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Last Updated on: 22 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 505200 | NSE: EICHERMOT

Eicher Motors Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 21, 2024, 2:58 am

Market Cap 1,29,788 Cr.
Current Price 4,734
High / Low 5,105/3,562
Stock P/E30.4
Book Value 693
Dividend Yield1.08 %
ROCE31.1 %
ROE24.2 %
Face Value 1.00
PEG Ratio1.80

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for

Competitors of

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hero MotoCorp Ltd 86,799 Cr. 4,340 6,246/3,93021.1 9512.65 %29.1 %22.0 % 2.00
Bajaj Auto Ltd 2,45,391 Cr. 8,787 12,774/6,37033.3 1,1090.91 %33.5 %26.5 % 10.0
Atul Auto Ltd 1,590 Cr. 573 844/470108 1540.00 %4.19 %1.67 % 5.00
TVS Motor Company Ltd 1,13,627 Cr. 2,392 2,958/1,87360.2 1630.33 %14.7 %26.6 % 1.00
Eicher Motors Ltd 1,29,788 Cr. 4,734 5,105/3,56230.4 6931.08 %31.1 %24.2 % 1.00
Industry Average115,439.00 Cr4,165.2050.60614.000.99%22.52%20.19%3.80

All Competitor Stocks of

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales1,9742,2502,8813,1933,3973,5193,7213,8043,9864,1154,1794,2564,393
Expenses1,6511,7802,2982,4362,5662,6982,8642,8712,9663,0273,0893,1273,228
Operating Profit3244705827578318228579341,0211,0871,0901,1291,165
OPM %16%21%20%24%24%23%23%25%26%26%26%27%27%
Other Income12211812817282193256379344375368437457
Interest636357881013121512
Depreciation112109111119116127135148142143148165169
Profit before tax3284765938067928809711,1561,2121,3071,2981,3851,441
Tax %28%22%23%24%23%25%24%22%24%22%23%23%24%
Net Profit2373734566106116577419069181,0169961,0701,101
EPS in Rs8.6713.6516.6822.3122.3324.0227.0933.1133.5837.1236.3839.1040.20

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthDec 2012Dec 2013Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales6,3906,8108,7386,1737,0338,9659,7979,1548,72010,29814,44216,536
Expenses5,8406,0947,6214,4844,8596,1566,8936,9716,9378,12010,99612,209
Operating Profit5507151,1181,6902,1742,8092,9042,1831,7832,1783,4464,327
OPM %9%11%13%27%31%31%30%24%20%21%24%26%
Other Income136931053264165367015724824969081,524
Interest481024571916192851
Depreciation82130220137154223300382451452526598
Profit before tax6006719931,8772,4333,1163,2972,3551,7982,2033,8005,202
Tax %21%22%29%29%30%30%33%22%25%24%23%23%
Net Profit4755257021,3381,6671,9602,2031,8271,3471,6772,9144,001
EPS in Rs12.0114.5722.7149.2761.2771.8980.7566.9149.2861.32106.55146.13
Dividend Payout %17%21%22%20%16%15%15%19%34%34%35%35%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)24.59%17.58%12.40%-17.07%-26.27%24.50%73.76%37.30%
Change in YoY Net Profit Growth (%)0.00%-7.01%-5.18%-29.47%-9.20%50.77%49.26%-36.46%

has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 8 years from 2016-2017 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:9%
5 Years:11%
3 Years:24%
TTM:9%
Compounded Profit Growth
10 Years:27%
5 Years:13%
3 Years:44%
TTM:19%
Stock Price CAGR
10 Years:12%
5 Years:17%
3 Years:24%
1 Year:18%
Return on Equity
10 Years:23%
5 Years:19%
3 Years:20%
Last Year:24%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:49 am

MonthDec 2012Dec 2013Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital27272727272727272727272727
Reserves1,7282,0282,4893,6265,3187,0038,8919,95411,41112,58114,96318,01818,952
Borrowings23845823112151187249219108288419404
Other Liabilities2,6943,1973,8291,2631,5522,3412,2812,2202,9013,4243,9194,6504,997
Total Liabilities4,4715,3376,4034,9397,0099,52211,38712,45014,55916,14019,19823,11524,380
Fixed Assets9921,6562,3097908731,5021,8752,3782,4332,4242,6902,9143,490
CWIP50446441994374333450312314505472555230
Investments6388251,0783,3884,9875,5814,9235,7493,9027,72112,32113,52714,693
Other Assets2,3372,3912,5976677752,1064,1404,0117,9095,4903,7156,1195,968
Total Assets4,4715,3376,4034,9397,0099,52211,38712,45014,55916,14019,19823,11524,380

