Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 25 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

D. P. Abhushan Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 24, 2024, 9:54 pm

Market Cap 3,474 Cr.
Current Price 1,536
High / Low1,928/540
Stock P/E41.8
Book Value 149
Dividend Yield0.00 %
ROCE27.1 %
ROE29.5 %
Face Value 10.0
PEG Ratio1.61

Stock P/E, Current Price, and Intrinsic Value Over Time

View Share Price Target for D. P. Abhushan Ltd

Competitors of D. P. Abhushan Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Tribhovandas Bhimji Zaveri Ltd (TBZ) 1,508 Cr. 226360/93.023.9 92.60.77 %10.9 %9.33 % 10.0
Moksh Ornaments Ltd 95.0 Cr. 17.729.4/13.512.6 11.50.00 %14.9 %11.6 % 2.00
Lypsa Gems & Jewellery Ltd 20.3 Cr. 6.9012.6/4.64 10.80.00 %60.6 %68.4 % 10.0
Kanani Industries Ltd 51.4 Cr. 2.607.55/2.50198 3.210.00 %1.80 %0.98 % 1.00
Titan Company Ltd 2,93,742 Cr. 3,3093,887/3,05690.6 1100.33 %22.7 %32.9 % 1.00
Industry Average99,574.67 Cr849.7073.3862.850.18%23.00%25.45%5.67

All Competitor Stocks of D. P. Abhushan Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales414590175448668440433485672385471546765
Expenses399574165429642421411471640374446524737
Operating Profit16161019261922153110252229
OPM %4%3%6%4%4%4%5%3%5%3%5%4%4%
Other Income0000000000000
Interest3434444243335
Depreciation1111121111111
Profit before tax121161521131711266211822
Tax %26%25%25%25%25%28%25%25%25%28%25%25%25%
Net Profit98411169138204161317
EPS in Rs3.923.751.924.887.114.265.813.768.792.017.025.997.51

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales4516608128071,2151,7281,9712,074
Expenses4336387847731,1641,6531,8931,985
Operating Profit1822283451757989
OPM %4%3%3%4%4%4%4%4%
Other Income30000000
Interest1210101011151313
Depreciation11234555
Profit before tax811162237556171
Tax %35%28%28%25%25%26%25%
Net Profit58121727404553
EPS in Rs3.665.307.4912.3418.1720.3623.81
Dividend Payout %0%0%0%0%0%6%5%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)60.00%50.00%41.67%58.82%48.15%12.50%
Change in YoY Net Profit Growth (%)0.00%-10.00%-8.33%17.16%-10.68%-35.65%

D. P. Abhushan Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 6 years from 2017-2018 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:%
5 Years:24%
3 Years:24%
TTM:37%
Compounded Profit Growth
10 Years:%
5 Years:39%
3 Years:31%
TTM:57%
Stock Price CAGR
10 Years:%
5 Years:105%
3 Years:76%
1 Year:170%
Return on Equity
10 Years:%
5 Years:30%
3 Years:30%
Last Year:29%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:28 am

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital212222222222222223
Reserves019314775116159216315
Borrowings961259997171170126173186
Other Liabilities212978102129105102126199
Total Liabilities138195230269397414409537722
Fixed Assets192627304250494954
CWIP000100001
Investments000020000
Other Assets119169203238352363360488667
Total Assets138195230269397414409537722

Reserves and Borrowings Chart

Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +8-9377-291761-0
Cash from Investing Activity +8-17-3-2-12-5-1-4
Cash from Financing Activity +-1630-34-1150-18-6028
Net Cash Flow130-59-6024

Free Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-78.00-103.00-71.00-63.00-120.00-95.00-47.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days11101100
Inventory Days968889113103796976
Days Payable59252925141212
Cash Conversion Cycle9280668579665664
Working Capital Days7872526163524652
ROCE %15%16%20%22%24%24%27%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Jul 2024
Promoters74.73%74.73%74.73%74.73%74.73%75.00%75.00%75.00%75.00%75.00%75.00%73.82%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.06%0.06%
DIIs0.00%0.01%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Public25.26%25.27%25.27%25.27%25.27%25.00%25.00%25.00%25.00%25.00%24.95%26.13%
No. of Shareholders2,7033,2754,0084,5735,0224,9945,5055,0595,5395,5606,5487,472

