Why is Automotive Axles Ltd ?
1
High Management Efficiency with a high ROE of 17.00%
2
Company has a low Debt to Equity ratio (avg) at 0 times
3
Healthy long term growth as Net Sales has grown by an annual rate of 26.15% and Operating profit at 134.23%
4
With ROE of 16.4, it has a Attractive valuation with a 2.9 Price to Book Value
- The stock is trading at a fair value compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 10.89%, its profits have risen by 7.7% ; the PEG ratio of the company is 2.3
5
Majority shareholders : Promoters
How much should you buy?
- Overall Portfolio exposure to Automotive Axles should be less than 10%
- Overall Portfolio exposure to Auto Components & Equipments should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Auto Components & Equipments)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Automotive Axles for you?
High Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Automotive Axles
10.89%
0.34
31.70%
Sensex
7.07%
0.61
11.53%
Quality key factors
Factor
Value
Sales Growth (5y)
26.15%
EBIT Growth (5y)
134.23%
EBIT to Interest (avg)
71.47
Debt to EBITDA (avg)
0.26
Net Debt to Equity (avg)
-0.16
Sales to Capital Employed (avg)
2.18
Tax Ratio
25.27%
Dividend Payout Ratio
29.10%
Pledged Shares
0
Institutional Holding
15.26%
ROCE (avg)
18.97%
ROE (avg)
17.00%
Valuation Key Factors 
Factor
Value
P/E Ratio
18
Industry P/E
38
Price to Book Value
2.92
EV to EBIT
14.78
EV to EBITDA
12.46
EV to Capital Employed
3.29
EV to Sales
1.34
PEG Ratio
2.31
Dividend Yield
1.57%
ROCE (Latest)
21.51%
ROE (Latest)
16.44%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Sideways
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
6What is working for the Company
NET SALES(Q)
Highest at Rs 562.29 cr
PBDIT(Q)
Highest at Rs 63.88 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 11.36%
PBT LESS OI(Q)
Highest at Rs 54.57 cr.
PAT(Q)
Highest at Rs 47.89 cr.
-3What is not working for the Company
ROCE(HY)
Lowest at 20.97%
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 14.30 cr
Loading Valuation Snapshot...
Here's what is working for Automotive Axles
Net Sales - Quarterly
Highest at Rs 562.29 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 63.88 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 11.36%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 54.57 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 47.89 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 47.89 cr has Grown at 21.0%
Year on Year (YoY)MOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Here's what is not working for Automotive Axles
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 14.30 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents






