Is SKF India overvalued or undervalued?

As of May 12, 2025, SKF India is considered very expensive and overvalued with a PE ratio of 41.19, despite a commendable ROE of 21.78%, and has underperformed the market with a 1-year return of -23.75%.

As of 12 May 2025, the valuation grade for SKF India has moved from expensive to very expensive. The company is currently considered overvalued. Key ratios include a PE ratio of 41.19, an EV to EBITDA of 31.24, and a Price to Book Value of 8.97. In comparison to its peers, Schaeffler India has a significantly higher PE ratio of 68.74, while Timken India also shows a high PE of 55.53, indicating that SKF India, despite being very expensive, is relatively more attractively priced than these competitors.<BR><BR>Additionally, SKF India's return on equity (ROE) stands at 21.78%, which is commendable, but the high valuation ratios suggest that the market may have priced in excessive growth expectations. The recent stock performance shows a 1-year return of -23.75%, contrasting with the Sensex's positive return of 7.62%, further supporting the conclusion that SKF India is overvalued in the current market environment.

What does SKF India do?

SKF India Ltd. is a leading manufacturer of ball bearings and part of the global supplier AB SKF, with a market cap of Rs 23,265 Cr. As of March 2025, it reported net sales of 1,213 Cr and a net profit of 203 Cr.

Overview:<BR>SKF India Ltd. is a leading manufacturer of ball bearings and a part of the global supplier AB SKF, operating in the Industrial Products sector and classified as a Large Cap company.<BR><BR>History:<BR>SKF India was incorporated as a pioneer in ball bearing manufacturing in India. The latest quarterly results reported are for March 2025, showing net sales and profit figures.<BR><BR>Financial Snapshot:<BR>- Net Sales: 1,213 Cr (Quarterly Results - Mar 2025)<BR>- Net Profit: 203 Cr (Quarterly Results - Mar 2025)<BR>- Market Cap: Rs 23,265 Cr (Large Cap)<BR><BR>Key Metrics:<BR>- P/E: 41.00<BR>- Industry P/E: 55<BR>- Dividend Yield: 2.84%<BR>- Debt Equity: -0.27<BR>- Return on Equity: 21.78%<BR>- Price to Book: 9.04<BR><BR>Contact Details:<BR>Address: Mahatma Gandhi Memorial Buildg, Netaji Subhash Road Mumbai Maharashtra : 400002<BR>Tel: 91-22-66337777<BR>Email: investors@skf.com<BR>Website: http://www.skf.com/in

Who are in the management team of SKF India?

As of March 2022, the management team of SKF India includes Manish Bhatnagar (Managing Director), Gopal Subramanyam (Chairman & Independent Director), Anu Wakhlu (Independent Director), Ranjan Kumar (Company Secretary), Shailesh Sharma (Whole-time Director), David Leif Henning Johansson (Director), and Karl Robin Joakim Landholm (Director). They are responsible for overseeing the company's operations and governance.

As of March 2022, the management team of SKF India includes the following individuals:<BR><BR>1. Manish Bhatnagar - Managing Director<BR>2. Gopal Subramanyam - Chairman & Independent Director<BR>3. Anu Wakhlu - Independent Director<BR>4. Ranjan Kumar - Company Secretary & Compliance Officer<BR>5. Shailesh Sharma - Whole-time Director<BR>6. David Leif Henning Johansson - Director<BR>7. Karl Robin Joakim Landholm - Director<BR><BR>These members play various roles in overseeing the company's operations and governance.

Has SKF India declared dividend?

Yes, SKF India Ltd. has declared a dividend of 1300% (₹130 per share) with an ex-date of July 4, 2024. Despite recent price volatility, the company has shown significant total returns over the long term, particularly a 240.76% total return over the past 5 years.

SKF India Ltd. has declared a dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 1300%<BR>- Amount per share: 130 per share<BR>- Ex-date: 04 Jul 2024<BR><BR>Dividend Yield: 2.84%.<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -7.13%, with no dividend return, resulting in a total return of -7.13%.<BR><BR>Over the past year, the price return was -22.71%, with a dividend return of 2.11%, leading to a total return of -20.6%.<BR><BR>In the 2-year period, the price return was 1.56%, the dividend return was 3.54%, culminating in a total return of 5.1%.<BR><BR>For the 3-year period, the price return was 36.49%, the dividend return was 5.76%, resulting in a total return of 42.25%.<BR><BR>In the last 4 years, the price return was 96.96%, with a dividend return of 7.72%, leading to a total return of 104.68%.<BR><BR>Over the past 5 years, the price return was 221.01%, the dividend return was 19.75%, resulting in a total return of 240.76%.<BR><BR>Overall, SKF India has declared a substantial dividend, and while recent price returns have shown volatility, the longer-term total returns reflect significant growth, particularly over the 5-year period.

