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Wheels India Ltd

NSE: WHEELS BSE: 590073

918.35

(-1.02%)

Thu, 12 Mar 2026, 04:06 pm

Wheels India Analysis

dividend

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Pros

  • Dividends per share have increased over the past 10 years.
  • Dividends paid are well covered by earnings (3.4x coverage).
  • Wheels India's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
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Cons

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

health

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Pros

  • Wheels India is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Wheels India is profitable, therefore cash runway is not a concern.
  • Wheels India is profitable, therefore cash runway is not a concern.
  • Debt is well covered by operating cash flow (38.7%, greater than 20% of total debt).
  • Debt is covered by short term assets, assets are 2.3x debt.
  • Wheels India'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 (71.5% vs 71.1% today).
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Cons

  • Interest payments on debt are not well covered by earnings (EBIT is 2x annual interest expense, ideally 3x coverage).
  • Wheels India's level of debt (71.1%) compared to net worth is high (greater than 40%).
  • High level of physical assets or inventory.

management

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Pros

  • The tenure for the Wheels India board of directors is about average.
  • The tenure for the Wheels India management team is about average.
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Cons

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

misc

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Pros

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    Cons

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

    past

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    Pros

    • Wheels India's year on year earnings growth rate has been positive over the past 5 years.
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    Cons

    • Wheels India's 1-year earnings growth is negative, it can't be compared to the 5-year average.
    • Wheels India used its assets less efficiently than the IN Auto Components industry average last year based on Return on Assets.
    • Wheels India's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
    • Wheels India has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
    • Wheels India's 1-year earnings growth is negative, it can't be compared to the IN Auto Components industry average.

    value

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    Pros

    • BSE:590073 is up 26.9% outperforming the Auto Components industry which returned 13.2% over the past month.
    • BSE:590073 is up 26.9% outperforming the market in India which returned 8% over the past month.
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    Cons

    • Wheels India's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
    • Wheels India's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
    • Wheels India is overvalued based on assets compared to the IN Auto Components industry average.
    • Wheels India is overvalued based on earnings compared to the IN Auto Components industry average.
    • Wheels India is overvalued based on earnings compared to the India market.
    • 590073 underperformed the Auto Components industry which returned -22.4% over the past year.
    • 590073 underperformed the Market in India which returned -14.5% over the past year.

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    Pocketful Fintech Capital Private Limited (CIN U65999DL2021PTC390548) | The SEBI Registration No. allotted to us is INZ000313732. NSE Member Code: 90326 | BSE Member Code: 6808 | MCX Member Code: 57120 DP | CDSL: 12099800