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Last Updated on: 22 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Innovana Thinklabs Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 10:00 pm

Market Cap 859 Cr.
Current Price 419
High / Low738/380
Stock P/E21.0
Book Value 89.9
Dividend Yield0.00 %
ROCE32.2 %
ROE27.4 %
Face Value 10.0
PEG Ratio1.03

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

View Share Price Target for Innovana Thinklabs Ltd

Competitors of Innovana Thinklabs Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
IDream Film Infrastructure Company Ltd 1.41 Cr. 93.899.0/85.0 2950.00 %%% 10.0
IB Infotech Enterprises Ltd 23.4 Cr. 182245/11030.7 16.80.55 %69.9 %50.5 % 10.0
Hit Kit Global Solutions Ltd 6.54 Cr. 1.411.41/0.5820.4 2.080.00 %1.92 %1.94 % 2.00
Globalspace Technologies Ltd 59.5 Cr. 17.327.0/16.2180 11.20.00 %%% 10.0
First Fintec Ltd 8.64 Cr. 8.3010.9/4.51 10.20.00 %2.41 %1.77 % 10.0
Industry Average39,977.65 Cr703.7691.08122.740.67%18.02%18.80%6.94

All Competitor Stocks of Innovana Thinklabs Ltd

Quarterly Result

MonthJun 2022Sep 2022Mar 2023Jun 2023Sep 2023
Sales1415262825
Expenses1111151414
Operating Profit34111311
OPM %23%29%42%48%45%
Other Income32124
Interest00000
Depreciation11111
Profit before tax55111414
Tax %29%39%10%27%21%
Net Profit33101011
EPS in Rs1.661.384.864.895.41

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Sales16314564575879
Expenses14203140403248
Operating Profit1111424162631
OPM %8%36%31%38%28%45%39%
Other Income0013447
Interest0000011
Depreciation0011134
Profit before tax1111426192633
Tax %38%29%24%16%18%18%16%
Net Profit181122162127
EPS in Rs7.203.695.2010.617.5910.1413.12
Dividend Payout %0%0%0%0%8%7%2%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)700.00%37.50%100.00%-27.27%31.25%28.57%
Change in YoY Net Profit Growth (%)0.00%-662.50%62.50%-127.27%58.52%-2.68%

Innovana Thinklabs 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:17%
3 Years:21%
TTM:-8%
Compounded Profit Growth
10 Years:%
5 Years:29%
3 Years:36%
TTM:-2%
Stock Price CAGR
10 Years:%
5 Years:47%
3 Years:63%
1 Year:-33%
Return on Equity
10 Years:%
5 Years:28%
3 Years:26%
Last Year:27%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 10:33 pm

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital0.20441010102020
Reserves1142540567691143
Borrowings20111151223
Other Liabilities312437270574823
Total Liabilities63072122137158171209
Fixed Assets19131214282730
CWIP40000025
Investments02284641413949
Other Assets21931648388103124
Total Assets63072122137158171209

Reserves and Borrowings Chart

Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +26393714-43-2
Cash from Investing Activity +-4-7-30-19-8-14-46-15
Cash from Financing Activity +2706223-518
Net Cash Flow-0592485-481

Free Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-1.0011.0013.0023.0015.0011.0019.00

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 2023
Debtor Days000011342
Inventory Days0000
Days Payable
Cash Conversion Cycle000011342
Working Capital Days-368-221-277-236-212-60
ROCE %100%58%63%31%31%26%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2019Sep 2019Dec 2019Mar 2020Sep 2020Mar 2021Sep 2021Mar 2022Sep 2022Mar 2023Sep 2023Mar 2024
Promoters73.17%73.17%73.17%73.17%73.17%73.17%73.17%73.17%73.19%73.19%73.23%73.23%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.10%0.06%0.13%0.14%
DIIs0.00%0.00%0.24%0.15%0.15%0.15%0.15%0.10%0.00%0.00%0.00%0.00%
Public26.83%26.83%26.59%26.69%26.69%26.68%26.67%26.73%26.71%26.75%26.64%26.63%
No. of Shareholders2032382742732962972842812803284821,073

