ADVERTISEMENT

Harsha Engineers International - Uncaging New Avenues For Growth: Prabhudas Lilladher Initiates Coverage

The stock is currently trading at a price/earnings of 20.2 times/16.3 times on FY24/25E earnings.

<div class="paragraphs"><p>Brass cages manufactured by Harsha Engineers International Ltd. (Source: Company website)</p></div>
Brass cages manufactured by Harsha Engineers International Ltd. (Source: Company website)

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy. 

Prabhudas Lilladher Report

Harsha Engineers International Ltd. is well placed for long-term growth given its-

  1. leadership position in the domestic and global organised bearing cages market (~50-60% share and ~6.5% share respectively),

  2. long standing relationships with top bearing players,

  3. excellence in tooling and customised precision engineering and

  4. increasing share of higher value products in the mix.

We estimate revenue/profit after tax compound annual growth rate of 8.6%/25.5% over FY22-25E driven by outsourcing of cage production and localisation of manufacturing in India, scale up in bronze bushings, precision stamped components and large-size cages, interest and power cost savings, and turnaround in Romania operations.

The stock is currently trading at a price/earnings of 20.2 times/16.3 times on FY24/25E earnings.

Click on the attachment to read the full report:

Prabhudas Lilladher Harsha Engineers Initiating Coverage Note.pdf
Opinion
IndiaMart InterMesh Q4 Review - Robust Growth In The Number Of Paid Customers, Collections: Yes Securities

DISCLAIMER

This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.