Eicher Motors Ltd - Stock Valuation and Financial Performance

BSE: 505200 | NSE: EICHERMOT | Automobile Two & Three Wheelers | Large Cap

Eicher Motors Share Price

4,304.90 -14.05 -0.33%
as on 12-Apr'24 16:59

DeciZen - make an informed investing decision on Eicher Motors

Overall Rating
Bole Toh

1. Quality

2. Valuation

Fair

3. Price Trend

Eicher Motors stock performance -

mw4me loader
P/E Ratio (CD):
30.73
Market Cap:
1,17,870.6 Cr.
52-wk low:
3,134.6
52-wk high:
4,381

Is Eicher Motors Ltd an attractive stock to invest in?

1. Is Eicher Motors Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Eicher Motors Ltd is a good quality company.

2. Is Eicher Motors Ltd undervalued or overvalued?

The key valuation ratios of Eicher Motors Ltd's currently when compared to its past seem to suggest it is in the Fair zone.

3. Is Eicher Motors Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Strong which suggest that the price of Eicher Motors Ltd is likely to Rise in the short term. However, please check the rating on Quality and Valuation before investing

10 Year X-Ray of Eicher Motors:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Eicher Motors Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Value Creation Index Colour Code Guide

Dec'13Dec'14Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 12.9%16.9%36.6%37.8%34.6%27.4%19.3%12.6%13.7%20.7%-
Value Creation
Index
NA0.52.32.42.11.40.70.10.20.8-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 6,8108,7384,9397,0338,9659,7979,1548,72010,29814,44215,792
Sales YoY Gr.-28.3%-43.5%42.4%27.5%9.3%-6.6%-4.7%18.1%40.2%-
Adj EPS 13.921.139.563.38081.667.549.560.5104.9140.1
YoY Gr.-52.4%87.1%60.3%26.4%2%-17.3%-26.6%22.1%73.4%-
BVPS (₹) 7692.8106.9194.8255.7324.8363415.6459.7546614.1
Adj Net
Profit
3745721,0721,7222,1802,2261,8421,3541,6532,8673,836
Cash Flow from Ops. 7161,0471,1701,7082,4821,5751,6941,6911,5272,847-
Debt/CF from Ops. 0.10.100.10.10.10.10.100.1-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 8.7%10%16.4%40.2%
Adj EPS 25.2%5.6%15.8%73.4%
BVPS24.5%16.4%14.6%18.8%
Share Price 21.6% 15% 20% 34.1%

Key Financial Parameters

Performance Ratio Colour Code Guide

Dec'13Dec'14Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
19.72543.438.335.227.919.512.613.820.824.2
Op. Profit
Mgn %
10.512.827.431.131.329.72420.521.223.926.2
Net Profit
Mgn %
7.47.521.724.524.322.720.115.516.119.924.3
Debt to
Equity
0000000000-
Working Cap
Days
8077985233394465857147
Cash Conv.
Cycle
-2-6-31-31-35-35-29-27-28-206

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 24.20%

Sales growth is growing at healthy rate in last 3 years 16.42%

Net Profit is growing at healthy rate in last 3 years 15.84%

Sales growth is good in last 4 quarters at 16.38%

No data to display

Latest Financials - Eicher Motors Ltd.

Standalone Consolidated
TTM EPS (₹) 128.3 140.1
TTM Sales (₹ Cr.) 15,476 15,792
BVPS (₹.) 535.6 614.1
Reserves (₹ Cr.) 14,637 16,786
P/BV 8.04 7.01
PE 33.55 30.73
From the Market
52 Week Low / High (₹) 3134.55 / 4381.00
All Time Low / High (₹) 0.90 / 4332.40
Market Cap (₹ Cr.) 1,17,871
Equity (₹ Cr.) 27.4
Face Value (₹) 1
Industry PE 34.3

Management X-Ray of Eicher Motors:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

