Mehabe score: 5 G Factor: 4 Piotski Score: 5 The stock has a rating HOLD. The mehabe team score is reflective of its fundamental and technical merits. A rating above 8 is considered good buy. The stock has a G-Factor of 4 and Piotski score of 5.
Description
Autoline Industries Ltd was incorporated on December 16, 1996, as Autoline Stampings Private Ltd., was set up in January 1995 as a partnership firm known as “Autoline Pressings” under Indian Partnership Act 1932. [1]
It is engaged in manufacturing sheet metal components, assemblies, and sub-assemblies Foot Control Modules, parking brakes, hinges, etc. for large OEMs in the Automobile Industry. The Company is catering to global OEM’s supplying over 1500 products getting assembled into different passenger cars and commercial vehicles.Site:AUTOINDMain Symbol:AUTOIND
Stock trades at 56.3, above its 50dma 55.45. It also trades above its 200dma 45.09. The stock remains bullish on techicals
The 52 week high is at 79.40 and the 52week low is at 25.85
Price Chart
P/E Chart
Sales and Margin
Strengths
– is expected to give good quarter
Weakness
– Stock is trading at 10.07 times its book value
– has low interest coverage ratio.
-The company has delivered a poor sales growth of -1.76% over past five years.
-Promoter holding is low: 31.64%
– has a low return on equity of -82.56% for last 3 years.
-Earnings include an other income of Rs.6.82 Cr.
-Debtor days have increased from 41.31 to 57.27 days.
Competition
– The industry trades at a mean P/E of 22.5x. WABCO India trades at the industry’s max P/E of 91.76x. AUTOIND trades at a P/E of x
– Industry’s mean G-Factor is 3.1 while the mean Piotski score is 7.0. AUTOIND has a G-Factor of 4 and Piotski scoreof 5.
– Average 1 month return for industry is 2.2%. The max 1- month return was given by Endurance Tech.: a return of 14.91 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 80.31 cr compared to Rs 12.81 cr for period ended Jun 2020, a rise of 526.9%
Company reported operating profit of Rs 2.01 cr for period ended Jun 2021, operating profit margin at 2.5 %.
Operating profit was negative for the same period last year thus company has improved its margins this year
The EPS for Jun 2021 was Rs -1.15 compared to Rs -0.28 for previous quarter ended Mar 2021 and Rs -5.52 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 352.0 cr for period ended TTM vis-vis sales of Rs 285.0 cr for the period ended Mar 2021, a healthy growth of 19.0%. The 3 year sales cagr stood at -8.0%.
Operating margins expanded to 4.0% for period ended TTM vis-vis 3.0% for period ended Mar 2021, expansion of 100.0 bps.
Net Profit reported at Rs -28.0 cr for period ended TTM vis-vis sales of Rs -42.0 cr for the period ended Mar 2021, rising 0%.
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The company has worsened on its Return on Equity (RoE) metric. The RoE on Last Year basis was -140.0% compared to -83.0% over the last 3 Years. – The stock has given a return of 105% on a 1 Year basis vis-vis a return of -2% over the last 3 Years. – The compounded sales growth on a TTM bassis is 52% vis-vis a compounded sales growth of -10% over the last 3 Years. – The compounded profit growth on a TTM basis is 48% vis-vis a compounded profit growth of 9% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Sep 2021 public holding stood at 48.61% vis-vis 48.61% for Jun 2021
Conclusion
– is expected to give good quarter – Stock is trading at 10.07 times its book value
– has low interest coverage ratio.
-The company has delivered a poor sales growth of -1.76% over past five years.
-Promoter holding is low: 31.64%
– has a low return on equity of -82.56% for last 3 years.
-Earnings include an other income of Rs.6.82 Cr.
-Debtor days have increased from 41.31 to 57.27 days.
The business fundamentals of the stock remain stable. Stronger near term results will build interest in the stock. We suggest to wait for a upturn in business performance.
Technically, the stock remains above its 50 DMA 55.45 and is trading at 56.3, thus bullish price action wise.
