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Hi-Tech Gears Ltd. Stock Analysis

Small Cap
Evaluated by 208 users | BSE: 522073 | NSE: HITECHGEAR |
Auto Ancillary
Hi Tech Gears incorporated in 1986 is engaged in the business of manufacturing an auto component. The company is part of Hi-Tech Group that has business interest in area of robotics, artificial intelligence and machine vision technologies.Business division Forging- Company manufacturing unit...

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.
Value Creation
 Mar'10Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19
Return on Capital Employed 17.81%24.41%23.27%9.51%9.34%9.62%9.88%7.7%9.94%9.01%
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 323425497373361432450448527647
Y-o-Y Gr. Rt.-31.7%17.1%-25%-3.3%19.6%4.2%-0.4%17.6%22.8%
Adjusted EPS (Rs.) 10.418.2923.18.648.531011.2710.7116.7515.79
Y-o-Y Gr. Rt.-75.9%26.3%-62.6%-1.3%17.2%12.7%-5%56.4%-5.7%
Book Value per Share (Rs.) 35.5449.7866.9772.5277.8280.7288.38114.26128.11142.89
Adjusted Net Profit 19.534.343.416.21618.821.120.131.429.6
Net Op. Cash Flow (Rs. Cr.) 44.253.43369.817.739.150.437.245.537.1
Debt to Cash Flow from Ops 1.11.012.540.682.361.130.833.3246.83
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.
Hi-Tech Gears Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 8%12.4%12.9%22.8%
Adjusted EPS 4.8%13.1%11.9%-5.7%
Book Value per Share 16.712.917.411.5
Share Price -0.1% -15.3% -28.2% -30.1%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'10Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19
Return on Equity (%) 22.3130.9331.0310.079.3510.4911.29.813.8211.65
Operating Profit Margin (%) 15.4917.417.6914.0412.8812.2512.7112.213.3812.85
Net Profit Margin (%) 6.058.088.724.354.444.354.74.485.964.58
Debt to Equity 0.730.580.670.350.290.290.250.580.760.95
Working Capital Days 907380111103908999117130
Cash Conversion Cycle -4-926102837414954
Entity Percentage Holding
Promoters 55.53%
Institutions 0.01%
Non-Institutions 44.47%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)
Data is not available for this company.

The 5-year analysis of Hi-Tech Gears's performance infers:

Hi-Tech Gears earnings have grown by 13.1%, whereas share price has depreciated -15.3% CAGR over the past five years, indicating the company's share price is likely undervalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of Hi-Tech Gears share prices over the last 10 years. Here is what we found out:

Hi-Tech Gears share price has depreciated 2.6% annually over the past ten years.

Hi Tech Gears incorporated in 1986 is engaged in the business of manufacturing an auto component. The company is part of Hi-Tech Group that has business interest in area of robotics, artificial intelligence and machine vision technologies.

Business division

Forging- Company manufacturing unit is capable of hot, warm and cold forging and extrusion of precision components.

Company also conducts machining of various critical engines, transmission, CDRI and other machined parts. Under

Hi Tech Gears incorporated in 1986 is engaged in the business of manufacturing an auto component. The company is part of Hi-Tech Group that has business interest in area of robotics, artificial intelligence and machine vision technologies.

Business division

Forging- Company manufacturing unit is capable of hot, warm and cold forging and extrusion of precision components.

Company also conducts machining of various critical engines, transmission, CDRI and other machined parts. Under machining it is capable of gear honning, gear grinding, shaving, wet and dry hobbing, deep hole drilling, automatic straightening and roll forming etc.

Company has a die shop equipped with CAM facilities for Milling, EDM etc.

Milestone

1986-90- Company was incorporated and commenced production in the same year company

1991-95 Company entered into a technical tie up with Honda motors, Japan. The same year company commenced backward integration production in ForgeShop. Company entered into technical partnership with GETRAG. In the same period company installed hi-end engineering software.

1996-2000-Company received ISO-9002 certification. Company started engineering software division–Hi-Tech e Soft. In order to set up export oriented unit company entered into a JV with GETRAG.

2001-2005 Company launched an initiative of lean manufacturing. It also set up a manufacturing facility at Manesar. In collaboration with GETRAG, company launched an international purchase office in India.

2006- New plant was set up at west and south India. Company expanded its robotic and engineering division.

Future Plans

Hi-Tech Gears plans to strengthen its in-house designing facilities, introduce processes for improvement of quality and quantity of the products and focus on widening it product presence in the domestic and international markets.

Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323
Research Analyst - INH000000719

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