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| 02 March, 2021, 01:25 AM IST | E-Paper
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Hero MotoCorp Ltd.

  • 3,350.20126.20 (3.91%)
  • Volume: 11,76,879
  • Closed
  • Last Updated On: 01 Mar, 2021, 03:59 PM IST
OPEN TRADING A/C
  • Overview
  • News
  • Financials
  • Technicals
  • Peers
  • Shareholdings
  • MF
  • F&O
  • Corporate Actions
  • About

Insights

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  • While motor cycle sales were on expected line. Scooter sales higher on both YoY and MoM basis. How sales in southern Indian states pan out is factor to watch.

  • The company’s tie-up with Harley-Davidson for distribution of Harley bikes in India is a bet which might take time to deliver any significant result as the price points are too high for Indian consumers.

  • The company has a strong distribution network in the rural and semi-urban areas, which has helped in pushing up the sales after the Covid lockdowns. A part of its fortune is tied-up with the monsoons and the trend in agriculture products.

  • Covid fears have pushed up the demand for personal vehicles. What needs to be watched is demand of two wheelers in the post-covid era, which would be an important factor in the growth of bottomline in coming quarters.

InsightsHero MotoCorp Ltd.

  • February sales – Scooters standout

    While motor cycle sales were on expected line. Scooter sales higher on both YoY and MoM basis. How sales in southern Indian states pan out is factor to watch.

  • Partial entry into premium segment

    The company’s tie-up with Harley-Davidson for distribution of Harley bikes in India is a bet which might take time to deliver any significant result as the price points are too high for Indian consumers.

  • Rural market is the key

    The company has a strong distribution network in the rural and semi-urban areas, which has helped in pushing up the sales after the Covid lockdowns. A part of its fortune is tied-up with the monsoons and the trend in agriculture products.

  • Personal mobility

    Covid fears have pushed up the demand for personal vehicles. What needs to be watched is demand of two wheelers in the post-covid era, which would be an important factor in the growth of bottomline in coming quarters.

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Key Metrics

  • PE Ratio

    PE Ratio

    This is a ratio arrived at by dividing the current market price of a stock by its latest (annual or annualized) earnings per share. Here we have taken the TTM (trailing twelve months) adjusted earnings per share.

    (x)
    25.34
  • EPS - TTM

    EPS - TTM

    Earnings per share (TTM) tells the profit after tax earned on a per share basis by a stock over the last twelve months or four quarters.

    (₹)
    132.23
  • MCap

    MCap

    MCap or Market capitalization of a stock is calculated by multiplying the total number of shares outstanding of that particular stock with its current market price.

    (₹ Cr.)
    66,962.10
  • Sectoral MCap Rank

    Sectoral MCap Rank

    This is the ranking of a company within its sector based on MCap or Market capitalization. Higher the market capitalization of a company, higher the rank it is assigned.

    6
  • PB Ratio

    PB Ratio

    Price to Book represents the ratio of current market price of a stock to its book value per share. The book value itself is arrived at by dividing the net worth of a company by the total number of shares outstanding of the company at that time.

    (x)
    4.43
  • Div Yield

    Dividend Yield

    Dividend Yield calculates the amount of full year dividend declared by a company as a percentage of the current market price of a stock. All other things being equal, higher the dividend yield of the stock, the better it is for investors.

    (%)
    2.69
  • Face Value

    Face Value

    Face value of a stock is the value ascribed to the stock as per the balance sheet of the company. The dividend declared by a company is usually declared as a percentage of face value.

    (₹)
    2.00
  • Beta

    Beta

    1 Month2.08
    3 Months1.88
    6 Months1.41
    1 Year1.26
    3 Years1.01

    2.08
  • VWAP

    VWAP

    Volume Weighted Average Price represents the average price of a security over a particular time period (example one trading day) weighted by the volume traded at each price point.

    (₹)
    3,332.22
  • 52W H/L

    52W H/L

    This represents the 52 week high and low price of the security. It is also the 1 year high and low of the security. This represents the highest and lowest price touched by the security during the past 52 weeks or 1 year including today.

