Overall Fundamental outlook

Business Operations:

Sector: Consumer Cyclical
Industry: Auto Parts

Varroc Engineering Limited designs, manufactures, and supplies exterior lighting systems, plastic and polymer components, electrical and electronics components, advanced safety systems, and precision metallic components worldwide. The company operates through Automotive and Others segments. It offers unpainted and painted body parts; exterior and interior systems; seating systems; mirror systems; air filters; automotive accessories; lighting systems; instrument clusters; catalytic converters; switches; motors and magnetos; electronics; traction motors and controllers; DC-DC converters; and battery management systems, as well as engine valves. The company also provides precision, forged, and machined parts for engine and transmissions to two-wheeler, three-wheeler, four-wheeler, commercial vehicle, off-highway, earthmoving, and oil drilling applications; and transmission gears and assemblies, crankpins, connecting rods, flanges, ring gears, crankshafts, camshafts, knuckles, front axle beams, hydraulic shafts, heavy undercarriage parts, and drill bits and cones, as well as head and signal lamps. It serves passenger car, commercial vehicle, two-wheeler, three-wheeler, and off-highway vehicle original equipment manufacturers. Varroc Engineering Limited was incorporated in 1988 and is based in Aurangabad, India.

Revenue projections:

Revenue projections for VARROC
Revenue projections for VARROC

VARROC's revenue is forecasted to dip below last year's figures, raising concerns for investors who are typically wary of declining financial performance. Such drops can directly affect the company's bottom line, potentially leading to a decrease in overall profitability, making investors more cautious in their decisions.

Financial Ratios:

currentRatio 0.906000
forwardPE 16.708567
debtToEquity 69.993000
earningsGrowth -0.637000
revenueGrowth 0.063000
grossMargins 0.347420
operatingMargins 0.062850
trailingEps 4.000000
forwardEps 30.710000

VARROC's Forward PE is in an attractive range, meaning its stock price aligns well with earnings and isn't inflated. This creates room for growth, making it a solid investment opportunity for those looking to benefit from potential price appreciation.
VARROC's low earnings and revenue growth point to a possible reduction in profits. This trend suggests that the company may face difficulties in maintaining its profitability and could be a cause for concern among investors.
VARROC's negative gross and operating margins indicate that the company is unable to generate profit from its core business activities. This suggests financial strain and could be a sign of deeper cost management issues.
VARROC's forward EPS is higher than its trailing EPS, which signals that the company is expected to achieve greater profitability this financial year. This suggests improved earnings performance, indicating a positive outlook for VARROC's financial growth.

Price projections:

Price projections for VARROC
Price projections for VARROC

Varroc Engineering Limited's price projections have been revised higher over time, reflecting increased confidence in the company's future potential. This steady upward trend suggests analysts expect Varroc Engineering Limited to continue its positive trajectory.

Recommendation changes over time:

Recommendations trend for VARROC
Recommendations trend for VARROC


Varroc Engineering Limited has garnered a buy bias from analysts recently, suggesting the stock is a good investment opportunity. This may lead to increased investor interest, as Varroc Engineering Limited is seen as a reliable place to park money for those looking to benefit from potential market gains and company growth.