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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

Lakshmi Precision Screws Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 9:53 pm

Market Cap 5.41 Cr.
Current Price 5.45
High / Low7.42/3.70
Stock P/E
Book Value 23.6
Dividend Yield0.00 %
ROCE0.29 %
ROE84.5 %
Face Value 10.0
PEG Ratio0.00

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

View Share Price Target for Lakshmi Precision Screws Ltd

Competitors of Lakshmi Precision Screws Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Sterling Tools Ltd 2,228 Cr. 618640/30433.9 1330.32 %14.7 %12.9 % 2.00
Lakshmi Precision Screws Ltd 5.41 Cr. 5.457.42/3.70 23.60.00 %0.29 %84.5 % 10.0
Industry Average2,228.00 Cr311.7333.9078.300.16%7.50%48.70%6.00

All Competitor Stocks of Lakshmi Precision Screws Ltd

Quarterly Result

MonthMar 2005Jun 2005Sep 2005Dec 2005Mar 2006Jun 2006Sep 2006Jun 2007
Sales42.0340.7446.8450.7454.7650.1756.0253.33
Expenses36.8335.1440.9244.0846.4343.0548.2045.59
Operating Profit5.205.605.926.668.337.127.827.74
OPM %12.37%13.75%12.64%13.13%15.21%14.19%13.96%14.51%
Other Income0.350.200.210.280.600.350.090.29
Interest1.831.781.901.851.741.922.272.89
Depreciation1.321.491.551.681.861.912.242.26
Profit before tax2.402.532.683.415.333.643.402.88
Tax %56.67%31.62%38.43%42.23%27.58%35.71%27.94%31.25%
Net Profit1.041.731.531.813.692.252.381.93
EPS in Rs1.521.803.672.242.371.76

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2006Mar 2007Mar 2008Mar 2009Mar 2010Mar 2011Mar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017
Sales190220227244255351386363393425372257
Expenses163190196213218299326305366373348253
Operating Profit27303231385260582753244
OPM %14%14%14%13%15%15%15%16%7%12%6%2%
Other Income1344241312213
Interest7912161519263237383941
Depreciation799101319232217121617
Profit before tax14161581118127-274-29-41
Tax %39%42%38%46%39%33%21%24%-2%29%-14%-0%
Net Profit9994712105-283-32-40
EPS in Rs8.728.178.553.916.3211.218.814.79-25.163.00-29.52-36.54
Dividend Payout %23%22%14%15%16%13%17%17%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2006-20072007-20082008-20092009-20102010-20112011-20122012-20132013-20142014-20152015-20162016-2017
YoY Net Profit Growth (%)0.00%0.00%-55.56%75.00%71.43%-16.67%-50.00%-660.00%110.71%-1166.67%-25.00%
Change in YoY Net Profit Growth (%)0.00%0.00%-55.56%130.56%-3.57%-88.10%-33.33%-610.00%770.71%-1277.38%1141.67%

Lakshmi Precision Screws Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2006-2007 to 2016-2017.

Growth

Compounded Sales Growth
10 Years:2%
5 Years:-8%
3 Years:-13%
TTM:-31%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:-19%
TTM:-27%
Stock Price CAGR
10 Years:-20%
5 Years:15%
3 Years:3%
1 Year:15%
Return on Equity
10 Years:-5%
5 Years:-19%
3 Years:-29%
Last Year:-84%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2006Mar 2007Mar 2008Mar 2009Mar 2010Mar 2011Mar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017
Equity Capital101111111111111111111111
Reserves597482849010010811285885515
Borrowings6270110121123148201239266271253261
Other Liabilities6065737697134119100138181169176
Total Liabilities191220275291321394439462500550488462
Fixed Assets374957676495106938890150144
CWIP403111014241824
Investments112222222223
Other Assets148169214221255296331366405434318290
Total Assets191220275291321394439462500550488462