    (₹)
    3,629.05 / 1,475.00

Returns

  • 1 Day3.91%
  • 1 Week-1.87%
  • 1 Month0.29%
  • 3 Months7.71%
  • 1 Year63.29%
  • 3 Years-6.34%
  • 5 Years25.61%

Financials

  • Income (P&L)
  • Balance Sheet
  • Cash Flow
  • Ratios
  • MD&A
  • Insights

    • Topline Contraction

      Sales de-grew by 13.48%. Company witnessed revenue contraction for the first time in last 3 years. (Source: Consolidated Financials)
    • Employee & Interest Expense

      Company has spent less than 1% of its operating revenues towards interest expenses and 6.46% towards employee cost in the year ending Mar 31, 2020. (Source: Consolidated Financials)
    Quarterly | AnnualDec 2020Sep 2020Jun 2020Mar 2020Dec 2019
    Total Income10,032.619,607.253,119.226,490.547,259.06
    Total Income Growth (%)4.43208.00-51.94-10.59-7.23
    Total Expenses8,559.118,348.523,030.565,830.226,227.88
    Total Expenses Growth (%)2.52175.48-48.02-6.39-8.22
    EBIT1,473.501,258.7388.66660.321,031.18
    EBIT Growth (%)17.061,319.73-86.57-35.96-0.75
    Profit after Tax (PAT)1,019.18958.4959.14604.63901.81
    PAT Growth (%)6.331,520.71-90.22-32.952.54
    EBIT Margin (%)14.6913.102.8410.1714.21
    Net Profit Margin (%)10.169.981.909.3212.42
    Basic EPS (₹)51.0247.992.9630.2745.15
    Quarterly | AnnualDec 2020Sep 2020Jun 2020Mar 2020Dec 2019
    Total Income9,978.459,508.673,120.006,407.867,178.94
    Total Income Growth (%)4.94204.77-51.31-10.74-7.71
    Total Expenses8,531.988,254.083,034.255,753.216,161.49
    Total Expenses Growth (%)3.37172.03-47.26-6.63-8.49
    EBIT1,446.471,254.5985.75654.651,017.45
    EBIT Growth (%)15.291,363.08-86.90-35.66-2.67
    Profit after Tax (PAT)1,084.47953.4561.31620.71880.41
    PAT Growth (%)13.741,455.13-90.12-29.500.64
    EBIT Margin (%)14.5013.192.7510.2214.17
    Net Profit Margin (%)10.8710.031.979.6912.26
    Basic EPS (₹)54.2947.733.0731.0844.08
    Quarterly | Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Revenue29,984.5334,657.5532,981.5429,132.3828,869.95
    Total Revenue Growth (%)-13.485.0813.210.913.00
    Total Expenses26,085.4529,614.0127,739.1024,563.9924,517.28
    Total Expenses Growth (%)-11.926.7612.930.19-0.31
    Profit after Tax (PAT)3,638.113,444.093,720.403,584.273,141.98
    PAT Growth (%)5.63-7.433.8014.0832.87
    Operating Profit Margin (%)13.4814.9516.2416.0615.34
    Net Profit Margin (%)12.4310.1311.4612.5211.04
    Basic EPS (₹)182.15172.45186.30179.49157.34
    Quarterly | Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Revenue29,614.4334,341.7932,756.3129,022.8928,990.42
    Total Revenue Growth (%)-13.774.8412.860.113.25
    Total Expenses25,718.1129,331.0627,512.1524,364.4324,595.84
    Total Expenses Growth (%)-12.326.6112.92-0.940.01
    Profit after Tax (PAT)3,633.263,384.873,697.363,377.123,132.37
    PAT Growth (%)7.34-8.459.487.8131.30
    Operating Profit Margin (%)13.5814.9116.2916.3615.37
    Net Profit Margin (%)12.5910.0511.4711.8410.95
    Basic EPS (₹)181.91169.48185.14169.12156.86

    All figures in Rs Cr, unless mentioned otherwise

  • Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Assets19,674.0718,504.3617,396.7315,312.0012,895.81
    Total Assets Growth (%)6.326.3713.6218.7421.04
    Total Liabilities5,127.185,267.845,332.064,929.114,007.07
    Total Liabilities Growth (%)-2.67-1.208.1723.01-2.17
    Total Equity14,546.8913,236.5212,064.6710,382.898,888.74
    Total Equity Growth (%)9.909.7116.2016.8135.53
    Current Ratio (x)2.021.912.011.811.76
    Total Debt to Equity (x)0.010.020.020.020.03
    Contingent Liabilities510.10875.17444.05514.39694.50
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Total Assets18,749.3317,641.1916,738.8014,694.2612,340.69
    Total Assets Growth (%)6.285.3913.9119.0717.29
    Total Liabilities4,612.934,784.074,969.924,582.974,395.94
    Total Liabilities Growth (%)-3.58-3.748.444.2510.44
    Total Equity14,136.4012,857.1211,768.8810,111.297,944.75
    Total Equity Growth (%)9.959.2516.3927.2721.45
    Current Ratio (x)2.081.962.041.821.47
    Total Debt to Equity (x)0.000.000.000.000.00
    Contingent Liabilities249.43821.50437.86480.68650.44

