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

Investors may react cautiously to news that ELECON's revenues are forecasted to be lower than last year's. Such declines are likely to have a negative effect on the company's bottom line, which can lead to concerns about profitability and hinder investor confidence in the company's future performance.

Financial Ratios:

currentRatio 0.000000
forwardPE 28.149733
debtToEquity 6.726000
earningsGrowth 0.189000
revenueGrowth 0.117000
grossMargins 0.464650
operatingMargins 0.240200
trailingEps 16.600000
forwardEps 19.900000

With ELECON's Forward PE in a favorable range, the stock appears reasonably priced compared to its earnings. This suggests that it's not overpriced and there is room for growth, providing an encouraging opportunity for investors seeking future value increases.
Positive earnings and revenue growth for ELECON suggest that the company is expected to grow its business. This trend reflects strong financial performance, with continued profitability and sales increases indicating a bright outlook for future expansion.
ELECON's positive gross and operating margins indicate a profitable and efficient business model. These metrics highlight the company's ability to generate income while controlling operational costs, reflecting strong financial performance.
With ELECON's forward EPS higher than its trailing EPS, the company is expected to be more profitable in the current financial year. This signals confidence in ELECON's growth potential, as improved earnings are forecasted compared to the prior year's performance.

Recommendation changes over time:

Recommendations trend for ELECON
Recommendations trend for ELECON


ELECON has received a favorable buy bias from analysts recently, positioning it as a solid investment opportunity. This sentiment may attract more investors, who view ELECON as a stable option to park their money and potentially benefit from the company's continued growth and profitability.