Timken India Ltd.

NSE: TIMKEN | BSE: 522113 | ISIN: INE325A01013 |Industry: Industrial Machinery
|Expensive Performer

Timken India Ltd.    
09 Oct 2018
JM Financial
ABC amalgamation to be EPS accretive from Year 1 We resume coverage on Timken India (Timken) and publish our revised numbers to factor in the consolidation of ABC Bearings (ABC). In our view, the amalgamation of ABC Bearings would be EPS accretive from FY19 as net profit of the consolidated entity should increase 17% (factoring in 11-month consolidation in FY19) vs. 11% stake dilution through a share swap. Over FY18-21, we forecast sales and earnings CAGR of 16% and 25%, respectively, for the consolidated entity, led by a) strong growth in the domestic CV market (entry in wheel bearings segment), b) bounce-back in exports on easing of capacity constraints and...
Timken India Ltd. has gained 37.16% in the last 1 Year
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