Endurance Technologies Analysis

dividend

Pros

• Dividends paid are thoroughly covered by earnings (7.9x coverage).
• Dividends after 3 years are expected to be well covered by earnings (5.6x coverage).

Cons

• Dividend payments have increased, but Endurance Technologies only paid a dividend in the past 3 years.
• Whilst dividend payments have been stable, Endurance Technologies has been paying a dividend for less than 10 years.
• Endurance Technologies's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.76%).
• Endurance Technologies's dividend is below the markets top 25% of dividend payers in India (3.08%).

future

Pros

• Endurance Technologies's earnings growth is expected to exceed the low risk savings rate of 7.2%.
• Performance (ROE) is expected to be above the current IN Auto Components industry average.
• Endurance Technologies's revenue growth is expected to exceed the India market average.

Cons

• Cash flow for Endurance Technologies is expected to increase but not above the 50% threshold in 2 years time.
• Endurance Technologies's earnings are expected to grow by 11.6% yearly, however this is not considered high growth (20% yearly).
• Endurance Technologies's earnings growth is positive but not above the India market average.
• Endurance Technologies's earnings are expected to decrease over the next year.
• Endurance Technologies's net income is expected to increase but not above the 50% threshold in 2 years time.
• Endurance Technologies is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
• A decline in Endurance Technologies's performance (ROE) is expected over the next 3 years.
• Endurance Technologies's revenue is expected to increase but not above the 50% threshold in 2 years time.
• Endurance Technologies's revenue is expected to grow by 8.8% yearly, however this is not considered high growth (20% yearly).

health

Pros

• Endurance Technologies is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Endurance Technologies is profitable, therefore cash runway is not a concern.
• Endurance Technologies is profitable, therefore cash runway is not a concern.
• Debt is well covered by operating cash flow (223.9%, greater than 20% of total debt).
• Debt is covered by short term assets, assets are 5.2x debt.
• Endurance Technologies'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 (65.6% vs 14.4% today).
• Interest payments on debt are well covered by earnings (EBIT is 95.7x coverage).
• Endurance Technologies's level of debt (14.4%) compared to net worth is satisfactory (less than 40%).

Cons

• High level of physical assets or inventory.

management

Pros

• The tenure for the Endurance Technologies board of directors is about average.
• Anurang's remuneration is about average for companies of similar size in India.
• Anurang's compensation has been consistent with company performance over the past year, both up more than 20%.
• The average tenure for the Endurance Technologies management team is over 5 years, this suggests they are a seasoned and experienced team.

Cons

misc

Pros

Cons

• Endurance Technologies has significant price volatility in the past 3 months.

past

Pros

• Endurance Technologies's 1-year earnings growth exceeds its 5-year average (31.3% vs 18.7%)
• Endurance Technologies's year on year earnings growth rate has been positive over the past 5 years.
• Endurance Technologies used its assets more efficiently than the IN Auto Components industry average last year based on Return on Assets.
• Endurance Technologies has improved its use of capital last year versus 3 years ago (Return on Capital Employed).
• Endurance Technologies has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).
• Endurance Technologies's earnings growth has exceeded the IN Auto Components industry average in the past year (31.3% vs -22.3%).

Cons

value

Pros

• NSEI:ENDURANCE is up 32.4% outperforming the Auto Components industry which returned 13.2% over the past month.
• NSEI:ENDURANCE is up 32.4% outperforming the market in India which returned 8% over the past month.

Cons

• Endurance Technologies's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
• Endurance Technologies's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
• Endurance Technologies is overvalued based on assets compared to the IN Auto Components industry average.
• Endurance Technologies is poor value based on expected growth next year.
• Endurance Technologies is overvalued based on earnings compared to the IN Auto Components industry average.
• Endurance Technologies is overvalued based on earnings compared to the India market.
• ENDURANCE underperformed the Auto Components industry which returned -22.4% over the past year.
• ENDURANCE underperformed the Market in India which returned -14.5% over the past year.