Escorts Ltd.

SECTOR: Automobiles-Tractors

976.55
₹ 4 (0.41%)
Today's High: 988.6 Today's Low : 962.55
52 Week High: 1003.30 52 Week Low : 423.30
 FinStar
FinStar Indicates the overall health and quality of a stock based on Finology Research.
Ownership Stable
Ownership strength is slightly missing the benchmark.
ValuationExpensive
The stock is at a premium valuation at this point.
EfficiencyOptimal
The company could improve upon its asset employment.
FinancialsVery Stable
The company possesses stable growth history and manageable debt.

 Company Essentials

Market Cap

11970.24502109 Cr.

P/E

24.65

P/B

3.44

Face Value

₹10

Div. Yield

0.28%

Book Value (TTM)

283.9097

Enterprise Value

12017.06502109 Cr.

CASH

230.07 Cr.

DEBT

276.89 Cr.

Promoter Holding

40.25%

EPS (TTM)

39.6111

Sales Growth

23.96 %

ROE

17.42 %

ROCE

25.15 %

Profit Growth

40.67 %

No. of Shares

12.2576878 Cr.

Add your own Ratio
* Total debt includes long term borrowing, short term borrowing plus current maturities of long-term borrowing
* Ratios are based on latest Audited Financial Result.

 Price Chart 1w1m3m6m1Yr3Yr5Yr

* Prices are based on daily market changes.

 Valuation Chart 1w1m3m6m1Yr3Yr5Yr

* The chart is based on the standalone earnings of the company.

 Peer Comparison

View Full Peer Comparison
* The Peers list includes companies operating in the same industry and having comparable market cap.

 Sales Growth

1 Year23.96%
3 Year21.35%
5 Year-0.3%

 Profit Growth

1 Year40.58%
3 Year79.4%
5 Year14.63%

 ROE

1 Year17.42%
3 Year13.66%
5 Year9.97%

 ROCE

1 Year25.15%
3 Year19.5%
5 Year14.05%

 Debt Equity

0.09

 Price to Cash Flow

-49.74

  Interest Cover Ratio

40.13

 CFO/PAT (5 Yr Avg.)

1.08423047923203

 Share Holding Pattern

 Promoter Pledging %

Date Promoter % Pledge %
Mar 2020 40.25 0
Dec 2019 40.25 0
Sep 2019 40.25 0
Jun 2019 40.25 0
Mar 2019 40.08 0
* Figures given above are % of equity capital

 Strengths

  • The company has shown a good profit growth of 79.3993303120745% for the Past 3 years.
  • The company has shown a good revenue growth of 21.3495783888617% for the Past 3 years.
  • Company is virtually debt free.
  • Company has a healthy Interest coverage ratio of 40.13.
  • Company’s PEG ratio is 0.606182520298624.
  • The company has an efficient Cash Conversion Cycle of 16.13 days.
  • The company has a strong degree of Operating leverage, Average Operating leverage stands at 3.80200209437631.

 Limitations

  • Company has negative cash flow from operations of -2406.8.

 Quarterly Result (All Figures are in Crores.)

Particulars Mar 2019 Jun 2019 Sep 2019 Dec 2019 Mar 2020
Net Sales 1631.66 1422.97 1323.88 1633.44 1380.68
Other Income 17.34 16.7 21.05 26.73 27.77
Total Expenditure 1441.89 1280.56 1197.15 1421.18 1186.24
Operating Profit 207.11 159.11 147.76 238.99 222.21
Interest 7.47 5.86 3.85 2.91 2.84
Depreciation 21.81 24.11 26 26.67 27.77
Exceptional Items 0 0 -9.22 0 0
Profit Before Tax 177.83 129.14 108.69 209.41 191.6
Tax 56.48 41.65 4.09 56.36 51.2
Profit After Tax 121.35 87.49 104.6 153.05 140.4

