Why is Motherson Sumi Wiring India Ltd ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 35.94%
- Healthy long term growth as Net Sales has grown by an annual rate of 19.46%
- Company has a Debt to Equity ratio (avg) of 0.07 times
2
Flat results in Mar 26
- ROCE(HY) Lowest at 35.41%
- DEBTORS TURNOVER RATIO(HY) Lowest at 6.07 times
3
With ROE of 28.9, it has a Fair valuation with a 13 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 14.44%, its profits have risen by 3.2% ; the PEG ratio of the company is 10.7
4
High Institutional Holdings at 27.18%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
How much should you hold?
- Overall Portfolio exposure to Motherson Wiring 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 Motherson Wiring for you?
Medium Risk, High Return
Absolute
Risk Adjusted
Volatility
Motherson Wiring
14.44%
0.48
30.18%
Sensex
-3.74%
-0.28
13.48%
Quality key factors
Factor
Value
Sales Growth (5y)
19.46%
EBIT Growth (5y)
7.81%
EBIT to Interest (avg)
28.39
Debt to EBITDA (avg)
0.33
Net Debt to Equity (avg)
0.08
Sales to Capital Employed (avg)
4.26
Tax Ratio
23.93%
Dividend Payout Ratio
25.54%
Pledged Shares
0
Institutional Holding
27.18%
ROCE (avg)
44.03%
ROE (avg)
35.94%
Valuation Key Factors 
Factor
Value
P/E Ratio
45
Industry P/E
38
Price to Book Value
13.04
EV to EBIT
33.60
EV to EBITDA
26.75
EV to Capital Employed
12.20
EV to Sales
2.47
PEG Ratio
10.66
Dividend Yield
NA
ROCE (Latest)
36.30%
ROE (Latest)
28.92%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Bearish
Bullish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
8What is working for the Company
NET SALES(Q)
Highest at Rs 3,334.62 cr
PAT(Q)
Highest at Rs 167.30 cr.
EPS(Q)
Highest at Rs 0.25
-5What is not working for the Company
ROCE(HY)
Lowest at 35.41%
DEBTORS TURNOVER RATIO(HY)
Lowest at 6.07 times
Loading Valuation Snapshot...
Here's what is working for Motherson Wiring
Net Sales - Quarterly
Highest at Rs 3,334.62 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Net Sales - Quarterly
At Rs 3,334.62 cr has Grown at 25.2% (vs previous 4Q average)
over average Net Sales of the previous four quarters of Rs 2,663.12 CrMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
Highest at Rs 167.30 cr.
in the last five quartersMOJO Watch
Near term PAT trend is positive
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Highest at Rs 0.25
in the last five quartersMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (Rs)
Here's what is not working for Motherson Wiring
Debtors Turnover Ratio- Half Yearly
Lowest at 6.07 times and Fallen
each half year in the last five half yearly periodsMOJO Watch
Company's pace of settling its Debtors has slowed
Debtors Turnover Ratio






