Endurance Technologies Ltd. share price target

Endurance Technologies is an Aurangabad based Auto Ancillary Company. It has 18 manufacturing plants in India and 8 in Europe. The companys domestic business is diversified, new clients have been added and diversification into newer products continues. Hence, the dependence on the legacy casting business has come down to 44% from more th..

We believe all the positives are priced in. Hence, maintain NEUTRAL with a revised TP of Rs 918 (23x on consol Jun-19E EPS). Endurance Technologies (ENDU) consol 1QFY18 results beat estimates on strong revenue traction (+8% YoY) and margin expansion (+83bps YoY). Strong 2W demand, regulatory changes, premiumisation trend and rising revenues from Hero and HMSI will help proprietary product revenues to post 20%+ CAGR over FY17-20E. ENDUs focus on reducing dependence on Bajaj is progressing well, with the latters contribution to sales coming down to 33% in 1QFY18 (vs 37% in FY17).

Endurance Technologies' (ETL) annual report suggests it turned a tough FY17 (for 2W industry; more so for Bajaj Auto) to good account by augmenting its product portfolio (ABS tie-up being key), making inroads into new customers (Hero/Honda), setting up plants that will contribute meaningfully to g..

Huge ABS/CBS opportunity: From April 2018, there will be compulsory implementation of Combined Brake Systems (CBS) for 2Ws <125cc, and Antilock Brake Systems (ABS) for 2Ws >125cc.

Endurance Technologies Ltd (ENDU) is one of the largest 2W & 3W automotive component manufacturers in India (70% of overall revenue). Its India business is focused on aluminium die castings & proprietary products (suspension, transmission and braking systems). It also...

Revenue rose by 3.47% to Rs. 1366.12 Cr in Q4FY17 when compared to the previous quarter.

Endurance Technologies' (ETL) Q4 results were mixed as strong Europe margin (18.2%) offset subdued India margin (10.4%). India margin was impacted by plant consolidation and operating deleverage (H2FY17 volumes were lower for most OEMs vs. initial production plan).

Endurance Technologies (ENDU) consol 4QFY17 results were a mixed bag. Top line and PAT numbers beat estimates, while margins at 12.8% came in slightly below expectations. Strong 2W demand, regulatory changes, premiumisation trend and rising revenues from Hero and HMSI (both currently contribute only 11% to revenues) will help proprietary product revenues to post 20% CAGR over FY17-20E.

Endurance Technologies (ENDU) is a large and diversified player in the auto component space, with a strong presence in India (~70% of consolidated FY16 revenue).

Endurance Technologies' (ETL) Q3 results reminded us of all the reasons why we should like the company. India revenue fell by only 1% YoY despite its largest customer (Bajaj Auto at >50% of India sales) seeing a production decline of 13% during the quarter. The European business continues its stro..