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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: 511589 | NSE: AVONMORE

Avonmore Capital & Management Services Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 24, 2024, 8:36 pm

Market Cap 338 Cr.
Current Price 14.5
High / Low18.1/7.52
Stock P/E35.2
Book Value 13.7
Dividend Yield0.00 %
ROCE6.36 %
ROE4.28 %
Face Value 1.00
PEG Ratio-2.72

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

View Share Price Target for Avonmore Capital & Management Services Ltd

Competitors of Avonmore Capital & Management Services Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Nalin Lease Finance Ltd 45.8 Cr. 69.999.9/33.711.5 51.10.00 %17.4 %13.1 % 10.0
India Cements Capital Ltd 39.3 Cr. 18.126.4/11.244.2 8.430.00 %3.50 %8.87 % 10.0
Indergiri Finance Ltd 17.5 Cr. 34.5110/33.5 8.260.00 %7.67 %14.0 % 10.0
Fedders Holding Ltd 1,339 Cr. 78.3130/48.016.5 36.20.00 %21.1 %22.5 % 1.00
Hybrid Financial Services Ltd 36.8 Cr. 12.515.8/7.759.93 14.30.00 %7.93 %7.57 % 5.00
Industry Average21,014.33 Cr685.6732.96584.550.17%20.11%10.34%8.69

All Competitor Stocks of Avonmore Capital & Management Services Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales16.4622.9321.8322.54146.8319.5619.8127.8118.6624.6632.0648.2135.08
Expenses12.0913.6415.4921.2215.4813.3016.2625.0116.2720.9127.0142.4027.91
Operating Profit4.379.296.341.32131.356.263.552.802.393.755.055.817.17
OPM %26.55%40.51%29.04%5.86%89.46%32.00%17.92%10.07%12.81%15.21%15.75%12.05%20.44%
Other Income9.927.647.186.986.173.143.553.833.212.282.314.385.38
Interest1.202.251.100.560.792.090.670.960.780.620.671.470.98
Depreciation0.640.690.700.440.630.380.640.610.790.640.721.611.10
Profit before tax12.4513.9911.727.30136.106.935.795.064.034.775.977.1110.47
Tax %5.70%7.01%12.88%24.93%21.91%10.39%7.77%17.19%6.95%7.76%-1.17%17.16%17.57%
Net Profit11.7413.0110.215.48106.286.215.344.193.754.406.045.898.63
EPS in Rs0.390.390.360.204.310.210.160.120.120.110.180.040.12

Last Updated: October 7, 2024, 8:34 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: September 23, 2024, 2:57 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales115525810077686984212124140
Expenses2114750687160566270106118
Operating Profit-10458326812221421822
OPM %-186%8%80%9%14%32%8%12%18%26%67%14%16%
Other Income10033411142531181214
Interest0005432335344
Depreciation0002212432244
Profit before tax-0031531131632451542228
Tax %150%-38%5%91%2%19%4%-11%8%11%21%8%
Net Profit1370628131830401222025
EPS in Rs0.100.130.290.010.241.020.400.670.901.344.940.530.45
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)200.00%133.33%-100.00%366.67%-53.57%38.46%66.67%33.33%205.00%-83.61%
Change in YoY Net Profit Growth (%)0.00%-66.67%-233.33%466.67%-420.24%92.03%28.21%-33.33%171.67%-288.61%

Avonmore Capital & Management Services Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 10 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:70%
5 Years:10%
3 Years:22%
TTM:87%
Compounded Profit Growth
10 Years:16%
5 Years:5%
3 Years:-17%
TTM:-19%
Stock Price CAGR
10 Years:24%
5 Years:71%
3 Years:44%
1 Year:89%
Return on Equity
10 Years:16%
5 Years:19%
3 Years:22%
Last Year:4%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 5:46 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital14222525252525252525242424
Reserves3444567582109109126149181254278296
Borrowings08042322323272018262324
Other Liabilities00082798710298116150138194174
Total Liabilities497482224218244259276309374443519519
Fixed Assets11036464862676262647176
CWIP0000200004020
Investments4071774736353245739590141157
Other Assets825141135160165164175213289304286
Total Assets497482224218244259276309374443519519

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +75-2-807-251614-4-11842
Cash from Investing Activity +-0-2814223-164212-18-36
Cash from Financing Activity +-723188-98-5-6-6-8-2-13
Net Cash Flow-00012-06-512-74-2-7

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-1.00-8.004.00-37.00-24.009.00-17.00-19.00-8.004.00116.00-5.00

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 Days0011521398015913915116360203
Inventory Days
Days Payable
Cash Conversion Cycle0011521398015913915116360203
Working Capital Days4,8691,172267587482311177247203135161137
ROCE %0%0%5%4%5%16%7%8%14%18%45%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters62.71%64.38%64.38%67.65%68.24%68.93%69.12%69.12%69.17%69.17%69.17%69.17%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.01%0.00%0.03%0.00%
DIIs0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%
Public37.28%35.61%35.61%32.34%31.75%31.05%30.87%30.87%30.81%30.81%30.79%30.81%
No. of Shareholders5,6475,4236,4016,0146,2006,3937,0657,4968,19310,62212,88114,239