Reserves and Borrowings Chart

Cash Flow

MonthDec 2012Dec 2013Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +4967161,0471,4631,7082,4821,5751,6941,6911,5272,8233,724
Cash from Investing Activity +-773-790-1,214-1,001-1,744-2,145-660-1,508-1,625-983-2,397-2,834
Cash from Financing Activity +-111-47-162-46625-262-292-858-15-593-417-844
Net Cash Flow-388-121-329-4-1075623-67351-50845

Free Cash Flow

MonthDec 2012Dec 2013Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow527.00631.00-57.00-22.00-110.00-149.00-185.00-247.00-218.00-106.00-285.00-415.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthDec 2012Dec 2013Dec 2014Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days2527232333371198
Inventory Days394141333331464262695757
Days Payable76949677759289741081108085
Cash Conversion Cycle-12-25-31-42-40-58-40-28-39-29-14-19
Working Capital Days-20-27-33-45-49-58-35-37-23-12-108
ROCE %22%22%28%51%53%49%41%25%17%18%27%31%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters49.22%49.21%49.21%49.21%49.20%49.20%49.18%49.15%49.15%49.14%49.11%49.10%
FIIs29.45%29.22%29.50%30.25%29.85%28.63%30.28%28.89%30.27%28.95%28.81%27.61%
DIIs9.73%9.95%10.13%9.95%9.96%11.19%10.03%10.48%9.73%11.04%11.84%13.67%
Government0.10%0.10%0.10%0.10%0.10%0.10%0.10%0.10%0.10%0.10%0.10%0.10%
Public11.50%11.52%11.06%10.48%10.88%10.88%10.43%11.37%10.76%10.77%10.14%9.52%
No. of Shareholders2,71,0752,63,4792,34,5122,38,2942,60,1612,66,1682,45,4612,80,5302,48,4862,63,1322,56,9782,47,951

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
SBI Blue Chip Fund2,510,5402.581188.352,483,2882024-12-201.1%
SBI Nifty 50 ETF2,483,2880.651175.452,483,2882024-12-200%
ICICI Prudential Balanced Advantage Fund943,5910.79446.642,483,2882024-12-20-62%
ICICI Prudential Flexicap Fund931,7252.96441.032,483,2882024-12-20-62.48%
Mirae Asset Large & Midcap Fund736,4500.99348.592,483,2882024-12-20-70.34%
UTI Nifty 50 ETF716,3450.65339.082,483,2882024-12-20-71.15%
UTI Flexi Cap Fund610,4401.21288.952,483,2882024-12-20-75.42%
UTI Transportation and Logistic Fund582,7028.03275.822,483,2882024-12-20-76.54%
Mirae Asset ELSS Tax Saver Fund516,2061.08244.342,483,2882024-12-20-79.21%
HDFC Manufacturing Fund453,5722.08214.72,483,2882024-12-20-81.74%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.0010.00
Basic EPS (Rs.)146.18106.5661.3349.30669.52
Diluted EPS (Rs.)145.92106.3861.2649.24669.19
Cash EPS (Rs.)151.60114.2675.6564.64797.53
Book Value[Excl.RevalReserv]/Share (Rs.)659.08548.09461.16418.523656.02
Book Value[Incl.RevalReserv]/Share (Rs.)659.08548.09461.16418.523656.02
Revenue From Operations / Share (Rs.)603.94528.05376.66319.083352.96
PBDIT / Share (Rs.)197.33147.6795.5881.76997.65
PBIT / Share (Rs.)175.50128.4379.0565.27857.90
PBT / Share (Rs.)173.64127.4078.3664.66850.98
Net Profit / Share (Rs.)129.7895.0259.1248.14657.78
NP After MI And SOA / Share (Rs.)146.13106.5461.3249.28669.39
PBDIT Margin (%)32.6727.9625.3725.6229.75
PBIT Margin (%)29.0524.3220.9820.4525.58
PBT Margin (%)28.7524.1220.8020.2625.38
Net Profit Margin (%)21.4817.9915.6915.0819.61
NP After MI And SOA Margin (%)24.1920.1716.2815.4419.96
Return on Networth / Equity (%)22.1719.4313.2911.7718.30
Return on Capital Employeed (%)24.6022.0016.3514.9522.46
Return On Assets (%)17.2915.1710.349.2514.67
Long Term Debt / Equity (X)0.010.000.000.000.00
Total Debt / Equity (X)0.010.010.000.010.01
Asset Turnover Ratio (%)0.780.850.700.680.82
Current Ratio (X)1.151.141.883.353.15
Quick Ratio (X)0.760.741.503.022.87
Inventory Turnover Ratio (X)6.497.656.507.538.10
Dividend Payout Ratio (NP) (%)25.3119.7027.710.0037.34
Dividend Payout Ratio (CP) (%)22.0216.6921.830.0030.89
Earning Retention Ratio (%)74.6980.3072.290.0062.66
Cash Earning Retention Ratio (%)77.9883.3178.170.0069.11
Interest Coverage Ratio (X)106.19144.14139.14135.83144.26
Interest Coverage Ratio (Post Tax) (X)70.8493.7587.0780.9996.11
Enterprise Value (Cr.)110181.8180025.1864605.0765487.5432921.90
EV / Net Operating Revenue (X)6.665.546.277.513.60
EV / EBITDA (X)20.3919.8124.7229.3112.09
MarketCap / Net Operating Revenue (X)6.665.596.538.163.90
Retention Ratios (%)74.6880.2972.280.0062.65
Price / BV (X)6.105.385.346.223.58
Price / Net Operating Revenue (X)6.665.596.538.163.90
EarningsYield0.030.030.020.010.05

