1. Is Sterling Tools Ltd a good quality company?
Past 10 year's financial track record analysis by Moneyworks4me indicates that Sterling Tools Ltd is a average quality company.
2. Is Sterling Tools Ltd undervalued or overvalued?
The key valuation ratios of Sterling Tools Ltd's currently when compared to its past seem to suggest it is in the Fair zone.
3. Is Sterling Tools Ltd a good buy now?
The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Sterling Tools Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.
Value Creation ⓘ
Value Creation Index Colour Code Guide ⓘ
|ROCE % ⓘ||9.9%||12.8%||14.9%||17.1%||19.6%||21.1%||13.9%||9.3%||7.4%||7.5%||-|
|Value Creation Index ⓘ||-0.3||-0.1||0.1||0.2||0.4||0.5||-0.0||-0.3||-0.5||-0.5||-|
Growth Parameters ⓘ
Growth Parameters Colour Code Guide ⓘ
|YoY Gr. Rt. %||-||6.7%||12.8%||8.6%||0.4%||22.1%||13.1%||-28.9%||-2.5%||32.6%||-|
|Adj EPS ⓘ||3.1||4.7||6.2||8.5||10.5||13.5||12.2||8.6||7||8.1||11.2|
|YoY Gr. Rt. %||-||54.8%||31.6%||37.4%||23.1%||28.8%||-10.1%||-29%||-19.2%||16.6%||-|
|BVPS (₹) ⓘ||26||29.4||34.3||39||48||68.9||78.9||85.7||92.9||100.8||107.2|
|Adj Net Profit ⓘ||10.4||16.2||21.3||29.2||35.9||48.7||43.8||31.1||25.1||29.3||40|
|Cash Flow from Ops. ⓘ||37.9||48.8||28.1||56.2||61.5||48||42.4||51.8||19.3||59.5||-|
|Debt/CF from Ops. ⓘ||2.3||1.3||2.6||1.2||0.7||0.7||2.3||1.4||5.4||1.8||-|
CAGR Colour Code Guide ⓘ
|9 Years||5 Years||3 Years||1 Years|
|Adj EPS ⓘ||11.5%||-5%||-12.5%||16.6%|
Key Financial Parameters ⓘ
Performance Ratio Colour Code Guide ⓘ
|Return on Equity % ⓘ||12.2||17.1||19.5||23.3||24.2||23.6||16.4||10.5||7.8||8.4||10.8|
|Op. Profit Mgn % ⓘ||12.6||14.2||13.7||16.8||20.4||20.2||16.8||17||18.5||14.9||14.6|
|Net Profit Mgn % ⓘ||3.7||5.4||6.3||7.9||9.7||10.8||8.5||8.5||7.1||6.2||7.4|
|Debt to Equity ⓘ||1||0.7||0.6||0.5||0.2||0.1||0.4||0.2||0.3||0.3||0.1|
|Working Cap Days ⓘ||146||117||104||108||98||86||100||152||173||157||146|
|Cash Conv. Cycle ⓘ||70||55||44||39||36||38||52||73||90||87||69|
Return on Equity has increased versus last 3 years average to 10.80%
Sales growth is good in last 4 quarters at 21.52%
Sales growth has been subdued in last 3 years -2.74%
Net Profit has been subdued in last 3 years -12.53%
|TTM EPS (₹)||11.2||10.7|
|TTM Sales (₹ Cr.)||545||643|
|BVPS (₹.) ⓘ||107.2||105.2|
|Reserves (₹ Cr.) ⓘ||379||372|
|From the Market|
|52 Week Low / High (₹)||116.05 / 322.00|
|All Time Low / High (₹)||1.12 / 477.70|
|Market Cap (₹ Cr.)||967|
|Equity (₹ Cr.)||7.2|
|Face Value (₹)||2|
|Industry PE ⓘ||44.8|
Sterling Tools Ltd was incorporated in 1979 and commercial production began in 1981. It made its first public offer in 1995 and began trading at Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). As a premier producer of cold forged hi-tensile fasteners it supplies to all major auto OEMs. It is one of the leading suppliers in India with a client base that extends across India, USA, Europe, South America and the Middle East.
The company’s manufacturing facilities are spread across three plants, all located in the industrial hub of Faridabad in Haryana close to New Delhi. The facilities have state-of-the-art equipment and processes geared for quality solutions. With highly experienced engineering leaders, STL’s engineering department handles customer requirements with professionalism and precision. It is committed to delivering a quality product that is wholly reliable and meets its customers’ needs optimally.
Business area of the company
The company is engaged in manufacturing of high tensile cold forged fasteners for Automotive Industry having its presence amongst all Auto Segments- Passenger Vehicle (PV), Commercial Vehicle (CV), Two Wheelers, Farm Equipment and Off-Roadways. Its subsidiary company Sterling GTAKE E-mobility Limited is engaged in the manufacture of Motor Control Units (MCUs) for electric vehicle.
History and milestones