Who are the peers of the SKF India?

Peers of SKF India include Timken India, Grindwell Norton, Carborundum Uni., and others. SKF India has excellent capital structure but below-average growth, with a 1-year return of -23.87%, while Prec. Wires (I) leads with a 45.75% return.

Peers: The peers of SKF India are Timken India, Grindwell Norton, Carborundum Uni., Borosil Renew., Prec. Wires (I), Pix Transmission, Apcotex Industri, Wendt India, Tinna Rubber.<BR><BR>Quality Snapshot: Excellent management risk is observed at SKF India and Apcotex Industri, while Good management risk is found at Timken India, Grindwell Norton, Carborundum Uni., Wendt India, and Tinna Rubber, and the rest have Average management risk. Growth is Excellent at Apcotex Industri, while Average growth is noted at Prec. Wires (I) and the rest, with Below Average growth at SKF India, Timken India, Grindwell Norton, Carborundum Uni., Pix Transmission, Borosil Renew., Wendt India, and Tinna Rubber. Excellent capital structure is seen at SKF India, Timken India, Grindwell Norton, Carborundum Uni., Pix Transmission, and Apcotex Industri, while Average capital structure is noted at Borosil Renew. and Tinna Rubber, and the rest have Good capital structure.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Prec. Wires (I) at 45.75%, while the lowest is Carborundum Uni. at -40.69%, and SKF India's own 1-year return is -23.87%, which is higher than Carborundum Uni. but lower than Prec. Wires (I). Additionally, several peers including Grindwell Norton, Carborundum Uni., Wendt India, and Tinna Rubber have negative six-month returns.

Who are the top shareholders of the SKF India?

The top shareholders of SKF India include Ab Skf with 45.85%, mutual funds holding 23.1% (led by HDFC Mid-cap Opportunities Fund at 9.76%), Foreign Institutional Investors with 8.22%, and individual investors at 9.63%. There are no pledged promoter holdings, reflecting strong promoter commitment.

The top shareholders of SKF India include several key players. The majority shareholder is Ab Skf, holding 45.85% of the shares. Additionally, mutual funds collectively hold 23.1% of the company, with HDFC Mutual Fund's HDFC Mid-cap Opportunities Fund being the highest public shareholder at 9.76%. Foreign Institutional Investors (FIIs) own 8.22% of the shares, and individual investors account for 9.63%. Notably, there are no pledged promoter holdings, indicating a strong commitment from the promoters.

How big is SKF India?

As of 24th July, SKF India Ltd. has a market capitalization of 24,676.00 Cr, with recent net sales of 4,919.92 Cr and a net profit of 565.90 Cr. The company has shareholder's funds of 2,597.97 Cr and total assets of 3,524.68 Cr.

As of 24th July, SKF India Ltd. has a market capitalization of 24,676.00 Cr, categorizing it as a Large Cap company.<BR><BR>In the latest four quarters, SKF India reported Net Sales of 4,919.92 Cr and a Net Profit of 565.90 Cr.<BR><BR>For the reporting period of March 2025, the company has Shareholder's Funds amounting to 2,597.97 Cr and Total Assets of 3,524.68 Cr.

When is the next results date for SKF India?

The next results date for SKF India is 06 August 2025.

The next results date for SKF India is scheduled for 06 August 2025.

Are SKF India latest results good or bad?

SKF India's latest results show mixed performance: while net sales reached a five-quarter high of Rs 1,283.15 crore, profit after tax declined by 16.4%, and operating cash flow hit a three-year low, indicating concerns about overall financial health despite improved sales.

