Tata Elxsi Ltd. is a leading provider of design and technology services in the automotive, broadcast, and healthcare sectors. As of October 10, 2024, the Tata Elxsi share price is ₹7,770, reflecting an increase of 2.08% from the previous trading session. The stock opened at ₹7,627.00 and has seen a trading volume of over 123,995 shares so far today.
Tata Elxsi Share Price in Today’s Market
In today’s trading session, the Tata Elxsi share price reached a high of ₹7,950.20 and a low of ₹7,627.00. The current market capitalization stands at approximately ₹47,513.12 crore, indicating its significant presence in the technology and design services industry.
Tata Elxsi Financial Overview
Tata Elxsi has an enterprise value of ₹46,156.02 crore and approximately 6.23 crore shares outstanding. The company’s P/E ratio is reported at 60.34, while its P/B ratio stands at 17.76. Recent financial reports indicate a sales growth rate of 12.96% and a profit growth rate of 4.91%. With cash reserves of ₹1,357.10 crore and no debt on its balance sheet, Tata Elxsi demonstrates strong fundamentals and financial health.
Tata Elxsi Share Pros & Cons
Pros:
- Solid Sales Growth: A sales growth rate of 12.96% indicates robust demand for its services.
- Healthy Profitability: A profit growth rate of 4.91% reflects effective management and operational efficiency.
- Strong Cash Position: With cash reserves of ₹1,357.10 crore and no debt, the company is well-positioned financially.
Cons:
- High Valuation Ratios: A P/E ratio of 60.34 may suggest that the stock is overvalued compared to industry peers.
- Market Volatility: A beta of 0.66 indicates that the stock is less volatile than the broader market but still presents risks.
- Promoter Holding: A promoter holding of 43.92% may raise questions about insider confidence in the company’s future prospects.
Indiahood Recommendation on Tata Elxsi Share: Buy or Sell?
Considering the current market conditions and the fundamentals surrounding Tata Elxsi Ltd., it is advisable to buy shares for long-term growth while monitoring market trends closely for any changes in performance.
Conclusion
In summary, while the recent increase in Tata Elxsi’s share price may raise optimism among investors, its solid sales growth and healthy profitability provide compelling reasons to consider investing in this stock. However, potential investors should also be aware of high valuation ratios before making investment decisions.
Disclaimer
This article is for informational purposes only and should not be considered as financial advice. Always conduct your own research or consult with a financial advisor before making investment decisions.
