engages in the production, exploitation, and distribution of films in India, UAE and internationally. The company operates on a vertically integrated studio model controlling content, as well as provides distribution and exploitation across various formats, including cinema, digital, home entertainment, and television syndication. It sources Indian film content through acquisition, co-production, or production; exploits and distributes films through music release, theatrical distribution, DVD and VCD release, television licensing, and cable or DTH licensing; and trades in and exports international rights. The company was founded in 1977 and is based in Mumbai, India. Eros International Media Limited is a subsidiary of Eros International Plc. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 13:04
End of Day Share Price2020/02/24 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.