Bharat Forge Ltd’s fundamental analysis reveals key financial metrics: Market Cap of ₹72,308.24 crore, PE Ratio of 76.02, Debt to Equity of 110.92, and Return on Equity of 13.68%. These indicators offer insights into the company’s financial health and market valuation.
Content:
- Bharat Forge Ltd Overview
- Bharat Forge Financial Results
- Bharat Forge Ltd Financial Analysis
- Bharat Forge Ltd Company Metrics
- Bharat Forge Ltd Stock Performance
- Bharat Forge Ltd Peer Comparison
- Bharat Forge Shareholding Pattern
- Bharat Forge History
- How To Invest In Bharat Forge Ltd Share?
- Bharat Forge Limited Fundamental Analysis – FAQs
Bharat Forge Ltd Overview
Bharat Forge Ltd is an Indian multinational company specializing in manufacturing and supplying safety and critical components for various sectors. It operates in the automotive and industrial sectors, providing forged and machined components, including aluminum castings and electric vehicle components.
The company is listed on both the NSE and BSE. With a market capitalization of ₹72,308.24 crore, it’s currently 16.19% away from its 52-week high and 75.05% away from its 52-week low.
Bharat Forge Financial Results
Bharat Forge has shown significant financial movement in FY 24, with sales rising to ₹15,682 crore from ₹12,910 crore in FY 23. Despite the growth in sales, expenses also increased, impacting the overall profitability.
1. Revenue Trend: Sales rose to ₹15,682 crore in FY 24 from ₹12,910 crore in FY 23, reflecting strong growth momentum.
2. Equity and Liabilities: Equity remained stable at ₹93.13 crore, while total liabilities grew to ₹19,349 crore from ₹18,384 crore, indicating an increase in financial obligations.
3. Profitability: Operating profit reached ₹2,558 crore in FY 24, up from ₹1,768 crore in FY 23. OPM improved slightly to 16% from 14%, showing better operational efficiency.
4. Earnings per Share (EPS): EPS increased to ₹20.43 in FY 24 from ₹11.35 in FY 23, reflecting enhanced shareholder value.
5. Financial Position: Total assets grew to ₹19,349 crore in FY 24 from ₹18,384 crore in FY 23, demonstrating improved financial stability and asset growth.
Bharat Forge Ltd Financial Analysis
| FY 24 | FY 23 | FY 22 | |
| Sales | 15,682 | 12,910 | 10,461 |
| Expenses | 13,124 | 11,143 | 8,445 |
| Operating Profit | 2,558 | 1,768 | 2,016 |
| OPM % | 16 | 14 | 19 |
| Other Income | 215 | 127 | 288 |
| EBITDA | 2,785 | 1,940 | 2,212 |
| Interest | 491 | 299 | 160 |
| Depreciation | 848 | 736 | 730 |
| Profit Before Tax | 1,434 | 860 | 1,414 |
| Tax % | 37 | 37 | 21 |
| Net Profit | 910 | 508 | 1,077 |
| EPS | 20.43 | 11.35 | 23.23 |
| Dividend Payout % | 44.05 | 61.67 | 30.13 |
* Consolidated Figures in Rs. Crores
Bharat Forge Ltd Company Metrics
Bharat Forge Ltd’s company metrics include a market capitalization of ₹ 73,773 crore, a book value of 154 per share, and a face value of ₹2. With a debt-to-equity ratio of 1.06, a return on equity of 13.26%, and a 0.57% dividend yield, these figures underscore the company’s financial position and investment profile.
Market Capitalization:
Market Capitalization represents the total market value of Bharat Forge’s outstanding shares, amounting to ₹ 73,773 crore.
Book Value:
The book value per share of Bharat Forge is ₹154 indicating the value of the company’s net assets divided by its shares outstanding.
Face Value:
The face value of Bharat Forge’s shares is ₹2, which is the original cost of the shares as stated on the certificate.
Asset Turnover Ratio:
The asset turnover ratio of 0.83% measures how efficiently Bharat Forge uses its assets to generate revenue.
Total Debt:
The total debt of ₹19,349 crore represents the sum of all short-term and long-term debt obligations of Bharat Forge.
Return on Equity (ROE):
The ROE of 13.26% measures Bharat Forge’s profitability in generating income from its equity investments.
EBITDA (Q):
The quarterly EBITDA of ₹654 crores represents Bharat Forge’s earnings before interest, taxes, depreciation, and amortization.
Dividend Yield:
The dividend yield of 0.57% shows the annual dividend payment as a percentage of Bharat Forge’s current share price, indicating the return on investment from dividends alone.
Bharat Forge Ltd Stock Performance
Bharat Forge Ltd has achieved a 1-year return on investment of 66.2%, a 3-year return of 24.5%, and a 5-year return of 31.8%. These returns illustrate the company’s strong performance and growth potential for investors.
| Period | Return on Investment (%) |
| 1 Year | 66.2 |
| 3 Years | 24.5 |
| 5 Years | 31.8 |
Example: If an investor had invested ₹1,000 in Bharat Forge’ss stock:
1 year ago, their investment would be worth ₹1,662.
