Why is Engineers India Ltd. ?
1
High Management Efficiency with a high ROE of 17.80%
2
The company is Net-Debt Free
3
Poor long term growth as Net Sales has grown by an annual rate of 2.57% and Operating profit at 11.56% over the last 5 years
4
Flat results in Jun 26
- PBT LESS OI(Q) At Rs 158.65 cr has Fallen at -13.3% (vs previous 4Q average)
- NET SALES(Q) Lowest at Rs 819.84 cr
- PAT(Q) At Rs 157.94 cr has Fallen at -8.7% (vs previous 4Q average)
5
With ROE of 22, it has a Expensive valuation with a 4.8 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 38.00%, its profits have risen by 41.7% ; the PEG ratio of the company is 0.5
6
High Institutional Holdings at 23.43%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 1.55% over the previous quarter.
7
Consistent Returns over the last 3 years
- Along with generating 38.00% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
How much should you hold?
- Overall Portfolio exposure to Engineers India should be less than 10%
- Overall Portfolio exposure to Construction should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Engineers India for you?
High Risk, High Return
Absolute
Risk Adjusted
Volatility
Engineers India
38.0%
0.89
42.67%
Sensex
-9.4%
-0.70
13.49%
Quality key factors
Factor
Value
Sales Growth (5y)
2.57%
EBIT Growth (5y)
11.56%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.45
Sales to Capital Employed (avg)
1.48
Tax Ratio
21.16%
Dividend Payout Ratio
38.78%
Pledged Shares
0
Institutional Holding
23.43%
ROCE (avg)
52.43%
ROE (avg)
17.80%
Valuation Key Factors 
Factor
Value
P/E Ratio
20
Industry P/E
35
Price to Book Value
5.09
EV to EBIT
20.58
EV to EBITDA
19.45
EV to Capital Employed
8.51
EV to Sales
3.76
PEG Ratio
0.49
Dividend Yield
0.88%
ROCE (Latest)
38.14%
ROE (Latest)
21.98%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
Mildly Bearish
Mildly Bullish
OBV
No Trend
Bullish
Technical Movement
8What is working for the Company
ROCE(HY)
Highest at 29.39%
PAT(9M)
Higher at Rs 700.64 Cr
CASH AND CASH EQUIVALENTS(HY)
Highest at Rs 1,363.90 cr
-6What is not working for the Company
PBT LESS OI(Q)
At Rs 158.65 cr has Fallen at -13.3% (vs previous 4Q average
NET SALES(Q)
Lowest at Rs 819.84 cr
PAT(Q)
At Rs 157.94 cr has Fallen at -8.7% (vs previous 4Q average
Loading Valuation Snapshot...
Here's what is working for Engineers India
Cash and Cash Equivalents - Half Yearly
Highest at Rs 1,363.90 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Here's what is not working for Engineers India
Net Sales - Quarterly
At Rs 819.84 cr has Fallen at -16.5% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 982.05 CrMOJO Watch
Near term sales trend is very negative
Net Sales (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 158.65 cr has Fallen at -13.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 183.09 CrMOJO Watch
Near term PBT trend is very negative
PBT less Other Income (Rs Cr)
Net Sales - Quarterly
Lowest at Rs 819.84 cr
in the last five quartersMOJO Watch
Near term sales trend is negative
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 157.94 cr has Fallen at -8.7% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 172.90 CrMOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)






