BSE:531201

Stock Analysis Report

Shilchar Technologies

Executive Summary

Shilchar Technologies Limited manufactures and sells transformers and parts in India.

Risk Analysis

Earnings have declined by -5.81% per year over past 5 years

Does not have a meaningful market cap (₹546M)

Unstable dividend track record

Profit margins (2.4%) are lower than last year (7.2%)



Snowflake Analysis

Excellent balance sheet second-rate dividend payer.

Share Price & News

How has Shilchar Technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 531201 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-0.3%

531201

-5.9%

IN Electronic

-1.5%

IN Market


1 Year Return

-55.2%

531201

47.4%

IN Electronic

10.7%

IN Market

Return vs Industry: 531201 underperformed the Indian Electronic industry which returned 49.5% over the past year.

Return vs Market: 531201 underperformed the Indian Market which returned 11.1% over the past year.


Shareholder returns

531201IndustryMarket
7 Day-0.3%-5.9%-1.5%
30 Day-2.4%19.3%-2.7%
90 Day-7.1%23.1%1.3%
1 Year-54.9%-55.2%48.6%47.4%12.7%10.7%
3 Year-61.6%-62.3%108.9%103.5%22.0%15.1%
5 Year-15.5%-18.9%88.3%81.5%34.5%22.0%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

26.71x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 531201 (₹145) is trading above our estimate of fair value (₹19.17)

Significantly Below Fair Value: 531201 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 531201 is poor value based on its PE Ratio (26.7x) compared to the Electronic industry average (14x).

PE vs Market: 531201 is poor value based on its PE Ratio (26.7x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 531201's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 531201 is overvalued based on its PB Ratio (0.9x) compared to the IN Electronic industry average (0.8x).


Next Steps

Future Growth

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

24.2%

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 Shilchar Technologies 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 Shilchar Technologies performed over the past 5 years?

-5.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 531201 has high quality earnings.

Growing Profit Margin: 531201's current net profit margins (2.4%) are lower than last year (7.2%).


Past Earnings Growth Analysis

Earnings Trend: 531201's earnings have declined by -5.8% per year over the past 5 years.

Accelerating Growth: 531201's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 531201 had negative earnings growth (-75%) over the past year, making it difficult to compare to the Electronic industry average (10.6%).


Return on Equity

High ROE: 531201's Return on Equity (3.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Shilchar Technologies's financial position?


Financial Position Analysis

Short Term Liabilities: 531201's short term assets (₹505.1M) exceed its short term liabilities (₹189.0M).

Long Term Liabilities: 531201's short term assets (₹505.1M) exceed its long term liabilities (₹118.8M).


Debt to Equity History and Analysis

Debt Level: 531201's debt to equity ratio (28.5%) is considered satisfactory.

Reducing Debt: 531201's debt to equity ratio has reduced from 34.5% to 28.5% over the past 5 years.

Debt Coverage: 531201's debt is not well covered by operating cash flow (3.1%).

Interest Coverage: 531201's interest payments on its debt are well covered by EBIT (5.8x coverage).


Balance Sheet

Inventory Level: 531201 has a high level of physical assets or inventory.

Debt Coverage by Assets: 531201's debt is covered by short term assets (assets are 2.9x debt).


Next Steps

Dividend

What is Shilchar Technologies's current dividend yield, its reliability and sustainability?

1.38%

Current Dividend Yield


Dividend Yield vs Market

company1.4%marketbottom25%0.6%markettop25%2.6%industryaverage0.5%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 531201's dividend (1.38%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: 531201's dividend (1.38%) is low compared to the top 25% of dividend payers in the Indian market (2.55%).


Stability and Growth of Payments

Stable Dividend: 531201's dividend payments have been volatile in the past 10 years.

Growing Dividend: 531201's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (36.8%), 531201's dividend payments are well 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

How experienced are the management team and are they aligned to shareholders interests?

3.0yrs

Average management tenure


CEO

Alay Shah (53yo)

₹10,302,576

Compensation

Mr. Alay Jitendra Shah has been Chairman of the Board of Shilchar Technologies Limited since August 2019 and serves as it’s Chief Executive Officer and Managing Director. Mr. Shah was the Chief Financial O ...


CEO Compensation Analysis

Compensation vs Market: Alay's total compensation ($USD144.39K) is above average for companies of similar size in the Indian market ($USD50.25K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Alay Shah
CEO, MD & Chairman of the Board0yrs₹10.30m34.62% 188.9m
Prajesh Purohit
CFO and Senior Manager of Finance & Accounts4.9yrs₹971.19kno data
Niki Tiwari
Company Secretary & Compliance Officer2.2yrs₹228.04kno data
Nirav Pandya
General Manager of Operation2.3yrsno datano data
Vishwas Desai
Manager of Human Resources & Administration3.7yrsno datano data
T. Shah
General Manager of Marketing0yrsno datano data
Ashok Bhambhani
Head Business Development0yrsno datano data
Ajay Gupta
Head of Business Development - Northen Region0yrsno datano data
Varsha Pathak
Deputy GM-Operations and Deputy GM- Electronics & Telecom0yrsno datano data
Aashay Shah
Manager of Operations0yrs₹12.32m10.34% 56.4m

3.0yrs

Average Tenure

Experienced Management: 531201's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Alay Shah
CEO, MD & Chairman of the Board0yrs₹10.30m34.62% 188.9m
Mukesh Patel
Independent Director25.1yrs₹105.00kno data
Om Khanna
Non-Executive Director25.1yrs₹20.00kno data
Rajesh Varma
Independent Director0yrsno datano data
Reshma Patel
Independent Director4.9yrs₹105.00kno data
Zarksis Parabia
Independent Director3.9yrs₹75.00kno data

15.0yrs

Average Tenure

57yo

Average Age

Experienced Board: 531201's board of directors are seasoned and experienced ( 15 years average tenure).


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

Shilchar Technologies Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Shilchar Technologies Limited
  • Ticker: 531201
  • Exchange: BSE
  • Founded: 1986
  • Industry: Electronic Components
  • Sector: Tech
  • Market Cap: ₹545.507m
  • Shares outstanding: 3.81m
  • Website: https://www.shilchar.com

Number of Employees


Location

  • Shilchar Technologies Limited
  • Bil Road
  • Bil
  • Vadodara
  • Gujarat
  • 391410
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
531201BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 2002

Biography

Shilchar Technologies Limited manufactures and sells transformers and parts in India. It provides power and distribution transformers; linear transformers, including R core transformers, EI transformers, toroidal transformers, and energy meter CT’s; telecom and data transformers; and standard line transformers. The company also provides solar and windmill transformers for the renewable energy sector. It serves government utilities, private utilities, EPC contractors, and power plant developers and contractors; and pharmaceutical and chemical, oil and gas, engineering, cement, healthcare, food and beverage, glass and automotive, textile and ceramic, and hospitality industries, as well as renewable energy plant manufacturers, contractors, and developers. The company also exports its products. The company was formerly known as Shilchar Electronics Limited. Shilchar Technologies Limited was incorporated in 1986 and is based in Vadodara, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/18 12:43
End of Day Share Price2020/02/18 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.