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Akar Auto Indust

AAILAuto Components

Fundamental Score

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Akar Auto Indust Share Price & Market Analysis

Current Market Price (CMP)
172.95
No change data available
Market Cap
178.65 (Cr)
Industry
Auto Components

Profitability Metrics

Poor

Return on Equity

13.63%
Good

Return on Capital Employed

17.12%
Poor

Operating Profit Margin (5Y)

6.41%
Poor

Dividend Yield

0.36%

Valuation Metrics

Good

Price to Earnings

26.54x

Market Capitalization

178.65 (Cr)

Industry P/E

29.57x

Growth Metrics

Good

YoY Quarterly Profit Growth

18.18%
Poor

YoY Quarterly Sales Growth

-4.74%
Excellent

Sales Growth (5Y)

13.62%
Excellent

EPS Growth (5Y)

32.65%
Excellent

Profit Growth (5Y)

32.65%

Financial Health

Poor

Debt to Equity

1.59x
Poor

Interest Coverage

1.67x
Good

Free Cash Flow (5Y)

37.99 (Cr)

Ownership Structure

Good

Promoter Holding

73.06%
Poor

FII Holding

0.00%
Poor

DII Holding

0.00%
Good

Pledged Percentage

3.62%
Market-cap Classification
Small-cap
Higher growth potential with higher volatility.
73.06%
Promoter Holding
178.65 (Cr)
Market Cap

Labels (e.g., "Excellent", "Good") are peer-based vs industry/sector averages — data-only, not advice

Market Data Analysis & Educational Insights

Educational evaluation of AAIL across key market metrics for learning purposes.

Positive Indicators

6 factors identified

Excellent ROCE Performance (17.12%)

Observation: Superior returns on capital employed across business operations.

Analysis: ROCE >15% demonstrates efficient capital deployment and strong operational performance. This indicates quality business fundamentals.

Consistent Growth Track Record (13.62% CAGR)

Observation: Strong 5-year sales compound annual growth rate.

Analysis: Consistent sales CAGR >12% demonstrates sustainable growth model and market opportunity execution over time.

Excellent EPS Growth (32.65% CAGR)

Observation: Outstanding 5-year earnings per share compound growth.

Analysis: EPS CAGR >15% indicates strong wealth creation potential and effective capital allocation over extended periods.

Strong Profit Growth Track Record (32.65% CAGR)

Observation: Consistent 5-year profit compound annual growth rate.

Analysis: Profit CAGR >15% demonstrates scalable business model and effective operational leverage over time.

Strong Cash Generation (₹37.99 Cr over 5Y)

Observation: Healthy free cash flow generation supports growth and returns.

Analysis: Strong FCF provides flexibility for dividends, debt reduction, and growth investments.

Balanced Promoter Holding (73.06%)

Observation: Optimal balance between promoter control and public float.

Analysis: Promoter holding in 50-75% range provides management alignment while ensuring adequate liquidity.

Risk Factors

4 factors identified

Elevated Debt Levels (D/E: 1.59)

Observation: High leverage increases financial risk and interest burden.

Analysis: High debt-to-equity ratios require monitoring of debt servicing capability and cash flow generation.

Weak Interest Coverage (1.67x)

Observation: Limited ability to service debt obligations from earnings.

Analysis: Low interest coverage raises concerns about financial stability. Monitor cash flow and debt reduction plans.

High Debt-to-Equity Ratio

Observation: Elevated financial risk due to high leverage.

Analysis: High debt levels may strain cash flows and increase financial risk during economic downturns.

Small Market Cap

Observation: Higher investment risk due to limited size.

Analysis: Small-cap stocks typically carry higher volatility and liquidity risks.

📊 Educational Market Overview

Disclaimer: The ratings and scores are generated algorithmically from publicly available market data and are provided for educational and informational purposes only. They do not constitute investment advice, recommendation, or solicitation to buy/sell any securities.

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Financial Statements

Comprehensive financial data for Akar Auto Indust

About AAIL

Company Details

Symbol:AAIL
Industry:Auto Components
Sector:Auto Components & Equipments

Market Information

Market Cap:178.65 (Cr)
P/E Ratio:26.54
Beta:N/A

Performance

52W High:N/A
52W Low:N/A
Dividend Yield:0.36%

AAIL Stock Details & Analysis

Key Financial Metrics

Return on Equity (ROE)13.63%
Return on Capital Employed17.12%
Operating Profit Margin (5Y)6.41%
Debt to Equity Ratio1.59
Interest Coverage Ratio1.67

Growth & Valuation

Sales Growth (5Y)13.62%
Profit Growth (5Y)32.65%
EPS Growth (5Y)32.65%
YoY Quarterly Profit Growth18.18%
YoY Quarterly Sales Growth-4.74%

Frequently Asked Questions

What is the current price of AAIL?

AAIL is currently trading at ₹172.95 with a gain of 0.00% today. The current market price (CMP) represents the last traded price of AAIL shares on the stock exchange. This price fluctuates throughout trading hours based on supply and demand. You can track real-time price movements, percentage changes, and trading volume in the header section.

What is the P/E ratio of AAIL and what does it mean?

AAIL has a P/E ratio of 26.54x compared to the industry average of 29.57x. The Price-to-Earnings (P/E) ratio is calculated by dividing the current share price by earnings per share (EPS). This means investors are paying ₹27 for every ₹1 of annual earnings. This is lower than the industry average, which might indicate undervaluation or slower growth expectations.

