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Bosch Ltd. Fundamental Analysis English

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Bosch Ltd Fundamental Analysis

Bosch Ltd’s fundamental analysis highlights key financial metrics including market capitalization of ₹89,532  crore, PE ratio of 44.7, and return on equity of 16.0%. These figures reflect the company’s financial health and current market valuation.

Table of Contents

Bosch Ltd Overview

Bosch Ltd is a leading supplier of technology and services in India. It operates in various sectors including mobility solutions, industrial technology, consumer goods, and energy and building technology.

The company has a market capitalization of ₹89,532 crore and is listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Currently, the stock is trading 22.3% below its 52-week high and 34.7% above its 52-week low.

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Bosch Financial Results

Bosch Ltd’s financial results for FY24 reveal strong performance with sales of ₹16,727 Cr, up from ₹14,929 Cr in FY23 and ₹11,782 Cr in FY22. The company also saw a significant rise in net profit to ₹2,491 Cr in FY24 from ₹1,426 Cr in FY23.

Revenue Trend: Bosch Ltd’s revenue for FY24 reached ₹16,727 Cr, reflecting a 12% increase from ₹14,929 Cr in FY23, and a notable growth from ₹11,782 Cr in FY22. This consistent rise demonstrates Bosch’s effective market strategy and demand.

Equity and Liabilities: The company’s equity remains robust with increasing profitability. FY24 saw net profit rise to ₹2,491 Cr, compared to ₹1,426 Cr in FY23 and ₹1,218 Cr in FY22, enhancing its financial position and equity base.

Profitability: Bosch Ltd’s operating profit in FY24 was ₹2,095 Cr with an OPM of 12%, compared to ₹1,807 Cr in FY23 and ₹1,457 Cr in FY22. This growth highlights improved profitability and efficient cost management.

Earnings Per Share (EPS): EPS surged in FY24 to ₹844.69, compared to ₹483.32 in FY23 and ₹413.07 in FY22. This growth in earnings reflects the company’s improved profitability and better shareholder returns over the last three years.

Return on Net Worth (RoNW): Bosch Ltd achieved a higher return on net worth in FY24 with a net profit of ₹2,491 Cr. This is a significant improvement from ₹1,426 Cr in FY23 and ₹1,218 Cr in FY22, indicating enhanced capital utilization.

Financial Position: Bosch Ltd’s financial position remains strong with reduced debt and increased net profit. For FY24, the net profit of ₹2,491 Cr strengthens the company’s financial stability, building on the solid performance from FY22 and FY23.

Bosch Financial Analysis

FY 24FY 23FY 22
Sales16,72714,92911,782
Expenses14,63213,12310,325
Operating Profit2,0951,8071,457
OPM %1211.7311.96
Other Income1,566473.2396.2
EBITDA2,8172,2801,853
Interest50.812.128.9
Depreciation429.5385.6324.3
Profit Before Tax3,1811,8821,500
Tax %21.7124.3318.86
Net Profit2,4911,4261,218
EPS844.69483.32413.07
Dividend Payout %44.3999.3150.84

* Consolidated Figures in Rs. Crores

Bosch Company Metrics

The company, with a market cap of ₹89,532 Cr, demonstrates solid financial performance. Despite recent stock price volatility, it maintains strong returns over the long term, including a 33.3% return over the past year.

Market Cap: The company boasts a market capitalization of ₹89,532 Cr, reflecting its significant position in the market. This valuation places it among the major players in its sector, indicating stability and investor confidence.

Book Value: With a book value of ₹4,319, the company maintains a healthy asset base, ensuring shareholders’ equity is backed by strong tangible and intangible assets, contributing to its long-term financial stability.

Face Value: The face value of ₹10.0 reflects the nominal value of each share, an important metric for determining the stock’s overall valuation. This helps in calculating dividends and earnings distribution.

Turnover: The company’s turnover ratio stands at 1.00, indicating a solid conversion of assets into sales. This reflects effective asset utilization in generating revenue, enhancing operational efficiency and profitability.

PE Ratio: The company’s PE ratio is 44.7, reflecting a high valuation compared to earnings. A higher PE ratio suggests that the market has high expectations for future earnings growth, though it also indicates a premium valuation.

Debt: The company’s debt is minimal at ₹31.4 Cr, with a debt-to-equity ratio of 0.00, showcasing a virtually debt-free structure. This provides financial flexibility and mitigates risk from borrowing.

ROE: With a Return on Equity (ROE) of 16.0%, the company efficiently generates profit from its equity investments. This indicates strong management performance and a good return on shareholder investments.

EBITDA Margin: The company’s EBITDA margin stands at 12.9%, reflecting its ability to generate operational profits before interest, tax, depreciation, and amortization. This indicates a solid operational efficiency and profitability.

Dividend Yield: The dividend yield of 1.24% provides shareholders with a steady income stream. While not high, it reflects a balance between reinvestment in the business and rewarding shareholders.

Bosch Stock Performance

Bosch Ltd delivered impressive returns with 33.26% in one year, 23.20% over three years, and 15.62% over five years, indicating strong growth potential. This consistent performance reflects the company’s ability to generate substantial returns for investors.

PeriodReturn on Investment (%)
1 Year33.26
3 Years23.20
5 Years15.62

Example: If an investor had invested ₹1,000 in Bosch Ltd stock:

1 year ago, their investment would be worth ₹1,333.

3 years ago, their investment would have grown to ₹1,232.

