NELCO Stock Price Analysis and Quick Research Report. Is NELCO an attractive stock to invest in?
Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.
Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements.
Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse NELCO.
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PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). NELCO has a PE ratio of 284.27742193755 which is high and comparatively overvalued.
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Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. NELCO has ROA of 5.0973% which is a bad sign for future performance. (Higher values are always desirable.)
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Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. NELCO has a Current ratio of 1.1522.
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Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. NELCO has a ROE of 8.1699%. (Higher is better)
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Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. NELCO has a Debt to Equity ratio of 0 which means that the company has low proportion of debt in its capital.
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Sales growth: NELCO has reported revenue growth of -7.6567% which is poor in relation to its growth and performance.
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Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of NELCO for the current financial year is 14.8859602198123%.
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Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for NELCO is Rs 1 and the yield is 0.1172%.
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Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of NELCO is Rs 2.9976. The higher the EPS, the better it is for investors.
One can find all the Financial Ratios of NELCO in Ticker for free. Also, one can get the intrinsic value of NELCO by using Valuation Calculators, which are available with a Finology ONE subscription.
NELCO FAQs
Q1. What is NELCO share price today?
Ans: The current share price of NELCO is Rs 852.15.
Q2. What is the market capitalisation of NELCO?
Ans: NELCO has a market capitalisation of Rs 1944.469956 Cr., calculated based on its latest share price.
Q3. What are the P/E and P/B ratios of NELCO?
Ans: The PE ratio of NELCO is 284.27742193755 and the P/B ratio of NELCO is 15.7372489778129, showing how the stock is valued against its earnings and book value.
Q4. What is the 52-week high and low of NELCO share?
Ans: The 52-week high share price of NELCO is Rs 1502.75, and the 52-week low share price of NELCO is Rs 706.95.
Q5. Does NELCO pay dividends?
Ans: Currently, NELCO pays dividends. Dividend yield of NELCO is around 0.1172%.
Q6. What are the face value and book value of NELCO shares?
Ans: The face value of NELCO shares is Rs 10, while the book value per share of NELCO is around Rs 54.1486. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.
Q7. What is the debt of NELCO?
Ans: NELCO has a total debt of Rs 0 Cr., which affects investor sentiment and financial stability.
Q8. What are the ROE and ROCE of NELCO?
Ans: The ROE of NELCO is 8.1699% and ROCE of NELCO is 18.2636%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.
Q9. Is NELCO a good buy for the long term?
Ans: The NELCO long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.
Q10. Is NELCO undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the NELCO appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.
Q11. How to check NELCO’s financials?
Ans: You can review NELCO’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.