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 22Mar 21Mar 20
FaceValue10.0010.0010.00
Basic EPS (Rs.)18.2112.317.49
Diluted EPS (Rs.)18.2112.317.49
Cash EPS (Rs.)20.6714.098.84
Book Value[Excl.RevalReserv]/Share (Rs.)62.0443.6231.33
Book Value[Incl.RevalReserv]/Share (Rs.)62.0443.6231.33
Revenue From Operations / Share (Rs.)777.98547.37363.34
PBDIT / Share (Rs.)33.8623.0815.59
PBIT / Share (Rs.)31.4021.3114.24
PBT / Share (Rs.)24.5816.469.99
Net Profit / Share (Rs.)18.2112.317.49
NP After MI And SOA / Share (Rs.)18.2112.317.49
PBDIT Margin (%)4.354.214.28
PBIT Margin (%)4.033.893.91
PBT Margin (%)3.153.002.75
Net Profit Margin (%)2.342.242.06
NP After MI And SOA Margin (%)2.342.242.06
Return on Networth / Equity (%)29.3528.2223.92
Return on Capital Employeed (%)39.8039.5640.59
Return On Assets (%)9.806.936.20
Long Term Debt / Equity (X)0.190.100.07
Total Debt / Equity (X)1.111.581.37
Asset Turnover Ratio (%)4.283.660.00
Current Ratio (X)1.521.281.25
Quick Ratio (X)0.050.110.04
Inventory Turnover Ratio (X)1.320.790.00
Dividend Payout Ratio (NP) (%)0.000.140.00
Dividend Payout Ratio (CP) (%)0.000.120.00
Earning Retention Ratio (%)0.0099.860.00
Cash Earning Retention Ratio (%)0.0099.880.00
Interest Coverage Ratio (X)4.964.763.67
Interest Coverage Ratio (Post Tax) (X)3.673.542.76
Enterprise Value (Cr.)980.09404.16228.06
EV / Net Operating Revenue (X)0.560.330.28
EV / EBITDA (X)13.017.876.58
MarketCap / Net Operating Revenue (X)0.480.210.16
Retention Ratios (%)0.0099.850.00
Price / BV (X)6.032.691.93
Price / Net Operating Revenue (X)0.480.210.16
EarningsYield0.040.100.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of D. P. Abhushan Ltd as of November 25, 2024 is: 1,874.07

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of November 25, 2024, D. P. Abhushan Ltd is Undervalued by 22.01% compared to the current share price 1,536.00

Intrinsic Value of D. P. Abhushan Ltd as of November 25, 2024 is: 2,361.79

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of November 25, 2024, D. P. Abhushan Ltd is Undervalued by 53.76% compared to the current share price 1,536.00

Last 5 Year EPS CAGR: 26.02%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 18.50%, which is a positive sign.
  2. The company has shown consistent growth in sales (341.88 cr) and profit (35.13 cr) over the years.
  1. The stock has a high average Working Capital Days of 59.50, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 73.50, which may not be favorable.
  3. The company has higher borrowings (138.11) compared to reserves (108.67), which may suggest financial risk.

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in D. P. Abhushan Ltd:
    1. Net Profit Margin: 2.34%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 39.8% (Industry Average ROCE: 23%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: 29.35% (Industry Average ROE: 25.45%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 3.67
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 0.05
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 41.8 (Industry average Stock P/E: 73.38)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 1.11
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

D P Abhushan Ltd. is a Public Limited Listed company incorporated on 02/05/2017 and has its registered office in the State of Madhya Pradesh, India. Company’s Corporate Identification Number(CIN) is L74999MP2017PLC043234 and registration number is 043234. Currently Company is involved in the business activities of Wholesale of metals and metal ores. Company’s Total Operating Revenue is Rs. 1731.38 Cr. and Equity Capital is Rs. 22.25 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Gems, Jewellery & Precious MetalsNo.138, Chandani Chowk, Ratlam Madhya Pradesh 457001cs@dpjewellers.com
http://www.dpjewellers.com
Management
NamePosition Held
Mr. Santosh KatariaChairman & Managing Director
Mr. Anil KatariaWhole Time Director
Mrs. Renu KatariaNon Executive Director
Mr. Deepak GadiaIndependent Director
Mr. Mukesh JainIndependent Director
Mr. Sanskar KothariIndependent Director
Mrs. Seema MandloiIndependent Woman Director
Ms. Apurva LunawatIndependent Woman Director

FAQ

What is the latest intrinsic value of D. P. Abhushan Ltd?

The latest intrinsic value of D. P. Abhushan Ltd as on 25 November 2024 is ₹1874.07, which is 22.01% higher than the current market price of ₹1,536.00.

What is the Market Cap of D. P. Abhushan Ltd?

The Market Cap of D. P. Abhushan Ltd is 3,474 Cr..

What is the current Stock Price of D. P. Abhushan Ltd as on 25 November 2024?

The current stock price of D. P. Abhushan Ltd as on 25 November 2024 is 1,536.

What is the High / Low of D. P. Abhushan Ltd stocks in FY 2024?

In FY 2024, the High / Low of D. P. Abhushan Ltd stocks is 1,928/540.

What is the Stock P/E of D. P. Abhushan Ltd?

The Stock P/E of D. P. Abhushan Ltd is 41.8.

What is the Book Value of D. P. Abhushan Ltd?

The Book Value of D. P. Abhushan Ltd is 149.

What is the Dividend Yield of D. P. Abhushan Ltd?

The Dividend Yield of D. P. Abhushan Ltd is 0.00 %.

What is the ROCE of D. P. Abhushan Ltd?

The ROCE of D. P. Abhushan Ltd is 27.1 %.

What is the ROE of D. P. Abhushan Ltd?

The ROE of D. P. Abhushan Ltd is 29.5 %.

What is the Face Value of D. P. Abhushan Ltd?

The Face Value of D. P. Abhushan Ltd is 10.0.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in D. P. Abhushan Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE