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Last Updated on: 21 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 541557 | NSE: FINEORG

Fine Organic Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 10:35 pm

Market Cap 14,386 Cr.
Current Price 4,693
High / Low5,959/4,005
Stock P/E32.7
Book Value 691
Dividend Yield0.21 %
ROCE31.3 %
ROE23.8 %
Face Value 5.00
PEG Ratio1.14

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

View Share Price Target for Fine Organic Industries Ltd

Competitors of Fine Organic Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Gujchem Distillers India Ltd 108 Cr. 304541/61.8285 3900.00 %1.38 %2.17 % 1.00
Elantas Beck India Ltd 10,175 Cr. 12,83114,980/6,44569.3 1,0180.04 %27.7 %20.6 % 10.0
Crestchem Ltd 87.3 Cr. 291350/70.027.6 21.10.17 %78.2 %56.2 % 10.0
Chemiesynth (Vapi) Ltd 11.0 Cr. 35.834.1/0.00 37.50.00 %1.00 %3.38 % 10.0
Archit Organosys Ltd 90.1 Cr. 43.963.6/35.1125 32.20.00 %3.69 %0.75 % 10.0
Industry Average6,949.00 Cr1,987.9373.49312.950.27%16.32%12.33%7.67

All Competitor Stocks of Fine Organic Industries Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales358438463617748919760597547540488547550
Expenses306366384457533665600395407410371403410
Operating Profit517380159214254159202140130117143139
OPM %14%17%17%26%29%28%21%34%26%24%24%26%25%
Other Income66714171915131417172224
Interest1111111111111
Depreciation10101011111212131214151512
Profit before tax476875162219260161201143132119150151
Tax %23%27%31%25%27%22%34%26%30%22%21%24%25%
Net Profit36505212216020310614910010394115113
EPS in Rs11.7116.2716.9539.7452.1266.0934.6548.7432.5433.7130.7337.3636.94

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 26, 2024, 2:31 pm

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales6607788561,0601,0381,1331,8763,0232,1232,125
Expenses5146336978278039351,5132,1941,5921,595
Operating Profit146145158234235198363829531530
OPM %22%19%19%22%23%17%19%27%25%25%
Other Income841620201733647181
Interest7432565522
Depreciation30242017354740485656
Profit before tax117121151234216162352841544553
Tax %35%36%37%40%24%26%26%26%24%
Net Profit767895136165120260618412425
EPS in Rs157.74161.2231.0944.4353.7439.2484.67201.60134.34138.74
Dividend Payout %29%9%23%16%13%28%11%4%7%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)2.63%21.79%43.16%21.32%-27.27%116.67%137.69%-33.33%
Change in YoY Net Profit Growth (%)0.00%19.16%21.36%-21.83%-48.60%143.94%21.03%-171.03%

Fine Organic Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 8 years from 2016-2017 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:%
5 Years:15%
3 Years:23%
TTM:-11%
Compounded Profit Growth
10 Years:%
5 Years:25%
3 Years:51%
TTM:-4%
Stock Price CAGR
10 Years:%
5 Years:19%
3 Years:9%
1 Year:10%
Return on Equity
10 Years:%
5 Years:31%
3 Years:34%
Last Year:24%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:49 am

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital551515151515151515
Reserves2493233804856047169441,5261,9062,105
Borrowings102405412812589592944
Other Liabilities63768174108127219237182224
Total Liabilities4194455307028529481,2361,8072,1082,347
Fixed Assets125978878217196229214233223
CWIP633210662614403028
Investments0111110333131393635
Other Assets2893343995085976949621,5131,8092,060
Total Assets4194455307028529481,2361,8072,1082,347

Reserves and Borrowings Chart

Cash Flow

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +45659821913467485635
Cash from Investing Activity +-16-52-93-85-40-32-128-396
Cash from Financing Activity +-55-1792-37-41-68-69-59
Net Cash Flow-26-3979853-33289180

Free Cash Flow

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow44.00105.00104.00106.00110.00109.00304.00800.00527.00

