Esab India Ltd Stock Analysis

BSE: 500133 | NSE: ESABINDIA | Electrodes & Welding Equipment | Mid Cap

BSE Share Price 08-Dec-2022 12:13
4186.60 -13.15 (-0.31%)

DeciZen - Make an Informed Decision on Esab india

Overall Rating

1. Quality

2. Valuation

Overvalued

3. Price Trend

Esab india Price Chart

P/E Ratio (SA) :
66.09
Market Cap :
6,464.7 Cr.
52-wk low :
2,645.3
52-wk high :
4,222.8
Bole Toh?

1. Is Esab India Ltd a good quality company?

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

2. Is Esab India Ltd undervalued or overvalued?

The key valuation ratios of Esab India Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Esab India Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Strong which suggest that the price of Esab India 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 Esab india:

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.
Esab India 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'12Dec'13Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
ROCE % 17.2%13.4%12.6%10.1%9.4%10.3%17.7%23.4%19.8%33.1%-
Value Creation Index 0.2-0.0-0.1-0.3-0.3-0.30.30.70.41.4-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 5044364414514745326726986899041,010
YoY Gr. Rt. %--13.5%1.4%2.2%5.1%12.3%26.3%3.9%-1.3%31.2%-
Adj EPS 24.721.61819.619.92436.945.637.553.863.5
YoY Gr. Rt. %--12.4%-16.5%8.9%1.1%21%53.7%23.6%-17.8%43.5%-
BVPS (₹) 153.3173.7150.3205222.6245.8173.2219.5168.4158.7176
Adj Net Profit 3833.327.830.230.63756.870.257.782.998
Cash Flow from Ops. 46.135.113.118.236.529.767.457.272.484.5-
Debt/CF from Ops. 0000000000-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 6.7%13.8%10.4%31.2%
Adj EPS 9.1%22.1%13.4%43.5%
BVPS 0.4-6.5-2.9-5.8
Share Price 25.4% 38.4% 49.9% 43.6%

Key Financial Parameters

Performance Ratio Colour Code Guide

Dec'12Dec'13Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
Return on Equity % 1713.212.5109.310.317.623.319.432.938
Op. Profit Mgn % 12.3129.310.49.49.811.814121313.5
Net Profit Mgn % 7.57.66.36.76.578.510.18.49.29.7
Debt to Equity 00000000000
Working Cap Days 77877310110612011110410796115
Cash Conv. Cycle 2018142630282022302556

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 38.00%

Sales growth is growing at healthy rate in last 3 years 10.42%

Net Profit is growing at healthy rate in last 3 years 13.40%

Sales growth is good in last 4 quarters at 27.50%

No data to display

Latest Financials - Esab India Ltd.

Standalone Consolidated
TTM EPS (₹) 63.5 34.9
TTM Sales (₹ Cr.) 1,010 343
BVPS (₹.) 176 0
Reserves (₹ Cr.) 256 89
P/BV 23.86 0.00
PE 66.09 120.53
From the Market
52 Week Low / High (₹) 2645.25 / 4222.75
All Time Low / High (₹) 28.00 / 4222.75
Market Cap (₹ Cr.) 6,465
Equity (₹ Cr.) 15.4
Face Value (₹) 10
Industry PE 17.4

Management X-Ray of Esab india :

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 Esab india

Adj EPS (Rs.)
Sales (Cr.)
ROE (%)
ROCE (%)

News

Esab India Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Esab india on 08-Dec-2022 12:13 is : 4,186.6.
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 08-Dec-2022 12:13 the market cap of Esab india stood at ₹ 6,464.7.
The latest PE ratio of Esab india as of 08-Dec-2022 12:13 is 66.09.
The latest PB ratio of Esab india as of 08-Dec-2022 12:13 is 23.86
The 52-week high of Esab india is ₹ 4,222.8 and the 52-week low is ₹ 2,645.3.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue / sales of Esab india is ₹ 1,010 ( Cr.) .

About Esab India Ltd

ESAB India Limited was established in 1987 as a part of ESAB Group owned by the Charter International Plc.Group UK, which is listed on the London Stock Exchange. The Company is engaged in the business of fabrication technology. The company caters to both domestic and international markets.

The company directly export welding consumables and welding and cutting equipment to Nepal, Bhutan, Bangladesh, Sri Lanka, Kenya and Uganda. The company also exports products to Middle East, Asia Pacific, Europe and the USA through their group companies in Sweden, Singapore and Dubai..The company also in the business segment of Equipment, Consumables. 

