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AIA Engineering Ltd. Stock Analysis

Mid Cap
Evaluated by 2963 users | BSE: 532683 | NSE: AIAENG |
Engineering - Industrial Equipments

AIA Engineering, a certified ISO 9001 company, specializes in the design, development, manufacture, installation and servicing of high chromium wear, corrosion and abrasion resistant castings used in the cement, mining and thermal power generation industries....

1. Right Stock
Very Good
2. Right Price
3. Right Time

Analysis of Financial Track Record

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.
AIA Engineering 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
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Capital Employed 18.3%19.04%18.75%23.35%19.73%17.51%16.58%12.98%14.08%14.57%
Value Creation Index 0.070.080.250.560.320.170.11-0.13-0.06-0.03
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 1,1611,4171,7512,0802,1842,0982,2462,4453,0702,970
Y-o-Y Gr. Rt.-22.1%23.6%18.8%5%-3.9%7%8.9%25.5%-3.2%
Adjusted EPS (Rs.) 19.0423.2927.8642.0341.8843.0446.6640.5249.8856.97
Y-o-Y Gr. Rt.-22.3%19.6%50.9%-0.4%2.8%8.4%-13.2%23.1%14.2%
Book Value per Share (Rs.) 111.53130.98150.31184.34220.9246.25288.09319.05372.53392.42
Adjusted Net Profit 180220263396395406440382471537
Net Op. Cash Flow (Rs. Cr.) 34.793.7163452307595231294190679
Debt to Cash Flow from Ops 0.610.510.990.270.320.310.610.420.670.16
Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.
AIA Engineering Ltd. should be analysed on a Consolidated basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 11%6.3%9.8%-3.2%
Adjusted EPS 13%6.4%6.9%14.2%
Book Value per Share 1512.210.95.3
Share Price 22.5% 15.8% 9.4% 13.2%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Return on Equity (%) 18.3819.219.8125.1220.6718.4317.4713.3514.4314.89
Operating Profit Margin (%) 21.6923.5322.2327.8126.929.3328.4422.121.6223.06
Net Profit Margin (%) 15.4915.5615.0519.0918.0919.3419.6215.6415.3518.09
Debt to Equity 0.020.040.110.070.050.080.050.040.040.03
Working Capital Days 209187178165172180179200190210
Cash Conversion Cycle 11411811397105113119133133154
Corporate Governance What do we look at?
Corporate Governance
Board Credentials
Promoter's holding
Transparency
Integrity
Entity Percentage Holding
Promoters 58.47%
Institutions 38.53%
Non-Institutions 2.67%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

MoneyWorks4Me analysed the past 10-year performance of AIA Engineering Ltd. and arrived at the following conclusion:

Past 10 year's financial track record indicates that AIA Engineering Ltd. is a good quality company. However, for specific investment actions please connect with your investment advisor.

The 5-year analysis of AIA Engineering Ltd.'s performance infers:

AIA Engineering Ltd. earnings have grown by 6.4%, whereas share price has appreciated 15.8% CAGR over the past five years, indicating the company's share price is likely overvalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of AIA Engineering Ltd. share prices over the last 10 years. Here is what we found out:

AIA Engineering Ltd. share price has appreciated 16.2% annually over the past ten years.

AIA Engineering, a certified ISO 9001 company, specializes in the design, development, manufacture, installation and servicing of high chromium wear, corrosion and abrasion resistant castings used in the cement, mining and thermal power generation industries. Vega Industries is a wholly owned subsidiary of AIA Engineering, exclusively supplying its products, providing customer support and technical services to customers from its offices worldwide.

AIA Engineering, a certified ISO 9001 company, specializes in the design, development, manufacture, installation and servicing of high chromium wear, corrosion and abrasion resistant castings used in the cement, mining and thermal power generation industries. Vega Industries is a wholly owned subsidiary of AIA Engineering, exclusively supplying its products, providing customer support and technical services to customers from its offices worldwide.

The company’s philosophy is to provide customers with optimized solutions through technical evaluation of their requirements, thereby providing specifically designed solutions in ideal metallurgy for the application, plus offering process optimization services worldwide. As a result of this approach, the Group is today the leading company for Quality, Services and Innovation in its field with an enviable reputation providing Global Solutions.

Business area of the company

The company is specializes in four business zones namely:

Cement: The Group Industries has its origins in the cement manufacturing industry and its continued success in this sector has enabled it to continually develop new products that can be demonstrated to provide reduced maintenance costs and improved cost-effectiveness for customers. For Tube Mill applications, the company manufactures and supplies Grinding media, Shell liners, Diaphragms (partition wall, discharge diaphragms, drying chamber diaphragms and dopple rotator diaphragms).

Mining: The Group Industries has developed new alloys and manufacturing techniques that provide improved wear components for all types of minerals including iron, gold, lead/zinc, bauxite, copper and phosphates, etc.

Power: Processing fuel is a critical part of the cost of power generation.  By designing components that significantly reduce downtime and maintenance costs, the Group is helping power plants worldwide to keep down generating costs.

Aggregate: The Group Industries has developed new alloys and manufacturing techniques that provide improved wear components for all types of minerals including iron, gold, lead/zinc, bauxite, copper and phosphates.

Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

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