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Last Updated on: 24 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 543238 | NSE: UTIAMC

UTI Asset Management Company Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 22, 2024, 9:20 pm

Market Cap 16,663 Cr.
Current Price 1,302
High / Low1,401/775
Stock P/E19.8
Book Value 341
Dividend Yield1.84 %
ROCE22.6 %
ROE18.6 %
Face Value 10.0
PEG Ratio2.05

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

View Share Price Target for UTI Asset Management Company Ltd

Competitors of UTI Asset Management Company Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Aditya Birla Sun Life AMC Ltd 24,327 Cr. 844870/43827.2 1131.60 %34.9 %27.4 % 5.00
UTI Asset Management Company Ltd 16,663 Cr. 1,3021,401/77519.8 3411.84 %22.6 %18.6 % 10.0
Nippon Life India Asset Management Ltd 43,018 Cr. 679749/40332.6 64.22.43 %36.2 %29.5 % 10.0
HDFC Asset Management Company Ltd 90,268 Cr. 4,2234,864/2,83340.8 3181.66 %37.7 %29.5 % 5.00
Industry Average43,569.00 Cr1,762.0030.10209.051.88%32.85%26.25%7.50

All Competitor Stocks of UTI Asset Management Company Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales344380309301293435295301468404449416529
Expenses145147149196191165178179168173176188178
Operating Profit199234160105103270117122300232273228351
OPM %58%61%52%35%35%62%40%41%64%57%61%55%66%
Other Income23-04134-2812145
Interest2232222233333
Depreciation9999101010101010101211
Profit before tax19022514897104262103117288220261218341
Tax %18%12%14%45%12%23%41%27%19%17%22%17%20%
Net Profit15519912754922026086234183203181274
EPS in Rs12.2315.679.974.257.2115.734.766.7518.4614.3914.5912.7919.97

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2007Mar 2008Mar 2011Mar 2012Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales4084424975029341,1341,0518541,1691,3191,2671,7371,798
Expenses172219292298499577552506526621655703714
Operating Profit2362232062044355584983496436986121,0341,084
OPM %58%50%41%41%47%49%47%41%55%53%48%60%60%
Other Income2421132230364823611
Interest0000008989101112
Depreciation46910131429343637404244
Profit before tax2342211991954355664913416036605869871,040
Tax %33%32%30%25%26%29%29%19%18%19%25%19%
Net Profit156151139147321402348275494535440802842
EPS in Rs31.1912.1211.1211.7325.2931.6827.8321.4138.9742.0934.4460.1761.74
Dividend Payout %26%26%25%23%16%16%18%33%44%50%64%78%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2007-20082011-20122017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)-3.21%5.76%25.23%-13.43%-20.98%79.64%8.30%-17.76%82.27%
Change in YoY Net Profit Growth (%)0.00%8.96%19.48%-38.67%-7.54%100.61%-71.34%-26.06%100.03%

UTI Asset Management Company Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 9 years from 2007-2008 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:%
5 Years:11%
3 Years:14%
TTM:32%
Compounded Profit Growth
10 Years:%
5 Years:17%
3 Years:16%
TTM:49%
Stock Price CAGR
10 Years:%
5 Years:%
3 Years:7%
1 Year:65%
Return on Equity
10 Years:%
5 Years:15%
3 Years:15%
Last Year:19%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 6:37 pm

MonthMar 2007Mar 2008Mar 2011Mar 2012Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital50125125125127127127127127127127127127
Reserves4174457438551,7892,1612,4782,6463,1253,4933,7414,2614,214
Borrowings0000000000000
Other Liabilities1852092182022052624093933983633079531,070
Total Liabilities6517791,0861,1822,1212,5503,0133,1653,6503,9834,1755,3415,411
Fixed Assets108164208201278273351373360357368412406
CWIP2000351158930
Investments3153916467201,5431,9322,2612,3562,7472,9943,2484,4284,467
Other Assets227223232260297339400436539623550498538
Total Assets6517791,0861,1822,1212,5503,0133,1653,6503,9834,1755,3415,411

Reserves and Borrowings Chart

Cash Flow

MonthMar 2007Mar 2008Mar 2011Mar 2012Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +72324316123181153337395325
Cash from Investing Activity +-22-242-233-26-102-57-60-93-146
Cash from Financing Activity +-35-65-44-123-84-104-215-267-238
Net Cash Flow161639-26-5-86236-59

