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Last Updated on: 14 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Dalmia Bharat Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 11, 2024, 12:52 pm

Market Cap 33,056 Cr.
Current Price 1,763
High / Low2,431/1,651
Stock P/E39.0
Book Value 934
Dividend Yield0.51 %
ROCE6.71 %
ROE4.78 %
Face Value 2.00
PEG Ratio1.06

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

View Share Price Target for Dalmia Bharat Ltd

Competitors of Dalmia Bharat Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Bheema Cements Ltd 73.7 Cr. 22.635.3/21.0 13.20.00 %11.8 %56.4 % 10.0
UltraTech Cement Ltd 3,09,409 Cr. 10,72812,138/8,54447.1 2,1260.65 %15.1 %12.2 % 10.0
The Ramco Cements Ltd 21,299 Cr. 9021,058/70077.2 3020.28 %8.17 %5.63 % 1.00
The India Cements Ltd 11,000 Cr. 355386/173 1700.00 %0.78 %4.81 % 10.0
Star Cement Ltd 7,375 Cr. 183256/16237.3 67.90.00 %16.5 %11.5 % 1.00
Industry Average32,643.93 Cr1,751.7334.09526.830.61%11.13%16.10%7.13

All Competitor Stocks of Dalmia Bharat Ltd

Quarterly Result

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales2,3132,7373,1512,5872,5812,7343,3803,3022,9713,3553,9123,6243,149
Expenses1,6142,0522,3841,9201,9602,3232,6972,7132,5922,7113,2053,0142,560
Operating Profit699685767667621411683589379644707610589
OPM %30%25%24%26%24%15%20%18%13%19%18%17%19%
Other Income415039262662573933424275784
Interest739461605046454754696483101
Depreciation299326327297303302333312332325336399401
Profit before tax36831541833629412536226926292734185171
Tax %37%42%-53%29%31%28%25%24%-81%25%17%22%28%
Net Profit2321836392382039227120547218609144123
EPS in Rs12.369.7433.5112.1310.584.4914.2010.462.4510.8831.426.936.29

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales7,4448,5799,4849,67410,11011,28613,54014,040
Expenses5,5506,5437,5427,5917,3408,85510,67011,490
Operating Profit1,8942,0361,9422,0832,7702,4312,8702,550
OPM %25%24%20%22%27%22%21%18%
Other Income296274235217145166-10610
Interest856708542415303202234317
Depreciation1,2261,2131,2961,5281,2501,2351,3051,461
Profit before tax1083893393571,3621,1601,3211,382
Tax %69%25%-3%33%13%27%18%
Net Profit442913492381,1838451,0791,094
EPS in Rs8,800.0058,400.0015.9611.6162.5843.5555.2155.52
Dividend Payout %0%0%13%17%2%20%16%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)561.36%19.93%-31.81%397.06%-28.57%27.69%
Change in YoY Net Profit Growth (%)0.00%-541.43%-51.74%428.86%-425.63%56.26%

Dalmia Bharat 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:9%
3 Years:13%
TTM:4%
Compounded Profit Growth
10 Years:%
5 Years:31%
3 Years:-13%
TTM:-26%
Stock Price CAGR
10 Years:%
5 Years:16%
3 Years:-6%
1 Year:-21%
Return on Equity
10 Years:%
5 Years:6%
3 Years:6%
Last Year:5%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 12:39 am

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital6,6546,65439393737373838
Reserves2,9753,68110,60010,52212,77316,02415,59116,35917,480
Borrowings8,0387,2665,8836,0493,8393,1763,8554,8054,931
Other Liabilities3,5953,7634,0164,2685,2375,4316,0366,5106,589
Total Liabilities21,26221,36420,53820,87821,88624,66825,51927,71229,038
Fixed Assets15,51614,03713,57312,55513,62614,14714,78415,73216,077
CWIP1281685201,7401,0061,0341,8712,3952,887
Investments2,7403,5052,4242,8164,0335,7043,5244,4624,945
Other Assets2,8783,6544,0213,7673,2213,7835,3405,1235,129
Total Assets21,26221,36420,53820,87821,88624,66825,51927,71229,038

Reserves and Borrowings Chart

Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +1,8751,6061,8432,3403,6041,9322,2522,635
Cash from Investing Activity +-139135189-1,760-300-1,045-2,326-2,750
Cash from Financing Activity +-1,749-1,564-2,067-594-3,375-942168222
Net Cash Flow-13177-35-14-71-5594107

