Overall Fundamental outlook

Business Operations:

Sector: Industrials
Industry: Specialty Industrial Machinery

Elecon Engineering Company Limited manufactures and sells power transmission and material handling equipment in India and internationally. The company operates in two segments, Material Handling Equipment and Transmission Equipment. It provides helical and bevel helical, planetary, worm, high speed, wind turbine, marine, and custom-built gear boxes; customized gear boxes; loose gears; vertical roller mill drives; elign geared, elflex flexible, fluid, scoop controlled variable speed controlled fluid, and torsion shaft couplings; and elevator traction machines. The company also provides material handling equipment, such as raw material handling systems, stackers, scrapers/reclaimers, bagging and weighing machines, wagon and truck loaders, crushers, wagon tipplers and associated equipment, feeders, idlers and pulleys, magnates/weighers/detectors, port equipment, and cable reeling drums; and alternate energy products. In addition, it engages in the ferrous and non-ferrous foundry business. Further, the company offers gearbox repair and refurbish services; and material handling equipment support services. It serves cement, sugar, defense, steel, mining, power, plastic, material handling, chemical, palm oil, crane, paper, rubber, marine, and fertilizer industries, as well as windmills and ports. Elecon Engineering Company Limited was founded in 1951 and is based in Vallabh Vidyanagar, India.

Revenue projections:

Revenue projections for ELECON
Revenue projections for ELECON

ELECON's revenue projections indicate a decrease from last year's performance, which could lead to investor caution. A fall in revenue is likely to negatively impact the company's profitability, causing concern for shareholders who may view this as a signal of declining financial health.

Financial Ratios:

currentRatio 0.00000
forwardPE 24.99134
debtToEquity 9.06700
earningsGrowth 1.39100
revenueGrowth 0.25000
grossMargins 0.45203
operatingMargins 0.21559
trailingEps 23.07000
forwardEps 19.90000

ELECON's Forward PE ratio is in a good range, reflecting a reasonable balance between stock price and earnings. The stock is not overpriced, leaving room for growth, which suggests potential for investors looking to capitalize on future value appreciation.
ELECON's positive earnings and revenue growth signal the company's business is on track for further expansion. These strong financial trends suggest that ELECON will continue to grow its operations, driven by increasing profits and revenue.
Positive gross and operating margins for ELECON highlight the company's profitability. These metrics reflect ELECON's efficiency in controlling costs while generating strong revenue from its core operations, signaling robust financial health.
ELECON's forward EPS is lower than its trailing EPS, signaling that the company is projected to experience reduced profitability this year. This suggests a downward trend in earnings, which could raise concerns among investors about ELECON's financial outlook.

Price projections:

Price projections for ELECON
Price projections for ELECON

ELECON's present price, in relation to its projections, shows no obvious risks or opportunities. This neutral outlook suggests stability, where investors might consider waiting for more decisive signals before making any significant moves.

Recommendation changes over time:

Recommendations trend for ELECON
Recommendations trend for ELECON


The recent buy bias for ELECON from analysts signals strong confidence in the stock's potential. This positive sentiment could encourage investors to see ELECON as a smart place to invest their money, especially those looking for stable, long-term returns in a well-established company.