Excessive EPS Shares in India

Excessive EPS Shares in India: Earnings per share (EPS) means how a lot cash the corporate/investor earns for every share excellent. It’s calculated by dividing the online revenue by the full variety of excellent shares. Some buyers go for top EPS shares with a purpose to lower the underlying volatility of their portfolio.

It is because excessive EPS shares are normally those with excessive share costs too. On this article, we’ll current you with such excessive EPS shares in India which you’ll add to your watchlists.

Excessive EPS Shares In India

In our article on ‘excessive EPS shares in India’, we’ll be taught concerning the historical past and enterprise of the businesses. Alongside this, we’ve got additionally supplied the important thing metrics for the shares. Later a desk presents extra such names. So with out additional ado, allow us to bounce in.

Excessive EPS Shares in India #1 – MRF Ltd

Based in 1946, MRF has developed from a toy balloon producer right into a producer of vehicle tires and tubes. The auto-ancillary inventory can also be the most costly inventory to personal in India with a present market worth of Rs 85,000.

It’s the nation’s largest tire producer with 10 factories throughout the nation producing a broad vary of tires for 2-wheelers to fighter jets. Along with this, MRF additionally has sturdy model fairness due to its outdated legacy and previous advertising campaigns.

MRF Ltd. serves because the holding firm of the MRF Group. On a consolidated foundation, its revenues have elevated from Rs 14,954 crore in FY18 to Rs 19,317 crore in FY22. Nonetheless, throughout the identical interval, its internet revenue declined to Rs 669 crore from Rs 1,132 crore due to price inflation.

Regardless of the decline within the backside line, MRF nonetheless stands as the very best EPS inventory in India with a trailing twelve months (TTM) EPS of Rs 1,399. 

Excessive EPS Shares in India #2 – Web page Industries

Web page Industries was established in 1994 as a licensed producer, distributor, and marketer of Jockey Worldwide’s merchandise in India. Through the years, the corporate has emerged as a number one participant within the activewear, innerwear, thermal put on, footwear, and swimwear segments.

As of the current date, Web page Industries is a licensed producer of Speedo and Jockey manufacturers each with a world presence spreading to Sri Lanka, Bangladesh, Nepal, UAE, Oman, and Qatar. 

The corporate operates 15 manufacturing services with sturdy backward integration services. It has a widespread distribution community with greater than 1,228 EBOs and a couple of,967 LFSs. It’s run by a powerful workforce of 26,034 staff of which 80% are ladies.

The revenues of Web page Industries have grown at a CAGR of 8.78% from Rs 2,551 crore in FY18 to Rs 3,886 crore in FY22. As for the latest figures, its TTM internet revenue was Rs 683 crore on gross sales of Rs 4,931 crore making it the second-highest EPS inventory with TTM EPS of Rs 613.

Excessive EPS Shares in India #3 – Bosch

Bosch Ltd. is the Indian subsidiary of Robert Bosch GmbH, German engineering, and know-how MNC. The Indian entity is a number one supplier of know-how and companies to the mobility sector with a presence in different fields as nicely akin to power, sensible cities, shopper items, and extra. 

The German father or mother entered the nation in 1951 when it established its first manufacturing web site. Within the final 70 years, the corporate has scaled to 18 manufacturing services and seven growth & software facilities. It had 30,240 staff on the finish of FY22 with Rs 26,827 crore in gross sales.

Regardless of a presence in a number of industries, Bosch derives a majority of its revenues from the automotive trade. It earned Rs 10,037 crore or 85.19% of its complete FY22 revenues from automotive merchandise.

Its TTM internet revenue stood at Rs 1,378 crore on gross sales of Rs 14,177 crore after the December 2022 quarter outcomes. The corporate has slowly returned to pre-pandemic gross sales ranges within the final two years after reporting decrease top-line in FY20 & FY21. 

Bosch is a debt-free auto-ancillary inventory with a excessive promoter holding of 70.5%. 

Excessive EPS Shares in India #4 – Honeywell Automation India

Honeywell Automation India Ltd. (HAIL) is the Indian subsidiary of Honeywell Worldwide, an American multinational conglomerate with a presence within the aerospace, constructing applied sciences, efficiency supplies & applied sciences (PMT), and security & productiveness options (SPS) industries.

The native entity got here into existence when the Tata Group and Honeywell entered right into a JV to type Tata Honeywell in 1987. Later, Tatas exited promoting their stake to Honeywell Worldwide making the latter a majority promoter shareholder. As of the current date, the promoter holding stands at a most permitted of 75%.

Powered by greater than 3,000 staff throughout the nation, HAIL is an trade chief in built-in automation and software program options, together with course of options and constructing options. It has a diversified portfolio of merchandise throughout environmental & combustion sensing and controls. 

Along with this, it is usually an engineering companies supplier within the automation and management area internationally. 

Honeywell is a debt-free inventory with TTM earnings per share of Rs 451 after Q3FY23 outcomes making it the fourth-highest EPS inventory in our checklist of excessive EPS shares in India.

Excessive EPS Shares in India #5 – Abbott India

Abbott India is the third listed Indian subsidiary of a international entity in our article on the excessive EPS shares in India. It’s owned by Abbott Laboratories, USA, and is likely one of the main pharmaceutical corporations in India. 

It manufactures vaccines, medication, medicines, and different merchandise for ladies’s well being, gastroenterology, multi-specialty use, central nervous system, and shopper well being. Digene, Betahistine, and Brufen are a few of the key manufacturers of this pharma firm.

The corporate operates a state-of-the-art manufacturing facility in Goa. It’s led by a powerful workforce of over 3,500 individuals and has operations throughout 4 neighboring international locations of India: Nepal, Sri Lanka, Maldives, and Bhutan.

Abbott is one other debt-free inventory on this checklist. It has excessive return ratios with RoCE and RoE at 38.4% and 29.5% respectively. Its gross sales have grown from Rs 3,298 crore in FY18 to Rs 4,919 crore in FY22. Throughout the identical five-year interval, its internet revenue doubled from Rs 401 crore to Rs 799 crore.

Listing of Excessive EPS Shares in India

The desk beneath lists some extra excessive EPS shares in India.

Firm NameIndustryMarket Cap (Rs Cr)CMP (Rs)TTM EPS (Rs)

MRFTyres & Rubber Products36,00085,0001,399

Web page IndustriesTextiles & Apparel42,50038,000613

BoschAuto Ancillary53,00018,000467

Honeywell Automation IndiaElectronic Goods30,50034,500451

Abbott IndiaPharmaceuticals42,50020,100437

Piramal EnterprisesFinance – NBFC18,500770430

Bajaj Holdings & InvestmentFinance – NBFC69,0006,200414

Shree CementCement94,00026,000389

3M IndiaDiversified25,75022,750354

Sundaram-ClaytonAuto Ancillary9,7504,830326

In Conclusion

From our evaluation of excessive EPS shares above we are able to conclude that the majority of those corporations by no means had a inventory break up. This has resulted of their larger share costs with fewer excellent shares. Nonetheless, in the long run, the efficiency of the corporate has far more bearing on the inventory worth.

In your opinion, ought to buyers give excessive significance to EPS unbiased of different components akin to its development, consistency, and so on? Or ought to or not it’s a holistic method to investing? How about we proceed this dialog within the feedback beneath?

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Vikalp Mishra is a commerce graduate from the College of Delhi. He likes to jot down on finance, cash and enterprise. He’s a voracious reader with a real curiosity in investing. Drop him a mail at [email protected].