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Analyst's Notes

Key Ratios of Eicher Motors

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSDec'13Dec'14Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales6,8108,7386,1737,0338,9659,7979,1548,72010,29814,442
Operating Expenses 6,0977,6244,4844,8596,1576,8946,9736,9398,12610,999
Manufacturing Costs216278211224282344331313400485
Material Costs4,6405,7703,4483,7074,6355,0574,9965,1125,9568,212
Employee Cost 5336603504265747027968438211,002
Other Costs 7079164745026667908516719491,300
Operating Profit 7131,1151,6902,1742,8082,9032,1801,7812,1723,444
Operating Profit Margin (%) 10.5%12.8%27.4%30.9%31.3%29.6%23.8%20.4%21.1%23.8%
Other Income 95107178227280443543453441595
Interest 810245719161928
Depreciation 130220137154223300382451452526
Exceptional Items 0000000000
Profit Before Tax 6719931,8772,4333,1163,2972,3551,7982,2033,800
Tax 1452915397209361,077527452526886
Profit After Tax 5257021,3381,7132,1802,2201,8271,3471,6772,914
PAT Margin (%) 7.7%8.0%21.7%24.4%24.3%22.7%20.0%15.4%16.3%20.2%
Adjusted EPS (₹)14.622.749.361.371.980.866.949.361.3106.5
Dividend Payout Ratio (%)21%22%20%16%15%15%19%35%34%35%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSDec'13Dec'14Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 2,0552,5163,6285,3006,9708,8609,91111,35812,56714,932
Share Capital 27272727272727272727
Reserves 2,0282,4893,6015,2736,9438,8339,88411,33112,54014,905
Minority Interest1040108500000000
Debt84582311215118714415759196
Long Term Debt00000000063
Short Term Debt84582311215118714415759133
Trade Payables1,1911,5137237651,1721,2341,0081,5131,7881,810
Others Liabilities 9661,2311,4598321,2291,1061,3871,5301,7262,260
Total Liabilities 5,3376,4035,8337,0099,52211,38712,45014,55916,14019,198

Fixed Assets

Gross Block2,2993,1371,0611,2852,1342,7573,5754,0494,4055,142
Accumulated Depreciation6438282714166368861,2011,6161,9812,452
Net Fixed Assets1,6562,3097908691,4981,8712,3742,4332,4242,690
CWIP 45840094373333450312314505472
Investments 8251,0783,3844,9875,5814,9235,7493,9027,72112,321
Inventories5276463083363956335728751,1321,278
Trade Receivables5135623350688487158302369
Cash Equivalents 68335349251,2122,9652,9515,8302,722857
Others Assets6751,0551,1753694364614051,0461,3331,210
Total Assets 5,3376,4035,8337,0099,52211,38712,45014,55916,14019,198

Cash Flow

(All Figures are in Crores.)
PARTICULARSDec'13Dec'14Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity 7161,0471,4631,7082,4821,5751,6941,6911,5272,847
PBT 6719931,8772,3872,8963,2802,3551,7672,1423,484
Adjustment 47134-158-191-44-339-1181452968
Changes in Working Capital 149202263163438-45786235-13166
Tax Paid -150-281-519-652-807-908-628-457-514-770
Cash Flow From Investing Activity -790-1,214-1,001-1,744-2,145-660-1,508-1,625-983-2,422
Capex -705-968-509-547-746-790-544-515-639-674
Net Investments -188-242-665-1,202-1,466-25-1,236-844-553-2,081
Others 104-5173667156272-267208333
Cash Flow From Financing Activity -47-162-46625-262-292-858-15-593-417
Net Proceeds from Shares 285619362938611
Net Proceeds from Borrowing -100000000131
Interest Paid -8-10-2-2-3-5-17-16-19-18
Dividend Paid -88-115-4070-272-300-6820-465-574
Others 47-45-6121-6-24-188-37-11632
Net Cash Flow -121-329-4-1075623-67351-508
PARTICULARSDec'13Dec'14Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)27.5830.743.5638.3835.5328.0519.4712.6714.0221.19
ROCE (%)34.6442.5360.1353.3749.3940.5824.6916.7118.3127.48
Asset Turnover Ratio1.521.591.141.241.120.940.770.650.670.82
PAT to CFO Conversion(x)1.361.491.0911.140.710.931.260.910.98
Working Capital Days
Receivable Days2421162233588
Inventory Days25232515141924303530
Payable Days656692626879778910180

Eicher Motors Ltd Stock News

Eicher Motors Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Eicher Motors on 12-Apr-2024 16:59 is ₹4,304.9.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 12-Apr-2024 16:59 the market cap of Eicher Motors stood at ₹1,17,870.6.
The latest P/E ratio of Eicher Motors as of 12-Apr-2024 16:59 is 33.55.
The latest P/B ratio of Eicher Motors as of 12-Apr-2024 16:59 is 8.04.
The 52-week high of Eicher Motors is ₹4,381 and the 52-week low is ₹3,134.6.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Eicher Motors is ₹15,476 ( Cr.) .

About Eicher Motors Ltd

Eicher Motors Limited is the flagship company of the Eicher Group in India and a leading player of the Indian automobile industry. The Company is the listed parent of Royal Enfield, the global leader in middleweight motorcycles. The world’s oldest motorcycle brand in continuous production, Royal Enfield has made its distinctive motorcycles since 1901. Focussed on bringing back simple, yet engaging and accessible motorcycling, Royal Enfield operates in India, and over 60 countries around the world with modern development facilities in Leicestershire, UK and Chennai, India. Royal Enfield makes its motorcycles in Chennai, Tamil Nadu for the world. Royal Enfield has evolved into an experiential brand. Royal Enfield with its motorcycle that combines modern-day elements with the brand’s heritage, garners immense enthusiasm amongst global motorcyclists. In addition to motorcycles, Eicher has a joint venture with Sweden’s AB Volvo - Volvo Eicher Commercial Vehicles Limited (VECV) - has pioneered modernisation of commercial vehicles in India and other developing countries.

