Majestic Auto Ltd - Stock Valuation and Financial Performance

BSE: 500267 | NSE: MAJESAUTO | Business Support | Small Cap

Majestic Auto Share Price

286 -5.65 -1.94%
as on 19-Mar'24 14:32

DeciZen - make an informed investing decision on Majestic Auto

Overall Rating
M-Cap below 500cr. High Risk from low Liquidity Bole Toh

1. Quality

2. Valuation

Overvalued

3. Price Trend

Majestic Auto stock performance -

mw4me loader
P/E Ratio (SA):
12.22
Market Cap:
303.2 Cr.
52-wk low:
133.3
52-wk high:
419.1

Is Majestic Auto Ltd an attractive stock to invest in?

1. Is Majestic Auto Ltd a good quality company?

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

2. Is Majestic Auto Ltd undervalued or overvalued?

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

3. Is Majestic Auto Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Majestic Auto 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 Majestic Auto:

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.
Majestic Auto 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'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
ROCE % 7.3%1.5%0.5%-2.9%-0.9%10%1.4%2.7%0.8%0.5%-
Value Creation
Index
-0.5-0.9-1.0-1.2-1.1-0.3-0.9-0.8-0.9-1.0-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 1051121246.1981.532.720.317.720.948
Sales YoY Gr.-6.8%10.6%-95.1%48%808.1%-59.9%-38%-12.7%18.2%-
Adj EPS 5.1-3.6-9.4-17.4-8.442.42.18.21.50.323.9
YoY Gr.--170.2%NANANANA-95%285.5%-82.1%-83%-
BVPS (₹) 128.6154163376.3396.8364.2295.5401.1388.7386.5470.8
Adj Net
Profit
5.4-3.8-9.8-18.1-8.7442.28.51.50.325
Cash Flow from Ops. -26.7-15.5-1.43.815.148.68.26.1-6.111.7-
Debt/CF from Ops. -3.5-6.6-127.1457.11.45.86.4-6.12.4-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales -16.4%18.4%-13.9%18.2%
Adj EPS -28.5%NA-51%-83%
BVPS13%-0.5%9.4%-0.6%
Share Price 21.7% 16.3% 39.1% 99.6%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23TTM
Return on
Equity %
5.2-2.6-6-6.5-2.211.10.62.40.40.15.6
Op. Profit
Mgn %
-10.4-15.51.5-3597-1113.547.229.920.9107.752.8
Net Profit
Mgn %
5.1-3.4-7.9-299.4-97.454.16.842.28.61.351.9
Debt to
Equity
0.70.61.10.40.30.20.20.10.10.1-
Working Cap
Days
1621551623,9142,285202333451569535119
Cash Conv.
Cycle
3945451,25345551655593044

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 5.60%

Sales growth is good in last 4 quarters at 143.39%

Sales growth has been subdued in last 3 years -13.85%

Net Profit has been subdued in last 3 years -51.04%

Latest Financials - Majestic Auto Ltd.

Standalone Consolidated
TTM EPS (₹) 23.9 30.7
TTM Sales (₹ Cr.) 47.9 80.9
BVPS (₹.) 470.8 491.4
Reserves (₹ Cr.) 479 501
P/BV 0.62 0.59
PE 12.22 9.51
From the Market
52 Week Low / High (₹) 133.30 / 419.05
All Time Low / High (₹) 6.85 / 419.05
Market Cap (₹ Cr.) 303
Equity (₹ Cr.) 10.4
Face Value (₹) 10
Industry PE 41.3

Management X-Ray of Majestic Auto:

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 Majestic Auto

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Sales105112124698133201821
Operating Expenses 1151291222241105523161619
Manufacturing Costs1620151111000
Material Costs667677023318121013
Employee Cost 2324233332223
Other Costs 1097220104182133
Operating Profit -11-172-218-1012710421
Operating Profit Margin (%) -10.4%-15.5%1.5%-3,597.0%-1,126.2%32.9%29.7%20.9%10.0%6.9%
Other Income 10149202941311111111
Interest 1510167665333
Depreciation 1518172212222
Exceptional Items 7843270000000
Profit Before Tax 47124-25-1633141088
Tax -12-15-5-8-6-311168
Profit After Tax 60269-17-10362920
PAT Margin (%) 57.2%23.6%7.5%-285.0%-106.0%44.1%6.7%42.3%8.6%0.7%
Adjusted EPS (₹)57.525.48.9-16.6-9.234.62.18.21.50.1
Dividend Payout Ratio (%)0%0%0%0%0%0%0%91%0%5,353%

Balance Sheet

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23

Equity and Liabilities

Shareholders Fund 134160169391413379307417404402
Share Capital 10101010101010101010
Reserves 123150159381402368297407394392
Minority Interest0000000000
Debt901021731631025536353424
Long Term Debt84951541461025536343424
Short Term Debt771917000001
Trade Payables1592232331111
Others Liabilities 0-21-182426-2-86-38-26
Total Liabilities 239249346610545434337458400401