Free Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-7.00-5.00-4.00-4.00-1.00-1.00-1.00

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 Days2624212518221921
Inventory Days189186211204180234242164
Days Payable258223179173213211209178
Cash Conversion Cycle-43-135355-1445528
Working Capital Days-29-26-25-37-24-21-18-21
ROCE %6%4%4%10%7%8%7%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters55.97%55.97%55.90%55.90%55.87%55.86%55.86%55.86%55.85%55.84%55.84%55.84%
FIIs13.77%13.46%12.63%12.59%12.37%12.43%12.87%13.91%14.13%12.96%11.37%9.43%
DIIs6.00%6.49%7.07%7.26%8.14%8.13%8.53%8.82%9.42%11.03%12.62%13.62%
Government0.07%0.07%0.07%0.07%0.13%0.13%0.13%0.13%0.13%0.13%0.13%0.13%
Public24.18%24.01%24.33%24.18%23.49%23.45%22.59%21.29%20.46%20.03%20.03%20.99%
No. of Shareholders49,15757,93862,64766,29862,93559,63657,07251,46648,92752,42861,20488,455

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Growth Fund1,635,0691.8344.06182,3812024-11-13796.51%
Sundaram Mid Cap Fund897,0622.46215.69182,3812024-11-13391.86%
Sundaram Mid Cap Fund - Institutional Plan897,0622.46215.69182,3812024-11-13391.86%
ICICI Prudential MidCap Fund507,9622.78122.13182,3812024-11-13178.52%
HSBC Midcap Fund426,4321.1289.73182,3812024-11-13133.81%
Sundaram Large and Mid Cap Fund250,0001.0960.11182,3812024-11-1337.08%
UTI Nifty200 Momentum 30 Index Fund212,6061.9351.12182,3812024-11-1316.57%
UTI Large & Mid Cap Fund206,1772.4849.57182,3812024-11-1313.05%
Invesco India Arbitrage Fund219,5000.5346.19182,3812024-11-1320.35%
ICICI Prudential Commodities Fund182,3813.3143.85182,3812024-11-130%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)44.0555.2261.8465.6511.61
Diluted EPS (Rs.)44.0355.1961.8465.5511.58
Cash EPS (Rs.)123.7498.92129.95135.4190.56
Book Value[Excl.RevalReserv]/Share (Rs.)868.79851.03851.84684.49542.87
Book Value[Incl.RevalReserv]/Share (Rs.)868.79851.03851.84684.49542.87
Revenue From Operations / Share (Rs.)773.21731.89610.05568.76496.10
PBDIT / Share (Rs.)155.47132.65139.78160.70117.95
PBIT / Share (Rs.)76.6362.1172.9792.4939.59
PBT / Share (Rs.)56.3241.6861.9576.1118.31
Net Profit / Share (Rs.)44.8928.3863.1367.1912.21
NP After MI And SOA / Share (Rs.)43.4755.9561.8466.5411.49
PBDIT Margin (%)20.1018.1222.9128.2523.77
PBIT Margin (%)9.918.4811.9616.267.98
PBT Margin (%)7.285.6910.1513.383.69
Net Profit Margin (%)5.803.8710.3411.812.46
NP After MI And SOA Margin (%)5.627.6410.1311.692.31
Return on Networth / Equity (%)5.036.627.299.742.12
Return on Capital Employeed (%)6.255.446.7110.154.88
Return On Assets (%)2.974.054.595.641.08
Long Term Debt / Equity (X)0.270.200.120.160.33
Total Debt / Equity (X)0.280.230.190.230.44
Asset Turnover Ratio (%)0.550.530.010.010.01
Current Ratio (X)1.761.651.571.311.18
Quick Ratio (X)1.481.351.381.120.97
Inventory Turnover Ratio (X)4.134.940.000.000.00
Dividend Payout Ratio (NP) (%)20.4616.320.000.0034.37
Dividend Payout Ratio (CP) (%)7.277.220.000.004.39
Earning Retention Ratio (%)79.5483.680.000.0065.63
Cash Earning Retention Ratio (%)92.7392.780.000.0095.61
Interest Coverage Ratio (X)7.6510.4912.809.815.54
Interest Coverage Ratio (Post Tax) (X)3.213.886.755.101.57
Enterprise Value (Cr.)41059.8039904.2330682.9532013.4313908.50
EV / Net Operating Revenue (X)2.792.952.723.041.44
EV / EBITDA (X)13.9016.2611.8710.776.05
MarketCap / Net Operating Revenue (X)2.512.682.452.790.98
Retention Ratios (%)79.5383.670.000.0065.62
Price / BV (X)2.252.321.762.330.90
Price / Net Operating Revenue (X)2.512.682.452.790.98
EarningsYield0.020.020.040.040.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Dalmia Bharat Ltd as of November 14, 2024 is: 1,750.04

