Timken India Ltd. share price target

Increased bearing usage in Railways and Metros are a critical component in
railway operations because it maintains the friction between moving parts in
railway systems, ensuring that various components do not collide or separate.

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friction bearings, primarily tapered roller bearings, cylindrical roller bearing and other bearing components and accessories. They are also in power transmission product brands & partner with...

We continue to maintain out HOLD rating on the stock Target Price and Valuation: We value Timken at | 1740 i.e. 40x P/E on FY24E EPS Key triggers for future price performance:...

While CV continued to lag on account of weak demand, the fort was held by steady traction in the wind & tractor segment. Exports contribution in the Q2FY21 revenue mix fell 2% YoY to 26% vs. 28% in Q2FY20. Nonetheless, the management expects strong offtake on the exports front on the back of a solid order book and new product exports from ABC plant. Furthermore, Timken expects to launch new products in areas like solar, belts, drives and lubricants in order to improve market share and utilisation....

Companies like Larsen & Toubro and KEC with exposure to the Middle East and North Africa (MENA) region are expected to get impacted by the recent more than 60% fall in crude oil prices to US$22/barrel. This is expected to impact overall orders/awarding from the MENA region. Companies like Elgi Equipments, AIA Engineering, Thermax, Engineers India and Kalpataru Power with exposure to international geographies like Europe, Middle East, China for sales or essential raw material may get impacted. However, lockdowns in India, UK, Europe and other geographies due to Covid-19 are...

Timken's Q2FY20 performance was led by double digit growth in the railway segment, which contributed 24% to the topline. With strong traction in railway ordering and further push from Dedicated Freight Corridor, the railway segment is expected to play a vital role, going forward. Adding to this, the railway replacement market and bearing maintenance orders would further propel growth in the railway segments. The exports segment during the quarter grew 22% with European markets opening up. Exports are expected to further pick up with Bharuch plant starting to export from this...

Solid FY19, headwinds in mobile segment to impact growth TIL witnessed a solid performance across all segments in FY19, viz. railways, mobile (LCVs, HCVs and off highway), distribution (replacement market), process industries and exports. Their contribution to topline was at 18%, 22%, 17%, 8% and 24%, respectively (total ~90%). The remaining 10% contribution came in from ABC Bearings. Going ahead, headwinds in the automotive sector are expected to impact growth of mobile' segment and, thus, affect overall topline growth. On the whole, we expect Timken to clock...

Strong FY19, all segment except mobile' to grow in FY20-21E TIL saw a strong performance across segments in FY19, viz. railways, mobile (LCVs, HCVs, off highway), distribution (replacement market), process industries & exports. Their topline contribution was 18%, 22%, 17%, 8%, 24% respectively (total ~90%). Remaining 10% contribution came in from ABC Bearings. Going ahead, the management is expecting growth from all...

For Q3FY19, revenues came in at | 384.9 crore, up 38.1% YoY. We expected revenues of | 349.2 crore (25% growth) Gross margins were at 45.6% vs. 36.9% YoY. EBITDA margins were at 14.4% vs. 7.4 YoY. Gross margins, EBITDA margins were lower in Q3FY18 due to a change in product mix and high input prices during the quarter. We believe the same has now corrected in Q3FY19 Accordingly, absolute EBITDA and PAT grew 168.1% and 188.2% to | 55.6 crore and | 26.4 crore, respectively...

ICICI Securities Ltd | Retail Equity Research Timken India (TIL) reported its Q2FY19 numbers. The numbers are not comparable to historical numbers as the company reported...

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...

Top line growth owing to improved volumes: TMKN Q1FY19 results came in line with our estimates. YoY EPS grew by 44.3% on account of healthy revenue growth (27.8%) and EBITDA expansion of 134 bps. Revenue growth is due to improved volumes from domestic & export segments.

Timken India reported stellar Q1FY19 numbers that were above our estimates. Revenues came in strong at | 383.4 crore, up 27.8% YoY. We had estimated ~14% topline growth at | 341 crore Absolute EBITDA increased 40% YoY to | 59.3 crore. EBITDA margins came in at 15.5% vs. 14.1% YoY. Higher EBITDA margins were primarily due to lower other expenses, 18.3% of topline vs. 21.3% in Q1FY18. Gross margins fell ~200 bps YoY. Employee...