5 years ago, their investment would have increased to approximately ₹1,156.

Bosch Peer Comparison

The competitor analysis of the company highlights significant players in the market, such as Samvardhana Motherson with a market cap of ₹1,00,611.98 Cr, a P/E ratio of 26.56, and a 1-year return of 23.91%. Similarly, Bosch holds a market cap of ₹89,532.37 Cr, a P/E ratio of 44.68, and a 1-year return of 33.26%. Other competitors like Uno Minda and Sona BLW Precision also demonstrate strong performance with P/E ratios of 58.14 and 54.7, and respective 1-year returns of 33.54% and -10.31%.

NameCMP Rs.Mar Cap Rs.Cr.P/E1Yr return %Vol 1d1mth return %From 52w highDown %6mth return %
Samvardh. Mothe.142.99100611.9826.5623.917120897-8.940.6634.11-26.34
Bosch30356.589532.3744.6833.2615947-10.950.7822.34-13.08
Uno Minda913.652455.6158.1433.541475094-11.420.7327.2-13.77
Sona BLW Precis.525.0532628.7154.7-10.317579139-12.540.6831.69-22.67
Exide Inds.369.0531369.2537.5118.892072746-11.790.5940.51-30.59
Endurance Tech.2090.4529404.8738.225.59226582-3.580.6831.71-19.51
Motherson Wiring55.0124320.5136.84-9.751995348-5.850.6931.24-26.37

Bosch Shareholding Pattern

The Shareholding Pattern of the company highlights a stable promoter holding of 70.54% over the last three quarters. FIIs hold 6.14%, DIIs hold 15.87%, and retail investors account for 7.45%, showcasing consistent ownership distribution across stakeholders.

Dec 2024Sept 2024Jun 2024
Promoters70.5470.5470.54
FII6.146.195.96
DII15.8715.7815.8
Retail & others7.457.57.71

Bosch Ltd History

Bosch Limited is a prominent India-based supplier of technology and services, specializing in various sectors. The company’s primary focus areas include mobility solutions, industrial technology, consumer goods, and energy and building technology. Bosch manufactures and trades in a wide range of products, catering to diverse industrial and consumer needs.

The company operates through several key segments. The Automotive Products segment is a significant part of Bosch’s business, encompassing diesel systems, gasoline systems, and automotive aftermarket products and services. This division plays a crucial role in the automotive industry, providing essential components and solutions for vehicle manufacturers and service providers.

In addition to its automotive focus, Bosch has diversified its operations. The Consumer Goods segment deals with trading activities in power tools and consumables, catering to both professional and DIY markets. The company also engages in other businesses, including industrial technology and building technology products and services, demonstrating its commitment to innovation across multiple sectors.

How To Invest In Bosch Ltd Share?

To invest in Bosch Ltd shares, start by opening a demat account with Alice Blue. Complete the necessary KYC process and fund your account with the desired investment amount.

Research the company’s fundamentals, financial performance, and market trends before making an investment decision. Use the trading platform provided by the broker to place a buy order for Bosch shares at your preferred price.

Monitor your investment regularly and stay informed about company news and market developments. Consider setting up a systematic investment plan (SIP) for long-term investing in the stock if it aligns with your financial goals.

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Bosch Limited Fundamental Analysis – FAQs

1. What Is The Fundamental Analysis Of Bosch?

Fundamental analysis of Bosch examines key financial metrics: Market Cap (₹89,532  crore), PE Ratio (44.7), Debt to Equity (0.00), and Return on Equity (16.00%). These indicators provide insights into the company’s financial health, market valuation, and overall performance in the technology and services sector.

2. What is the Market Cap of Bosch Ltd?

The market capitalization of Bosch Ltd is ₹95,427.26 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current share price by the total number of shares outstanding.

3. What Is Bosch Limited?

Bosch Limited is an India-based supplier of technology and services. It specializes in mobility solutions, industrial technology, consumer goods, and energy and building technology. The company manufactures and trades in products such as fuel injection systems, automotive aftermarket products, power tools, and industrial equipment.

4. Who Is Bosch’s Owner?

Bosch Limited in India is a subsidiary of Robert Bosch GmbH, a German multinational engineering and technology company. While Robert Bosch GmbH is the majority shareholder, Bosch Limited is a public company listed on Indian stock exchanges, with multiple shareholders including institutional and retail investors.

5. Who Are The Main Shareholders Of Bosch?

The main shareholders of Bosch typically include Robert Bosch GmbH (the parent company), institutional investors (both domestic and foreign), mutual funds, and public shareholders. For the most current and accurate information on major shareholders, refer to the latest shareholding pattern disclosed by the company.

6. What Type Of Industry Is Bosch?

Bosch operates in the technology and manufacturing industry. Its diverse portfolio spans across automotive technology, industrial technology, consumer goods, and energy and building technology sectors. The company is known for its innovative solutions in mobility, industrial applications, and consumer products.

7. How To Invest In Bosch Ltd Share?

To invest in Bosch shares, open a demat account with Alice Blue. Complete the KYC process and fund your account. Research the company thoroughly, then use the trading platform to place a buy order for the desired number of shares at your preferred price.

8. Is Bosch Overvalued Or Undervalued?

Determining if Bosch is overvalued or undervalued requires a comprehensive analysis of its financials, growth prospects, industry trends, and market conditions. Investors should consider metrics like the P/E ratio, and PEG ratio, and compare them with industry peers and historical values for a balanced assessment.

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