Bajaj Electricals Ltd
ISIN: INE193E01025 • Market Cap: ₹4,090 Cr
The 5-Pillar Quality Audit for Bajaj Electricals Ltd
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (4.3%), Return on Capital Employed (4.0%), and equity compounding (—).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.00 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (-1.1%) and 3Y PAT CAGR (—).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of — vs PEG of — and Dividend Yield of 0.8%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 62.7%, backed by 22.2% institutional ownership.
Key Fundamental Strengths
Fortress Balance Sheet (D/E: 0.00)
The company operates virtually debt-free, shielding net margins from interest rate cycles and monetary tightening.
Consistent Market Standing (Small Cap)
Established player in the Consumer Durables sector with an overall fundamental quality score of 48/100.
Areas to Watch & Potential Risks
Subdued Capital Efficiency (ROCE: 4.0%)
A sub-12% ROCE suggests return on capital barely exceeds the company's weighted average cost of capital (WACC).
Topline Stagnation (3Y Sales CAGR: -1.1%)
Revenue growth has slowed below inflation rates, indicating cyclical demand slowdown or saturated core markets.
Quantitative Strategy Eligibility
Checking BAJAJELEC against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Fails 10%+ revenue growth or 15%+ minimum capital return benchmark over historical periods.
Quality Factor Screener (High RoIC + Low Debt)
Scorecard of 48/100 or leverage profile sits below strict quality index hurdles.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Consumer Durables Sector Peer Comparison
Compare BAJAJELEC directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Bajaj Electricals Ltd (BAJAJELEC)Current | 48/100 | ₹4,090 Cr | — | 4.0% | 0.00 | — |
| Titan Company Ltd. (TITAN) | 70/100 | ₹4.50 Lakh Cr | 78.05 | 39.2% | 1.76 | View |
| Asian Paints Ltd. (ASIANPAINT) | 67/100 | ₹2.51 Lakh Cr | 52.73 | 24.4% | 0.11 | View |
| LG Electronics India Ltd. (LGEINDIA) | 65/100 | ₹1.12 Lakh Cr | 61.16 | 28.4% | 0.00 | View |
| Dixon Technologies (India) Ltd. (DIXON) | 82/100 | ₹88,626 Cr | 47.21 | 30.1% | 0.07 | View |
| Havells India Ltd. (HAVELLS) | 70/100 | ₹80,202 Cr | 49.11 | 22.7% | 0.00 | View |
Frequently Asked Questions: Bajaj Electricals Ltd
Q:What is the 5-Pillar Fundamental Score for Bajaj Electricals Ltd (BAJAJELEC)?
Bajaj Electricals Ltd has a RupeeTools Fundamental Score of 48/100, placing it in the 'Caution / Risky' category. Its pillar scores are: Profitability (30/100), Financial Health (78/100), Growth (20/100), Valuation (40/100), and Ownership Quality (78/100).
Q:Is BAJAJELEC fundamentally strong for long-term investment?
BAJAJELEC currently holds a moderate quality rating of 48/100. While it operates in the Consumer Durables sector, investors should monitor its profit margins before initiating long-term positions.
Q:Does BAJAJELEC pass the Coffee Can Investing filter?
No. BAJAJELEC does not currently meet the strict 15% ROCE and 10% sustained topline compounding threshold mandated by the Coffee Can investing framework.
Q:How does BAJAJELEC compare against other Consumer Durables peers?
Within India's Consumer Durables sector, BAJAJELEC trades at a P/E of — and generates an ROCE of 4.0%. Compare its 5-Pillar score of 48/100 against top sector peers like Titan Company Ltd. (70/100), Asian Paints Ltd. (67/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.