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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
Stock Ticker - BSE: 532638 | NSE: SHOPERSTOP

Shoppers Stop Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 9:29 pm

Market Cap 6,615 Cr.
Current Price 602
High / Low944/599
Stock P/E331
Book Value 23.9
Dividend Yield0.00 %
ROCE11.8 %
ROE32.1 %
Face Value 5.00
PEG Ratio3.55

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

View Share Price Target for Shoppers Stop Ltd

Competitors of Shoppers Stop Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Heads UP Ventures Ltd 25.0 Cr. 11.322.5/9.81 6.330.00 %26.9 %26.9 % 10.0
V-Mart Retail Ltd 7,195 Cr. 3,6254,520/1,734 3580.00 %0.54 %12.1 % 10.0
Spencers Retail Ltd 727 Cr. 80.9139/67.0 60.60.00 %10.3 %% 5.00
Shoppers Stop Ltd 6,615 Cr. 602944/599331 23.90.00 %11.8 %32.1 % 5.00
Praxis Home Retail Ltd 291 Cr. 21.238.2/11.2 4.030.00 %39.1 %% 5.00
Industry Average41,823.17 Cr1,141.94145.63111.380.00%18.65%19.46%6.57

All Competitor Stocks of Shoppers Stop Ltd

Quarterly Result

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Sales6429587139481,0131,1379249941,0391,2381,0461,0691,115
Expenses5707746377868489247698228781,020880926965
Operating Profit7218476162165213155172161217167143150
OPM %11%19%11%17%16%19%17%17%15%18%16%13%13%
Other Income6841216224237633348
Interest53505351515255545559586165
Depreciation9281938593100104105108111112117122
Profit before tax-594-48322386182035130-32-29
Tax %-23%17%-69%29%30%27%21%27%22%28%23%-28%-28%
Net Profit-477-16231663141433723-23-21
EPS in Rs-0.337.06-1.452.081.485.721.301.320.253.352.11-2.07-1.87

Last Updated: October 25, 2024, 12:05 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 25, 2024, 12:05 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales3,1193,7184,2174,5953,7573,6973,5783,4641,7492,5194,0224,3174,468
Expenses3,0223,5833,9484,4153,6293,5463,3322,9121,7052,2493,3273,6003,791
Operating Profit9713526918012815124655244270695717677
OPM %3%4%6%4%3%4%7%16%3%11%17%17%15%
Other Income541328182321824224194554948
Interest55657885863814197223207209225242
Depreciation7998125130119115141450392355382437462
Profit before tax-31-2578-7-58231110-72-347-9815910421
Tax %72%105%37%482%35%8%41%98%-23%-53%27%26%
Net Profit-54-5049-40-7821465-142-267-471167717
EPS in Rs-1.09-0.804.090.23-3.5922.345.94-12.98-24.43-4.2910.587.031.52
Dividend Payout %-56%-75%15%260%-17%3%10%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)7.41%198.00%-181.63%-95.00%374.36%-69.63%-318.46%-88.03%82.40%346.81%-33.62%
Change in YoY Net Profit Growth (%)0.00%190.59%-379.63%86.63%469.36%-443.99%-248.84%230.43%170.43%264.41%-380.43%

Shoppers Stop Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:2%
5 Years:4%
3 Years:35%
TTM:9%
Compounded Profit Growth
10 Years:28%
5 Years:5%
3 Years:32%
TTM:-80%
Stock Price CAGR
10 Years:3%
5 Years:13%
3 Years:20%
1 Year:-10%
Return on Equity
10 Years:-5%
5 Years:-27%
3 Years:24%
Last Year:32%

Last Updated: Unknown

Balance Sheet

Last Updated: October 25, 2024, 12:05 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital41424242424444445555555555
Reserves459449487473437860871236521151246208
Borrowings498645751829885125742,2472,1062,1152,3752,7852,930
Other Liabilities5356417026886927581,4861,7681,2901,5912,0232,2082,441
Total Liabilities1,5341,7771,9812,0322,0561,7882,4764,0813,5163,7834,6035,2945,634
Fixed Assets7418609039079226736151,9011,7211,7232,0972,5822,660
CWIP3237283320183544314342123
Investments00039202822581911281464844
Other Assets7618811,0511,0531,0948141,5671,9451,6641,8992,4242,6882,947
Total Assets1,5341,7771,9812,0322,0561,7882,4764,0813,5163,7834,6035,2945,634

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +878811115564298202576-3383543561
Cash from Investing Activity +-122-208-162-172-111-35-125-284-24-102-29-111
Cash from Financing Activity +471184510-10-171-63-433167-270-537-479
Net Cash Flow12-2-6-6-579213-14114011-23-29

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-401.00-510.00-482.00-649.00-757.0026.00172.00550.0042.00268.00693.00715.00

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 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days459465546537
Inventory Days656769749057188225290244235242
Days Payable666564637684224277391349287283
Cash Conversion Cycle26141519-21-31-48-94-101-49-34
Working Capital Days-8-15-5-13-23-23-18-27-37-40-16-4
ROCE %3%4%13%6%3%4%12%8%-5%4%15%12%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters65.51%65.55%65.55%65.51%65.46%65.46%65.46%65.55%65.55%65.54%65.58%65.57%
FIIs5.94%6.10%6.38%6.71%7.04%6.82%6.83%6.78%6.85%7.43%7.43%7.08%
DIIs20.15%19.82%20.45%20.03%20.36%20.81%21.37%21.57%21.97%22.17%22.22%22.67%
Public8.40%8.53%7.62%7.75%7.14%6.90%6.34%6.11%5.64%4.85%4.78%4.68%
No. of Shareholders26,63325,83629,55638,71036,98338,74739,37341,11241,37625,67724,56724,285

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Small Cap Fund - Regular Plan5,052,2261.17398.824,109,7002024-11-2022.93%
Nippon India Multi Cap Fund4,109,7000.82324.424,109,7002024-11-200%
Kotak Small Cap Fund - Regular Plan3,644,1381.57287.674,109,7002024-11-20-11.33%
DSP Small Cap Fund2,919,4971.38230.474,109,7002024-11-20-28.96%
Aditya Birla Sun Life ELSS Tax Saver Fund2,257,1041.04178.184,109,7002024-11-20-45.08%
HDFC ELSS Tax Saver Fund2,000,0000.94157.884,109,7002024-11-20-51.33%
Tata Small Cap Fund1,428,7011.21112.784,109,7002024-11-20-65.24%
Kotak India EQ Contra Fund - Regular Plan617,3921.248.744,109,7002024-11-20-84.98%
HDFC Multi Cap Fund563,9610.2544.524,109,7002024-11-20-86.28%
Tata Focused Equity Fund560,9192.2644.284,109,7002024-11-20-86.35%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue5.005.005.005.005.00
Basic EPS (Rs.)7.0310.59-4.29-28.38-16.14
Diluted EPS (Rs.)7.0010.51-4.29-28.38-16.14
Cash EPS (Rs.)46.7345.3828.2611.4435.04
Book Value[Excl.RevalReserv]/Share (Rs.)27.4018.776.9310.957.57
Book Value[Incl.RevalReserv]/Share (Rs.)27.4018.776.9310.957.57
Revenue From Operations / Share (Rs.)392.56366.78229.98159.90393.62
PBDIT / Share (Rs.)70.2868.5739.9024.5466.56
PBIT / Share (Rs.)30.5833.777.50-11.3315.38
PBT / Share (Rs.)9.5014.52-8.90-31.71-8.14
Net Profit / Share (Rs.)7.0310.58-4.15-24.42-16.14
NP After MI And SOA / Share (Rs.)7.0310.58-4.29-24.42-16.14
PBDIT Margin (%)17.9018.6917.3515.3416.90
PBIT Margin (%)7.789.203.26-7.083.90
PBT Margin (%)2.413.95-3.87-19.83-2.06
Net Profit Margin (%)1.782.88-1.80-15.27-4.10
NP After MI And SOA Margin (%)1.782.88-1.86-15.27-4.10
Return on Networth / Equity (%)25.6356.36-61.89-223.13-213.11
Return on Capital Employeed (%)12.8416.804.45-6.466.31
Return On Assets (%)1.452.52-1.24-7.59-3.48
Long Term Debt / Equity (X)0.000.101.180.790.00
Total Debt / Equity (X)0.570.612.841.552.33
Asset Turnover Ratio (%)0.870.950.680.451.03
Current Ratio (X)0.810.800.770.800.86
Quick Ratio (X)0.180.170.250.260.22
Dividend Payout Ratio (NP) (%)0.000.000.000.00-4.64
Dividend Payout Ratio (CP) (%)0.000.000.000.002.14
Earning Retention Ratio (%)0.000.000.000.00104.64
Cash Earning Retention Ratio (%)0.000.000.000.0097.86
Interest Coverage Ratio (X)3.433.602.121.202.97
Interest Coverage Ratio (Post Tax) (X)1.371.560.64-0.190.32
Enterprise Value (Cr.)8425.197196.865290.012495.581853.49
EV / Net Operating Revenue (X)1.951.792.101.430.53
EV / EBITDA (X)10.909.5712.109.303.16
MarketCap / Net Operating Revenue (X)1.921.772.031.340.49
Retention Ratios (%)0.000.000.000.00104.64
Price / BV (X)27.4434.5167.2619.6425.55
Price / Net Operating Revenue (X)1.921.772.031.340.49
EarningsYield0.010.01-0.01-0.11-0.08