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 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days495262544752594254
Inventory Days726858507963729178
Days Payable504746305149473641
Cash Conversion Cycle717275747466849791
Working Capital Days8088102836375858078
ROCE %35%38%44%32%22%39%65%31%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%
FIIs7.26%7.25%7.20%6.74%5.91%4.84%3.78%3.78%3.58%4.47%4.94%4.88%
DIIs11.21%11.64%10.94%10.92%11.51%12.09%12.24%12.17%11.84%10.76%11.12%11.56%
Public6.53%6.11%6.86%7.33%7.58%8.07%8.99%9.05%9.58%9.77%8.92%8.56%
No. of Shareholders56,18561,41381,33396,3671,10,6771,16,9101,34,2611,35,2521,41,3701,46,6861,31,4941,22,482

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Small Cap Fund752,7640.71326.0861,2982024-11-201128.04%
Axis Small Cap Fund713,3501.58309.0161,2982024-11-201063.74%
SBI Small Cap Fund700,0001.19303.2261,2982024-11-201041.96%
Axis Midcap Fund307,7240.53133.361,2982024-11-20402.01%
Axis Flexi Cap Fund304,1681.15131.7661,2982024-11-20396.21%
Canara Robeco Small Cap Fund77,0570.3533.3861,2982024-11-2025.71%
Axis Multicap Fund61,2980.5326.5561,2982024-11-200%
UTI Small Cap Fund46,6840.5520.2261,2982024-11-20-23.84%
Bandhan Flexi Cap Fund45,1710.2919.5761,2982024-11-20-26.31%
Axis Equity Hybrid Fund37,1341.0116.0961,2982024-11-20-39.42%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue5.005.005.005.005.00
Basic EPS (Rs.)134.34201.6084.7139.2553.75
Diluted EPS (Rs.)134.34201.6084.7139.2553.75
Cash EPS (Rs.)153.52217.8098.0654.9366.70
Book Value[Excl.RevalReserv]/Share (Rs.)626.57502.69312.85238.57201.87
Book Value[Incl.RevalReserv]/Share (Rs.)626.57502.69312.85238.57201.87
Revenue From Operations / Share (Rs.)692.42986.00611.96369.61338.58
PBDIT / Share (Rs.)197.62291.99129.6770.5685.02
PBIT / Share (Rs.)179.31276.37116.6655.3173.71
PBT / Share (Rs.)178.33274.88114.9953.3172.14
Net Profit / Share (Rs.)135.20202.1885.0439.6855.40
NP After MI And SOA / Share (Rs.)134.34201.6084.6739.2453.74
PBDIT Margin (%)28.5429.6121.1819.0925.10
PBIT Margin (%)25.8928.0219.0614.9621.77
PBT Margin (%)25.7527.8718.7914.4221.30
Net Profit Margin (%)19.5220.5013.8910.7316.36
NP After MI And SOA Margin (%)19.4020.4413.8310.6115.87
Return on Networth / Equity (%)21.4440.1027.0616.4526.62
Return on Capital Employeed (%)28.5854.9436.3021.3931.47
Return On Assets (%)19.5434.2120.9912.7019.33
Long Term Debt / Equity (X)0.000.000.020.070.14
Total Debt / Equity (X)0.000.010.060.070.14
Asset Turnover Ratio (%)1.082.011.711.241.31
Current Ratio (X)9.135.373.534.013.91
Quick Ratio (X)7.713.682.603.202.93
Inventory Turnover Ratio (X)3.077.207.445.956.09
Dividend Payout Ratio (NP) (%)6.694.4612.997.6420.46
Dividend Payout Ratio (CP) (%)5.894.1411.265.5016.91
Earning Retention Ratio (%)93.3195.5487.0192.3679.54
Cash Earning Retention Ratio (%)94.1195.8688.7494.5083.09
Interest Coverage Ratio (X)249.04195.7377.8235.3054.07
Interest Coverage Ratio (Post Tax) (X)171.61136.5252.0320.8436.23
Enterprise Value (Cr.)11309.9212708.8812135.046792.445712.02
EV / Net Operating Revenue (X)5.334.206.475.995.50
EV / EBITDA (X)18.6714.2030.5231.4021.91
MarketCap / Net Operating Revenue (X)5.824.376.566.185.62
Retention Ratios (%)93.3095.5387.0092.3579.53
Price / BV (X)6.438.5712.839.579.42
Price / Net Operating Revenue (X)5.824.376.566.185.62
EarningsYield0.030.040.020.010.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Fine Organic Industries Ltd as of November 21, 2024 is: 5,389.07

