Zen Technologies Ltd: Share Price Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: December 18, 2024, 8:58 pm

Market Cap	21,538 Cr.
Current Price	2,381
High / Low	2,505/688
Stock P/E	106
Book Value	173
Dividend Yield	0.04 %
ROCE	47.2 %
ROE	33.0 %
Face Value	1.00
PEG Ratio	1.01

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

Stock P/E Current Price Intrinsic Value

View Share Price Target for Zen Technologies Ltd

Competitors of Zen Technologies Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
MTAR Technologies Ltd	4,780 Cr.	1,556	2,345/1,495	123	228	0.00 %	11.4 %	8.37 %	10.0
DCX Systems Ltd	3,645 Cr.	327	452/235	69.4	102	0.00 %	9.27 %	8.08 %	2.00
Data Patterns (India) Ltd	14,135 Cr.	2,525	3,655/1,751	76.4	241	0.26 %	19.7 %	14.3 %	2.00
Paras Defence and Space Technologies Ltd	4,261 Cr.	1,057	1,593/609	86.3	122	0.00 %	11.4 %	7.96 %	10.0
Zen Technologies Ltd	21,538 Cr.	2,381	2,505/688	106	173	0.04 %	47.2 %	33.0 %	1.00
Industry Average	54,499.42 Cr	1,407.08		73.33	151.00	0.29%	22.03%	16.34%	4.92

All Competitor Stocks of Zen Technologies Ltd

Quarterly Result

Month	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024
Sales	16	12	16	33	21	33	74	132	64	98	136	254	242
Expenses	15	11	16	22	16	25	48	66	42	54	91	151	162
Operating Profit	1	1	-0	11	5	8	26	66	22	44	45	103	79
OPM %	7%	8%	-1%	34%	26%	25%	35%	50%	34%	45%	33%	41%	33%
Other Income	1	1	2	2	3	4	0	3	5	4	5	3	8
Interest	0	0	1	1	1	0	0	0	0	0	1	1	2
Depreciation	1	1	1	1	1	1	1	1	2	2	2	2	2
Profit before tax	1	1	1	12	7	11	25	67	24	46	47	103	83
Tax %	11%	80%	-97%	31%	30%	29%	30%	30%	29%	31%	30%	28%	22%
Net Profit	1	0	1	8	5	8	17	47	17	32	33	74	65
EPS in Rs	0.11	0.02	0.18	1.03	0.58	0.95	2.17	5.61	2.06	3.77	3.93	8.83	7.23

Last Updated: November 6, 2024, 7:30 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	37	46	79	53	62	39	92	147	50	54	161	430	552
Expenses	33	46	58	48	50	41	70	83	42	52	110	253	338
Operating Profit	5	1	21	4	12	-2	23	64	8	2	51	177	214
OPM %	12%	1%	27%	8%	19%	-5%	24%	43%	16%	4%	32%	41%	39%
Other Income	5	4	3	5	4	4	3	2	3	5	9	16	17
Interest	2	2	2	2	3	2	5	3	1	1	2	2	3
Depreciation	2	2	2	4	4	3	4	4	4	4	4	7	8
Profit before tax	6	0	20	3	9	-3	17	59	6	2	54	184	220
Tax %	15%	18%	21%	21%	20%	-86%	-13%	-3%	28%	-9%	30%	30%
Net Profit	5	0	16	2	7	-0	19	61	4	2	38	129	156
EPS in Rs	0.53	0.01	2.04	0.30	0.96	-0.05	2.49	7.84	0.52	0.25	4.73	15.38	18.59
Dividend Payout %	19%	858%	2%	33%	16%	-198%	12%	5%	19%	39%	4%	0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2013-2014	2015-2016	2016-2017	2017-2018	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	-100.00%	-87.50%	250.00%	-100.00%	221.05%	-93.44%	-50.00%	1800.00%	239.47%
Change in YoY Net Profit Growth (%)	0.00%	12.50%	337.50%	-350.00%	321.05%	-314.50%	43.44%	1850.00%	-1560.53%

Zen Technologies Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 9 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	25%
5 Years:	36%
3 Years:	106%
TTM:	140%

Compounded Profit Growth
10 Years:	107%
5 Years:	46%
3 Years:	215%
TTM:	130%

Stock Price CAGR
10 Years:	50%
5 Years:	111%
3 Years:	126%
1 Year:	224%

Return on Equity
10 Years:	14%
5 Years:	17%
3 Years:	18%
Last Year:	33%

Last Updated: Unknown

Balance Sheet

Last Updated: December 14, 2024, 2:26 pm

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	9	8	8	8	8	8	8	8	8	8	8	8	9
Reserves	98	91	103	105	112	111	133	191	205	284	311	445	1,556
Borrowings	13	18	40	41	9	10	42	1	1	12	6	1	61
Other Liabilities	5	12	27	14	16	36	41	14	10	54	121	264	207
Total Liabilities	126	128	178	167	144	165	224	213	224	358	446	718	1,832
Fixed Assets	29	49	47	44	45	65	63	64	62	59	67	79	88
CWIP	3	1	0	15	17	0	0	0	0	3	2	10	14
Investments	0	0	0	0	0	2	13	16	24	24	24	26	26
Other Assets	94	78	130	108	82	98	147	133	137	272	353	603	1,703
Total Assets	126	128	178	167	144	165	224	213	224	358	446	718	1,832