Fixed Assets

Gross Block251284288291853132323535
Accumulated Depreciation9311012714413788911
Net Fixed Assets159174161147722424242624
CWIP 8200000000
Investments 1517111406416375286359297300
Inventories11101818422222
Trade Receivables18122331832210
Cash Equivalents 1910111411
Others Assets2726328442921687474
Total Assets 239249346610545434337458400401

Cash Flow

(All Figures are in Crores.)
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Cash Flow From Operating Activity -27-16-14154986-612
PBT 47124-25-1633141088
Adjustment -55-26-224118-4-5-4-5
Changes in Working Capital -132-64208-12-89
Tax Paid -3-32100-1-1-20
Cash Flow From Investing Activity 7526-622261-2169158
Capex -10-26-3-23170000
Net Investments 7942-67622-1005-2
Others 7118198-81691111
Cash Flow From Financing Activity -50-255-27-76-46-24-12-12-20
Net Proceeds from Shares 0000000000
Net Proceeds from Borrowing 0000000000
Interest Paid -14-10-16-16-12-6-5-3-2-2
Dividend Paid 00000000-8-8
Others -36871-10-64-40-19-9-2-10
Net Cash Flow -18-8-10003-30
PARTICULARSMar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22Mar'23
Ratios
ROE (%)57.5917.945.64-6.17-2.379.080.632.370.370.04
ROCE (%)28.819.056.7-4.07-1.818.014.683.152.322.38
Asset Turnover Ratio0.50.50.460.010.020.170.080.050.040.05
PAT to CFO Conversion(x)-0.45-0.62-0.11N/AN/A1.3640.67-3INF
Working Capital Days
Receivable Days5046481,640785242837329
Inventory Days3831381,0914401324394639
Payable Days93577303,0773647302825

Majestic Auto Ltd Stock News

Majestic Auto Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Majestic Auto on 19-Mar-2024 14:32 is ₹286.0.
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 19-Mar-2024 14:32 the market cap of Majestic Auto stood at ₹303.2.
The latest P/E ratio of Majestic Auto as of 19-Mar-2024 14:32 is 12.22.
The latest P/B ratio of Majestic Auto as of 19-Mar-2024 14:32 is 0.62.
The 52-week high of Majestic Auto is ₹419.1 and the 52-week low is ₹133.3.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of Majestic Auto is ₹47.90 ( Cr.) .

About Majestic Auto Ltd

Majestic Auto Ltd, a Hero Group company was incorporated in 1972 by O P Munjal. The answer to the rapidly escalating fuel prices in the country came in the form of the Hero Majestic range of mopeds in the year 1978. Within a few years, Hero Majestic was a household name in the country, and by 1983, Majestic Auto was the country's leading manufacturer of mopeds.

Majestic Auto is one of the largest producers of mopeds in the country. Since its inception in 1978, Majestic Auto has grown from catering to home consumers to the ones abroad. Majestic Auto now exports the moped to countries like Africa, North and South America, Europe and the far Middle East.

Hero Majestic mopeds have found great acceptance in the overseas markets, including countries in Africa, North & South America, Europe and the far & Middle East and are homologated in Europe & USA.

To the existing range of five different mopeds viz. Hero Panther, Hero Panther 4S, Hero Gizmo, Hero Stallion 4S and Hero Ankur, Majestic Auto is continuously working to upgrade their performances and to make them absolute environment friendly. The company also manufactures and exports Hero Allegro exerbikes, steppers and joggers, the well accepted market leaders in fitness equipment.

They have diversified their activities in the field of fine blanking, a revolutionary technology, now being accepted all over the world. They have put up a fine blanking unit in 1998. They have started catering services to the leaders in automobile, switchgear, electronics, weapon etc.

Product range of the company includes:

Health Equipments -The company is a leading manufacturers of health equipments, having a wide range of health equipments -- joggers, steppers and twistepro to suit the requirement of people of all ages

Fine Blanked Components- Majestic Auto Limited has put up a fine blanking unit with technical know-how from Feintool, Switzerland. Simultaneously, tremendous stress has been laid on developing latest standard tool room through indigenous development and upgradation of technology through our research and development division.

Mopeds

  • Hero Effy
  • Hero Panther super 60
  • Hero Power
  • Hero Student
  • Hero Panther
  • Hero Gizmo
  • Hero Stallion
  • Hero Panther 4s dlx

Group Companies:

  • Hero Honda Motors Limited
  • Hero Cycles Limited
  • Hero Cycles Limited (Unit II)
  • Hero Cold Rolling Division
  • Fastener World
  • Hero Motors Limited (Hero Puch)
  • Highway Industries Limited
  • Munjal Auto Components
  • Munjal Showa Limited
  • Majestic Auto Limited
  • Hero Exports
  • Munjal Castings
  • Rockman Cycle Industries Limited
  • Hero Global Design
  • Hero Corporate Service Limited
  • Hero Mindmine
  • Satyam Auto Components Limited
  • Hero ITES
  • Munjal eSystems
  • Easy Bill Limited
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