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Shoppers Stop Ltd as of November 22, 2024 is: 2,590.19

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, Shoppers Stop Ltd is Undervalued by 330.26% compared to the current share price 602.00

Intrinsic Value of Shoppers Stop Ltd as of November 22, 2024 is: 5,005.45

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, Shoppers Stop Ltd is Undervalued by 731.47% compared to the current share price 602.00

Last 5 Year EPS CAGR: 93.25%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -19.08, which is a positive sign.
  2. The stock has a low average Cash Conversion Cycle of -26.83, which is a positive sign.
  3. The company has shown consistent growth in sales (3.15 cr) and profit (5.00 cr) over the years.
  1. The stock has a low average ROCE of 6.58%, which may not be favorable.
  2. The company has higher borrowings (1,412.69) compared to reserves (365.38), 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 Shoppers Stop Ltd:
    1. Net Profit Margin: 1.78%
      • 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: 12.84% (Industry Average ROCE: 18.65%)
      • 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%: 25.63% (Industry Average ROE: 19.46%)
      • 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): 1.37
      • 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: 0.18
      • 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: 331 (Industry average Stock P/E: 145.63)
      • 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: 0.57
      • 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

Shoppers Stop Ltd. is a Public Limited Listed company incorporated on 16/06/1997 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L51900MH1997PLC108798 and registration number is 108798. Currently Company is involved in the business activities of Retail sale of other goods in specialized stores. Company’s Total Operating Revenue is Rs. 2493.81 Cr. and Equity Capital is Rs. 54.76 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Retail - Departmental StoresUmang Tower, 5th Floor, Mindspace, Mumbai Maharashtra 400064investor@shoppersstop.com
http://www.shoppersstop.com
Management
NamePosition Held
Mr. B S NageshChairman & Non-Exe.Director
Mr. Kavindra MishraManaging Director & CEO
Mr. Nirvik SinghNon Exe.Non Ind.Director
Mr. Neel C RahejaNon Executive Director
Mr. Ravi C RahejaNon Executive Director
Ms. Smita JatiaIndependent Director
Mr. Arun SirdeshmukhIndependent Director
Ms. Purvi ShethIndependent Director
Mr. Manish ChokhaniIndependent Director
Mr. Mahesh ChhabriaIndependent Director
Mr. Ashish HemrajaniIndependent Director

FAQ

What is the latest intrinsic value of Shoppers Stop Ltd?

The latest intrinsic value of Shoppers Stop Ltd as on 21 November 2024 is ₹2590.19, which is 330.26% higher than the current market price of ₹602.00.

What is the Market Cap of Shoppers Stop Ltd?

The Market Cap of Shoppers Stop Ltd is 6,615 Cr..

What is the current Stock Price of Shoppers Stop Ltd as on 21 November 2024?

The current stock price of Shoppers Stop Ltd as on 21 November 2024 is ₹602.

What is the High / Low of Shoppers Stop Ltd stocks in FY 2024?

In FY 2024, the High / Low of Shoppers Stop Ltd stocks is 944/599.

What is the Stock P/E of Shoppers Stop Ltd?

The Stock P/E of Shoppers Stop Ltd is 331.

What is the Book Value of Shoppers Stop Ltd?

The Book Value of Shoppers Stop Ltd is 23.9.

What is the Dividend Yield of Shoppers Stop Ltd?

The Dividend Yield of Shoppers Stop Ltd is 0.00 %.

What is the ROCE of Shoppers Stop Ltd?

The ROCE of Shoppers Stop Ltd is 11.8 %.

What is the ROE of Shoppers Stop Ltd?

The ROE of Shoppers Stop Ltd is 32.1 %.

What is the Face Value of Shoppers Stop Ltd?

The Face Value of Shoppers Stop 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 Shoppers Stop 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