    All figures in Rs Cr, unless mentioned otherwise

  • Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Net Cash flow from Operating Activities5,518.131,032.274,017.214,007.193,722.37
    Net Cash used in Investing Activities-2,819.141,297.63-1,858.21-1,971.95-2,300.18
    Net Cash flow from Financing Activities-2,601.80-2,252.39-2,102.45-2,035.86-1,474.73
    Net Cash Flow97.1977.5156.55-0.62-52.54
    Closing Cash & Cash Equivalent305.31208.12130.6174.0674.68
    Closing Cash & Cash Equivalent Growth (%)46.7059.3476.36-0.83-51.66
    Total Debt/ CFO (x)0.040.300.060.060.06
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Net Cash flow from Operating Activities5,410.10979.053,980.864,028.023,913.79
    Net Cash used in Investing Activities-2,883.101,321.23-1,915.22-1,943.94-2,271.34
    Net Cash flow from Financing Activities-2,419.77-2,293.98-2,046.66-2,095.63-1,683.95
    Net Cash Flow107.236.3018.98-11.55-41.50
    Closing Cash & Cash Equivalent147.9140.6834.3815.4056.47
    Closing Cash & Cash Equivalent Growth (%)263.5918.32123.25-72.73-42.36
    Total Debt/ CFO (x)0.000.000.000.000.00

    All figures in Rs Cr, unless mentioned otherwise

  • Insights

    • Passing Profits to Shareholders

      Company has consistently declining ROE in last 5 years. Majority of profits last year were disbursed as dividends to shareholders. (Source: Consolidated Financials)
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Return on Equity (%)25.2526.2431.0734.7435.56
    Return on Capital Employed (%)25.6236.0440.8241.2746.83
    Return on Assets (%)18.4918.6121.3823.4024.36
    Interest Coverage Ratio (x)84.60136.65171.21168.46298.92
    Asset Turnover Ratio (x)148.69183.58186.57186.84220.66
    Price to Earnings (x)8.7614.8419.0517.9918.73
    Price to Book (x)2.213.895.916.246.65
    EV/EBITDA (x)6.638.9712.1212.6512.24
    EBITDA Margin (%)16.3716.7918.0117.8116.90
    Annual FY 2020 FY 2019 FY 2018 FY 2017 FY 2016
    Return on Equity (%)25.7026.3231.4133.3939.42
    Return on Capital Employed (%)26.5237.1542.3544.0053.02
    Return on Assets (%)19.3719.1822.0822.9825.38
    Interest Coverage Ratio (x)177.94583.64840.07770.992,044.99
    Asset Turnover Ratio (x)153.79190.74192.54193.95231.74
    Price to Earnings (x)8.7715.0819.1619.0818.80
    Price to Book (x)2.253.976.026.377.40
    EV/EBITDA (x)6.679.0612.1712.4612.12
    EBITDA Margin (%)16.4216.7018.0118.0916.91
  • MANAGEMENT DISCUSSION AND ANALYSIS (FY 2019-20)

    • Global concerns

      The virus outbreak weighed down growth in several of the emerging economies, which already had their own issues to contend with. India was caught amidst declining credit growth and stress in the non-banking finance sector, countries in the Middle East and North Africa (MENA) were witnessing weak oil output and civil unrest, and Latin America was in the grip of a weak investment climate.

    • Headwinds for industry

      Scooters contribute 32% of the industry and the segment declined due to increase in the overall cost of ownership and higher penetration levels. The 100-110cc segment declined by 21% in FY20, while for 125cc scooters, sales plateaued within the segment. The scooter industry volume stood at 5.57 million.

    • Tailwinds

      There could be a shift away from “shared mobility” to own(ed) mobility. This is likely to benefit two-wheeler demand in the short and medium term FY22 is expected to be a crucial year for the industry, with recovery projected to pick up from the second half of FY21 around the festive season. The potential pent-up demand and economic revival are also expected to support recovery in the sector

Financial InsightsHero MotoCorp Ltd.

