Check Before You Invest : Solitaire Machine Tools Ltd

Snapshot

Q.1 Which industry/sub-sector does Solitaire Machine Tools Ltd belong to?

Solitaire Machine Tools Ltd belongs to the Capital Goods & Industrial Consumables sector, operating specifically within the Engineering - Industrial Equipments segment.

Q.2 Is Solitaire Machine Tools Ltd a good quality company?

Solitaire Machine Tools Ltd is a quality company, based on a 10-year financial track record.

Q.3 Is Solitaire Machine Tools Ltd undervalued or overvalued?

Solitaire Machine Tools Ltd appears Overvalued, as its key valuation ratios are above with their past averages.

Q.4 Is Solitaire Machine Tools Ltd a good buy now?

Solitaire Machine Tools Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd revenue growth is 7.9% for FY-2025, which is below its 5-year CAGR of 12.91%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Return on capital employed is 14.04% for FY-2025, which is above its 5-year historical median of 13.32%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.3 Return on Asset of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Return on Asset is 8.16%, which is above its 5-year historical median of 7.24%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Return on equity is 12.46% for FY-2025, which is above its 5-year historical median of 9.69%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Cash conversion cycle is 131 days, below its 5-year historical median of 151 days, indicating improved working capital management. However, you need to compare this with its peers in the industry.

	Current Level	5-year Historic Median
Asset Turnover	0.78	0.84
ROE	12.46	9.69
ROCE	14.04	13.32
Cash Conversion Cycle	131 days	151 days

Q.6 Gross Profit margin of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Gross profit margin which is the profit after deduction of direct costs, is 16.6% for FY-2025, which is above its 5-year median of 14.3%, indicating increasing margins.

Q.7 Operating Profit Margin of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 13.9% for FY-2025, which is above its 5-year median of 12.95% indicating increasing margins.

Q.8 Net Profit Margin of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Net Profit Margin is 10.42% for FY-2025, is above with its 5-year median of 8.54%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	16.6	14.3
Operating Profit Margin	13.9	12.95
Net Profit Margin	10.42	8.54

Q.9 Debt to Equity ratio of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Debt-to-Equity ratio is 0.28, which is lower with the industry average of 0.34, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of Solitaire Machine Tools Ltd?

Solitaire Machine Tools Ltd Debt to cash flow from operations is 2.5, which is at a moderate level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Solitaire Machine Tools Ltd?

Promoters hold 45.29% of the Solitaire Machine Tools Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Solitaire Machine Tools Ltd vs industry peers?

Solitaire Machine Tools Ltd revenue CAGR is 12.91%, compared to the industry median CAGR of 12.01%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	7.9	12
Gross Profit Growth	23.8	NAN
Operating Profit Growth	16	NAN
Net Profit Growth	30.6	26.9

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.78	0.91
ROE	12.46	12.81
ROCE	14.04	15.04
Cash Conversion Cycle (days)	130.62	107

Valuation & price assessment

Q.1 Stock return of Solitaire Machine Tools Ltd over the last decade?

Over the last 9 year(s), the stock has delivered a CAGR of 15.7% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	15.7%	32%	33.1%	-29.7%

Q.3 Valuation ratios of Solitaire Machine Tools Ltd vs historical?

The current P/E is higher that its historical median.

Q.4 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	31.71	20.06	29.52
Price to Book	2.26	1.75	2.90
Price to Sales	2.47	1.73	2.94
EV to EBITDA	19.4	10.75	15.76

Check more companies

1. Kirloskar Oil Eng

2. Triveni Turbine

3. Jyoti CNC Automation

4. Azad Engineering

5. Inox India

6. Aequs

7. Elecon Engg.

8. Tega Industries

9. Lloyds Engr Works

10. KRN Heat Exch Refrig

Check trending companies

1. Waaree Energies Ltd.

2. AWL Agri Business Ltd.

3. Anand Rathi Wealth Ltd.

4. Cohance Lifesciences Ltd.

5. Indraprastha Gas Ltd.