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5041

NelcoBSE:504112 Stock Report

Market Cap

₹21.9b

7D

17.9%

1Y

429.1%

Updated

19 Oct, 2021

Data

Company Financials
504112 fundamental analysis
Snowflake Score
Valuation0/6
Future Growth0/6
Past Performance4/6
Financial Health4/6
Dividends0/6

504112 Overview

Nelco Limited provides systems and solutions in the areas of very small aperture terminals (VSAT) connectivity, and integrated security and surveillance in India.

Nelco Competitors

Bharat Electronics

BSE:500049

₹504.0b

Vaisala Oyj

HLSE:VAIAS

€1.6b

Price History & Performance

Summary of all time highs, changes and price drops for Nelco
Historical stock prices
Current Share Price₹959.20
52 Week High₹177.45
52 Week Low₹968.55
Beta0.44
1 Month Change88.34%
3 Month Change156.78%
1 Year Change429.07%
3 Year Change338.69%
5 Year Change941.48%
Change since IPO9,891.67%

Recent News & Updates

Shareholder Returns

504112IN CommunicationsIN Market
7D17.9%1.0%1.2%
1Y429.1%63.3%65.9%

Return vs Industry: 504112 exceeded the Indian Communications industry which returned 66.5% over the past year.

Return vs Market: 504112 exceeded the Indian Market which returned 68.3% over the past year.

Price Volatility

Is 504112's price volatile compared to industry and market?
504112 volatility
504112 Beta0.44
Industry Beta1.14
Market Beta1

Stable Share Price: 504112 is more volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: 504112's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of Indian stocks.

About the Company

FoundedEmployeesCEOWebsite
1940166Pradip Nathhttps://www.nelco.in

Nelco Limited provides systems and solutions in the areas of very small aperture terminals (VSAT) connectivity, and integrated security and surveillance in India. It offers VSAT satellite communication services for renewable energy, enterprise, maritime, oil, energy, and gas sectors, as well as to bank ATM and branches. The company is also involved in the design, supply, installation, and maintenance of integrated security and surveillance solutions for application in industrial plants, power stations, broadcasting stations, telecommunications stations, airports, railways, seaports, and borders.

Nelco Fundamentals Summary

How do Nelco's earnings and revenue compare to its market cap?
504112 fundamental statistics
Market Cap₹21.89b
Earnings (TTM)₹149.00m
Revenue (TTM)₹2.32b

146.9x

P/E Ratio

9.4x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
504112 income statement (TTM)
Revenue₹2.32b
Cost of Revenue₹1.25b
Gross Profit₹1.06b
Expenses₹915.50m
Earnings₹149.00m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 19, 2021

Earnings per share (EPS)6.53
Gross Margin45.94%
Net Profit Margin6.43%
Debt/Equity Ratio118.3%

How did 504112 perform over the long term?

See historical performance and comparison

Dividends

0.1%

Current Dividend Yield

18%

Payout Ratio

Valuation

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

146.89x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 504112 (₹959.2) is trading above our estimate of fair value (₹148.88)

Significantly Below Fair Value: 504112 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 504112 is poor value based on its PE Ratio (146.9x) compared to the Indian Communications industry average (29.8x).

PE vs Market: 504112 is poor value based on its PE Ratio (146.9x) compared to the Indian market (22.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 504112's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 504112 is overvalued based on its PB Ratio (28.9x) compared to the IN Communications industry average (2.5x).


Future Growth

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

28.2%

Forecasted Tech 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 Nelco 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.


Past Performance

How has Nelco performed over the past 5 years?

14.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 504112 has high quality earnings.

Growing Profit Margin: 504112's current net profit margins (6.4%) are higher than last year (5.8%).


Past Earnings Growth Analysis

Earnings Trend: 504112's earnings have grown by 14.4% per year over the past 5 years.

Accelerating Growth: 504112's earnings growth over the past year (16%) exceeds its 5-year average (14.4% per year).

Earnings vs Industry: 504112 earnings growth over the past year (16%) underperformed the Communications industry 40.6%.


Return on Equity

High ROE: 504112's Return on Equity (19.7%) is considered low.


Financial Health

How is Nelco's financial position?


Financial Position Analysis

Short Term Liabilities: 504112's short term assets (₹993.5M) do not cover its short term liabilities (₹1.3B).

Long Term Liabilities: 504112's short term assets (₹993.5M) exceed its long term liabilities (₹386.0M).


Debt to Equity History and Analysis

Debt Level: 504112's debt to equity ratio (118.3%) is considered high.

Reducing Debt: 504112's debt to equity ratio has reduced from 872.5% to 118.3% over the past 5 years.

Debt Coverage: 504112's debt is well covered by operating cash flow (60.2%).

Interest Coverage: 504112's interest payments on its debt are well covered by EBIT (3.9x coverage).


Balance Sheet


Dividend

What is Nelco current dividend yield, its reliability and sustainability?

0.13%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 504112's dividend (0.13%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.33%).

High Dividend: 504112's dividend (0.13%) is low compared to the top 25% of dividend payers in the Indian market (1.36%).


Stability and Growth of Payments

Stable Dividend: 504112 is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: 504112 is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 504112 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 504112'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?

1.9yrs

Average board tenure


CEO

Pradip Nath (59 yo)

10.67yrs

Tenure

₹29,591,234

Compensation

Mr. Pradip J. Nath has been Chief Executive Officer and Managing Director of Nelco Limited since February 21, 2011 and June 1, 2017 respectively. Mr. Nath has professional experience in the Enterprise mark...


CEO Compensation Analysis

Compensation vs Market: Pradip's total compensation ($USD392.81K) is above average for companies of similar size in the Indian market ($USD189.99K).

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


Board Members

Experienced Board: 504112's board of directors are not considered experienced ( 1.9 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.


Ownership Breakdown

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


Top Shareholders

Company Information

Nelco Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Nelco Limited
  • Ticker: 504112
  • Exchange: BSE
  • Founded: 1940
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: ₹21.887b
  • Shares outstanding: 22.82m
  • Website: https://www.nelco.in

Number of Employees


Location

  • Nelco Limited
  • Plot No. EL-6, TTC Industrial Area
  • MIDC, Electronic Zone
  • Navi Mumbai
  • Maharashtra
  • 400710
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/19 15:33
End of Day Share Price2021/10/19 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.