Reserves and Borrowings Chart

Cash Flow

MonthMar 2006Mar 2007Mar 2008Mar 2009Mar 2010Mar 2011Mar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017
Cash from Operating Activity +41-136114319729597630
Cash from Investing Activity +-14-16-19-19-9-50-34-8-22-26-293
Cash from Financing Activity +41038907143-10-33-46-35
Net Cash Flow-6-67-33-1-12-3-01-2

Free Cash Flow

MonthMar 2006Mar 2007Mar 2008Mar 2009Mar 2010Mar 2011Mar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017
Free Cash Flow-35.00-40.00-78.00-90.00-85.00-96.00-141.00-181.00-239.00-218.00-229.00-257.00

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 2006Mar 2007Mar 2008Mar 2009Mar 2010Mar 2011Mar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017
Debtor Days8579105919480798485827378
Inventory Days415413465437548421475593575539404604
Days Payable200190209186245218171129131167146168
Cash Conversion Cycle301302361342397282383548529454331515
Working Capital Days162165212211213140170229229206133140
ROCE %17%15%12%12%15%13%11%3%12%3%0%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2016Mar 2017Jun 2017Sep 2017Dec 2017Mar 2018Jun 2018Sep 2018Dec 2018Mar 2019Jun 2019Sep 2019
Promoters63.16%63.16%63.16%63.16%63.16%62.94%62.85%62.85%62.85%62.85%62.85%62.85%
FIIs0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%
DIIs0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%
Public36.80%36.80%36.80%36.80%36.80%37.03%37.11%37.11%37.11%37.11%37.11%37.11%
No. of Shareholders6,6436,6656,6346,5336,5136,5176,3946,4926,4766,4366,4006,382

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 17Mar 16Mar 15Mar 14Mar 13
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)-36.54-29.522.99-25.164.84
Diluted EPS (Rs.)-36.54-29.522.99-25.164.84
Cash EPS (Rs.)-21.68-15.1913.94-9.3024.79
Book Value[Excl.RevalReserv]/Share (Rs.)24.0759.8090.8188.56112.84
Book Value[Incl.RevalReserv]/Share (Rs.)24.0759.8090.8188.56112.84
Revenue From Operations / Share (Rs.)236.43336.67391.12362.85335.52
PBDIT / Share (Rs.)17.7225.0449.9926.5154.68
PBIT / Share (Rs.)1.9810.7439.0610.6434.73
PBT / Share (Rs.)-35.09-25.424.19-23.415.66
Net Profit / Share (Rs.)-37.42-29.493.01-25.164.84
NP After MI And SOA / Share (Rs.)-36.54-29.032.99-25.164.84
PBDIT Margin (%)7.497.4312.787.3016.29
PBIT Margin (%)0.833.199.982.9310.35
PBT Margin (%)-14.84-7.551.07-6.451.68
Net Profit Margin (%)-15.82-8.750.77-6.931.44
NP After MI And SOA Margin (%)-15.45-8.620.76-6.931.44
Return on Networth / Equity (%)-154.84-48.923.31-28.564.30
Return on Capital Employeed (%)1.746.7919.626.6524.11
Return On Assets (%)-8.64-6.610.59-5.531.15
Long Term Debt / Equity (X)2.421.180.890.540.25
Total Debt / Equity (X)8.503.412.522.491.73
Asset Turnover Ratio (%)0.540.590.740.760.73
Current Ratio (X)0.840.991.281.221.19
Quick Ratio (X)0.260.350.420.400.38
Inventory Turnover Ratio (X)0.410.380.460.520.57
Dividend Payout Ratio (NP) (%)0.000.000.000.0016.52
Dividend Payout Ratio (CP) (%)0.000.000.000.003.22
Earning Retention Ratio (%)0.000.000.000.0083.48
Cash Earning Retention Ratio (%)0.000.000.000.0096.78
Interest Coverage Ratio (X)0.470.721.430.771.88
Interest Coverage Ratio (Post Tax) (X)0.050.201.090.291.14
Enterprise Value (Cr.)256.94250.60277.33269.99232.55
EV / Net Operating Revenue (X)0.990.660.640.680.63
EV / EBITDA (X)13.258.995.079.313.89
MarketCap / Net Operating Revenue (X)0.160.090.100.110.08
Retention Ratios (%)0.000.000.000.0083.47
Price / BV (X)1.630.540.440.450.25
Price / Net Operating Revenue (X)0.160.090.100.110.08
EarningsYield-0.94-0.900.07-0.620.17

