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Orient Electric Ltd

NSE: ORIENTELEC BSE: 541301

₹177.66

(1.21%)

Thu, 03 Sept 2026, 10:50 pm

MTF 5xInvest in Orient Electric Ltd with 5x Leverage Buy with MTF

Market Cap (in Cr)3844.85

PE Ratio34.52

Dividend0.83

Consumer Durables

Electronics/Appliances

24.5K

Orient Electric Analysis

dividend

Pros

Dividends paid are well covered by earnings (3.2x coverage).
Dividends after 3 years are expected to be well covered by earnings (3.9x coverage).

Cons

Dividend payments have increased, but Orient Electric only paid a dividend in the past 2 years.
Orient Electric has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
Orient Electric's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.76%).
Orient Electric's dividend is below the markets top 25% of dividend payers in India (3.08%).

future

Pros

Orient Electric's earnings are expected to grow significantly at over 20% yearly.
Orient Electric's earnings growth is expected to exceed the India market average.
Orient Electric's earnings growth is expected to exceed the low risk savings rate of 7.2%.
Orient Electric's net income is expected to increase by more than 50% in 2 years time.
Orient Electric is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
Performance (ROE) is expected to be above the current IN Consumer Durables industry average.
An improvement in Orient Electric's performance (ROE) is expected over the next 3 years.
Orient Electric's revenue growth is expected to exceed the India market average.

Cons

Cash flow for Orient Electric is expected to increase but not above the 50% threshold in 2 years time.
Orient Electric's earnings are expected to decrease over the next year.
Orient Electric's revenue is expected to increase but not above the 50% threshold in 2 years time.
Orient Electric's revenue is expected to grow by 8% yearly, however this is not considered high growth (20% yearly).

health

Pros

Orient Electric is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Orient Electric is profitable, therefore cash runway is not a concern.
Orient Electric is profitable, therefore cash runway is not a concern.
Debt is well covered by operating cash flow (136.5%, greater than 20% of total debt).
Debt is covered by short term assets, assets are 7.4x debt.
Orient Electric's cash and other short term assets cover its long term commitments.
Interest payments on debt are well covered by earnings (EBIT is 5.2x coverage).
Orient Electric's level of debt (26.4%) compared to net worth is satisfactory (less than 40%).

Cons

High level of physical assets or inventory.

management

Pros

Rakesh's remuneration is about average for companies of similar size in India.
Rakesh's compensation has been consistent with company performance over the past year, both up more than 20%.
The tenure for the Orient Electric management team is about average.

Cons

The average tenure for the Orient Electric board of directors is less than 3 years, this suggests a new board.

misc

Pros

Cons

Orient Electric has significant price volatility in the past 3 months.

past

Pros

Orient Electric used its assets more efficiently than the IN Consumer Durables industry average last year based on Return on Assets.
Orient Electric has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).

Cons

Orient Electric's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
Orient Electric's earnings growth has not exceeded the IN Consumer Durables industry average in the past year (13.3% vs 14.3%).

value

Pros

ORIENTELEC outperformed the Consumer Durables industry which returned 5.6% over the past year.
ORIENTELEC outperformed the Market in India which returned -14.5% over the past year.
NSEI:ORIENTELEC is up 6.1% along with the Consumer Durables industry (6.7%) over the past month.

Cons

Orient Electric's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
Orient Electric's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
Orient Electric is overvalued based on assets compared to the IN Consumer Durables industry average.
Orient Electric is poor value based on expected growth next year.
Orient Electric is overvalued based on earnings compared to the IN Consumer Durables industry average.
Orient Electric is overvalued based on earnings compared to the India market.
NSEI:ORIENTELEC is up 6.1% underperforming the market in India which returned 8% over the past month.