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Elecon Engineering Company Ltd
NSE:ELECON

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Elecon Engineering Company Ltd
NSE:ELECON
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Price: 506.65 INR 3.77% Market Closed
Market Cap: ₹113.7B

EV/GP

9.9
Current
10%
Cheaper
vs 3-y average of 11.1

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
9.9
=
Enterprise Value
₹84.8B
/
Gross Profit
₹10.6B

Enterprise Value to Gross Profit (EV/GP) ratio compares a company`s total enterprise value to its gross profit. It shows how much investors are paying for each dollar of the company`s gross profit, including both equity and debt.

EV/GP
9.9
=
Enterprise Value
₹84.8B
/
Gross Profit
₹10.6B

Valuation Scenarios

Elecon Engineering Company Ltd is trading below its 3-year average

If EV/GP returns to its 3-Year Average (11.1), the stock would be worth ₹565.19 (12% upside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-34%
Maximum Upside
+18%
Average Downside
8%
Scenario EV/GP Value Implied Price Upside/Downside
Current Multiple 9.9 ₹506.65
0%
3-Year Average 11.1 ₹565.19
+12%
5-Year Average 7.5 ₹379.54
-25%
Industry Average 11.7 ₹595.84
+18%
Country Average 6.5 ₹333.56
-34%

Forward EV/GP
Today’s price vs future gross profit

Not enough data available to calculate forward EV/GP

Peer Comparison

All Multiples
EV/GP
P/E
All Countries
Close

Market Distribution

In line with most companies in India
Percentile
66th
Based on 2 475 companies
66th percentile
9.9
Low
0.2 — 4.1
Typical Range
4.1 — 10.8
High
10.8 —
Distribution Statistics
India
Min 0.2
30th Percentile 4.1
Median 6.5
70th Percentile 10.8
Max 34 392.2

Elecon Engineering Company Ltd
Glance View

Elecon Engineering Company Ltd. traces its origins to a post-independence India longing for industrial prowess. Founded in 1951, the company initially embarked on a journey into manufacturing cutting-edge transmission equipment. Over the years, Elecon evolved into a powerhouse of mechanical engineering, gradually expanding its horizons into material handling, elevators, and escalators. The heartbeat of Elecon's operations pulsates in the intricately designed gearboxes and material handling solutions that form its core offerings. With a solid grounding in engineering excellence, it forges complex machinery that channels raw materials and goods within industries, crucial for sectors spanning from steel to cement and fertilizers to power generation. Elecon's profitability stems from its expertise in engineering and precision manufacturing, thriving on projects that require substantial customization and innovation. It has carved a niche in crafting tailored solutions, thus commanding a loyal clientele who seek bespoke machinery to drive their operations. Through a meticulous design and manufacturing process, Elecon ensures that each product not only meets but often exceeds the high standards of durability and efficiency demanded by its clients. By delivering value through these bespoke systems and maintaining a robust after-sales service network, Elecon solidifies its revenue stream, positioning itself as a vital cog in the industrial supply chain. Pursuing geographical expansion and continuous technological upgrades, the company stays aligned with the evolving landscape of industrial mechanics and logistics, ensuring sustained growth and resilience in a competitive market.

ELECON Intrinsic Value
439.67 INR
Overvaluation 13%
Intrinsic Value
Price ₹506.65
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