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)5.3148.8413.388.517.32
Diluted EPS (Rs.)5.3148.8413.388.517.32
Cash EPS (Rs.)6.4045.735.874.144.47
Book Value[Excl.RevalReserv]/Share (Rs.)164.14151.13114.0697.6985.33
Book Value[Incl.RevalReserv]/Share (Rs.)164.14151.13114.0697.6985.33
Revenue From Operations / Share (Rs.)51.4788.0333.5827.1027.28
PBDIT / Share (Rs.)8.6260.309.936.154.52
PBIT / Share (Rs.)7.0559.368.945.053.11
PBT / Share (Rs.)5.5858.066.894.082.32
Net Profit / Share (Rs.)4.8344.794.883.043.06
NP After MI And SOA / Share (Rs.)5.1748.0913.038.766.50
PBDIT Margin (%)16.7468.4929.5722.6916.57
PBIT Margin (%)13.7067.4226.6318.6211.41
PBT Margin (%)10.8365.9520.5215.078.51
Net Profit Margin (%)9.3850.8814.5311.2011.22
NP After MI And SOA Margin (%)10.0454.6338.8032.3023.81
Return on Networth / Equity (%)4.1141.4915.7412.5710.72
Return on Capital Employeed (%)4.1838.507.585.033.55
Return On Assets (%)2.3926.058.687.055.86
Total Debt / Equity (X)0.040.080.060.080.12
Asset Turnover Ratio (%)0.250.510.010.010.01
Current Ratio (X)3.424.602.132.492.16
Quick Ratio (X)3.323.912.132.392.13
Interest Coverage Ratio (X)5.8446.624.856.395.72
Interest Coverage Ratio (Post Tax) (X)4.2735.633.384.154.87
Enterprise Value (Cr.)302.62224.38269.0893.8064.11
EV / Net Operating Revenue (X)2.451.063.211.390.94
EV / EBITDA (X)14.621.5510.876.125.69
MarketCap / Net Operating Revenue (X)1.700.682.520.670.28
Price / BV (X)0.690.521.020.260.12
Price / Net Operating Revenue (X)1.700.682.520.670.28
EarningsYield0.050.790.150.480.84

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Avonmore Capital & Management Services Ltd as of November 24, 2024 is: 21.05

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, Avonmore Capital & Management Services Ltd is Undervalued by 45.17% compared to the current share price 14.50

Intrinsic Value of Avonmore Capital & Management Services Ltd as of November 24, 2024 is: 18.33

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, Avonmore Capital & Management Services Ltd is Undervalued by 26.41% compared to the current share price 14.50

Last 5 Year EPS CAGR: -12.94%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (137.92 cr) compared to borrowings (20.46 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (76.23 cr) and profit (26.92 cr) over the years.
  1. The stock has a low average ROCE of 10.17%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 226.00, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 103.92, 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 Avonmore Capital & Management Services Ltd:
    1. Net Profit Margin: 9.38%
      • 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: 4.18% (Industry Average ROCE: 20.11%)
      • 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%: 4.11% (Industry Average ROE: 10.12%)
      • 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): 4.27
      • 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: 3.32
      • 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: 35.2 (Industry average Stock P/E: 26.07)
      • 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: 0.04
      • 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

Avonmore Capital & Management Services Ltd. is a Public Limited Listed company incorporated on 30/09/1991 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L67190DL1991PLC045857 and registration number is 045857. Currently Company is involved in the business activities of Other financial service activities, except insurance and pension funding activities. Company’s Total Operating Revenue is Rs. 3.65 Cr. and Equity Capital is Rs. 24.92 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Non-Banking Financial Company (NBFC)Level-5, Grande Palladium,175, CST Road, Off BKC Kalina, Mumbai Maharashtra 400098secretarial@almondz.com
http://www.avonmorecapital.in
Management
NamePosition Held
Mr. Govind Prasad AgrawalNon Executive Chairman
Mr. Ashok Kumar GuptaManaging Director
Ms. Ashu GuptaNon Executive Woman Director
Mr. Ajay KumarInd. Non-Executive Director
Mr. Shyam Sunder Lal GuptaInd. Non-Executive Director
Mr. Bhupinder SinghInd. Non-Executive Director

FAQ

What is the latest intrinsic value of Avonmore Capital & Management Services Ltd?

The latest intrinsic value of Avonmore Capital & Management Services Ltd as on 24 November 2024 is ₹21.05, which is 45.17% higher than the current market price of ₹14.50.

What is the Market Cap of Avonmore Capital & Management Services Ltd?

The Market Cap of Avonmore Capital & Management Services Ltd is 338 Cr..

What is the current Stock Price of Avonmore Capital & Management Services Ltd as on 24 November 2024?

The current stock price of Avonmore Capital & Management Services Ltd as on 24 November 2024 is 14.5.

What is the High / Low of Avonmore Capital & Management Services Ltd stocks in FY 2024?

In FY 2024, the High / Low of Avonmore Capital & Management Services Ltd stocks is 18.1/7.52.

What is the Stock P/E of Avonmore Capital & Management Services Ltd?

The Stock P/E of Avonmore Capital & Management Services Ltd is 35.2.

What is the Book Value of Avonmore Capital & Management Services Ltd?

The Book Value of Avonmore Capital & Management Services Ltd is 13.7.

What is the Dividend Yield of Avonmore Capital & Management Services Ltd?

The Dividend Yield of Avonmore Capital & Management Services Ltd is 0.00 %.

What is the ROCE of Avonmore Capital & Management Services Ltd?

The ROCE of Avonmore Capital & Management Services Ltd is 6.36 %.

What is the ROE of Avonmore Capital & Management Services Ltd?

The ROE of Avonmore Capital & Management Services Ltd is 4.28 %.

What is the Face Value of Avonmore Capital & Management Services Ltd?

The Face Value of Avonmore Capital & Management Services Ltd is 1.00.

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 Avonmore Capital & Management Services 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