Bharat Wire Ropes Limited Fundamental Analysis
Bharat Wire Ropes Limited (BHARATWIRE.BO) shows weak financial fundamentals with a PE ratio of 20.93, profit margin of 12.27%, and ROE of 9.47%. The company generates $5.9B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 68.2/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze BHARATWIRE.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakBHARATWIRE.BO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentBHARATWIRE.BO trades at attractive valuation levels.
Growth Score
ModerateBHARATWIRE.BO shows steady but slowing expansion.
Financial Health Score
ExcellentBHARATWIRE.BO maintains a strong and stable balance sheet.
Profitability Score
WeakBHARATWIRE.BO struggles to sustain strong margins.
Key Financial Metrics
Is BHARATWIRE.BO Expensive or Cheap?
P/E Ratio
BHARATWIRE.BO trades at 20.93 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, BHARATWIRE.BO's PEG of -44.46 indicates potential undervaluation.
Price to Book
The market values Bharat Wire Ropes Limited at 1.87 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 11.12 times EBITDA. This signals the market has high growth expectations.
How Well Does BHARATWIRE.BO Make Money?
Net Profit Margin
For every $100 in sales, Bharat Wire Ropes Limited keeps $12.27 as profit after all expenses.
Operating Margin
Core operations generate 18.11 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.47 in profit for every $100 of shareholder equity.
ROA
Bharat Wire Ropes Limited generates $7.32 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Bharat Wire Ropes Limited generates limited operating cash flow of $558.09M, signaling weaker underlying cash strength.
Free Cash Flow
Bharat Wire Ropes Limited produces free cash flow of $312.71M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $4.56 in free cash annually.
FCF Yield
BHARATWIRE.BO converts 2.06% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
20.93
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-44.46
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.87
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.57
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.09
vs 25 benchmark
Current Ratio
Current assets to current liabilities
6.57
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.09
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.12
vs 25 benchmark
How BHARATWIRE.BO Stacks Against Its Sector Peers
| Metric | BHARATWIRE.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 20.93 | 32.61 | Better (Cheaper) |
| ROE | 9.47% | 1178.00% | Weak |
| Net Margin | 12.27% | -145.00% (disorted) | Strong |
| Debt/Equity | 0.09 | 0.61 | Strong (Low Leverage) |
| Current Ratio | 6.57 | 3.48 | Strong Liquidity |
| ROA | 7.32% | 624.00% | Weak |
BHARATWIRE.BO outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Bharat Wire Ropes Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Cyclical, Commodity, Value
EPS CAGR
N/A
Industry Style: Cyclical, Commodity, Value
FCF CAGR
N/A
Industry Style: Cyclical, Commodity, Value