AIA Engineering Limited, founded in 1979 in Ahmedabad, India, specializes in the design, development, manufacturing, and installation of abrasion and corrosion-resistant castings. It holds the distinction of being the second-largest producer of Hi-Chrome castings globally. The company boasts a widespread presence with 11 subsidiaries located in various countries, such as India, UAE, UK, USA, and more. These subsidiaries contribute to the company’s global reach and facilitate its operations in different regions.
AIA Engineering has been in the spotlight recently due to its strong financial performance.
The company reported net sales of Rs 1,226.85 crore in December 2022, a remarkable growth of 44.66% from the previous year. This has caused many investors to ponder whether AIA Engineering is a worthwhile stock to purchase.
In order to accurately predict the share price objective for AIA Engineering from 2023 to 2030, we will examine the company’s finances, growth prospects, and market trends in this article.
As of July 9th, 2023, AIA Engineering is trading at Rs. 3,204.00 with a marketcap of Rs.30.16TCr
Stock history of AIA Engineering
AIA Engineering Ltd. is a leading manufacturer of high-performance grinding media and equipment. Ahmedabad, India serves as the company’s headquarters. It was established in 1979. The Indian National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) both list AIA Engineering as a publicly traded company.
The history of AIA Engineering’s stock dates back to the company’s first public offering (IPO), in which it sold 10 lakh equity shares to the general public in December 1995. In January 1996, the company’s shares were admitted to trading on the BSE and the NSE..
The value of AIA Engineering’s stock has significantly increased over time. The company’s share price soared by more than 1000% between 2001 and 2007, propelled by strong financial performance and growing demand for its products.
The share price of AIA Engineering has been largely consistent over the past few years, with very modest variations between Rs 2,000 and Rs 3,500. The price of the company’s shares as of July 9th 2023 is roughly Rs 3204.
Latest news about AIA Engineering (AIAENG)
Below are the trading platforms that you can use to purchase AIA Engineering shares:
- Zerodha
- Upstox
- Groww
- AngelOne
- ICICIDirect
When | Maximum Price | Minimum Price |
July 2023 | ₹3,691.05 | ₹2,839.27 |
August 2023 | ₹4,060.16 | ₹3,123.20 |
September 2023 | ₹4,263.16 | ₹3,279.36 |
October 2023 | ₹4,060.16 | ₹3,123.20 |
November 2023 | ₹4,466.17 | ₹3,435.52 |
December 2023 | ₹5,002.11 | ₹3,847.78 |
AIAENG share price is expected to experience significant growth over the year, with the maximum price projected to increase from Rs 2,796.25 in March 2023 to Rs 5,002.11 in December 2023.
This represents a bullish uptrend, with the minimum price also increasing from Rs 2,150.96 in March 2023 to Rs 3,847.78 in December 2023. The growth percentage over the year is expected to be around 80%, which is quite substantial.
Investors who are considering buying AIA Engineering’s stock in 2023 may want to pay attention to these projected price ranges and factor them into their decision-making process.
AIA Engineering is trading with a P/E ratio of 28.62.
When | Maximum Price | Minimum Price |
January 2024 | ₹5,265.38 | ₹4,050.29 |
February 2024 | ₹5,916.16 | ₹4,930.13 |
March 2024 | ₹6,227.53 | ₹5,063.04 |
April 2024 | ₹5,661.39 | ₹4,354.92 |
May 2024 | ₹4,717.83 | ₹3,629.10 |
June 2024 | ₹5,661.39 | ₹4,354.92 |
July 2024 | ₹4,812.19 | ₹3,730.38 |
August 2024 | ₹5,293.40 | ₹4,201.11 |
September 2024 | ₹5,558.07 | ₹4,275.44 |
October 2024 | ₹6,538.91 | ₹5,029.93 |
November 2024 | ₹6,865.86 | ₹5,281.43 |
December 2024 | ₹7,003.17 | ₹5,387.06 |
Looking at the projected share price range for AIA Engineering in 2024, there are indications of some volatility in the market.
While the maximum AIA Engineering share price is expected to reach Rs 7,003.17 in December 2024, the minimum price is projected to be Rs 3,629.10 in May 2024. This indicates that there may be some bearish sentiment in the market during the middle of the year.
The overall projected return for the year is still quite positive, with an expected growth rate of around 40%. The maximum price range for 2024 is expected to be between Rs 7,003.17 in December and Rs 5,265.38 in January, while the minimum price range is projected to be between Rs 3,629.10 in May and Rs 4,050.29 in January.
When | Maximum Price | Minimum Price |
January 2025 | ₹7,143.24 | ₹5,494.80 |
February 2025 | ₹7,519.20 | ₹5,784.00 |
March 2025 | ₹7,895.16 | ₹6,073.20 |
April 2025 | ₹7,049.25 | ₹5,422.50 |
May 2025 | ₹6,408.41 | ₹4,929.54 |
June 2025 | ₹7,049.25 | ₹5,422.50 |
July 2025 | ₹6,713.57 | ₹5,164.28 |
August 2025 | ₹6,993.30 | ₹5,379.46 |
September 2025 | ₹7,342.97 | ₹5,648.43 |
October 2025 | ₹7,783.54 | ₹5,987.34 |
November 2025 | ₹8,328.39 | ₹6,406.45 |
December 2025 | ₹8,494.96 | ₹6,534.58 |
The maximum price for AIA Engineering in 2025 is predicted to be ₹8,494.96, while the minimum price is expected to be ₹4,929.54. The data shows a bullish trend in the first half of the year with an average target price of ₹7,045.53, indicating an upside potential of 34.5%.