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 14, 2024, Dalmia Bharat Ltd is Overvalued by 0.74% compared to the current share price 1,763.00

Intrinsic Value of Dalmia Bharat Ltd as of November 14, 2024 is: 2,393.16

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 14, 2024, Dalmia Bharat Ltd is Undervalued by 35.74% compared to the current share price 1,763.00

Last 5 Year EPS CAGR: 36.75%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -25.13, which is a positive sign.
  2. The company has higher reserves (11,778.33 cr) compared to borrowings (5,315.78 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (10.13 cr) and profit (149.63 cr) over the years.
  1. The stock has a low average ROCE of 5.75%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 17.88, which may not be favorable.

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 Dalmia Bharat Ltd:
    1. Net Profit Margin: 5.8%
      • 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: 6.25% (Industry Average ROCE: 11.13%)
      • 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%: 5.03% (Industry Average ROE: 16.1%)
      • 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): 3.21
      • 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: 1.48
      • 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: 39 (Industry average Stock P/E: 34.09)
      • 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: 0.28
      • 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

Dalmia Bharat Ltd. is a Public Limited Listed company incorporated on 12/07/2013 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L14200TN2013PLC112346 and registration number is 112346. Currently Company is involved in the business activities of Manufacture of portland cement, aluminous cement, slag cement and similar hydraulic cement. Company’s Total Operating Revenue is Rs. 135.00 Cr. and Equity Capital is Rs. 37.00 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
CementDalmiapuram, Lalgudi, Tiruchirapalli Dist. Tamil Nadu 621651investorrelations@dalmiabharat.com
https://www.dalmiabharat.com
Management
NamePosition Held
Mr. Yadu Hari DalmiaChairman & Non-Exe.Director
Mr. Gautam DalmiaManaging Director
Mr. Puneet Yadu DalmiaManaging Director & CEO
Dr. Niddodi Subrao RajanNon Executive Director
Mr. Paul Heinz HugentoblerInd. Non-Executive Director
Mr. Anuj GulatiInd. Non-Executive Director
Mrs. Anuradha MookerjeeInd. Non-Executive Director
Mr. Haigreve KhaitanIndependent Director

FAQ

What is the latest intrinsic value of Dalmia Bharat Ltd?

The latest intrinsic value of Dalmia Bharat Ltd as on 14 November 2024 is ₹1750.04, which is 0.74% lower than the current market price of ₹1,763.00.

What is the Market Cap of Dalmia Bharat Ltd?

The Market Cap of Dalmia Bharat Ltd is 33,056 Cr..

What is the current Stock Price of Dalmia Bharat Ltd as on 14 November 2024?

The current stock price of Dalmia Bharat Ltd as on 14 November 2024 is ₹1,763.

What is the High / Low of Dalmia Bharat Ltd stocks in FY 2024?

In FY 2024, the High / Low of Dalmia Bharat Ltd stocks is 2,431/1,651.

What is the Stock P/E of Dalmia Bharat Ltd?

The Stock P/E of Dalmia Bharat Ltd is 39.0.

What is the Book Value of Dalmia Bharat Ltd?

The Book Value of Dalmia Bharat Ltd is 934.

What is the Dividend Yield of Dalmia Bharat Ltd?

The Dividend Yield of Dalmia Bharat Ltd is 0.51 %.

What is the ROCE of Dalmia Bharat Ltd?

The ROCE of Dalmia Bharat Ltd is 6.71 %.

What is the ROE of Dalmia Bharat Ltd?

The ROE of Dalmia Bharat Ltd is 4.78 %.

What is the Face Value of Dalmia Bharat Ltd?

The Face Value of Dalmia Bharat Ltd is 2.00.

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 Dalmia Bharat 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