NSEI:SOLEX

Stock Analysis Report

Executive Summary

Solex Energy Limited manufactures and sells solar panels, lamps, and solar instruments in India.

Snowflake

Fundamentals

Excellent balance sheet and good value.


Similar Companies

Share Price & News

How has Solex Energy's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

15.7%

SOLEX

-3.1%

IN Semiconductor

3.1%

IN Market


1 Year Return

-28.5%

SOLEX

-36.7%

IN Semiconductor

3.7%

IN Market

Return vs Industry: SOLEX exceeded the Indian Semiconductor industry which returned -36.7% over the past year.

Return vs Market: SOLEX underperformed the Indian Market which returned 3.7% over the past year.


Shareholder returns

SOLEXIndustryMarket
7 Day15.7%-3.1%3.1%
30 Day-15.8%-11.8%5.7%
90 Day-4.0%-23.4%1.4%
1 Year-27.0%-28.5%-36.6%-36.7%5.9%3.7%
3 Yearn/a-46.9%-47.0%22.3%16.0%
5 Yearn/a-54.4%-55.1%42.5%28.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Solex Energy undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: SOLEX (₹24.3) is trading below our estimate of fair value (₹148.38)

Significantly Undervalued: SOLEX is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: SOLEX is good value based on its PE Ratio (2.4x) compared to the Semiconductor industry average (19.4x).

PE vs Market: SOLEX is good value based on its PE Ratio (2.4x) compared to the Indian market (13.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: SOLEX is overvalued based on its PB Ratio (0.7x) compared to the IN Semiconductor industry average (0.6x).


Next Steps

Future Growth

How is Solex Energy forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-7.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: SOLEX's earnings are forecast to decline over the next 3 years (-7.5% per year).

Earnings vs Market: SOLEX's earnings are forecast to decline over the next 3 years (-7.5% per year).

High Growth Earnings: SOLEX's earnings are forecast to decline over the next 3 years.

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

High Growth Revenue: Insufficient data to determine if SOLEX'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 SOLEX's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Solex Energy performed over the past 5 years?

64.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: SOLEX's earnings have grown significantly by 64.1% per year over the past 5 years.

Accelerating Growth: SOLEX's earnings growth over the past year (57.4%) is below its 5-year average (64.1% per year).

Earnings vs Industry: SOLEX earnings growth over the past year (57.4%) exceeded the Semiconductor industry -3.1%.


Return on Equity

High ROE: SOLEX's Return on Equity (27.7%) is considered high.


Return on Assets

ROA vs Industry: SOLEX has a higher Return on Assets than the Semiconductor industry average last year.


Return on Capital Employed

ROCE Improving: SOLEX's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Solex Energy's financial position?


Financial Position Analysis

Short Term Liabilities: SOLEX's short term assets (₹698.1M) exceeds its short term liabilities (₹494.2M)

Long Term Liabilities: SOLEX's short term assets (698.1M) exceeds its long term liabilities (36.9M)


Debt to Equity History and Analysis

Debt Level: SOLEX's debt to equity ratio (35.9%) is considered satisfactory

Reducing Debt: Insufficient data to determine if SOLEX's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: SOLEX's debt is well covered by operating cash flow (77.5%).

Interest Coverage: SOLEX's interest payments on its debt are well covered by EBIT (20.3x coverage).


Balance Sheet

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

Debt Coverage by Assets: SOLEX's debt is covered by short term assets (assets are 10.815210x debt).


Next Steps

Dividend

What is Solex Energy's current dividend yield, its reliability and sustainability?

2.06%

Current Dividend Yield


Dividend Yield vs Market

company2.1%marketbottom25%0.6%markettop25%2.5%industryaverage2.7%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: SOLEX's dividend (2.06%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: SOLEX's dividend (2.06%) is low compared to the top 25% of dividend payers in the Indian market (2.48%).

Stable Dividend: Too early to tell whether SOLEX's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if SOLEX's dividend payments are increasing as they only just started paying a dividend.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (5%), SOLEX's dividend payments are thoroughly 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

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

2.0yrs

Average board tenure


CEO

Kalpeshkumar Patel (48yo)

2yrs

Tenure

₹1,200,000

Compensation

Mr. Kalpeshkumar Ramanbhai Patel has been Managing Director of Solex Energy Limited since October 24, 2017 and also serves as its Chairman. 


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Kalpeshkumar's total compensation is reasonable compared to companies of similar size in the Indian market.

Compensation vs Earnings: Kalpeshkumar's compensation has been consistent with company performance over the past year.


Board Age and Tenure

2.0yrs

Average Tenure

49yo

Average Age

Experienced Board: SOLEX's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


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

  • Kalpeshkumar Patel (48yo)

    Chairman & MD

    • Tenure: 2yrs
    • Compensation: ₹1.20m
  • Jankiben Sisodiya

    Company Secretary & Compliance Officer

    • Tenure: 0yrs
    • Compensation: ₹206.48k
  • Brijesh Hariya

    Chief Financial Officer

    • Tenure: 0.6yrs

Board Members

  • Kalpeshkumar Patel (48yo)

    Chairman & MD

    • Tenure: 2yrs
    • Compensation: ₹1.20m
  • Kamlesh Patel (52yo)

    Non-Executive Independent Director

    • Tenure: 2yrs
  • Rajeshbhai Patel (50yo)

    Non Executive Independent Director

    • Tenure: 2yrs
  • Mahendrabhai Machi (42yo)

    Non-Executive Independent Director

    • Tenure: 2yrs
  • Dharaben Patel (32yo)

    Non-Executive Director

    • Tenure: 1.3yrs
  • Vijaykumar Virpara (62yo)

    Independent Director

    • Tenure: 1.3yrs

Company Information

Solex Energy Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Solex Energy Limited
  • Ticker: SOLEX
  • Exchange: NSEI
  • Founded: 2014
  • Industry: Semiconductors
  • Sector: Semiconductors
  • Market Cap: ₹120.042m
  • Shares outstanding: 4.94m
  • Website: https://www.solex.in

Number of Employees


Location

  • Solex Energy Limited
  • Plot No. 131/A
  • Phase 1
  • Anand
  • Gujarat
  • 388121
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SOLEXNSEI (National Stock Exchange of India)YesEquity SharesININRFeb 2018

Biography

Solex Energy Limited manufactures and sells solar panels, lamps, and solar instruments in India. It offers solar products, including solar CFL and LED street lighting systems, solar lanterns, solar photovo ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 12:56
End of Day Share Price2019/10/15 00:00
Earnings2019/03/31
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.