Centum Electronics Analysis

dividend

Pros

• Dividends per share have increased over the past 10 years.
• Dividends paid are thoroughly covered by earnings (7.3x coverage).
• Centum Electronics's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).

Cons

• Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
• Centum Electronics's dividend is below the markets top 25% of dividend payers in India (3.08%).

health

Pros

• Centum Electronics is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Centum Electronics is profitable, therefore cash runway is not a concern.
• Centum Electronics is profitable, therefore cash runway is not a concern.
• Debt is well covered by operating cash flow (57.2%, greater than 20% of total debt).
• Debt is covered by short term assets, assets are 2.9x debt.
• Centum Electronics's cash and other short term assets cover its long term commitments.
• Interest payments on debt are well covered by earnings (EBIT is 4.1x coverage).

Cons

• The level of debt compared to net worth has increased over the past 5 years (46.6% vs 105.3% today).
• Centum Electronics's level of debt (105.3%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Centum Electronics board of directors is about average.
• Apparao 's compensation has increased in line with Centum Electronics recently becoming profitable.

Cons

• Apparao 's remuneration is higher than average for companies of similar size in India.

misc

Pros

Cons

• Centum Electronics is not covered by any analysts.
• Centum Electronics has significant price volatility in the past 3 months.

past

Pros

• Centum Electronics used its assets more efficiently than the IN Electronic industry average last year based on Return on Assets.
• Centum Electronics has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).

Cons

• Centum Electronics has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
• Centum Electronics's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
• Centum Electronics has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
• Centum Electronics has become profitable in the last year making it difficult to compare the IN Electronic industry average.

value

Pros

• Centum Electronics's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Centum Electronics's share price is below the future cash flow value, and at a substantial discount (> 40%).
• Centum Electronics is good value based on earnings compared to the IN Electronic industry average.
• Centum Electronics is good value based on earnings compared to the India market.
• NSEI:CENTUM is up 3% outperforming the Electronic industry which returned 0.9% over the past month.

Cons

• Centum Electronics is overvalued based on assets compared to the IN Electronic industry average.
• CENTUM underperformed the Electronic industry which returned 0.1% over the past year.
• CENTUM underperformed the Market in India which returned -14.5% over the past year.
• NSEI:CENTUM is up 3% underperforming the market in India which returned 8% over the past month.