Business area of the company

The Company is engaged in the manufacturing and selling of motorcycles, spare parts and related services.

Products

  • Motorcycles 
  • Commercial Vehicles (CV) 
  • Engineering Components

Awards

2015-16

  • Emerging Company of the Year award - ET Awards 2015 
  • Best Company of the Year award - Business Standard Annual Awards, 2015

2016-17

  • The Himalayan won the Motorcycle of the Year Award up to 500 cc at the NDTV Car and Bike Awards 2017.

2017-18

  • VECV was honoured with ‘Excellence in HR’ at the Manufacturing Today Awards 2017
  • VECV won ET Now HR Leadership Awards 2018 in the Best Talent Management Strategy

2018-19

  • VECV won ‘Best Risk Management Framework and System Automotive and Auto Ancillary’ award by ICICI Lombard and CNBC TV-18
  • Interceptor 650 won the prestigious ‘Best Modern Classic Middle-Weight’ a prestigious category award at the Thailand Bike of the Year 2019 awards.

2019-20

  • Team Eicher won the Gold Medal in the General Management Category at AIMA Corporate Management Olympiad.
  • VECV won the Best Experiential and Brand Experiences award for ‘Samvaad’, an initiative by Eicher Buses, at BTVI National Awards for Marketing Excellence.

Milestones

  • 1948: Goodearth Company set up to sell and service imported tractors
  • 1952-57: Goodearth Company imported and sold about 1500 tractors in India
  • 1958: Eicher Tractor Corporation of India Limited incorporated
  • 1959: First indigenous Eicher tractor built. Eicher came out with India’s first indigenously built tractor from its Faridabad factory.
  • 1960: Eicher changed name from Eicher Tractor Corporation of India Private Limited to Eicher Tractors India Limited
  • 1965-75: 100% indigenization achieved in Eicher Tractors
  • 1980: Eicher Goodearth Limited name given to Eicher.
  • 1982: Collaboration agreement with Mitsubishi for the manufacture of Light Commercial Vehicles signed in Tokyo. 
  • 1982: Incorporation of Eicher Motors Limited
  • 1985: Silver Jubilee Year for Eicher
  • 1986: Eicher Motors Limited springs into operation
  • 1987: Eicher Tractors went public
  • 1990: Eicher Goodearth buys 26% equity stake in Enfield India Limited
  • 1991: ECS launched; Eicher takes over Ramon & Demm.
  • 1992: Eicher Tractors Limited selected as ‘Company of the Year’ for 1990-91 in the four-wheeler category comprising commercial vehicles, passenger cars, jeeps and tractors.
  • 1993: Eicher adopts new identifier. Eicher acquires majority stake in Enfield India (60% equity shareholding)
  • 1994: Eicher Motors Limited ends the technical assistance agreement with Mitsubishi after a successful transfer of technology and achieving total indigenisation. Enfield India Limited changed its name to Royal Enfield Motors Limited
  • 1996: Eicher Tractors Limited amalgamated with Royal Enfield Motors to form Eicher Limited
  • 2005: Eicher Motors Limited has disinvested the businesses of tractors and engines to TAFE Motors & Tractors Limited (TMTL).
  • 2008: Volvo Group and Eicher Motors Limited established VE Commercial Vehicles Limited (VECV).
  • 2010: The company launched the VE-series of Heavy Duty trucks
  • 2012: Royal Enfield launches the Thunderbird 500 and 350 models.
  • 2013: Royal Enfield opens second manufacturing facility in Oragadam, Tamil Nadu. 
  • 2014: Royal Enfield opens its first concept store in Saket, New Delhi and launches its first exclusive store in London, UK.
  • 2015: Royal Enfield acquires erstwhile collaborators Harris Performance of the U.K., a motorcycle engineering and design firm, to enhance its engineering and product design capabilities.
  • 2015: Royal Enfield sets up its first direct distribution subsidiary outside India, in North America. Royal Enfield North America (RENA) is headquartered in Milwaukee, Wisconsin.
  • 2016: Royal Enfield debuts its first purpose-built adventure tourer motorcycle - the Himalayan. With the all-new LS410 engine and terrain-tested chassis, it promises the ride of a lifetime on all roads and no roads
  • 2017: Royal Enfield moves into its state-of-the-art Tech Centre at Leicestershire, UK to design and develop new motorcycle platforms for the global market
  • 2018: Royal Enfield launches its first air-cooled parallel twin cylinder motorcycles in 50 years - Continental GT 650 and Interceptor INT 650 for the International and domestic market
  • 2019: Royal Enfield transitions to BS VI emission norms for its current motorcycle portfolio and grew its retail network by opening studio stores - a unique, compact format that will house the entire range of Royal Enfield motorcycles
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