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 21, 2024, Fine Organic Industries Ltd is Undervalued by 14.83% compared to the current share price 4,693.00

Intrinsic Value of Fine Organic Industries Ltd as of November 21, 2024 is: 6,937.59

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 21, 2024, Fine Organic Industries Ltd is Undervalued by 47.83% compared to the current share price 4,693.00

Last 5 Year EPS CAGR: 28.73%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 34.00%, which is a positive sign.
  2. The company has higher reserves (923.80 cr) compared to borrowings (63.40 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (230.50 cr) and profit (329.10 cr) over the years.
  1. The stock has a high average Working Capital Days of 81.56, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 78.22, 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 Fine Organic Industries Ltd:
    1. Net Profit Margin: 19.52%
      • 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: 28.58% (Industry Average ROCE: 16.32%)
      • 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%: 21.44% (Industry Average ROE: 12.33%)
      • 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): 171.61
      • 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: 7.71
      • 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: 32.7 (Industry average Stock P/E: 73.49)
      • 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
      • 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

Fine Organic Industries Ltd. is a Public Limited Listed company incorporated on 24/05/2002 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24119MH2002PLC136003 and registration number is 136003. Currently Company is involved in the business activities of Manufacture of organic and inorganic chemical compounds. Company’s Total Operating Revenue is Rs. 1858.43 Cr. and Equity Capital is Rs. 15.33 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Chemicals - Organic - OthersFine House, Anandji Street, Mumbai Maharashtra 400077investors@fineorganics.com
http://www.fineorganics.com
Management
NamePosition Held
Mr. Mukesh ShahChairman & Wholetime Director
Mr. Jayen ShahManaging Director
Mr. Tushar ShahWholeTime Director & CEO
Mr. Bimal ShahExecutive Director
Mr. Nikhil KamatExecutive Director
Mr. Kaushik ShahIndependent Director
Mr. Mahesh SardaIndependent Director
Mr. Thiruvengadam ParthasarathiIndependent Director
Ms. Pratima UmarjiIndependent Director
Mr. Prakash ApteIndependent Director
Ms. Rashi MehtaIndependent Director

FAQ

What is the latest intrinsic value of Fine Organic Industries Ltd?

The latest intrinsic value of Fine Organic Industries Ltd as on 21 November 2024 is ₹5389.07, which is 14.83% higher than the current market price of ₹4,693.00.

What is the Market Cap of Fine Organic Industries Ltd?

The Market Cap of Fine Organic Industries Ltd is 14,386 Cr..

What is the current Stock Price of Fine Organic Industries Ltd as on 21 November 2024?

The current stock price of Fine Organic Industries Ltd as on 21 November 2024 is ₹4,693.

What is the High / Low of Fine Organic Industries Ltd stocks in FY 2024?

In FY 2024, the High / Low of Fine Organic Industries Ltd stocks is 5,959/4,005.

What is the Stock P/E of Fine Organic Industries Ltd?

The Stock P/E of Fine Organic Industries Ltd is 32.7.

What is the Book Value of Fine Organic Industries Ltd?

The Book Value of Fine Organic Industries Ltd is 691.

What is the Dividend Yield of Fine Organic Industries Ltd?

The Dividend Yield of Fine Organic Industries Ltd is 0.21 %.

What is the ROCE of Fine Organic Industries Ltd?

The ROCE of Fine Organic Industries Ltd is 31.3 %.

What is the ROE of Fine Organic Industries Ltd?

The ROE of Fine Organic Industries Ltd is 23.8 %.

What is the Face Value of Fine Organic Industries Ltd?

The Face Value of Fine Organic Industries Ltd is 5.00.

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 Fine Organic Industries 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