How is AAIL performing according to Bull Run's analysis?

AAIL has a Bull Run fundamental score of 55.1/100, which indicates moderate strength with some areas for improvement. This comprehensive rating is based on 15+ financial parameters including profitability (ROE: 13.63%), growth metrics, valuation ratios, and financial health indicators. The score updates quarterly with new financial data and helps you quickly assess overall investment quality.

What sector and industry does AAIL belong to?

AAIL operates in the Auto Components industry. This sector classification helps understand the broader economic trends, regulatory framework, and competitive landscape affecting Akar Auto Indust. Companies in this industry typically face similar market dynamics, cyclical patterns, and macroeconomic factors. Understanding the industry context is crucial for peer comparison and assessing how sector-specific trends might impact the stock's performance.

What is Return on Equity (ROE) and why is it important for AAIL?

AAIL has an ROE of 13.63%, which shows decent profitability but room for improvement. Return on Equity measures how efficiently Akar Auto Indust generates profits from shareholders' equity. An ROE of 14% means the company generates ₹14 profit for every ₹100 of shareholders' equity. This metric is crucial for assessing management's ability to create value for shareholders.

How is AAIL's debt-to-equity ratio and what does it indicate?

AAIL has a debt-to-equity ratio of 1.59, which indicates high leverage that increases financial risk. This means the company has ₹159 of debt for every ₹100 of equity. Higher leverage can amplify returns during good times but increases bankruptcy risk during downturns.

What is AAIL's dividend yield and is it a good dividend stock?

AAIL offers a dividend yield of 0.36%, which means you receive ₹0.36 annual dividend for every ₹100 invested. The focus appears to be more on growth rather than dividend income. Dividend yield is calculated as annual dividend per share ÷ current share price × 100. Evaluate dividend consistency over 5+ years and free cash flow coverage for sustainability.

How has AAIL grown over the past 5 years?

AAIL has achieved 5-year growth rates of: Sales Growth 13.62%, Profit Growth 32.65%, and EPS Growth 32.65%. These growth metrics show the company's ability to expand its business and improve profitability over time. Sales growth indicates market expansion, profit growth shows operational efficiency, and EPS growth directly impacts share price appreciation potential.

What is the promoter holding in AAIL and why does it matter?

Promoters hold 73.06% of AAIL shares, with 3.62% of promoter shares pledged. This high promoter holding indicates strong management confidence and alignment with shareholders. Low pledging indicates financial stability of promoters. Recent change in promoter holding: 0.00%.

How does AAIL compare with its industry peers?

AAIL trades at P/E 26.54x vs industry average 29.57x, with ROE of 13.63% and ROCE of 17.12%. The stock appears undervalued relative to peers based on P/E ratio. Peer comparison helps identify whether AAIL is outperforming its competitive set in profitability, growth, and valuation metrics.

What is AAIL's market capitalization and what category does it fall into?

AAIL has a market capitalization of ₹179 crores, making it a Mid-cap stock. Mid-cap stocks balance growth potential with moderate risk. Market cap is calculated as current share price × total outstanding shares, representing the company's total market value.

What are the key financial ratios to consider for AAIL?

Key ratios for AAIL: ROE 13.63% (Good), ROCE 17.12%, P/E 26.54x, Debt-to-Equity 1.59, Interest Coverage 1.67x. These ratios help assess profitability (ROE, ROCE), valuation (P/E), financial health (D/E, Interest Coverage), and overall investment quality. Compare these with industry medians and historical trends for meaningful analysis.

How volatile is AAIL stock and what is its beta?

AAIL has a beta of N/A, which means it is less volatile than the market and offers defensive characteristics. Beta measures price volatility relative to the Nifty 50. Lower beta stocks provide stability during uncertain market conditions. Consider beta alongside your risk tolerance and portfolio diversification strategy.

What is the 52-week high and low for AAIL?

AAIL has a 52-week high of ₹N/A and low of ₹N/A. Currently trading at ₹172.95, the stock is within its annual trading range. Trading near highs indicates strong momentum but limited upside potential.

What are the key risks associated with investing in AAIL?

Key risks for AAIL include: Market volatility (Beta: N/A), financial leverage (Debt-to-Equity: 1.59), and operational challenges. The stock has a Fundamental Score of 55.1/100, indicating moderate risk requiring careful monitoring. Sector-specific risks in Auto Components include regulatory changes, economic cycles, and competitive pressures. Consider your risk tolerance, investment horizon, and portfolio diversification before investing. Past performance doesn't guarantee future results.

What is AAIL's operating profit margin and how has it trended?

AAIL has a 5-year average Operating Profit Margin (OPM) of 6.41%, which suggests room for improvement in operational efficiency. Operating Profit Margin shows operational efficiency by measuring operating profit as a percentage of revenue. Monitor margin trends to assess management's ability to control costs and improve efficiency. Compare with industry peers to understand relative performance.

How is AAIL's quarterly performance in terms of sales and profit growth?

AAIL's recent quarterly performance shows YoY Sales Growth of -4.74% and YoY Profit Growth of 18.18%. Growth rates indicate the current business trajectory and market demand. Sales growth shows market demand while profit growth reveals operational efficiency and margin management.

What is the FII and DII holding pattern in AAIL?

AAIL has FII holding of 0.00% and DII holding of 0.00%, totaling 0.00% institutional ownership. This institutional participation level shows the confidence of professional money managers. Monitor quarterly changes in institutional holdings for investment flow trends and sentiment.