Tata Metaliks Ltd: Intrinsic Value and Fundamental Analysis
Share Price and Basic Stock Data
Last Updated: August 24, 2024, 11:32 pm
Market Cap
3,507 Cr.
Current Price
1,111
High / Low
1,131/868
Stock P/E
30.8
Book Value
510
Dividend Yield
0.45 %
ROCE
7.91 %
ROE
5.18 %
Face Value
10.0
PEG Ratio
-3.27
No data available for this post.
Competitors of Tata Metaliks Ltd
Stock Name
Market Cap
Current Price
High / Low
Stock P/E
Book Value
Dividend Yield
ROCE
ROE
Face Value
Industry Average
0 Cr
0
0
0
0%
0%
0%
0
Quarterly Result
Month
Sep 2020
Dec 2020
Mar 2021
Jun 2021
Sep 2021
Dec 2021
Mar 2022
Jun 2022
Sep 2022
Dec 2022
Mar 2023
Jun 2023
Sep 2023
Sales
520
526
661
603
645
690
808
666
877
790
926
650
755
Expenses
410
400
518
450
545
622
751
642
836
751
833
615
665
Operating Profit
109
126
143
153
100
68
57
24
41
39
93
35
90
OPM %
21%
24%
22%
25%
15%
10%
7%
4%
5%
5%
10%
5%
12%
Other Income
2
2
3
3
3
3
38
3
5
2
4
3
3
Interest
5
4
6
6
6
6
7
7
7
10
9
11
10
Depreciation
16
15
16
16
16
15
15
18
19
19
22
21
22
Profit before tax
90
109
124
135
81
50
73
2
20
12
67
6
62
Tax %
9%
31%
39%
30%
32%
29%
28%
29%
29%
23%
17%
26%
28%
Net Profit
82
75
75
95
55
36
52
1
14
9
56
5
44
EPS in Rs
25.95
23.79
23.73
29.97
17.28
11.28
16.60
0.39
4.52
3.00
17.58
1.44
13.97
Last Updated: Unknown
Quarterly Chart
Profit & Loss - Annual Report
Last Updated: Unknown
Month
Mar 2012
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
TTM
Sales
1,133
864
1,161
1,098
1,390
1,410
1,895
2,155
2,051
1,917
2,746
3,260
3,121
Expenses
1,238
876
1,067
944
1,173
1,184
1,617
1,849
1,765
1,527
2,366
3,061
2,864
Operating Profit
-105
-12
94
154
217
226
277
306
285
390
379
198
257
OPM %
-9%
-1%
8%
14%
16%
16%
15%
14%
14%
20%
14%
6%
8%
Other Income
27
-6
-20
-0
1
1
20
8
16
8
47
14
13
Interest
31
20
27
34
47
39
48
44
35
25
26
34
40
Depreciation
16
16
16
13
33
36
49
58
65
67
62
77
84
Profit before tax
-125
-55
32
107
138
152
200
212
201
306
339
101
147
Tax %
28%
-0%
-21%
22%
19%
23%
21%
14%
18%
28%
30%
20%
Net Profit
-91
-55
39
84
112
116
159
182
166
220
237
81
114
EPS in Rs
-35.83
-21.57
15.26
33.08
44.40
45.89
62.95
64.76
59.09
69.61
75.20
25.51
36.02
Dividend Payout %
-0%
-0%
-0%
-0%
5%
5%
5%
5%
4%
6%
11%
20%
Profit & Loss Yearly Chart
YoY Net Profit Growth
Year
2012-2013
2013-2014
2014-2015
2015-2016
2016-2017
2017-2018
2018-2019
2019-2020
2020-2021
2021-2022
2022-2023
YoY Net Profit Growth (%)
39.56%
170.91%
115.38%
33.33%
3.57%
37.07%
14.47%
-8.79%
32.53%
7.73%
-65.82%
Change in YoY Net Profit Growth (%)
0.00%
131.35%
-55.52%
-82.05%
-29.76%
33.50%
-22.60%
-23.26%
41.32%
-24.80%
-73.55%
Tata Metaliks Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2012-2013 to 2022-2023.
