Eveready Industries India Ltd Stock Analysis

BSE: 531508 | NSE: EVEREADY | Batteries | Small Cap

BSE Share Price Jan 24, 18:01
280.90 -22.95 (-7.55%)

DeciZen - Make an Informed Decision on Eveready Inds. India

Overall Rating

1. Quality

2. Valuation

Somewhat overvalued
P/E P/S EV/EBITDA

3. Price Trend

FAQ's

1. Is Eveready Industries India Ltd a good quality company?

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

2. Is Eveready Industries India Ltd undervalued or overvalued?

The key valuation ratios of Eveready Industries India Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is Eveready Industries India Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Eveready Industries India 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 Eveready Inds. India:

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.
Eveready Industries India 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'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
ROCE % -1.2%3.8%4.4%8.8%14.5%24.2%12.6%14.3%14.3%-34.5%-
Value Creation Index -1.1-0.7-0.7-0.40.00.7-0.10.00.0-3.5-

Growth Parameters

Growth Parameters Colour Code Guide
Sales 1,1001,0351,1531,2791,3241,3571,4561,5071,2211,2491,253
YoY Gr. Rt. %--5.9%11.4%10.9%3.5%2.5%7.3%3.5%-19%2.3%-
Adj EPS -5.20.61.16.99.612.96.88.410-42.6-45.8
YoY Gr. Rt. %-NA75%514.3%39.1%34.5%-47.1%23.9%18.3%-527.2%-
BVPS (₹) 68.880.481.785.928.439.847.251.776.433.742.2
Adj Net Profit -37.54.78.15069.693.649.561.372.6-310-333
Cash Flow from Ops. 37.464.493.171.712582.180.870.1133173-
Debt/CF from Ops. 9.94.32.43.21.62.63.35.82.82.4-

CAGR

CAGR Colour Code Guide
9 Years 5 Years 3 Years 1 Years
Sales 1.4%-1.2%-5%2.3%
Adj EPS NA-234.8%-284.3%-527.2%
BVPS -7.63.5-10.6-55.9
Share Price 25.7% 3% 8.9% 45.7%

Key Financial Parameters

Performance Ratio Colour Code Guide
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Return on Equity % -6.70.91.48.216.737.815.717.115.6-77.4-120.6
Op. Profit Mgn % 3.76.47.99.99.39.87.2810.518.218
Net Profit Mgn % -3.40.50.73.95.36.93.44.16-24.5-26.6
Debt to Equity 0.70.50.40.410.80.81.10.71.70.7
Working Cap Days 126122107105111122151198285226105
Cash Conv. Cycle 313131251624221720135

Recent Performance Summary

No data to display

Return on Equity is Poor

Sales growth has been subdued in last 3 years -4.99%

Debt to equity has increased versus last 3 years average to 1.71

Sales growth is not so good in last 4 quarters at 7.98%

Latest Financials - Eveready Industries India Ltd.

Standalone Consolidated
TTM EPS (₹) -45.2 -45.8
TTM Sales (₹ Cr.) 1,253 1,253
BVPS (₹.) 42.9 42.2
Reserves (₹ Cr.) 275 270
P/BV 7.09 7.21
PE 0.00 0.00
From the Market
52 Week Low / High (₹) 184.80 / 413.30
All Time Low / High (₹) 4.75 / 465.00
Market Cap (₹ Cr.) 2,209
Equity (₹ Cr.) 36.3
Face Value (₹) 5
Industry PE 17.7

Management X-Ray of Eveready Inds. India :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *84.5482.6079.2778.4934.343.130.130.130.130.13
* Pledged shares as % of Promoter's holding (%)

Event Update

Analyst's Notes

News

About Eveready Industries India Ltd

Eveready Industries India incorporated in 1934, is a well-known name in dry cell batteries segment. Erstwhile the company was a subsidiary of Union Carbide Corporation, US that later was acquired by B M Khaitan and the Williamson Magor group of companies.

Besides dry cell batteries, the company also manufactures flashlights (torches), mosquito repellant and packet tea.

In 1995, company formed a JV with Ralston Purina Overseas Battery Company of US to establish Energizer India- a private limited company that would be engaged in manufacturing of reowned Energizer brand of alkaline batteries in India. The same year, in order to develop rechargeable Ni-Cd and Ni-Mg batteries in India, company entered a MoU with Gold Peak Industries of Hong Kong.

In 1999-2000 the company established a new poly sleeve jacketed battery line at Camperdown Works in Calcutta.

Later company started manufacturing batteries for watches. In April 2004 Eveready Industries India was demerged into two separate companies namely McLeod Russel India and Eveready Industries India. Eveready has the second largest retail distribution network in India.

Later with an investment of Rs.60 crores company established a unit situated in Uttaranchal to manufacture of dry cell batteries with a capacity of 40 crore pieces per annum, this project became operational in 2006.

Today, the company is largest selling brand of dry cell batteries and flashlights (torches), commanding market shares of about 46% and 85% respectively in India.

Products

Dry Cell Batteries- Under this company manufactures carbon zinc batteries, rechargeable batteries and alkaline batteries. The company markets these batteries under the brand name 'Eveready'.

Flashlights- Eveready Industries is the largest manufacturer of flashlights in South Asia. Under this company has launched models namely A1, Spectra, Satin, Prakash, Delight, Vijeta, Tango, Cruiser, DL01, DL02 to name a few.

Tea-Company manufactures tea and markets the same under the brand name ‘Tez’.

Mosquito Repellent- Company manufactures mosquito repellent and markets it under brand name ‘Poweron’.

In the year 2007, the company entered into a sales and distribution tie-up with Phoenix Lamps for selling CFLs (Compact Fluorescent Lamps) under the brand name Eveready Halonix. Phoenix Lamps. This JV required an investment of US$ 40 million with 4 plants having a production capacity of over 130 million lamps a year.

New Development

Eveready Industries India plans to increase it product portfolio in future. The company is conducting test marketing of dishwash detergent and after successful completion it will launch the product.

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