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of as of December 22, 2024 is: 5,153.32

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of December 22, 2024, is Undervalued by 8.86% compared to the current share price 4,734.00

Intrinsic Value of as of December 22, 2024 is: 6,024.72

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of December 22, 2024, is Undervalued by 27.26% compared to the current share price 4,734.00

Last 5 Year EPS CAGR: 16.91%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 32.00%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -28.42, which is a positive sign.
  3. The stock has a low average Cash Conversion Cycle of -31.42, which is a positive sign.
  4. The company has higher reserves (8,997.08 cr) compared to borrowings (178.85 cr), indicating strong financial stability.
  5. The company has shown consistent growth in sales (8.92 cr) and profit (190.50 cr) over the years.
    • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in :
      1. Net Profit Margin: 21.48%
        • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
      2. ROCE: 24.6% (Industry Average ROCE: 22.52%)
        • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
      3. ROE%: 22.17% (Industry Average ROE: 20.19%)
        • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
      4. Interest Coverage Ratio (Post Tax): 70.84
        • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
      5. Quick Ratio: 0.76
        • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
      6. Stock P/E: 30.4 (Industry average Stock P/E: 50.6)
        • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
      7. Total Debt / Equity: 0.01
        • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
      The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
      Stock Rating:

    About the Company - Qualitative Analysis

    Eicher Motors Ltd. is a Public Limited Listed company incorporated on 14/10/1982 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L34102DL1982PLC129877 and registration number is 129877. Currently Company is involved in the business activities of Manufacture of motorcycles. Company’s Total Operating Revenue is Rs. 10122.86 Cr. and Equity Capital is Rs. 27.34 Cr. for the Year ended 31/03/2022.
    INDUSTRYADDRESSCONTACT
    Auto - 2 & 3 Wheelers3rd Floor, New Delhi Delhi 110017investors@eichermotors.com
    http://www.eichermotors.com
    Management
    NamePosition Held
    Mr. Srinivasan SandilyaChairman & Ind.Dire (Non-Exe)
    Mr. Siddhartha Vikram LalManaging Director & CEO
    Mr. Govindarajan BalakrishnanWhole Time Director
    Mr. Vinod AggarwalNon Executive Director
    Mr. Inder Mohan SinghInd. Non-Executive Director
    Ms. Manvi SinhaInd. Non-Executive Director
    Mr. S MadhavanInd. Non-Executive Director
    Mr. Tejpreet S ChopraInd. Non-Executive Director

    FAQ

    What is the latest intrinsic value of ?

    The latest intrinsic value of as on 22 December 2024 is ₹5153.32, which is 8.86% higher than the current market price of ₹4,734.00. The stock has a market capitalization of 1,29,788 Cr. and recorded a high/low of 5,105/3,562 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹18,952 Cr and total liabilities of ₹24,380 Cr.

    What is the Market Cap of ?

    The Market Cap of is 1,29,788 Cr..

    What is the current Stock Price of as on 22 December 2024?

    The current stock price of as on 22 December 2024 is 4,734.

    What is the High / Low of stocks in FY 2024-2025?

    In FY 2024-2025, the High / Low of stocks is 5,105/3,562.

    What is the Stock P/E of ?

    The Stock P/E of is 30.4.

    What is the Book Value of ?

    The Book Value of is 693.

    What is the Dividend Yield of ?

    The Dividend Yield of is 1.08 %.

    What is the ROCE of ?

    The ROCE of is 31.1 %.

    What is the ROE of ?

    The ROE of is 24.2 %.

    What is the Face Value of ?

    The Face Value of is 1.00.

    About the Author

    Author Avatar
    Getaka

    Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

    Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in . Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE