Is HEG a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that HEG Ltd is a average quality company .

Is HEG undervalued or overvalued?

The key valuation ratios of HEG Ltd's currently when compared to its past seem to suggest it is in the Fair zone .

What is HEG share price return in the past 10 years?

HEG Ltd share price has appreciated 22% annually (CAGR) over the past ten years.

Is HEG a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of HEG Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

HEG Ltd - Stock Valuation and Financial Performance

Name: HEG
Brand: HEG

BSE: 509631 | NSE: HEG | Electrodes & Welding Equipment | Small Cap

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HEG Share Price

₹406.45 -4.60 -1.12%
as on 21-Nov'24 15:55

10 Year X-Ray of HEG:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Standalone Basis ^P Consolidated Basis ^P

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Value Creation ⓘ

Value Creation Index Colour Code Guide ⓘ

	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	Mar'22	Mar'23	Mar'24	TTM
ROCE % ⓘ	6.4%	3.4%	0.9%	90.7%	144.7%	1.6%	-0.5%	13%	13.5%	7.3%	-
Value Creation Index ⓘ	-0.5	-0.8	-0.9	5.7	9.7	-0.9	-1.0	-0.1	0.0	-0.5	-
Growth Parameters ⓘ Growth Parameters Colour Code Guide ⓘ
Sales ⓘ	1,233	870	860	2,750	6,593	2,149	1,256	2,202	2,467	2,395	2,248
Sales YoY Gr.	-	-29.5%	-1.1%	219.8%	139.7%	-67.4%	-41.5%	75.3%	12.1%	-2.9%	-
Adj EPS ⓘ	2.2	-0.5	-2.5	53.5	158.6	2.2	-1.3	20.3	23.4	11.9	7.1
YoY Gr.	-	-122.1%	NA	NA	196.5%	-98.6%	-157.1%	NA	15.1%	-49.1%	-
BVPS (₹) ⓘ	47.1	46.1	43.6	90.5	192.7	177.4	176.1	195.7	211.3	214.8	213.7
Adj Net Profit ⓘ	44.3	-9.8	-50.1	1,069	3,060	43.3	-24.6	392	451	230	137
Cash Flow from Ops. ⓘ	276	249	157	594	1,488	739	716	-141	114	615	-
Debt/CF from Ops. ⓘ	3.3	3.1	4.4	0.5	0.5	0.8	0.4	-4.7	6.5	1	-

CAGR ⓘ

CAGR Colour Code Guide ⓘ

	9 Years	5 Years	3 Years	1 Years
Sales ⓘ	7.7%	-18.3%	24%	-2.9%
Adj EPS ⓘ	20.5%	-40.4%	NA	-49.1%
BVPSⓘ	18.4%	2.2%	6.8%	1.7%
Share Price	22%	15%	-0.3%	28%

Key Financial Parameters ⓘ

Performance Ratio Colour Code Guide ⓘ

	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	Mar'22	Mar'23	Mar'24	TTM
Return on Equity % ⓘ	4.8	-1.1	-5.6	79.8	110.7	1.2	-0.7	10.9	11.5	5.6	3.3
Op. Profit Mgn % ⓘ	15.6	15.3	9.4	61.8	70.9	-0.2	-4.2	24.1	25.1	16	11.8
Net Profit Mgn % ⓘ	3.6	-1.1	-5.8	38.9	46.4	2	-2	17.8	18.3	9.6	6.1
Debt to Equity ⓘ	1	0.9	0.8	0.2	0.2	0.2	0.1	0.2	0.2	0.2	0
Working Cap Days ⓘ	361	387	292	157	124	403	461	288	333	332	201
Cash Conv. Cycle ⓘ	176	215	193	94	59	288	266	129	188	202	110

Recent Performance Summary

Sales growth is growing at healthy rate in last 3 years 24.00%

Return on Equity has declined versus last 3 years average to 3.30%

Net Profit has been subdued in last 3 years 0.00%

Sales growth is not so good in last 4 quarters at -6.94%

Latest Financials - HEG Ltd.

	Standalone	Consolidated
TTM EPS (₹)	7.1	9.4
TTM Sales (₹ Cr.)	2,248	2,248
BVPS (₹.) ⓘ	213.7	230.3
Reserves (₹ Cr.) ⓘ	4,085	4,406
P/BV ⓘ	1.92	1.78
PE ⓘ	57.94	43.61

From the Market
52 Week Low / High (₹)	310.61 / 548.92
All Time Low / High (₹)	2.54 / 990.00
Market Cap (₹ Cr.)	7,932
Equity (₹ Cr.)	38.6
Face Value (₹)	2
Industry PE ⓘ	35.6

Management X-Ray of HEG:

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged ^*

0.00

* Pledged shares as % of Promoter's holding (%)

Valuation of HEG

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Price Chart

Price to Earnings

Enterprise Value to EBIT

Price to Book-Value

Price to Sales

Dividend History

Analyst's Notes

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Key Ratios of HEG

Standalone Basis Consolidated Basis

Adj EPS (Rs.)

Sales (Cr.)

ROE (%)

ROCE (%)

Profit And Loss

(All Figures are in Crores.)

Standalone Basis Consolidated Basis

PARTICULARS	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	Mar'22	Mar'23	Mar'24
Sales	1,233	870	860	2,750	6,593	2,149	1,256	2,202	2,467	2,395
Operating Expenses ⓘ	1,051	737	780	1,051	1,935	2,155	1,315	1,674	1,848	2,011
Manufacturing Costs	441	367	384	509	385	316	288	495	565	538
Material Costs	413	210	244	284	1,116	1,622	810	830	916	1,152
Employee Cost	61	63	59	112	198	66	55	80	92	95
Other Costs ⓘ	136	97	93	146	236	151	163	270	275	226
Operating Profit ⓘ	182	133	80	1,699	4,658	-6	-59	527	620	384
Operating Profit Margin (%)	14.7%	15.3%	9.3%	61.8%	70.7%	-0.3%	-4.7%	23.9%	25.1%	16.0%
Other Income ⓘ	15	8	8	35	109	144	113	80	109	142
Interest ⓘ	77	60	55	56	18	37	11	7	26	36
Depreciation ⓘ	75	79	74	73	72	72	73	79	102	175
Exceptional Items ⓘ	0	0	0	0	0	0	0	0	0	0
Profit Before Tax ⓘ	44	1	-41	1,605	4,677	29	-31	520	600	315
Tax ⓘ	5	9	9	523	1,627	-24	-5	129	145	84
Profit After Tax	39	-8	-50	1,081	3,050	53	-25	391	456	232
PAT Margin (%)	3.2%	-0.9%	-5.8%	39.3%	46.3%	2.5%	-2.0%	17.7%	18.5%	9.7%
Adjusted EPS (₹)	2.0	-0.4	-2.5	54.1	158.1	2.8	-1.3	20.2	23.6	12.0
Dividend Payout Ratio (%)	31%	0%	0%	30%	10%	181%	-46%	40%	36%	38%

Balance Sheet

(All Figures are in Crores.)

Standalone Basis Consolidated Basis

PARTICULARS	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	Mar'22	Mar'23	Mar'24
Equity and Liabilities
Shareholders Fund	941	921	872	1,809	3,719	3,423	3,399	3,777	4,077	4,145
Share Capital ⓘ	40	40	40	40	39	39	39	39	39	39
Reserves ⓘ	901	881	832	1,769	3,680	3,384	3,360	3,738	4,039	4,106
Minority Interest	0	0	0	0	0	0	0	0	0	0
Debt	828	677	547	297	666	593	297	663	741	619
Long Term Debt	252	157	136	0	0	0	0	0	0	0
Short Term Debt	576	520	412	297	666	593	297	663	741	619
Trade Payables	129	52	86	246	380	134	257	448	412	425
Others Liabilities ⓘ	591	485	266	288	304	200	195	411	258	227
Total Liabilities ⓘ	2,489	2,134	1,772	2,640	5,070	4,350	4,148	5,299	5,488	5,417
Fixed Assets
Gross Block	1,542	1,646	1,666	1,673	1,691	1,713	1,713	1,843	2,535	3,118
Accumulated Depreciation	636	713	781	844	907	972	1,022	1,088	1,180	1,343
Net Fixed Assetsⓘ	907	932	885	830	785	741	691	755	1,356	1,776
CWIP ⓘ	108	27	1	2	19	101	373	696	472	194
Investmentsⓘ	150	150	150	149	867	1,156	1,261	1,034	664	996
Inventories	402	371	258	511	1,308	1,005	581	978	1,440	1,194
Trade Receivables	405	318	361	973	1,187	399	289	589	489	508
Cash Equivalents	4	5	8	8	557	437	551	602	682	383
Others Assetsⓘ	514	331	109	168	347	510	402	645	386	365
Total Assets ⓘ	2,489	2,134	1,772	2,640	5,070	4,350	4,148	5,299	5,488	5,417

Cash Flow

(All Figures are in Crores.)

Standalone Basis Consolidated Basis

PARTICULARS	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	Mar'22	Mar'23	Mar'24
Cash Flow From Operating Activity ⓘ	276	249	157	594	1,488	739	716	-141	114	615
PBT ⓘ	44	1	-41	1,605	4,677	29	-31	520	600	315
Adjustment ⓘ	144	146	133	120	-27	-31	0	22	52	101
Changes in Working Capital ⓘ	94	110	75	-607	-1535	844	749	-555	-390	234
Tax Paid ⓘ	-5	-8	-10	-523	-1,627	-104	-2	-128	-148	-35
Cash Flow From Investing Activity ⓘ	-83	-29	-1	-9	-676	-275	-417	-183	-31	-205
Capex	-27	-31	-3	-14	-48	-110	-255	-359	-479	-320
Net Investments	-52	0	0	1	-666	-216	-44	145	419	127
Others ⓘ	-4	2	1	4	38	50	-118	30	29	-12
Cash Flow From Financing Activityⓘ	-202	-219	-153	-588	-788	-460	-310	344	-100	-324
Net Proceeds from Shares ⓘ	0	0	0	0	0	0	0	0	0	0
Net Proceeds from Borrowing ⓘ	-22	-79	10	-272	0	0	0	0	0	0
Interest Paid ⓘ	-77	-60	-55	-57	-18	-37	-12	-10	-23	-39
Dividend Paid ⓘ	-12	0	0	-120	-320	-289	0	-12	-154	-163
Others ⓘ	-91	-81	-108	-139	-451	-134	-297	366	77	-122
Net Cash Flow ⓘ	-8	1	3	-3	24	4	-11	20	-17	86

