Risk factor
Very poor trading liquidity
Profitability factor
Slightly undervalued vs peers
About
Sterling Tools Limited manufactures and markets high tensile cold forged fasteners to original equipment manufacturers in India. The company offers standard, special, chassis, and engine fasteners for use in passenger vehicles, commercial vehicles, two wheelers, farm and construction equipment, and off-roadways. It also engages in leasing of immovable property; and manufacture and trading of motor control unit used in automobile industry. The company exports its products to Europe, the United States, South America, and the Middle East. Sterling Tools Limited was incorporated in 1979 and is based in Faridabad, India.
Company Valuation
Based on key historical and expected multiples, the stock is slightly undervalued relative to its peers. Specifically, the stock is 'cheap' on P/E, undervalued on EV/EBIT
