Sandhar Technologies Adjusts Valuation Grade Amid Competitive Auto Ancillary Landscape

Sandhar Technologies Limited, a player in the auto ancillary sector, has recently undergone a valuation adjustment, reflecting its financial metrics and market position. The company currently boasts a price-to-earnings (PE) ratio of 17.18 and a price-to-book value of 2.17. Its enterprise value to EBITDA stands at 7.87, while the EV to EBIT is recorded at 14.24. Additionally, Sandhar's PEG ratio is notably low at 0.46, indicating potential growth relative to its earnings.
In terms of profitability, Sandhar Technologies has a return on capital employed (ROCE) of 11.98% and a return on equity (ROE) of 12.19%. The company also offers a dividend yield of 0.83%.

When compared to its peers, Sandhar Technologies demonstrates a competitive edge with its valuation metrics. For instance, while Banco Products and Sharda Motor are categorized as attractive, they exhibit higher PE ratios and EV to EBITDA figures. In contrast, companies like Shanthi Gears and JTEKT India show significantly higher valuations, positioning Sandhar favorably within the auto ancillary landscape. This evaluation adjustment underscores Sandhar's solid financial foundation amidst varying performance indicators in the industry.