SKF India's latest financial results indicate a mixed performance, with both positive and negative aspects to consider. On the one hand, the company achieved its highest quarterly net sales in the last five quarters, totaling Rs 1,283.15 crore, reflecting a 5.75% growth compared to the previous quarter. This is a positive sign for the company's sales trajectory.<BR><BR>However, several concerning metrics highlight a decline in overall performance. The profit after tax (PAT) for the quarter is Rs 118.21 crore, which represents a significant decline of 16.4% compared to the average PAT of the previous four quarters. Additionally, the profit before tax (PBT) also decreased by 9.5% from the previous average. <BR><BR>The operating cash flow has reached its lowest point in three years at Rs 203.09 crore, and the debtors turnover ratio has fallen to 5.80 times, suggesting a slowdown in the collection of receivables. Furthermore, the annual dividend per share has decreased to Rs 14.50, marking the lowest payout in five years.<BR><BR>Overall, while SKF India has shown improvement in sales, the decline in profitability and cash flow raises concerns about its financial health. This mixed performance suggests that while there are positive sales figures, the overall results lean towards a negative trend.

How has been the historical performance of SKF India?

SKF India has shown consistent growth in net sales and profits, with net sales increasing from INR 2,670.73 crore in March 2021 to INR 4,919.92 crore in March 2025, alongside rising profits before and after tax. However, total liabilities have also increased, indicating higher financial obligations.

Answer:<BR>The historical performance of SKF India shows a consistent growth trend in net sales and profits over the years.<BR><BR>Breakdown:<BR>SKF India's net sales have increased from INR 2,670.73 crore in March 2021 to INR 4,919.92 crore in March 2025, reflecting a strong upward trajectory. Total operating income has followed a similar pattern, rising from INR 2,670.73 crore to INR 4,919.92 crore during the same period. The company's operating profit, excluding other income, has also shown growth, reaching INR 723.27 crore in March 2025, up from INR 420.06 crore in March 2021. Profit before tax has increased from INR 396.29 crore in March 2021 to INR 763.03 crore in March 2025, while profit after tax has grown from INR 297.73 crore to INR 565.74 crore. The earnings per share have improved significantly from INR 60.21 in March 2021 to INR 114.46 in March 2025. However, total liabilities have also increased, from INR 2,282.70 crore in March 2021 to INR 3,524.68 crore in March 2025, indicating a rise in financial obligations. Cash flow from operating activities has fluctuated, peaking at INR 690 crore in March 2023 but dropping to INR 203 crore in March 2025. Overall, SKF India has demonstrated robust growth in sales and profitability, despite facing challenges in cash flow management.

Should I buy, sell or hold SKF India?

Is SKF India technically bullish or bearish?

As of November 18, 2025, the technical trend is bullish, supported by positive MACD and KST indicators, although bearish RSI readings indicate some caution in momentum.

As of 18 November 2025, the technical trend has changed from mildly bullish to bullish. The current stance is bullish, supported by the weekly and monthly MACD and KST indicators, which are both bullish. Daily moving averages also confirm a bullish outlook. However, the weekly and monthly RSI readings are bearish, indicating some weakness in momentum. Bollinger Bands show a mildly bullish trend on both weekly and monthly time frames. Despite the recent price drop from the previous close, the overall technical indicators suggest a bullish sentiment, albeit with caution due to the bearish RSI.

Why is SKF India Ltd falling/rising?

As of 28-Dec, SKF India Ltd's stock price is falling, down 0.64% despite a strong year-to-date increase of 92.42%. Recent trends show a decline in performance, attributed to slight profit drops and cautious market sentiment, even as investor participation has increased.

As of 28-Dec, SKF India Ltd's stock price is currently falling, with a change of -11.55 (-0.64%). Despite a strong year-to-date performance, where the stock has risen by 92.42%, recent trends indicate a decline. Over the past month, the stock has decreased by 8.69%, contrasting with a slight increase in the benchmark Sensex of -0.66%. <BR><BR>Today's performance shows that SKF India Ltd has underperformed its sector by 0.33%. Although the stock is trading above its 5-day, 100-day, and 200-day moving averages, it is below its 20-day and 50-day moving averages, suggesting some short-term weakness. <BR><BR>Investor participation has increased, as indicated by a significant rise in delivery volume, which was up by 91.42% against the 5-day average. However, this increase in trading activity has not translated into a positive price movement today. <BR><BR>While the company boasts high management efficiency with a return on equity (ROE) of 21.98% and a low debt-to-equity ratio, the stock's recent price decline may be attributed to a slight drop in profits of -0.8% over the past year, despite the impressive overall return of 93.03%. The stock is also trading at a discount compared to its peers, which may indicate that market sentiment is currently cautious. <BR><BR>In summary, the combination of recent underperformance, profit declines, and relative price movements against benchmarks has contributed to the current fall in SKF India Ltd's stock price.

Which are the latest news on SKF India?