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	39	10	0	43	5	19	-44	64	13	-44	99	21
Cash from Investing Activity +	-3	-8	0	-9	30	-12	7	-11	-18	-43	-3	-82
Cash from Financing Activity +	-21	-7	0	-3	-8	-5	5	-21	10	87	-18	-6
Net Cash Flow	15	-5	0	30	26	3	-32	32	5	0	78	-67

Free Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	-8.00	-17.00	-19.00	-37.00	3.00	-12.00	-19.00	63.00	7.00	-10.00	45.00	176.00

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

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	127	90	276	56	120	212	290	110	128	133	150	143
Inventory Days	212	295	225	242	237	1,181	496	97	396	625	368	355
Days Payable	53	63	47	52	89	355	106	48	114	147	33	70
Cash Conversion Cycle	286	322	455	246	267	1,038	681	159	410	612	484	429
Working Capital Days	236	143	281	138	150	80	295	180	548	830	56	152
ROCE %	6%	2%	16%	3%	9%	-0%	14%	33%	3%	1%	17%	47%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024
Promoters	60.19%	60.19%	60.19%	60.19%	60.19%	60.14%	57.45%	57.45%	55.07%	55.07%	55.07%	51.26%
FIIs	0.35%	0.29%	0.32%	0.33%	0.30%	1.29%	3.47%	4.84%	4.65%	3.84%	3.09%	5.72%
DIIs	0.00%	0.00%	0.01%	0.11%	0.11%	0.15%	0.21%	0.15%	3.09%	3.31%	3.37%	8.05%
Public	39.46%	39.52%	39.13%	39.03%	39.05%	37.82%	38.11%	36.80%	36.42%	37.15%	37.94%	34.49%
Others	0.00%	0.00%	0.35%	0.35%	0.35%	0.61%	0.76%	0.76%	0.76%	0.62%	0.53%	0.47%
No. of Shareholders	96,275	1,14,705	1,18,806	1,16,610	1,22,339	1,08,420	1,27,208	1,59,766	1,61,995	1,70,421	2,01,211	2,29,479

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	1.00	1.00	1.00	1.00	1.00
Basic EPS (Rs.)	15.45	5.39	0.25	0.39	7.62
Diluted EPS (Rs.)	15.34	5.20	0.25	0.39	7.62
Cash EPS (Rs.)	16.56	7.05	0.93	0.97	8.19
Book Value[Excl.RevalReserv]/Share (Rs.)	55.48	32.13	27.05	26.49	25.63
Book Value[Incl.RevalReserv]/Share (Rs.)	55.48	32.13	27.05	26.49	25.63
Revenue From Operations / Share (Rs.)	52.34	27.52	8.77	6.87	19.35
PBDIT / Share (Rs.)	23.29	10.04	1.25	1.31	8.38
PBIT / Share (Rs.)	22.13	9.28	0.64	0.68	7.79
PBT / Share (Rs.)	22.15	9.02	0.41	0.54	7.35
Net Profit / Share (Rs.)	15.41	6.28	0.32	0.34	7.60
NP After MI And SOA / Share (Rs.)	15.22	5.38	0.24	0.39	7.62
PBDIT Margin (%)	44.49	36.49	14.26	19.04	43.30
PBIT Margin (%)	42.29	33.72	7.33	9.97	40.24
PBT Margin (%)	42.32	32.77	4.73	7.98	38.00
Net Profit Margin (%)	29.44	22.83	3.74	5.07	39.28
NP After MI And SOA Margin (%)	29.07	19.52	2.84	5.69	39.36
Return on Networth / Equity (%)	28.50	17.70	0.95	1.52	30.74
Return on Capital Employeed (%)	38.70	22.12	1.72	2.55	29.92
Return On Assets (%)	17.03	9.02	0.53	1.39	27.45
Long Term Debt / Equity (X)	0.00	0.00	0.02	0.01	0.01
Total Debt / Equity (X)	0.00	0.02	0.06	0.01	0.01
Asset Turnover Ratio (%)	0.71	0.39	0.18	0.22	0.68
Current Ratio (X)	2.29	2.69	3.84	13.35	8.76
Quick Ratio (X)	1.66	2.34	3.49	11.84	7.71
Inventory Turnover Ratio (X)	1.58	1.93	1.00	0.64	1.10
Dividend Payout Ratio (NP) (%)	1.30	1.85	40.05	102.21	3.93
Dividend Payout Ratio (CP) (%)	1.21	1.62	11.66	39.44	3.65
Earning Retention Ratio (%)	98.70	98.15	59.95	-2.21	96.07
Cash Earning Retention Ratio (%)	98.79	98.38	88.34	60.56	96.35
Interest Coverage Ratio (X)	85.79	19.59	6.50	9.53	19.30
Interest Coverage Ratio (Post Tax) (X)	56.71	12.77	2.89	3.54	18.51
Enterprise Value (Cr.)	7886.73	2457.39	1565.48	585.38	159.51
EV / Net Operating Revenue (X)	17.93	11.23	22.44	10.71	1.07
EV / EBITDA (X)	40.30	30.77	157.39	56.26	2.47
MarketCap / Net Operating Revenue (X)	18.25	11.90	23.34	11.32	1.18
Retention Ratios (%)	98.69	98.14	59.94	-2.21	96.06
Price / BV (X)	17.89	10.79	7.82	3.03	0.91
Price / Net Operating Revenue (X)	18.25	11.90	23.34	11.32	1.18
EarningsYield	0.01	0.01	0.00	0.01	0.33

