Sterling Tools

Why is Sterling Tools Ltd. falling/rising?

As of 09-Aug, Sterling Tools Ltd. is facing a stock price decline to 244.85, down 0.73%, and has underperformed against the Sensex, which rose by 0.52%. The stock shows bearish trends with recent consecutive declines and selling pressure, despite increased investor participation.

As of 09-Aug, Sterling Tools Ltd. is experiencing a decline in its stock price, currently at 244.85, which reflects a change of -1.8 or -0.73%. The stock has been underperforming compared to the benchmark Sensex, which has risen by 0.52% over the past week, while Sterling Tools Ltd. has fallen by 2.57%. <BR><BR>The stock has also shown a consecutive decline over the last two days, with a total drop of 4.35% during this period. Intraday trading indicates volatility, with the stock reaching a high of Rs 254.6, but also dipping to a low of Rs 241.3. The weighted average price suggests that more volume was traded closer to the lower price, indicating selling pressure.<BR><BR>In terms of moving averages, the stock is currently above the 50-day and 100-day moving averages but below the 5-day, 20-day, and 200-day moving averages, which may suggest a bearish trend in the short term. Despite a rise in investor participation, with delivery volume increasing by 11.12% against the 5-day average, the overall performance remains weak, contributing to the stock's decline. <BR><BR>Overall, the combination of recent performance trends, underperformance relative to the market, and selling pressure appears to be driving the stock price of Sterling Tools Ltd. lower.

Which are the latest news on Sterling Tools?

Are Sterling Tools Ltd. latest results good or bad?

Sterling Tools Ltd.'s latest results are unfavorable, showing an 11.45% revenue increase but a 34.82% decline in net profit, alongside decreased operating and profit margins, indicating significant operational challenges. The high effective tax rate further exacerbates concerns about the company's financial health.

Sterling Tools Ltd.'s latest results indicate a challenging financial situation. While the company reported an 11.45% increase in revenue year-on-year, net profit saw a significant decline of 34.82%, dropping to ₹5.86 crores from ₹8.99 crores in the same quarter last year. This stark contrast highlights a troubling trend where revenue growth is not translating into profitability.<BR><BR>Additionally, the operating margin decreased to 10.59%, down from 11.47% a year ago, and the profit after tax margin fell to 2.74%, down from 4.68%. These figures suggest that the company is facing increasing cost pressures and is struggling to maintain pricing power.<BR><BR>The effective tax rate also surged to an unusually high 54.43%, which has further impacted net profitability. This raises concerns about the company's tax planning and overall financial health.<BR><BR>Overall, while there is some positive momentum in revenue growth, the sharp decline in net profit and the erosion of margins indicate that the results are more negative than positive. The company is grappling with significant operational challenges, making the latest results appear unfavorable.

Should I buy, sell or hold Sterling Tools Ltd.?

When is the next results date for Sterling Tools Ltd.?

The next results date for Sterling Tools Ltd. is 05 August 2026.

The next results date for Sterling Tools Ltd. is scheduled for 05 August 2026.

How big is Sterling Tools?

As of 10th June, Sterling Tools Ltd. has a market capitalization of 785.00 Cr and reported net sales of 827.81 Cr and a net profit of 29.33 Cr over the latest four quarters.

As of 10th June, <BR><BR>Market Cap: Sterling Tools Ltd. has a market capitalization of 785.00 Cr, categorizing it as a Micro Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 827.81 Cr, while the sum of Net Profit for the same period is 29.33 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period for the latest annual data is March 2025. Shareholder's Funds are valued at 499.67 Cr, and Total Assets amount to 786.48 Cr.

Who are in the management team of Sterling Tools?

The management team of Sterling Tools includes Anil Aggarwal (Chairman & Managing Director), Atul Aggarwal (Whole-time Director), and several independent and non-executive directors, bringing diverse expertise to the company.

The management team of Sterling Tools includes the following key individuals:<BR><BR>1. **Anil Aggarwal** - Chairman & Managing Director<BR>2. **Atul Aggarwal** - Whole-time Director<BR>3. **T N Kapoor** - Independent Non-Executive Director<BR>4. **Chhotu Ram Sharma** - Independent Non-Executive Director<BR>5. **Malini Sud** - Independent Non-Executive Woman Director<BR>6. **Shailendra Swarup** - Independent Non-Executive Director<BR>7. **Rakesh Batra** - Independent Non-Executive Director<BR>8. **Jaideep Wadhwa** - Non-Executive & Non-Independent Director<BR>9. **Akhill Aggarwal** - Non-Executive & Non-Independent Director<BR><BR>This team brings a diverse range of experience and expertise to the company.

