ScoreWhy is Eicher Motors Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 20.03%
- Healthy long term growth as Net Sales has grown by an annual rate of 23.09% and Operating profit at 32.76%
- Company has a low Debt to Equity ratio (avg) at 0 times
2
Positive results in Dec 25
- NET SALES(Latest six months) At Rs 12,285.63 cr has Grown at 33.02%
- ROCE(HY) Highest at 29.14%
- PBDIT(Q) Highest at Rs 1,556.72 cr.
3
High Institutional Holdings at 41.75%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
4
Company is among the highest 1% of companies rated by MarketsMojo across all 4,000 stocks
5
Market Beating performance in long term as well as near term
- Along with generating 26.23% returns in the last 1 year, the stock has outperformed BSE500 in the last 3 years, 1 year and 3 months
6
With its market cap of Rs 1,89,569 cr, it is the second biggest company in the sector (behind Bajaj Auto)and constitutes 25.03% of the entire sector
- Its annual Sales of Rs 22,568.58 are 12.33% of the industry
Real-Time Research ReportHow much should you buy?
- Overall Portfolio exposure to Eicher Motors should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Eicher Motors for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Eicher Motors
26.23%
1.15
22.80%
Sensex
-5.47%
-0.43
12.65%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
23.09%
EBIT Growth (5y)
32.76%
EBIT to Interest (avg)
85.09
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.12
Sales to Capital Employed (avg)
0.89
Tax Ratio
21.61%
Dividend Payout Ratio
34.90%
Pledged Shares
0
Institutional Holding
41.75%
ROCE (avg)
21.84%
ROE (avg)
20.03%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
34
Industry P/E
31
Price to Book Value
8.31
EV to EBIT
38.33
EV to EBITDA
32.71
EV to Capital Employed
9.30
EV to Sales
8.01
PEG Ratio
1.58
Dividend Yield
1.05%
ROCE (Latest)
22.61%
ROE (Latest)
23.12%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bearish
Mildly Bullish
Moving Averages
Mildly Bullish (Daily)
KST
Mildly Bearish
Bullish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
NET SALES(Latest six months)
At Rs 12,285.63 cr has Grown at 33.02%
ROCE(HY)
Highest at 29.14%
PBDIT(Q)
Highest at Rs 1,556.72 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 25.46%
PBT LESS OI(Q)
Highest at Rs 1,511.29 cr.
PAT(Q)
Highest at Rs 1,464.54 cr.
EPS(Q)
Highest at Rs 51.79
0What is not working for the Company
NO KEY NEGATIVE TRIGGERS
Loading Valuation Snapshot...
Here's what is working for Eicher Motors
Net Sales - Latest six months
At Rs 12,285.63 cr has Grown at 33.02%
Year on Year (YoY)MOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 1,556.72 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 25.46%
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 1,511.29 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 1,511.29 cr has Grown at 20.0% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 1,258.96 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 1,464.54 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 51.79
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
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