Business area of the company

The company has a wide and comprehensive range of welding, cutting and allied products and services. The product range covers Welding Consumables, Reclamation Consumables, Arc Equipment, Industrial Gas Equipment, Cutting Machines and Working Environment Products for the specialised welding, cutting and allied needs. These are manufactured to stringent quality control measures in the state-of-the-art manufacturing units.

Products

  • Arc Welding Equipment
  • Cutting Automation
  • PPE & Accessories
  • Plasma
  • Welding Consumables
  • Gas Equipment
  • Welding Automation & Robotics
  • ESAB Digital Solutions (EDS)

History and milestones

  • 1904: A leader is born. Elektriska Svetsnings-Aktiebolaget (ESAB) founded in Göteborg by engineer Oscar Kjellberg. In the beginning, operations focused very clearly on the shipyards' repair requirements.
  • 1906: Innovation unfolds. The patent is granted for Kjellberg's unique invention - the world's first coated welding electrode.
  • 1912: The Anglo-Swedish Electric Welding Co Ltd, London, is founded.
  • 1914: The Belgian-Swedish Electric Welding Co Ltd (BSEW), Antwerp, is founded.
  • 1919: La Soudure Autogene Française uses Kjellberg's method to build the ship “SAF no. 4”. It is 20 metres long, 4 metres wide and 2.3 metres deep.
  • 1920: The all-welded workshop boat “ESAB IV”, 16 metres long and 4 metres wide, is launched.
  • 1920: Lloyd's Register of Shipping approves Kjellberg's welding method.
  • 1921: Kjellberg Elektroden & Maschinen GmbH, Berlin (later Kjellberg Elektroden & Maschinen GmbH, Finsterwalde) is set up.
  • 1932: ESAB-Iberica S.A., Madrid, Spain, is founded.
  • 1932: ESAB S.A., Brussels, Belgium, and PEAS in Prague in Czechoslovakia are established.
  • 1933: Welding Supplies Ltd., England, and ESAB-Denmark are set up.
  • 1935: ESAB-Elettrodi Rivestiti S.A., Milan, Italy is established.
  • 1936: The first issue of ESAB's publication Svetsaren is published.
  • 1937: Breakthrough development. The submerged arc welding method is invented, providing a versatile means of depositing large amounts of metal quickly, consistently, and safely.
  • 1938: Kjellberg-Eberle GmbH, Germany, is founded.
  • 1938: ESAB Norway is set up.
  • 1940: ESAB Welding Corporation in the USA is established.
  • 1942: The machine plant in Laxa is opened.
  • 1943: ESAB-Finland is founded.
  • 1944: Revolutionary technology. The new process of TIG welding (called Heliarc) is introduced, providing greater control over the weld for stronger, higher quality results.
  • 1950: Quantum leap. Gas metal arc welding (GMAW) or MIG/MAG welding is developed. Its versatility and speed help make it the most commonly used industrial welding process.
  • 1945: A new production plant for cutting machines is set up in Frankfurt.
  • 1950: ESAB-France is set up.
  • 1951: Electrode production begins in Perstorp, Sweden.
  • 1953: ESAB-Brazil is established.
  • 1955: Plasma cutting emerges. The Linde Division of Union Carbide invents the plasma arc for cutting metals. Linde later became L-Tec, which was eventually purchased by ESAB.
  • 1956: ESAB-Austria is founded.
  • 1958: ESAB Arc Rods Ltd. in Montreal is established.
  • 1958: Máquinas ESAB Lta in Rio de Janerio is set up.
  • 1962: A branch factory for cutting equipment is set up in Rodheim, Germany.
  • 1971: Leading KEBE employees part from the company and found HANCOCK GmbH in Dörnigheim, Germany.
  • 1972: ESAB Inc in the USA is founded.
  • 1972: A new electrode plant is built in Perstorp.
  • 1973: The black-and-yellow logotype is introduced.
  • 1974: ESAB-Ekman Welding pte in Singapore, ESAB-Iran Co, ESAB-Roman, Portugal, and ESAB Manufacturing Inc, USA, are set up.
  • 1975: The cutting division of ESAB moves to new production plant in Karben. ESAB Australia Pty ltd, Australia, is established.
  • 1977: ESAB acquires Sarazin Soudure in France.
  • 1977: New electrode plant in Milan opens.
  • 1977: KEBE-Ersatzteile is founded to guarantee delivery of spare parts for outdated flame cutting machinery.
  • 1981: ESAB takes over Varios Fabrieken B.V., The Netherlands.
  • 1981: ESAB acquires HANCOCK GmbH, one of British Oxygen's gas-cutting companies.
  • 1982: The merger of ESAB GmbH and HANCOCK GmbH, as ESAB-HANCOCK GmbH, Karben, takes place.
  • 1984: ESAB Canada Inc. is founded.
  • 1986: Filarc Welding Industries B.V., The Netherlands, is acquired.
  • 1987: ESAB India is formally incorporated.
  • 1987: Siderotermica s.p.a. in Italy is acquired.
  • 1989: The production of electrodes in Göteborg is transferred to Perstorp.
  • 1989: The new corporate symbol for The ESAB Group is introduced.
  • 1991: Takeover of Indian Oxygen Limited's (IOL) welding operation.
  • 1991: AB Ph Nederman & Co is acquired and the Working Environment Equipment business area is set up.
  • 1992: Flo-tech Welding & Cutting Systems Limited
  • 1992: The Friction Stir Welding process is invented by The Welding Institute (TWI) where ESAB participates as the only welding equipment manufacturer.
  • 1993: ESAB Vamberk in the Czech Republic is set up following the acquisition of the leading producer of consumables.
  • 1993: A welding consumables pioneer. Marathon Pac, a unique bulk pack for solid or flux-cored welding wire, is introduced.
  • 1994: Takeover of Maharashtra Weldaids Limited
  • 1994: ESAB is purchased by Charter plc of the U.K.
  • 1994: Nederman leaves the ESAB Group but is still a member of the Charter group of companies
  • 1996: First of its kind. ESAB's first friction-stir welding machine, SuperStir ™ , is supplied to Marine Aluminum of Norway.
  • 1998: ESAB acquires a majority holding in the Polish company Ozas, which manufactures welding machines and spares.
  • 1998: A majority holding in Fersab, the leading manufacturer of agglomerated flux in Poland, is acquired.
  • 1998: ESAB acquires AlcoTec Wire Company in U.S.A., the world's largest producer of aluminium wire.
  • 1998: ESAB receives a large order from Boeing and supplies FSW equipment for welding fuel tanks for space rockets.
  • 1999: ZAO ESAB-SVEL is set up in St Petersburg, Russia.
  • 1999: SIB S.p.a in Italy, is acquired. SIB is a production unit for non-alloyed MAG wires.
  • 1999: The ESAB Group identity is replaced with the black-and-yellow ESAB brand identity.
  • 1999: ESAB acquires the majority of the shares in Elektrody Baildon, Poland.
  • 2001: ESAB sets up a subsidiary in Moscow, Russia.
  • 2001: ESAB starts producing solid stainless steel wires in Vamberk in the Czech Republic.
  • 2002: ESAB establishes its headquarters in London, UK.
  • 2006: Greenfield plant at Irungattukottai, Sriperumpudur.
  • 2007: Global R&D centre formed for Consumables and Equipments at Chennai, Ambattur & Irungattukottai. This is now known as ESD (Engineering Services Division).
  • 2007: Charter plc increased its shareholding stake from 37% to 55% through Open Market offer.
  • 2008: ESAB Welding & Cutting Systems (100% subsidiary) merged with ESAB India Limited.
  • 2010: High-speed solution. High-speed submerged arc welding is developed, generating high quality welds at high productivity.
  • 2012: Next generation technology. ICE, the next generation in submerged arc welding technology, is advanced based on ESAB's leading Twin subarc process.
  • 2012: Colfax made an Open Offer in the market and increased the stake of the promoters from 55% to 73.72%.
  • 2015: Expanded Ambattur and Nagpur plant by moving all production facilities from Khardah to Ambattur in Chennai and Kamleshwar in Nagpur.
  • 2017: Expanded the Irungattukottai, Chennai plant by moving the equipment facilities from Taratala, Kolkata.
  • 2017: ESAB acquires TBi Industries GmbH, Germany.
  • 2018: ESAB acquires Sandvik(now renamed as Exaton) welding operations including production units in Scranton, Pennsylvania, and Sandviken, Sweden.
  • 2018: ESAB acquires European gas equipment leader Gas Control Equipment (GCE).
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