Free Cash Flow

MonthMar 2007Mar 2008Mar 2011Mar 2012Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow236.00223.00206.00204.00435.00558.00498.00349.00643.00698.00612.001.00

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 2007Mar 2008Mar 2011Mar 2012Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days20751839101914222718
Inventory Days
Days Payable
Cash Conversion Cycle20751839101914222718
Working Capital Days-14-26-62-44-28-40-31-24-47-31-32-33
ROCE %42%21%27%20%13%20%19%16%23%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
FIIs5.45%6.49%6.31%6.25%6.26%6.06%4.84%4.94%5.57%5.97%6.27%7.20%
DIIs84.27%83.26%83.14%60.14%59.99%60.26%61.03%61.69%61.13%60.93%60.67%60.19%
Public10.28%10.25%10.55%33.61%33.75%33.68%34.12%33.36%33.31%33.12%33.08%32.62%
No. of Shareholders1,77,7291,75,8201,79,8241,80,1891,61,6321,60,5381,57,9461,55,9181,52,1271,48,0661,44,9441,62,837

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Parag Parikh Flexi Cap Fund2,726,6490.38272.8788,5432024-11-23245.78%
Nippon India Small Cap Fund2,267,2440.4226.84788,5432024-11-23187.52%
Nippon India Multi Cap Fund2,166,7070.62216.78788,5432024-11-23174.77%
Tata Equity P/E Fund - Regular Plan2,053,5472.42205.46788,5432024-11-23160.42%
Tata Equity P/E Fund - Regular Plan - Trigger Option A 5%2,053,5472.42205.46788,5432024-11-23160.42%
Tata Small Cap Fund1,965,5002.5196.65788,5432024-11-23149.26%
Nippon India ELSS Tax Saver Fund1,302,6810.82130.33788,5432024-11-2365.2%
Nippon India Banking & Financial Services Fund1,141,9621.93114.25788,5432024-11-2344.82%
Nippon India Value Fund788,5430.9678.89788,5432024-11-230%
Tata ELSS Tax Saver Fund505,0001.1150.53788,5432024-11-23-35.96%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)60.2634.4542.1238.9721.41
Diluted EPS (Rs.)60.2234.4441.9638.9721.41
Cash EPS (Rs.)66.3437.7745.0141.8124.33
Book Value[Excl.RevalReserv]/Share (Rs.)390.79304.60284.97257.36219.50
Book Value[Incl.RevalReserv]/Share (Rs.)390.79304.60284.97257.36219.50
Revenue From Operations / Share (Rs.)136.4999.77103.9192.1667.36
PBDIT / Share (Rs.)81.7550.0255.6351.0230.31
PBIT / Share (Rs.)78.4346.8752.7348.2027.66
PBT / Share (Rs.)77.5546.1252.0047.5626.92
Net Profit / Share (Rs.)63.0234.6342.1138.9921.68
NP After MI And SOA / Share (Rs.)60.1734.4442.0938.9721.41
PBDIT Margin (%)59.8950.1353.5355.3544.99
PBIT Margin (%)57.4646.9750.7452.2941.05
PBT Margin (%)56.8146.2250.0451.6039.96
Net Profit Margin (%)46.1734.7040.5242.3032.19
NP After MI And SOA Margin (%)44.0834.5240.5042.2831.78
Return on Networth / Equity (%)17.4411.3014.8115.199.79
Return on Capital Employeed (%)19.6915.1718.1018.0511.98
Return On Assets (%)14.3310.4713.3913.538.57
Asset Turnover Ratio (%)0.360.280.290.290.27
Current Ratio (X)17.8314.6612.2512.1211.40
Quick Ratio (X)17.8314.6612.2512.1211.40
Dividend Payout Ratio (NP) (%)36.4860.9640.3417.9625.50
Dividend Payout Ratio (CP) (%)34.5755.8637.7416.7422.69
Earning Retention Ratio (%)63.5239.0459.6682.0474.50
Cash Earning Retention Ratio (%)65.4344.1462.2683.2677.31
Interest Coverage Ratio (X)92.3166.5076.9380.2641.10
Interest Coverage Ratio (Post Tax) (X)72.1747.0459.2362.3330.40
Enterprise Value (Cr.)10626.577783.4812236.347066.170.00
EV / Net Operating Revenue (X)6.126.149.286.050.00
EV / EBITDA (X)10.2112.2617.3310.920.00
MarketCap / Net Operating Revenue (X)5.976.439.576.320.00
Retention Ratios (%)63.5139.0359.6582.0374.49
Price / BV (X)2.362.103.502.270.00
Price / Net Operating Revenue (X)5.976.439.576.320.00
EarningsYield0.070.050.040.060.00

