Butterfly Gandhimathi Appliances Analysis

dividend

Pros

Cons

• Unable to calculate sustainability of dividends as Butterfly Gandhimathi Appliances has not reported any payouts.
• Unable to evaluate Butterfly Gandhimathi Appliances's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Butterfly Gandhimathi Appliances's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Butterfly Gandhimathi Appliances is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Butterfly Gandhimathi Appliances is profitable, therefore cash runway is not a concern.
• Butterfly Gandhimathi Appliances is profitable, therefore cash runway is not a concern.
• Debt is covered by short term assets, assets are 2x debt.
• Butterfly Gandhimathi Appliances's cash and other short term assets cover its long term commitments.
• The level of debt compared to net worth has been reduced over the past 5 years (84.3% vs 82.6% today).

Cons

• Debt is not well covered by operating cash flow (11.4%, less than 20% of total debt).
• Interest payments on debt are not well covered by earnings (EBIT is 1.1x annual interest expense, ideally 3x coverage).
• Butterfly Gandhimathi Appliances's level of debt (82.6%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Butterfly Gandhimathi Appliances board of directors is about average.
• The average tenure for the Butterfly Gandhimathi Appliances management team is over 5 years, this suggests they are a seasoned and experienced team.

Cons

• V.'s remuneration is higher than average for companies of similar size in India.
• V.'s compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.

misc

Pros

Cons

• Butterfly Gandhimathi Appliances is not covered by any analysts.
• Butterfly Gandhimathi Appliances has significant price volatility in the past 3 months.

past

Pros

• Butterfly Gandhimathi Appliances's year on year earnings growth rate has been positive over the past 5 years.
• Butterfly Gandhimathi Appliances has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).

Cons

• Butterfly Gandhimathi Appliances's 1-year earnings growth is negative, it can't be compared to the 5-year average.
• Butterfly Gandhimathi Appliances used its assets less efficiently than the IN Consumer Durables industry average last year based on Return on Assets.
• Butterfly Gandhimathi Appliances has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
• Butterfly Gandhimathi Appliances's 1-year earnings growth is negative, it can't be compared to the IN Consumer Durables industry average.

value

Pros

• Butterfly Gandhimathi Appliances is good value based on assets compared to the IN Consumer Durables industry average.
• NSEI:BUTTERFLY is up 15% outperforming the Consumer Durables industry which returned 6.7% over the past month.
• NSEI:BUTTERFLY is up 15% outperforming the market in India which returned 8% over the past month.

Cons

• Butterfly Gandhimathi Appliances is overvalued based on earnings compared to the IN Consumer Durables industry average.
• Butterfly Gandhimathi Appliances is overvalued based on earnings compared to the India market.
• BUTTERFLY underperformed the Consumer Durables industry which returned 5.6% over the past year.
• BUTTERFLY underperformed the Market in India which returned -14.5% over the past year.