Eveready Industries India Analysis

dividend

Pros

Cons

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

health

Pros

• Eveready Industries India is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Eveready Industries India is profitable, therefore cash runway is not a concern.
• Eveready Industries India is profitable, therefore cash runway is not a concern.
• Debt is covered by short term assets, assets are 1.7x debt.
• Eveready Industries India's cash and other short term assets cover its long term commitments.

Cons

• Debt is not well covered by operating cash flow (18.7%, less than 20% of total debt).
• The level of debt compared to net worth has increased over the past 5 years (36.8% vs 126.4% today).
• Interest payments on debt are not well covered by earnings (EBIT is 2.2x annual interest expense, ideally 3x coverage).
• Eveready Industries India's level of debt (126.4%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• Amritanshu's compensation has been consistent with company performance over the past year, both up more than 20%.

Cons

• The average tenure for the Eveready Industries India board of directors is less than 3 years, this suggests a new board.
• Amritanshu's remuneration is higher than average for companies of similar size in India.
• The average tenure for the Eveready Industries India management team is less than 2 years, this suggests a new team.

misc

Pros

Cons

• Eveready Industries India is not covered by any analysts.
• Eveready Industries India has significant price volatility in the past 3 months.

past

Pros

• Eveready Industries India's 1-year earnings growth exceeds its 5-year average (143.7% vs 0%)
• Eveready Industries India's year on year earnings growth rate has been positive over the past 5 years.
• Eveready Industries India used its assets more efficiently than the Asia Household Products industry average last year based on Return on Assets.
• Eveready Industries India's earnings growth has exceeded the Asia Household Products industry average in the past year (143.7% vs 11.6%).

Cons

• Eveready Industries India's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
• Whilst Eveready Industries India has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.

value

Pros

• Eveready Industries India is good value based on earnings compared to the Asia Household Products industry average.
• Eveready Industries India is good value based on earnings compared to the India market.
• 531508 outperformed the Market in India which returned -14.5% over the past year.
• BSE:531508 is up 13.3% outperforming the Household Products industry which returned 2.6% over the past month.
• BSE:531508 is up 13.3% outperforming the market in India which returned 8% over the past month.

Cons

• Eveready Industries India's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
• Eveready Industries India's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
• Eveready Industries India is overvalued based on assets compared to the IN Household Products industry average.
• 531508 underperformed the Household Products industry which returned 13.9% over the past year.