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of UTI Asset Management Company Ltd as of November 24, 2024 is: 1,278.94

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 24, 2024, UTI Asset Management Company Ltd is Overvalued by 1.77% compared to the current share price 1,302.00

Intrinsic Value of UTI Asset Management Company Ltd as of November 24, 2024 is: 1,402.22

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 24, 2024, UTI Asset Management Company Ltd is Undervalued by 7.70% compared to the current share price 1,302.00

Last 5 Year EPS CAGR: 9.64%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 16.75%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -34.33, which is a positive sign.
  3. The company has higher reserves (2,336.00 cr) compared to borrowings (0.00 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (280.31 cr) and profit (424.54 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 14.33, 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 UTI Asset Management Company Ltd:
    1. Net Profit Margin: 46.17%
      • 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: 19.69% (Industry Average ROCE: 32.85%)
      • 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%: 17.44% (Industry Average ROE: 26.25%)
      • 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): 72.17
      • 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: 17.83
      • 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: 19.8 (Industry average Stock P/E: 30.1)
      • 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

UTI Asset Management Company Ltd. is a Public Limited Listed company incorporated on 14/11/2002 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L65991MH2002PLC137867 and registration number is 137867. Currently Company is involved in the business activities of Fund management activities. Company’s Total Operating Revenue is Rs. 1059.63 Cr. and Equity Capital is Rs. 126.95 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Finance - Mutual FundsUTI Tower, G N Block, Mumbai Maharashtra 400051cs@uti.co.in
https://www.utimf.com
Management
NamePosition Held
Mr. Dinesh Kumar MehrotraNon Exe.Chairman&Ind.Director
Mr. Imtaiyazur RahmanManaging Director & CEO
Mrs. Jayashree VaidhyanathanInd. Non-Executive Director
Mr. Narasimhan SeshadriInd. Non-Executive Director
Mr. Deepak Kumar ChatterjeeInd. Non-Executive Director
Ms. Dipali Hemant ShethInd. Non-Executive Director
Mr. Rajeev KakarInd. Non-Executive Director
Mr. Flemming MadsenNon Exe. & Nominee Director
Mr. Kiran Kumar TaraniaNon Exe. & Nominee Director
Mr. Srivatsa DesikamaniNon Exe. & Nominee Director

FAQ

What is the latest intrinsic value of UTI Asset Management Company Ltd?

The latest intrinsic value of UTI Asset Management Company Ltd as on 24 November 2024 is ₹1278.94, which is 1.77% lower than the current market price of ₹1,302.00.

What is the Market Cap of UTI Asset Management Company Ltd?

The Market Cap of UTI Asset Management Company Ltd is 16,663 Cr..

What is the current Stock Price of UTI Asset Management Company Ltd as on 24 November 2024?

The current stock price of UTI Asset Management Company Ltd as on 24 November 2024 is 1,302.

What is the High / Low of UTI Asset Management Company Ltd stocks in FY 2024?

In FY 2024, the High / Low of UTI Asset Management Company Ltd stocks is 1,401/775.

What is the Stock P/E of UTI Asset Management Company Ltd?

The Stock P/E of UTI Asset Management Company Ltd is 19.8.

What is the Book Value of UTI Asset Management Company Ltd?

The Book Value of UTI Asset Management Company Ltd is 341.

What is the Dividend Yield of UTI Asset Management Company Ltd?

The Dividend Yield of UTI Asset Management Company Ltd is 1.84 %.

What is the ROCE of UTI Asset Management Company Ltd?

The ROCE of UTI Asset Management Company Ltd is 22.6 %.

What is the ROE of UTI Asset Management Company Ltd?

The ROE of UTI Asset Management Company Ltd is 18.6 %.

What is the Face Value of UTI Asset Management Company Ltd?

The Face Value of UTI Asset Management Company 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 UTI Asset Management Company 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