Precision Camshafts Stock Price Analysis and Quick Research Report. Is Precision Camshafts an attractive stock to invest in?

The Indian Auto Industry comes in the top 5 largest auto industries of the world. India is also a prominent auto exporter and has strong export growth expectations for the near future. The support from the government is providing the auto companies with a boost needed in their development. But will it sustain?
We can look into more details and dig a little deeper into the analysis of the stock of this sector. Let’s look at how Precision Camshafts is performing and if it is the right time to buy the stock of Precision Camshafts with detailed analysis.

• The mainstream of revenue for Auto Sector is their sales, Precision Camshafts has reported poor sales growth of 7.7073 % and in the latest quarter sales was Rs 137.172 Cr. To judge whether the company’s inventory is being sold or not and the sales picture is true, inventory turnover ratio plays a major role, which is 9.2332 times for Precision Camshafts . It is managing its inventory poorly .
   
• Precision Camshafts reported Profit growth of 28.6501 % over the year, where the latest year profit is Rs 78.4099 Cr compared to the previous year of Rs 60.9482 Cr. The new permits by governments and increasing demand will lead to an increase in profits in the coming year.
   
• The operating profit of Precision Camshafts in the latest quarter is Rs 15.114 Cr. It helps in measuring the company’s operating performance which is used to make financing decisions.
   
• Precision Camshafts has a poor ROE of 9.1689 %. The ROE is an important financial parameter because Auto companies work with high equity investments. Also, they have to take huge debt to incur the research and manufacturing work so their Debt to Equity ratio should be evaluated. Precision Camshafts has a low Debt to Equity ratio of 0.0665.
   
• Precision Camshafts pays a dividend of 1 Rs per share. It tells us that a company likes to share profits with its shareholders. The dividend yield is low at 0.4831 %.
   
• The share of promoter in Precision Camshafts is high at 65.37 %, where the pledging is 0 %.
   
• What the market is willing to pay for the company for its earnings can be determined by PE multiple. Current PE of Precision Camshafts is 264.717273431449 compared to the 5 year average PE of 13.4753977843376 .
   
• Share Price: - The current share price of Precision Camshafts is Rs 205.05. One can use valuation calculators of ticker to know if Precision Camshafts share price is undervalued or overvalued.