This sanitaryware stock is trending today!

Shares of the company surged 5.58% on Monday.

On December 5, the market is trading in the red. At 11:35 am, the S&P BSE Sensex is trading at 62,650, down 0.34%, while NIFTY50 is trading at 18,642.25, down 0.29%. Regarding sectoral performance, Realty and Metal are the top gainers, while IT and Oil & Gas are among the top losers. Talking about stock-specific action, Hindware Home Innovation Ltd is among the top gainers in BSE group ‘A’.

The shares of Hindware Home Innovation Ltd surged 5.58% and are trading at Rs 399.15. The stock opened at Rs 378.05 and made an intraday high and low of Rs 418.75 and Rs 378.05, respectively. The company has a market capitalisation of Rs 2878 crore and the stock is trading at a PE multiple of 28x.

Hindware Home Innovation Ltd is involved in the business of building products and consumer appliances. Its building products portfolio includes sanitaryware, faucets, plastic pipes & fittings, and premium & super-premium tiles. While, its consumer appliances portfolio consists of chimneys, cooktops, dishwashers, built-in microwaves, water purifiers, air coolers, ceiling & pedestal fans, kitchen & furniture fittings, and a range of water heaters and room heaters.

Among Indian sanitaryware companies, the company has the widest network. In FY21, despite the impact of Covid-19, the company's total revenue increased by about 10%, with sales of Rs 1788 crore compared to Rs 1633.41 crore in FY20. This shows the resilience of the business.

For Q1FY23, on a consolidated basis, the company revenue stood at Rs 714.8, representing a YoY growth of 15.91%. However, for the same quarter, the net profit declined YoY by 35% and came in at Rs 15.51 crore.

As per the FY22 period ending, the company has an ROE and ROCE of 27.8% and 22.3%, respectively. 

About the shareholding pattern, 51.32% of the company’s stake is owned by the promoters, 3.02% by FIIs, 6.34% by DIIs, and the rest 39.32% by non-institutional investors.