Finance Ratio

Standalone Basis Consolidated Basis

PARTICULARS	Mar'15	Mar'16	Mar'17	Mar'18	Mar'19	Mar'20	Mar'21	Mar'22	Mar'23	Mar'24
Ratios
ROE (%)	4.18	-0.81	-5.58	80.68	110.37	1.49	-0.74	10.89	11.6	5.63
ROCE (%)	6.38	3.44	0.86	90.73	144.65	1.57	-0.5	12.97	13.53	7.33
Asset Turnover Ratio	0.56	0.48	0.56	1.25	1.71	0.46	0.3	0.47	0.46	0.44
PAT to CFO Conversion(x)	7.08	N/A	N/A	0.55	0.49	13.94	N/A	-0.36	0.25	2.65
Working Capital Days
Receivable Days	116	120	114	88	60	135	100	73	80	76
Inventory Days	112	128	106	51	50	196	230	129	179	200
Payable Days	159	157	103	214	102	58	88	155	171	133

HEG Ltd Stock News

HEG Ltd FAQs

What is the share price of HEG?

Company share prices are keep on changing according to the market conditions. The closing price of HEG on 21-Nov-2024 15:55 is ₹406.4.

What is the market cap of HEG?

Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 21-Nov-2024 15:55 the market cap of HEG stood at ₹7,932.3.

What is the P/E ratio of HEG?

The latest P/E ratio of HEG as of 21-Nov-2024 15:55 is 57.94.

What is the P/B ratio of HEG?

The latest P/B ratio of HEG as of 21-Nov-2024 15:55 is 1.92.

What is the 52-week high and low of HEG?

The 52-week high of HEG is ₹548.9 and the 52-week low is ₹310.6.

What is the TTM revenue of HEG?

The TTM revenue is Trailing Twelve Months sales. The TTM revenue/sales of HEG is ₹2,248 ( Cr.) .

About HEG Ltd

HEG incorporated in 1972 is a public limited company incorporated. HEG, a premier company of the LNJ Bhilwara group, is India’s leading graphite electrode manufacturer. It has one of the largest integrated Graphite Electrode plants in the world, processing sophisticated UHP (Ultra High Power) Electrodes. The position the company enjoys in India and abroad is largely due to its commitment to constant upgradation of its product quality to match international standards and to meet new challenges to win and excel in all situations.

Business area of the company

HEG is a leading manufacturer and exporter of graphite electrodes in India and operates world's largest single-site integrated graphite electrodes plant.

Divisions

Graphite Electrodes: The main business of HEG is graphite which accounts for 80% of the revenue. Set up in 1977, in technical and financial collaboration with Societe Des Electrodes Et Refractaires Savoie (SERS), a subsidiary of Pechiney of France, HEG is now the largest integrated graphite plant in the world. Spread over an area of about 170 acres, HEG (graphite division) has facilities for production of Graphite Electrodes and Graphite Specialities. Its plant is located at Mandideep near Bhopal (MP).

Power Division: One of the major bottlenecks plaguing the Indian industry has been the shortage of power. At HEG Limited, it realized this as early as 1995 and overcame this problem by setting up the group’s first hydropower project of 13.5 MW rated capacity in Tawanagar, district Hoshanabad (M.P.) which was commissioned in 1997. The power generated at this unit is wheeled to the graphite plant at Mandideep. This not only ramped up the efficiency of the graphite plant but also opened a window of opportunity in power generation.

Carbon Speciality: HEG also makes Fine Grain Carbon Blocks for various applications on special orders. These blocks are used by the customers to make value added products like Heat Exchangers, etc.

Reward & Recognitions

Awarded ISO 9001:2015, ISO 14001:2015 and ISO 45001:2018 certifications.
Winner of the country’s top export award instituted by the Chemical & Allied Products Export Promotion Council (CAPEXIL) for outstanding exports for 19 consecutive years. For 2001-02, HEG was awarded the ‘Highest’ Export Award.
HEG has been regularly exporting electrodes since 1981 and today exports more than 70% of its production.
HEG’s graphite electrodes are exported to 30 countries around the world, including developed countries like USA, Canada, Germany, France, Italy, South Korea, Australia etc. - a reward for its commitment to World winning Quality and Performance.