3 years ago, their investment would have grown to ₹1,245.
5 years ago, their investment would have increased to approximately ₹1,318.
Bharat Forge Ltd Peer Comparison
Bharat Forge Ltd has a current market price of ₹1,561 and a market capitalization of ₹72,683 crore. With a P/E ratio of 76.02, it boasts a 1-year return of 66% and a dividend yield of 0.58%. Competitors include AIA Engineering and Ramkrishna Forgings.
| Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % |
| Bharat Forge | 1,561 | 72,683 | 76 | 13 | 20 | 66 | 13 | 0.58 |
| AIA Engineering | 4,595 | 43,336 | 39 | 18 | 119 | 25 | 23 | 0.35 |
| CIE Automotive | 526 | 19,968 | 25 | 20 | 26 | 10 | 18.32 | 0.95 |
| PTC Industries | 13,511 | 19,511 | 544 | 9 | 26 | 152.46 | 10.9 | – |
| Ramkrishna Forg. | 928 | 16,783 | 49 | 17 | 19 | 58 | 19 | 0.22 |
| Electrost.Cast. | 203 | 12,056 | 14 | 16 | 15 | 228 | 16.25 | 0.68 |
Bharat Forge Shareholding Pattern
Bharat Forge Ltd has a promoter holding of 45.25% as of June 2024, consistent with previous quarters. FII holding stands at 17.04%, slightly up from March 2024. DII holding is 28.14%, and retail and others account for 9.58% of the holdings.
| All values in % | Jun-24 | Mar-24 | Dec-23 |
| Promoters | 45.25 | 45.25 | 45 |
| FII | 17.04 | 16.48 | 16.6 |
| DII | 28.14 | 28.24 | 27.92 |
| Retail & others | 9.58 | 10.04 | 10.22 |
Bharat Forge History
Bharat Forge Limited is a global provider of safety and critical components for various sectors, including automotive, railways, defense, construction, mining, aerospace, marine, and oil and gas. The company’s expertise lies in manufacturing, assembling, and selling forged and machined components, as well as aluminum castings for auto and industrial sectors.
The company operates through two main segments: Forgings and Others. In recent years, Bharat Forge has expanded its portfolio to include the manufacturing and assembly of electric vehicle-related components, demonstrating its adaptability to emerging automotive trends.
Bharat Forge’s product range is extensive, covering automotive components such as engine parts (crankshafts, connecting rods), chassis components (front axle beams, steering knuckles), and transmission parts. The company also produces power products for thermal, hydro, and wind energy sectors, including shafts and gearboxes, showcasing its diversification beyond traditional automotive manufacturing.
How To Invest In Bharat Forge Ltd Share?
To invest in Bharat Forge shares, open a demat account with Alice Blue. Research the company’s fundamentals, financial performance, and position in the automotive and industrial sectors. Analyze historical stock data and compare it with industry peers.
Determine your investment strategy based on your financial goals and risk tolerance. Consider factors such as global automotive trends, industrial growth, and the company’s diversification efforts. Decide on the investment amount and timing.
Place your order through the broker’s platform. Regularly monitor your investment, staying updated on company news, quarterly results, and sector trends. Consider seeking advice from a financial advisor for personalized guidance and to ensure your investment aligns with your overall portfolio strategy.
Bharat Forge Limited Fundamental Analysis – FAQs
Bharat Forge Ltd’s fundamental analysis reveals a Market Cap of ₹72,308.24 crore, PE Ratio of 76.02, Debt to Equity of 110.92, and Return on Equity of 13.68%. These metrics provide insights into the company’s financial health, profitability, and market valuation.
Bharat Forge Ltd’s market capitalization is ₹72,308.24 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current stock price by the number of outstanding shares.
Bharat Forge Limited is an Indian multinational company specializing in manufacturing and supplying safety and critical components for various sectors. It primarily serves the automotive and industrial markets, offering forged and machined components, aluminum castings, and electric vehicle components.
Bharat Forge is a public limited company, with the Kalyani Group as its promoter. The Kalyani family, led by Baba Kalyani, holds a significant stake in the company. As a listed entity, ownership is distributed among various institutional and public shareholders.
Bharat Forge’ss long-term investment potential depends on factors like automotive industry trends, industrial growth, and the company’s diversification efforts. Consider its financial health, global presence, and adaptability to emerging technologies. Consult a financial advisor for personalized advice based on your investment goals.
The main shareholders of Bharat Forge Ltd include the Kalyani Group as promoters, along with institutional investors and public shareholders. For the most current and accurate information on major shareholders, refer to the company’s latest shareholding pattern disclosure.
Bharat Forge operates in the automotive and industrial manufacturing industry. The company specializes in producing forged and machined components, critical safety parts, and solutions for various sectors including automotive, railways, defense, aerospace, and energy.
To invest in Bharat Forge shares, open a demat account with Alice Blue. Research the company’s performance and industry trends. Decide on your investment strategy. Place your order through the broker’s platform. Regularly monitor your investment, staying informed about market conditions. Consider seeking financial advice for personalized guidance.
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