  • Income (P&L)
  • Ratios
    • Topline Contraction

      Sales de-grew by 13.48%. Company witnessed revenue contraction for the first time in last 3 years. (Source: Consolidated Financials)

    • Employee & Interest Expense

      Company has spent less than 1% of its operating revenues towards interest expenses and 6.46% towards employee cost in the year ending Mar 31, 2020. (Source: Consolidated Financials)

    • Passing Profits to Shareholders

      Company has consistently declining ROE in last 5 years. Majority of profits last year were disbursed as dividends to shareholders. (Source: Consolidated Financials)

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Technicals

  • Buy / Sell Signals
  • Price Analysis
  • Pivot Levels & ATR
  • Chart
  • Bullish / Bearish signals for Hero MotoCorp Ltd. basis selected technical indicators and moving average crossovers.

    50 Day EMA Crossover

    Bullish signal on daily chart

    Appeared on: 1 Mar 2021

    50D EMA: 3318.67

    Last 4 Buy Signals:8 Jan 2021
    Date30 days Gain/Loss %
    8 Jan 202112.62%
    6 Jan 20211.01%
    24 Dec 20201.66%
    26 Nov 20207.11%

    Average price gain of 3.58% within 30 days of Bullish signal in last 5 years

    MACD Crossover

    Bearish signal on weekly chart

    Appeared on: 26 Feb 2021

    Region: Positive

    Last 4 Sell Signals:30 Oct 2020
    Date7 weeks Gain/Loss %
    30 Oct 20200.44%
    20 Feb 2020-34.16%
    22 Nov 2019-7.31%
    19 Jul 2019-6.78%

    Average price decline of -6.01% within 7 weeks of Bearish signal in last 10 years

    Stochastic Crossover

    Bearish signal on weekly chart

    Appeared on: 26 Feb 2021

    Region: Equlibrium

    Last 4 Sell Signals:24 Dec 2020
    Date7 weeks Gain/Loss %
    24 Dec 2020-1.37%
    23 Oct 2020-10.42%
    4 Sep 2020-2.92%
    24 Jul 2020-4.38%

    Average price decline of -5.18% within 7 weeks of Bearish signal in last 10 years

    Show More
  • 47%
    Positive Movement since
    1st Jan 2005 on basis
    53%
    Negative Movement since
    1st Jan 2005 on basis
    Exclude
  • Pivot Levels

    R1R2R3PIVOTS1S2S3
    Classic3374.133415.073518.073312.073271.133209.073106.07

    Average True Range

    5 DAYS14 DAYS28 DAYS
    ATR129.57118.70109.69

Peer Comparison

  • Stock Performance
  • Ratio Performance
  • Insights

    • Stock Returns vs Nifty 100

      Stock gave a 3 year return of -9.87% as compared to Nifty 100 which gave a return of 35.04%. (as of last trading session)
    • Stock Returns vs Nifty Auto

      Stock generated -9.87% return as compared to Nifty Auto which gave investors -8.85% return over 3 year time period. (as of last trading session)
    • 1D
    • 1W
    • 1M
    • 3M
    • 6M
    • 1Y
    • 5Y
  • Insights

    • Stock Returns vs Nifty 100

      Stock gave a 3 year return of -9.87% as compared to Nifty 100 which gave a return of 35.04%. (as of last trading session)
    • Stock Returns vs Nifty Auto

      Stock generated -9.87% return as compared to Nifty Auto which gave investors -8.85% return over 3 year time period. (as of last trading session)

    Ratio Performance

    NAMEP/E (x)P/B (x)ROE %ROCE %ROA %Rev CAGR [3Yr]OPMNPMBasic EPSCurrent RatioTotal Debt/ Equity (x)Total Debt/ CFO (x)
    Hero MotoCorp25.344.6025.2525.6218.490.9613.4812.39182.152.020.010.04
    Bajaj Auto23.695.0924.0628.6319.6610.8921.3016.34180.201.560.000.00
    Eicher Motors62.097.0018.3022.4614.6710.0225.5819.61669.523.150.010.09
    TVS Motor81.768.1319.0319.143.2314.249.383.4713.150.972.7424.11
    Atul Auto483.101.4817.4121.7614.089.4710.858.3524.421.970.000.00
    Add More
    Annual Ratios (%)

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      Peers InsightsHero MotoCorp Ltd.