 Profit & Loss (All Figures are in Crores except Adjusted EPS in Rs.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Net Sales 3986 3469 4147 5001 6199
Other Income 65 117 74 65 100
Total Expenditure 3829 3379 3871 4449 5483
Operating Profit 222 207 351 617 816
Interest 57 50 31 29 18
Depreciation 66 58 63 72 85
Exceptional Items -31 -12 -38 -7 11
Profit Before Tax 68 87 218 509 723
Tax -6 4 58 164 238
Net Profit 75 84 160 345 485
Adjusted EPS 6 7 13 28 40

 Balance Sheet (All Figures are in Crores.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Equity and Liabilities
Share Capital 119.29 122.58 122.58 122.58 122.58
Total Reserves 1677.01 1715.1 1868.58 2425.53 2900.28
Borrowings 105.81 87.46 56.25 13.68 0.15
Other N/C liabilities 100.27 14.68 2.15 58.52 105.45
Current liabilities 1336.9 1287.58 1416.55 1649.18 1868.48
Total Liabilities 3339.28 3227.4 3466.11 4269.49 4996.94
Assets
Net Block 1582.96 1535.42 1554.38 1557.82 1607.38
Capital WIP 19.4 21.36 26.56 46.79 53.07
Investments 380.03 434.78 442.04 432.67 488.61
Loans & Advances 19.8 31.27 17.41 100.18 111.39
Other N/C Assets 38.99 36.87 8.26 17.54 28.62
Current Assets 1298.1 1167.7 1417.46 2114.49 2707.87
Total Assets 3339.28 3227.4 3466.11 4269.49 4996.94
* Other Non-current Liabilities include Net deferred Liabilities

 Cash Flows (All Figures are in Crores.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Profit Before Tax 68.25 87.26 218.29 508.82 723.09
Adjustment 68.78 91.17 87.07 68.91 3.98
Working Capital Changes -115.73 35.71 39.81 -3.57 -751.21
Tax Paid -19.08 7.55 -44.38 -101.96 -216.54
Operating Cash Flow 2.22 221.69 300.79 472.2 -240.68
Investing Cash Flow 18.65 -26.34 -139.67 -378.38 -13.63
Financing Cash Flow -10.8 -194.89 -137.87 0.44 191.69
Net Cash Flow 10.07 0.46 23.25 94.26 -62.62

 Corporate Actions

 Annual Reports

 Ratings & Research Reports

 Company Presentations

 Escorts Stock Price Analysis and Quick Research Report

Is Escorts an attractive stock to invest in?

 

The Indian Auto Industry comes in the top 5 largest auto industries of the world. India is also a prominent auto exporter and has strong export growth expectations for the near future. The support from the government is providing the auto companies with a boost needed in their development. But will it sustain?
We can look into more details and dig a little deeper into the analysis of the stock of this sector. Let’s look at how Escorts is performing and if it is the right time to buy the stock of Escorts with detailed analysis.

  • The mainstream of revenue for Auto Sector is their sales, Escorts has reported outstanding sales growth of 23.96 % and in the latest quarter sales was Rs 138.068 Cr. To judge whether the company’s inventory is being sold or not and the sales picture is true, inventory turnover ratio plays a major role, which is 9.09644238035496 times for Escorts . It is managing its inventory poorly
     
  • The company reported Profit growth of 40.67 % over the year, where the latest year profit is Rs 484.91 Cr compared to the previous year of Rs 3.4472 Cr. The new permits by governments and increasing demand will lead to an increase in profits in the coming year.
     
  • The operating profit of the company in the latest quarter is Rs 22.221 Cr. It helps in measuring the company’s operating performance which is used to make financing decisions.
     
  • Escorts has a average ROE of 17.4210607622859 %. The ROE is an important financial parameter because Auto companies work with high equity investments. Also, they have to take huge debt to incur the research and manufacturing work so their Debt to Equity ratio should be evaluated. Escorts has a low Debt to Equity ratio of 0.0917209647446196.
     
  • Escorts pays a dividend of 2.5 Rs per share. It tells us that a company dislikes to share profits with its shareholders. The dividend yield is low at 0.2836 %.
     
  • The share of promoter in the company is low at 40.25 %, where the pledging is 0 %.
     
  • What the market is willing to pay for the company for its earnings can be determined by PE multiple. Current PE of Escorts is 20.1435055989771 compared to the 5 year average PE of 26.21 .
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