Growth
Compounded Sales Growth
10 Years:
14%
5 Years:
11%
3 Years:
17%
TTM:
3%
Compounded Profit Growth
10 Years:
15%
5 Years:
-13%
3 Years:
-21%
TTM:
39%
Stock Price CAGR
10 Years:
25%
5 Years:
14%
3 Years:
3%
1 Year:
13%
Return on Equity
10 Years:
%
5 Years:
16%
3 Years:
13%
Last Year:
5%
Last Updated: Unknown
Balance Sheet
Last Updated: Unknown
Month
Mar 2012
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
Sep 2023
Equity Capital
25
25
25
25
25
25
25
28
28
32
32
32
32
Reserves
-4
-58
-20
63
74
182
333
683
835
1,268
1,494
1,548
1,580
Borrowings
542
455
345
314
410
540
475
42
302
160
148
145
142
Other Liabilities
107
310
332
302
350
319
291
629
529
402
676
781
734
Total Liabilities
671
732
683
704
859
1,066
1,125
1,382
1,695
1,862
2,349
2,506
2,487
Fixed Assets
188
152
226
200
353
590
586
630
668
793
1,005
1,182
1,247
CWIP
26
114
3
0
88
34
24
31
98
134
233
164
190
Investments
102
99
134
134
0
0
10
0
10
0
60
100
0
Other Assets
355
367
320
370
419
442
505
721
918
936
1,051
1,060
1,051
Total Assets
671
732
683
704
859
1,066
1,125
1,382
1,695
1,862
2,349
2,506
2,487
Reserves and Borrowings Chart
Cash Flow
Month
Mar 2012
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
Cash from Operating Activity
-27
154
182
79
91
77
196
375
70
281
470
92
Cash from Investing Activity
-72
-100
-15
-21
-79
-125
-70
-87
-146
-279
-381
5
Cash from Financing Activity
170
-125
-152
-72
-13
49
-125
-262
156
-70
-56
-68
Net Cash Flow
70
-70
16
-15
-1
0
1
25
80
-68
33
28
Free Cash Flow
Month
Mar 2012
Mar 2013
Mar 2014
Mar 2015
Mar 2016
Mar 2017
Mar 2018
Mar 2019
Mar 2020
Mar 2021
Mar 2022
Mar 2023
Free Cash Flow
-647.00
-467.00
-251.00
-160.00
-193.00
-314.00
-198.00
264.00
-17.00
230.00
231.00
53.00
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.
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.
Overvalued: 26.43% compared to the current price ₹1,111.00
Intrinsic Value: 740.30
Calculation basis:
Fair 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.
Overvalued: 33.37% compared to the current price ₹1,111.00
Last 5 Year EPS CAGR: -9.43%
*Investments are subject to market risks
Strength and Weakness
Strength
Weakness
The stock has a high average ROCE of 20.83%, which is a positive sign.
The stock has a low average Working Capital Days of 13.00, which is a positive sign.
The company has higher reserves (613.69 cr) compared to borrowings (309.23 cr), indicating strong financial stability.
The company has shown consistent growth in sales (67.92 cr) and profit (135.00 cr) over the years.
The stock has a high average Cash Conversion Cycle of 23.67, 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 Tata Metaliks Ltd:
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.
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.
ROE%: 131.99% (Industry Average ROE: 0%)
ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
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.
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.
Stock P/E: 30.8 (Industry average Stock P/E: 0)
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.
Total Debt / Equity: 2.23
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
Tata Metaliks Ltd. is a Public Limited Listed company incorporated on 10/10/1990 and has its registered office in the State of West Bengal, India. Company’s Corporate Identification Number(CIN) is L27310WB1990PLC050000 and registration number is 050000. Currently Company is involved in the business activities of Manufacture of pig iron and spiegeleisen in pigs, blocks or other primary forms. Company’s Total Operating Revenue is Rs. 2745.53 Cr. and Equity Capital is Rs. 31.58 Cr. for the Year ended 31/03/2022.
INDUSTRY
ADDRESS
CONTACT
Steel - Pig Iron
Tata Centre, 10th Floor Kolkata West Bengal 700071
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 Tata Metaliks 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
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