      • Stock Returns vs Nifty 100

        Stock gave a 3 year return of -9.87% as compared to Nifty 100 which gave a return of 35.04%. (as of last trading session)

      • Stock Returns vs Nifty Auto

        Stock generated -9.87% return as compared to Nifty Auto which gave investors -8.85% return over 3 year time period. (as of last trading session)

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      Shareholding Pattern

      • QOQ Change
      • Total Shareholdings
      • Showing Shareholding as on 31 Dec 2020
        Category31 Dec 202030 Sep 202030 Jun 202031 Mar 2020
        Promoters34.7634.7634.7734.63
        Pledge0.000.000.000.00
        FII41.1538.6534.6835.63
        DII14.7217.5019.7518.53
        Mutual Funds5.917.478.017.96
        Others9.379.0910.8011.21
      • Showing Shareholding as on 31 Dec 2020
        CategoryNo. of SharesPercentage% Change QoQ
        Promoters6,94,42,08134.76 %0.00
        Pledge00.00 %0.00
        FII8,22,01,94741.15 %2.50
        DII2,94,14,90914.72 %-2.78
        MF1,18,11,6615.91 %-1.56
        Others1,87,08,6739.37 %0.28

      MF Ownership

      MF Ownership as on 31 January 2021

      F&O Quote

      • Futures
      • Options
        • Expiry

        Price

        3,329.80112.00 (3.48%)

        OpenHighLowPrev CloseContracts TradedTurnover (₹ Lakhs)
        3,238.353,349.003,233.003,217.807,20447,699.99

      Corporate Actions

      • Board Meeting/AGM
      • Dividends
      • Others
      • Meeting DateAnnounced onPurposeDetails
        Feb 04, 2021Feb 01, 2021Board MeetingQuarterly Results & Interim Dividend
        Oct 28, 2020Oct 05, 2020Board MeetingQuarterly Results
        Aug 13, 2020Jul 23, 2020Board MeetingQuarterly Results
        Aug 12, 2020Jun 09, 2020AGMBook closure from Aug 3, 2020 to Aug 12, 2020
        Jun 09, 2020May 20, 2020Board MeetingAudited Results & Final Dividend
      • TypeDividendDividend per ShareEx-Dividend DateAnnounced on
        Special250%5.0Feb 15, 2021Feb 06, 2021
        Interim3250%65.0Feb 15, 2021Feb 05, 2021
        Final1250%25.0Jul 30, 2020Jun 09, 2020
        Interim3250%65.0Feb 17, 2020Feb 06, 2020
        Final1600%32.0Jul 16, 2019Apr 26, 2019
      • All TypesEx-DateRecord DateAnnounced onDetails
        SplitsMar 12, 2001Mar 26, 2001Jan 30, 2001Split: Old FV10.0| New FV:2.0
        BonusAug 10, 1998Sep 07, 1998Aug 04, 1998Bonus Ratio: 1 share(s) for every 1 shares held
        BonusNov 21, 1994Dec 16, 1994Oct 27, 1994Bonus Ratio: 1 share(s) for every 4 shares held

      About Hero MotoCorp

      Hero MotoCorp Ltd., incorporated in the year 1984, is a Large Cap company (having a market cap of Rs 66,926.14 Crore) operating in Auto sector. Hero MotoCorp Ltd. key Products/Revenue Segments include Motorised Two Wheelers Upto 350cc Engine Capacity, Spares (Two Wheelers), Sale of services and Other Operating Revenue for the year ending 31-Mar-2020. Show More

      • Executives
      • Auditors
      • BS

        Birender Singh Dhanoa

        Independent Director
        JS

        Jagmohan Singh Raju

        Ind. Non-Executive Director
        MD

        M Damodaran

        Ind. Non-Executive Director
        ML

        Malo Le Masson

        Head
        Show More
      • BSR & Co. LLP

      Key Indices Listed on

      Nifty 50, Nifty 100, Nifty 200, + 33 more

      Address

      The Grand Plaza,Plot No. 2, Nelson Mandela Road,Vasant Kunj - Phase-II,New Delhi, Delhi - 110070

      Hero MotoCorp Share Price Update

      Hero MotoCorp Ltd. share price moved up by 3.91% from its previous close of Rs 3,224.00. Hero MotoCorp Ltd. stock last traded price is 3,350.20

      Share PriceValue
      Today/Current/Last3,350.20
      Previous Day3,224.00

      Trending in Markets

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