Who are the peers of the Sterling Tools?

Peers of Sterling Tools include Alicon Cast., Munjal Auto Inds, Menon Bearings, and others. Sterling Tools has below-average growth and the lowest 1-year return among its peers at -45.68%.

Peers: The peers of Sterling Tools are Alicon Cast., Munjal Auto Inds, Menon Bearings, Pradeep Metals, Automotive Stamp, IST, Enkei Wheels, Hind.Composites, Z F Steering, and Veljan Denison.<BR><BR>Quality Snapshot: Excellent management risk is observed at Alicon Cast. and Menon Bearings, while Average management risk is found at Munjal Auto Inds, Pradeep Metals, Automotive Stamp, Hind.Composites, and Veljan Denison, and the rest. Below Average management risk is present at IST, Enkei Wheels, and Z F Steering. Growth is Excellent at Enkei Wheels, Good at Automotive Stamp and Menon Bearings, Average at Alicon Cast., Pradeep Metals, and Hind.Composites, Below Average at Munjal Auto Inds, IST, and Sterling Tools, and the rest. Capital Structure is Excellent at IST, Sterling Tools, Hind.Composites, and Veljan Denison, Average at Alicon Cast., Pradeep Metals, and the rest, and Below Average at Automotive Stamp, Enkei Wheels, and Z F Steering.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Pradeep Metals at 89.63%, while the lowest is Sterling Tools at -45.68%. Sterling Tools' 1-year return is significantly lower than its peers. Additionally, the six-month return is negative for Alicon Cast., IST, Sterling Tools, Enkei Wheels, Hind.Composites, and Z F Steering.

What does Sterling Tools do?

Sterling Tools Ltd. manufactures and sells high tensile cold forged fasteners primarily for the automobile industry. As of March 2026, it reported net sales of 222 Cr and a net profit of 2 Cr, with a market cap of INR 785 Cr.

Overview: <BR>Sterling Tools Ltd. is engaged in the manufacturing and sale of high tensile cold forged fasteners primarily for the automobile industry and operates within the micro-cap market segment.<BR><BR>History: <BR>Sterling Tools Ltd. was incorporated on 7 June 1979 and commenced commercial production in 1981. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot: <BR>Net Sales: 222 Cr (Quarterly Results - Mar 2026) <BR>Net Profit: 2 Cr (Quarterly Results - Mar 2026) <BR>Market Cap: INR 785 Cr (Micro Cap)<BR><BR>Key Metrics: <BR>P/E: 32.00 <BR>Industry P/E: 29 <BR>Dividend Yield: 1.15% <BR>Debt-Equity: -0.02 <BR>Return on Equity: 4.47% <BR>Price to Book: 1.49<BR><BR>Contact Details: <BR>Address: Unit No 515 DLF Tower A, Jasola Dist Centre New Delhi New Delhi : 110025 <BR>Email: sterling@stlfasteners.com <BR>Website: http://www.stlfasteners.com

Is Sterling Tools overvalued or undervalued?

As of November 12, 2025, Sterling Tools is considered overvalued with a valuation grade of "attractive," reflected by a PE Ratio of 26.51, which is higher than its peers, and a year-to-date stock performance of -47.23% compared to the Sensex's 8.10%.

As of 12 November 2025, the valuation grade for Sterling Tools has moved from very attractive to attractive, indicating a shift in perceived value. The company is currently considered overvalued based on its financial metrics. Key ratios include a PE Ratio of 26.51, an EV to EBITDA of 12.30, and a Price to Book Value of 2.09. <BR><BR>When compared to peers, Sterling Tools has a higher PE Ratio than Simm. Marshall, which stands at 16.93, and significantly higher than Sky Industries at 14.18. This suggests that Sterling Tools may be priced at a premium relative to its more attractively valued competitors. Additionally, the company's recent stock performance has lagged behind the Sensex, with a year-to-date return of -47.23% compared to the Sensex's 8.10%, reinforcing the notion that it may be overvalued in the current market context.

How has been the historical performance of Sterling Tools?