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Lakshmi Precision Screws Ltd as of November 22, 2024 is: 305.11

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, Lakshmi Precision Screws Ltd is Undervalued by 5,498.35% compared to the current share price 5.45

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of Lakshmi Precision Screws Ltd as of November 22, 2024 is: 144.25

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, Lakshmi Precision Screws Ltd is Undervalued by 2,546.79% compared to the current share price 5.45

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: -52.72%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (306.92 cr) and profit (0.67 cr) over the years.
  1. The stock has a low average ROCE of 9.42%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 184.17, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 395.42, which may not be favorable.
  4. The company has higher borrowings (177.08) compared to reserves (79.33), 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 Lakshmi Precision Screws Ltd:
    1. Net Profit Margin: -15.82%
      • 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: 1.74% (Industry Average ROCE: 7.5%)
      • 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%: -154.84% (Industry Average ROE: 48.7%)
      • 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): 0.05
      • 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: 0.26
      • 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: 0 (Industry average Stock P/E: 33.9)
      • 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: 8.5
      • 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

Lakshmi Precision Screws Ltd. is a Public Limited Listed company incorporated on 27/12/1968 and has its registered office in the State of Haryana, India. Company’s Corporate Identification Number(CIN) is L35999HR1968PLC004977 and registration number is 004977. Currently company belongs to the Industry of Fasteners. Company’s Total Operating Revenue is Rs. 258.69 Cr. and Equity Capital is Rs. 10.94 Cr. for the Year ended 31/03/2017.
INDUSTRYADDRESSCONTACT
Fasteners46/1, Mile Stone, Hissar Road, Rohtak Haryana 124001complianceofficer@lpsindia.com
http://www.lpsindia.com
Management
NamePosition Held
Mr. Lalit Kumar JainChairman & Managing Director
Mr. Dinesh Kumar JainVice Chairman & Mng.Director
Mrs. Sushila Devi JainDirector
Mr. Ravi Shankar SharmaDirector
Mr. Bijendra SinghDirector
Mr. Madhav RoyDirector
Mr. Kailash Sarup BhatnagarDirector
Mr. Saumitra ChoudhuryDirector

FAQ

What is the latest intrinsic value of Lakshmi Precision Screws Ltd?

The latest intrinsic value of Lakshmi Precision Screws Ltd as on 21 November 2024 is ₹305.11, which is 5498.35% higher than the current market price of ₹5.45.

What is the Market Cap of Lakshmi Precision Screws Ltd?

The Market Cap of Lakshmi Precision Screws Ltd is 5.41 Cr..

What is the current Stock Price of Lakshmi Precision Screws Ltd as on 21 November 2024?

The current stock price of Lakshmi Precision Screws Ltd as on 21 November 2024 is ₹5.45.

What is the High / Low of Lakshmi Precision Screws Ltd stocks in FY 2024?

In FY 2024, the High / Low of Lakshmi Precision Screws Ltd stocks is 7.42/3.70.

What is the Stock P/E of Lakshmi Precision Screws Ltd?

The Stock P/E of Lakshmi Precision Screws Ltd is .

What is the Book Value of Lakshmi Precision Screws Ltd?

The Book Value of Lakshmi Precision Screws Ltd is 23.6.

What is the Dividend Yield of Lakshmi Precision Screws Ltd?

The Dividend Yield of Lakshmi Precision Screws Ltd is 0.00 %.

What is the ROCE of Lakshmi Precision Screws Ltd?

The ROCE of Lakshmi Precision Screws Ltd is 0.29 %.

What is the ROE of Lakshmi Precision Screws Ltd?

The ROE of Lakshmi Precision Screws Ltd is 84.5 %.

What is the Face Value of Lakshmi Precision Screws Ltd?

The Face Value of Lakshmi Precision Screws 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 Lakshmi Precision Screws 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