⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
TIINDIA - Fundamental Analysis: Financial Health & Valuation
Back to ListFundamental Rating: 4.1
| Stock Code | TIINDIA | Market Cap | 45,203 Cr. | Current Price | 2,334 ₹ | High / Low | 3,420 ₹ |
| Stock P/E | 33.6 | Book Value | 286 ₹ | Dividend Yield | 0.15 % | ROCE | 31.9 % |
| ROE | 28.6 % | Face Value | 1.00 ₹ | DMA 50 | 2,554 ₹ | DMA 200 | 2,894 ₹ |
| Chg in FII Hold | -2.30 % | Chg in DII Hold | 1.97 % | PAT Qtr | 187 Cr. | PAT Prev Qtr | 168 Cr. |
| RSI | 40.2 | MACD | -87.5 | Volume | 4,04,121 | Avg Vol 1Wk | 7,53,324 |
| Low price | 2,165 ₹ | High price | 3,420 ₹ | PEG Ratio | 0.83 | Debt to equity | 0.01 |
| 52w Index | 13.5 % | Qtr Profit Var | 11.3 % | EPS | 68.7 ₹ | Industry PE | 28.0 |
📊 Core Financials
- Revenue Growth: Quarterly PAT improved from 168 Cr. to 187 Cr., showing steady growth momentum.
- Profit Margins: EPS at 68.7 ₹ reflects strong profitability.
- Debt Ratios: Debt-to-equity at 0.01, virtually debt-free, ensuring financial stability.
- Cash Flows: Likely positive given consistent earnings and low leverage.
- Return Metrics: ROCE at 31.9% and ROE at 28.6% highlight excellent capital efficiency.
💹 Valuation Indicators
- P/E Ratio: 33.6, higher than industry average (28.0), suggesting premium valuation.
- P/B Ratio: ~8.16 (Current Price / Book Value), expensive relative to book value.
- PEG Ratio: 0.83, indicates valuation is reasonable compared to growth prospects.
- Intrinsic Value: Current price (2,334 ₹) trades below DMA 50 (2,554 ₹) and DMA 200 (2,894 ₹), signaling undervaluation in technical terms despite premium fundamentals.
🏢 Business Model & Competitive Advantage
- TIINDIA operates in engineering and manufacturing, with strong presence in precision tubes and automotive components.
- Competitive advantage lies in diversified product portfolio, efficient operations, and strong domestic demand.
- Debt-free balance sheet and high return ratios provide resilience and long-term sustainability.
📈 Entry Zone & Long-Term Guidance
- Entry Zone: Attractive near 2,250–2,350 ₹, close to current levels and below DMA averages.
- Long-Term Holding: Suitable for investors seeking exposure to industrial and automotive growth. Strong fundamentals support holding, though valuation premium should be monitored.
Positive
- Quarterly PAT improved from 168 Cr. to 187 Cr.
- ROCE (31.9%) and ROE (28.6%) highlight excellent capital efficiency.
- DII holdings increased (+1.97%), reflecting domestic institutional confidence.
Limitation
- P/E ratio higher than industry average, suggesting premium valuation.
- P/B ratio at ~8.16 indicates expensive valuation relative to book value.
- Dividend yield at 0.15% offers negligible shareholder return.
Company Negative News
- FII holdings decreased (-2.30%), showing reduced foreign investor confidence.
- Stock trading below DMA 50 and DMA 200, reflecting bearish sentiment.
Company Positive News
- Quarterly PAT growth of 11.3% indicates steady operational improvement.
- Strong fundamentals with debt-free balance sheet and high return ratios.
Industry
- Industry P/E at 28.0, lower than TIINDIA’s valuation, suggesting sector trades at more reasonable multiples.
- Industrial and automotive sector benefits from infrastructure growth and rising demand for engineering solutions.
Conclusion
- TIINDIA is fundamentally strong with debt-free status, excellent return ratios, and consistent profitability.
- Valuation is stretched compared to industry, but current price below DMA levels offers entry opportunity.
- Best suited for long-term investors seeking industrial exposure, with entry near 2,250–2,350 ₹ offering favorable risk-reward.
Would you like me to also prepare a peer comparison HTML table (TIINDIA vs Tube Investments peers like Jindal Saw, Ratnamani Metals) to highlight relative valuation and efficiency metrics?