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)20.1326.1720.4615.4820.52
Diluted EPS (Rs.)20.1326.1720.4615.4820.52
Cash EPS (Rs.)22.3915.3023.5816.2822.50
Book Value[Excl.RevalReserv]/Share (Rs.)79.6654.2584.0364.8248.65
Book Value[Incl.RevalReserv]/Share (Rs.)79.6654.2584.0364.8248.65
Revenue From Operations / Share (Rs.)49.1738.6356.1855.2262.73
PBDIT / Share (Rs.)28.9218.5329.2419.6126.67
PBIT / Share (Rs.)26.7416.5926.6118.5025.39
PBT / Share (Rs.)25.8615.9825.6918.4025.33
Net Profit / Share (Rs.)20.2113.3720.9415.1721.22
NP After MI And SOA / Share (Rs.)19.9813.1220.9415.1721.22
PBDIT Margin (%)58.8147.9652.0535.5142.51
PBIT Margin (%)54.3742.9647.3633.5040.47
PBT Margin (%)52.5841.3645.7333.3240.37
Net Profit Margin (%)41.0934.6037.2827.4733.82
NP After MI And SOA Margin (%)40.6233.9737.2827.4733.82
Return on Networth / Equity (%)25.0724.1924.9223.4043.62
Return on Capital Employeed (%)30.3827.6727.4827.9051.60
Return On Assets (%)19.6215.7013.1111.3217.76
Long Term Debt / Equity (X)0.000.000.020.010.01
Total Debt / Equity (X)0.040.010.040.010.01
Asset Turnover Ratio (%)0.530.470.240.310.52
Current Ratio (X)1.970.781.391.150.86
Quick Ratio (X)1.470.571.281.050.86
Dividend Payout Ratio (NP) (%)1.255.710.000.000.00
Dividend Payout Ratio (CP) (%)1.124.980.000.000.00
Earning Retention Ratio (%)98.7594.290.000.000.00
Cash Earning Retention Ratio (%)98.8895.020.000.000.00
Interest Coverage Ratio (X)32.8929.9332.02189.87433.99
Interest Coverage Ratio (Post Tax) (X)23.9822.5923.93147.91346.35
Enterprise Value (Cr.)1111.90634.46417.6154.8736.02
EV / Net Operating Revenue (X)11.038.017.250.960.56
EV / EBITDA (X)18.7516.7013.932.731.32
MarketCap / Net Operating Revenue (X)10.988.058.101.791.16
Retention Ratios (%)98.7494.280.000.000.00
Price / BV (X)6.785.735.411.521.50
Price / Net Operating Revenue (X)10.988.058.101.791.16
EarningsYield0.030.040.040.150.29

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Innovana Thinklabs Ltd as of November 22, 2024 is: 527.63

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 22, 2024, Innovana Thinklabs Ltd is Undervalued by 25.93% compared to the current share price 419.00

Intrinsic Value of Innovana Thinklabs Ltd as of November 22, 2024 is: 634.91

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 22, 2024, Innovana Thinklabs Ltd is Undervalued by 51.53% compared to the current share price 419.00

Last 5 Year EPS CAGR: 20.33%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 44.14%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -147.71, which is a positive sign.
  3. The company has higher reserves (55.75 cr) compared to borrowings (6.88 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (50.00 cr) and profit (18.57 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 8.00, 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 Innovana Thinklabs Ltd:
    1. Net Profit Margin: 41.09%
      • 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: 30.38% (Industry Average ROCE: 18.02%)
      • 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%: 25.07% (Industry Average ROE: 18.8%)
      • 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): 23.98
      • 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: 1.47
      • 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: 21 (Industry average Stock P/E: 91.08)
      • 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: 0.04
      • 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

No data availabale for About the Company
INDUSTRYADDRESSCONTACT
Industry not foundAddress not foundContact not found
Management Data not Available

FAQ

What is the latest intrinsic value of Innovana Thinklabs Ltd?

The latest intrinsic value of Innovana Thinklabs Ltd as on 21 November 2024 is ₹527.63, which is 25.93% higher than the current market price of ₹419.00.

What is the Market Cap of Innovana Thinklabs Ltd?

The Market Cap of Innovana Thinklabs Ltd is 859 Cr..

What is the current Stock Price of Innovana Thinklabs Ltd as on 21 November 2024?

The current stock price of Innovana Thinklabs Ltd as on 21 November 2024 is ₹419.

What is the High / Low of Innovana Thinklabs Ltd stocks in FY 2024?

In FY 2024, the High / Low of Innovana Thinklabs Ltd stocks is 738/380.

What is the Stock P/E of Innovana Thinklabs Ltd?

The Stock P/E of Innovana Thinklabs Ltd is 21.0.

What is the Book Value of Innovana Thinklabs Ltd?

The Book Value of Innovana Thinklabs Ltd is 89.9.

What is the Dividend Yield of Innovana Thinklabs Ltd?

The Dividend Yield of Innovana Thinklabs Ltd is 0.00 %.

What is the ROCE of Innovana Thinklabs Ltd?

The ROCE of Innovana Thinklabs Ltd is 32.2 %.

What is the ROE of Innovana Thinklabs Ltd?

The ROE of Innovana Thinklabs Ltd is 27.4 %.

What is the Face Value of Innovana Thinklabs Ltd?

The Face Value of Innovana Thinklabs 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 Innovana Thinklabs 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