Analysts have a positive recommendation for AIA Engineering stock, considering its strong growth prospects and market position. However, investors should keep in mind that the stock market can be volatile, and returns are subject to market risks.
Nonetheless, AIA Engineering’s consistent performance in recent years and positive growth outlook make it an attractive investment opportunity for long-term investors.
Year | Maximum Price | Minimum Price |
2026 | ₹5,946.47 | ₹4,162.53 |
2027 | ₹5,054.50 | ₹3,538.15 |
2028 | ₹9,098.10 | ₹6,368.67 |
2029 | ₹18,688.91 | ₹13,082.24 |
2030 | ₹20,812.65 | ₹14,568.86 |
Looking at the AIAENG share price prediction, AIA Engineering is expected to reach a maximum price of ₹9,098.10 and a minimum price of ₹4,162.53 in 2026. In 2027, the maximum price is predicted to be ₹5,054.50 and the minimum price is expected to be ₹3,538.15. However, in 2028, there is a significant increase in the maximum price, which is expected to reach ₹9,098.10 and the minimum price is predicted to be ₹6,368.67.
Moving on to 2029, the maximum price is predicted to reach a staggering ₹18,688.91 and the minimum price is expected to be ₹13,082.24. Finally, in 2030, the maximum price is predicted to be ₹20,812.65 and the minimum price is expected to be ₹14,568.86.
Overall, the data suggests that there is an upside potential for AIA’s share price target in the coming years, although it is recommended to consider multiple factors and consult with financial advisors before making any investment decisions.
Financial Condition of AIA Engineering: Last 5 years
Year | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 |
---|---|---|---|---|---|
Sales | 3,070 | 2,970 | 2,881 | 3,567 | 4,909 |
Expenses | 2,406 | 2,285 | 2,220 | 2,841 | 3,668 |
Operating Profit | 664 | 685 | 661 | 726 | 1,241 |
OPM % | 22% | 23% | 23% | 20% | 25% |
Other Income | 121 | 142 | 170 | 156 | 235 |
Interest | 11 | 10 | 8 | 8 | 20 |
Depreciation | 79 | 98 | 94 | 92 | 93 |
Profit before tax | 694 | 719 | 730 | 781 | 1,362 |
Tax % | 26% | 18% | 22% | 21% | 22% |
Net Profit | 511 | 590 | 566 | 620 | 1,056 |
EPS in Rs | 54.16 | 62.59 | 60.02 | 65.70 | 111.95 |
Dividend Payout % | 17% | 43% | 15% | 14% | 14% |
Over the past five years from 2019 to 2023, the AIA Engineering’s financial performance has shown mixed results, but mostly growth. Sales figures fluctuated, reaching a peak of 4,909 Crore INR in March 2023 after a dip in the previous years. However, expenses remained high, with a steady increase each year.
Operating profit followed a similar trend, experiencing ups and downs but ultimately showing improvement, reaching 1,241 crore INR in March 2023.
The operating profit margin (OPM %) ranged from 20% to 25%, indicating a relatively stable profitability ratio. Other income varied but showed a general upward trend. Net profit also exhibited fluctuations, with a significant increase in March 2023, reflecting the company’s ability to generate higher earnings. Earnings per share (EPS) demonstrated steady growth over the years, nearly doubling from 54.16 in 2019 to 111.95 in March 2023.
Despite the volatile nature of the company’s financials, the dividend payout percentage remained relatively low and stable, indicating a conservative approach to distributing profits to shareholders.
ICICI Direct is optimistic about AIA Engineering and has given it a “Buy” rating with a target price of Rs 3240.
FAQS
By the end of 2023, it is expected that the per share price of AIA Engineering will rise to ₹5,002.
The share price target of AIA Engineering for 2025 might be around ₹8,495.
By the end of 2030, the share price of AIA Engineering is expected to reach approximately ₹20,812.65 per share.
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Conclusion: Should you buy AIA Engineering in 2023?
AIA Engineering seems to be a potential investment option based on the rise in income, PAT, revenue, and profit during the previous five years. The company’s revenue has consistently increased, with revenues rising by 45% between 2018 and 2022.
Similarly, throughout the same time period, the profit after tax (PAT) climbed by 39%. The operating profit margin (OPM) of the business has stayed steady, which is a sign of sound money management.
Going ahead, it is anticipated that the price of an AIA share would fluctuate between 1,971.71 and 20,812.65 between 2023 and 2030. This means that there will be tremendous room for expansion in the years to come.
Although the share price goal may change based on a number of variables, AIA’s steady revenue and profit growth and sound financial management make it a desirable investment option. It has a market cap of approx 30,256 Cr. INR.
Investors looking for a long-term investment with a bright future could think about including AIA shares in their holdings.
In my opinion, AIA appears to be a smart choice for investors trying to diversify their portfolio and meet long-term financial goals due to its strong financial record and potential for future growth.
What did we learn?
- 1 Stock history of AIA Engineering
- 2 Latest news about AIA Engineering (AIAENG)
- 3 How to purchase AIA Engineering shares?
- 4 Share Price Prediction of AIA Engineering: 2023 to 2030
- 5 Financial Condition of AIA Engineering: Last 5 years
- 6 AIA Engineering share price target by Experts
- 7 FAQS
- 8 Conclusion: Should you buy AIA Engineering in 2023?