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Zen Technologies Ltd as of December 18, 2024 is: 6,053.96

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 December 18, 2024, Zen Technologies Ltd is Undervalued by 154.26% compared to the current share price 2,381.00

Intrinsic Value of Zen Technologies Ltd as of December 18, 2024 is: 12,379.26

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 December 18, 2024, Zen Technologies Ltd is Undervalued by 419.92% compared to the current share price 2,381.00

Last 5 Year EPS CAGR: 104.48%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The company has higher reserves (288.08 cr) compared to borrowings (19.62 cr), indicating strong financial stability. The company has shown consistent growth in sales (138.62 cr) and profit (44.38 cr) over the years.	The stock has a low average ROCE of 12.58%, which may not be favorable. The stock has a high average Working Capital Days of 257.42, which may not be favorable. The stock has a high average Cash Conversion Cycle of 362.67, 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 Zen Technologies Ltd:
1. Net Profit Margin: 29.44%
  - 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: 38.7% (Industry Average ROCE: 22.03%)
  - 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%: 28.5% (Industry Average ROE: 16.34%)
  - 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): 56.71
  - 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: 1.66
  - 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: 106 (Industry average Stock P/E: 73.33)
  - 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

Zen Technologies Ltd. is a Public Limited Listed company incorporated on 29/06/1993 and has its registered office in the State of Telangana, India. Company’s Corporate Identification Number(CIN) is L72200TG1993PLC015939 and registration number is 015939. Currently Company is involved in the business activities of Manufacture of optical instruments and equipment. Company’s Total Operating Revenue is Rs. 53.71 Cr. and Equity Capital is Rs. 7.95 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Aerospace & Defense	B-42, Industrial Estate, Sanathnagar, Hyderabad Telangana 500018	info@zentechnologies.com http://www.zentechnologies.com

Management
Name	Position Held
Mr. Ashok Atluri	Chairman & Managing Director
Mr. Kishore Dutt Atluri	Joint Managing Director
Mr. Ravi Kumar Midathala	Whole Time Director
Ms. Shilpa Choudari	Whole Time Director
Ms. Sirisha Chintapalli	Independent Director
Mr. Sanjay Vijay Singh Jesrani	Independent Director
Dr. Ravindra Kumar Tyagi	Independent Director
Dr. Ajay Kumar Singh	Independent Director

FAQ

What is the latest intrinsic value of Zen Technologies Ltd?

The latest intrinsic value of Zen Technologies Ltd as on 18 December 2024 is ₹6053.96, which is 154.26% higher than the current market price of ₹2,381.00. The stock has a market capitalization of 21,538 Cr. and recorded a high/low of ₹2,505/688 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹1,556 Cr and total liabilities of ₹1,832 Cr.

What is the Market Cap of Zen Technologies Ltd?

The Market Cap of Zen Technologies Ltd is 21,538 Cr..

What is the current Stock Price of Zen Technologies Ltd as on 18 December 2024?

The current stock price of Zen Technologies Ltd as on 18 December 2024 is 2,381.

What is the High / Low of Zen Technologies Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Zen Technologies Ltd stocks is 2,505/688.

What is the Stock P/E of Zen Technologies Ltd?

The Stock P/E of Zen Technologies Ltd is 106.

What is the Book Value of Zen Technologies Ltd?

The Book Value of Zen Technologies Ltd is 173.

What is the Dividend Yield of Zen Technologies Ltd?

The Dividend Yield of Zen Technologies Ltd is 0.04 %.

What is the ROCE of Zen Technologies Ltd?

The ROCE of Zen Technologies Ltd is 47.2 %.

What is the ROE of Zen Technologies Ltd?

The ROE of Zen Technologies Ltd is 33.0 %.

What is the Face Value of Zen Technologies Ltd?

The Face Value of Zen Technologies Ltd is 1.00.