Force Motors Ltd Stock Analysis

BSE: 500033 | NSE: FORCEMOT | Automobiles-Trucks/Lcv | Small Cap

BSE Share Price May 26, 11:25
1002.65 4.30 (0.43%)

DeciZen - Make an Informed Decision on Force Motors

Overall Rating

1. Quality

2. Valuation

Fair

3. Price Trend

FAQs

1. Is Force Motors Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Force Motors Ltd is a below average quality company.

2. Is Force Motors Ltd undervalued or overvalued?

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

3. Is Force Motors Ltd a good buy now?

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

10 Year X-Ray of Force Motors:

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.
Force Motors Ltd has not performed well majority of the past ten years indicating its past ten year financial track record is not good

Value Creation

Value Creation Index Colour Code Guide

Mar'09Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % -29.8%2.2%7%7.5%12.9%10.1%8.5%7.3%4.2%-3.8%-
Value Creation Index -3.1-0.8-0.5-0.5-0.1-0.3-0.4-0.5-0.7-1.3-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 8911,9732,0222,3643,0253,0693,4233,6523,0811,9882,971
YoY Gr. Rt. %-121.5%2.5%16.9%28%1.5%11.5%6.7%-15.7%-35.5%-
Adj EPS -151.810.759.970.1136126.3114.8102.757.5-83.5-77.4
YoY Gr. Rt. %-NA460.8%17.1%94%-7.1%-9.2%-10.5%-44.1%-245.2%-
BVPS (₹) 64.6876.2931.71,000.81,130.21,265.21,366.61,466.81,491.21,394.41,359.2
Adj Net Profit -20014.178.992.417916615113575.7-110-102
Cash Flow from Ops. -254861162262564712563144097.3-
Debt/CF from Ops. -1.20.50.20.10.10.400.90.887.5-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 9.3%-8.1%-16.6%-35.5%
Adj EPS NA-190.7%-189.9%-245.2%
BVPS 40.74.30.7-6.5
Share Price 8.1% -25.1% -14.3% -20.5%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'09Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % -111.41.96.67.312.810.68.77.33.9-5.8-5.6
Op. Profit Mgn % -17.12.856.29.18.78.17.68.71.81.1
Net Profit Mgn % -22.50.73.93.965.54.43.82.7-4.9-3.4
Debt to Equity 3.600000.100.20.20.4-
Working Cap Days 228128145122961151231191372010
Cash Conv. Cycle 1218271412792022320

Recent Performance Summary

Sales growth is good in last 4 quarters at 83.16%

Return on Equity is Poor

Sales growth has been subdued in last 3 years -16.56%

Latest Financials - Force Motors Ltd.

Standalone Consolidated
TTM EPS (₹) -64.2 -77.4
TTM Sales (₹ Cr.) 2,971 2,971
BVPS (₹.) 1,384.5 1,359.2
Reserves (₹ Cr.) 1,811 1,778
P/BV 0.72 0.74
PE 0.00 0.00
From the Market
52 Week Low / High (₹) 970.05 / 1740.00
All Time Low / High (₹) 54.50 / 4839.00
Market Cap (₹ Cr.) 1,315
Equity (₹ Cr.) 13.2
Face Value (₹) 10
Industry PE 75.3

Management X-Ray of Force 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

Analyst's Notes

News

About Force Motors Ltd

Force Motors was established in 1958 by N. K. Firodia, with the vision to provide affordable commercial transport for the masses by harnessing the best available technology and offering economical, reliable and efficient products. Currently, its range includes Small Commercial Vehicles (SCV), Multi-Utility Vehicles (MUV), Light Commercial Vehicles (LCV), Special Utility Vehicles (SUV) and Agricultural Tractors.

Force Motors is fully vertically integrated, making its own engines, chassis, gear boxes, axles, bodies etc. for the entire product range. It provides appropriate solutions for transport - both goods, as well as passenger - rugged, reliable and efficient transport solutions for every need - rural or urban, long distance or local, over good roads or bad tracks. The company continues in the founder's vision of providing efficient, utilitarian vehicles that empower the individual entrepreneur to meet his and the country's ever changing needs.

Business area of the company

The company is a fully vertically integrated automobile company, with expertise in design, development and manufacture of the full spectrum of automotive components, aggregates and vehicles. The company's product range includes Tractors, Three wheelers, Light commercial vehicles, Multi Utility Vehicles and Heavy commercial vehicles.

Company’s brands

  • Traveller Monobus
  • Traveller
  • Trax
  • Gurkha
  • Balwan
  • Kargo King

Milestones

  • 1958: Production of Tempo 3 Wheeler ‘Hanseat’
  • 1964: Production of Viking Petrol LCV
  • 1972: Production of Metador Diesel LCV
  • 1987: Production of Tempo Traveller
  • 1997: production of Engines for MBIL & Technical Collaboration with ZF for tractor transmission
  • 2003: Collaboration for production of trucks and busses
  • 2004: Technical collaboration for manufacturing of heavy gear boxes
  • 2015: Production of BMW Engines
  • 2016: Production of Mercedes Engines
  • 2018: Joint Venture with Rolls Royce Power system for the production of series 1600 engines
  • 2019: Force Motors launched Gurkha Xtreme
  • 2019: Force Traveller Citibuses Inducted Into BEST Fleet
  • 2020: Force Motors invests Rs 1,000 crore on 11-18 seater LCV platform
  • 2020: Force Motors invests Rs 1,000 crore on next gen platform
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