Sterling Tools has shown consistent growth, with net sales increasing from 355.48 Cr in Mar'21 to 1,026.30 Cr in Mar'25, and profit after tax rising to 58.29 Cr. The company maintains a strong financial position, with total assets of 786.48 Cr and improved cash flow from operations.

Answer:<BR>The historical performance of Sterling Tools shows a consistent upward trend in net sales and profitability over the years.<BR><BR>Breakdown:<BR>Sterling Tools has demonstrated significant growth in net sales, increasing from 355.48 Cr in Mar'21 to 1,026.30 Cr in Mar'25. This growth is accompanied by a rise in total operating income, which reached 1,026.30 Cr in Mar'25, up from 509.58 Cr in Mar'22. The company's total expenditure also rose, amounting to 916.73 Cr in Mar'25, leading to an operating profit (PBDIT) of 121.22 Cr for the same period. Profit before tax has shown a steady increase, reaching 76.64 Cr in Mar'25, while profit after tax rose to 58.29 Cr. The earnings per share (EPS) improved from 6.53 in Mar'21 to 16.1 in Mar'25, reflecting enhanced shareholder value. On the balance sheet, total assets increased to 786.48 Cr in Mar'25, with total liabilities at 137.45 Cr, indicating a healthy financial position. Cash flow from operating activities also improved significantly, reaching 123 Cr in Mar'25, although cash flow from investing activities was negative at -124 Cr. Overall, Sterling Tools has shown robust growth in sales and profitability, alongside a solid asset base.

Is Sterling Tools technically bullish or bearish?

As of 31 October 2025, the market trend has shifted to bearish with moderate strength, supported by daily moving averages and Bollinger Bands indicating bearish momentum, despite some mild bullish signals from the weekly MACD and RSI.

As of 31 October 2025, the technical trend has changed from mildly bearish to bearish. The current stance is bearish with moderate strength. Key indicators include the daily moving averages indicating bearish momentum, the weekly MACD showing mild bullishness but overshadowed by the monthly bearish signal, and the Bollinger Bands reflecting bearish conditions on both weekly and monthly time frames. The KST and Dow Theory also confirm bearish trends on both weekly and monthly levels. Despite the weekly RSI showing bullishness, it is not strong enough to counter the overall bearish sentiment.

Who are the top shareholders of the Sterling Tools?

The top shareholders of Sterling Tools include promoter Atul Aggarwal with 26.25%, public shareholder Meidoh Co Ltd at 4.98%, and individual investors holding 24.52%. Additionally, mutual funds own 2.85%, and foreign institutional investors hold 0.51%, with no pledged promoter holdings reported.

The top shareholders of Sterling Tools include the promoters, who hold the majority of the shares. Notably, Atul Aggarwal is the promoter with the highest holding at 26.25%. In terms of public shareholders, Meidoh Co Ltd holds 4.98%. Additionally, individual investors collectively own 24.52% of the company. Mutual funds have a stake through one scheme, accounting for 2.85%, while foreign institutional investors (FIIs) hold 0.51% across 12 entities. There are no pledged promoter holdings reported.

Has Sterling Tools declared dividend?

Sterling Tools Ltd. has declared a 100% dividend, amounting to ₹2 per share, with an ex-date of September 6, 2024. While recent total returns have been mixed, the company has shown substantial growth over the past five years, with a total return of 165.28%.

Sterling Tools Ltd. has declared a 100% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 100%<BR>- Amount per share: 2 per share<BR>- Ex-date: 06 Sep 24<BR><BR>Dividend Yield: 0.58%.<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -45.03%, the dividend return was 0%, resulting in a total return of -45.03%.<BR><BR>Over the past year, there was a price return of 1.42%, a dividend return of 0.54%, leading to a total return of 1.96%.<BR><BR>For the 2-year period, the price return was 2.88%, the dividend return was 1.11%, culminating in a total return of 3.99%.<BR><BR>In the 3-year timeframe, the price return stood at 61.76%, the dividend return was 2.10%, resulting in a total return of 63.86%.<BR><BR>Over the last 4 years, the price return was 82.99%, the dividend return was 3.22%, leading to a total return of 86.21%.<BR><BR>In the 5-year period, the price return reached 161.74%, with a dividend return of 3.54%, resulting in a total return of 165.28%.<BR><BR>Overall, Sterling Tools has declared a significant dividend, and while the recent total returns have been mixed, the longer-term performance shows substantial growth, particularly in price returns over the past five years.