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Last Updated on: 26 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 540691 | NSE: ABCAPITAL

Aditya Birla Capital Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 24, 2024, 9:06 pm

Market Cap 48,532 Cr.
Current Price 186
High / Low 247/159
Stock P/E13.1
Book Value 110
Dividend Yield0.00 %
ROCE9.95 %
ROE14.2 %
Face Value 10.0
PEG Ratio0.58

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

View Share Price Target for Aditya Birla Capital Ltd

Competitors of

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Multipurpose Trading & Agencies Ltd 4.60 Cr. 9.30 13.3/7.8125.6 10.20.00 %4.44 %3.91 % 10.0
Munoth Financial Services Ltd 34.4 Cr. 67.0 81.3/54.6 21.20.00 %1.71 %1.79 % 10.0
Nam Securities Ltd 70.1 Cr. 130 198/65.6195 21.20.00 %4.16 %3.05 % 10.0
Naperol Investments Ltd 750 Cr. 1,305 2,041/801765 3,2040.00 %0.08 %0.05 % 10.0
Inani Securities Ltd 13.2 Cr. 29.0 42.0/20.59.10 42.20.00 %10.6 %6.92 % 10.0
Industry Average6,753.40 Cr1,853.703,512.595,415.950.31%15.08%16.58%7.38

All Competitor Stocks of

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales4,2995,5965,7126,6175,5906,8256,9388,0257,0457,7218,80010,9408,832
Expenses3,0994,2624,1405,1934,0885,1454,9445,7664,4904,8995,7647,3195,589
Operating Profit1,2001,3351,5721,4241,5021,6801,9942,2592,5552,8223,0363,6213,244
OPM %28%24%28%22%27%25%29%28%36%37%34%33%37%
Other Income83979583611052,81091706260166130
Interest8568728858669171,0601,2681,4781,6711,8271,9972,1222,244
Depreciation28303033323538404348505455
Profit before tax3985297526086146903,4998329121,0091,0501,6121,074
Tax %32%33%24%24%31%31%6%24%27%28%28%20%27%
Net Profit2703575714614244793,2856366667257601,288779
EPS in Rs1.251.562.391.861.782.0213.532.522.502.712.834.792.92

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales2,7103,6455,88211,52615,16816,69619,26022,23230,16331,591
Expenses1,0021,1562,4787,5399,85010,93413,96616,69419,97220,918
Operating Profit1,7082,4893,4043,9875,3175,7625,2935,53810,19110,673
OPM %63%68%58%35%35%35%27%25%34%34%
Other Income-39244177230254282351311283
Interest1,1121,6122,2993,0244,1094,6343,9163,4804,7226,973
Depreciation3733434458103114122145181
Profit before tax5198691,0661,0961,3811,2801,5462,2875,6353,802
Tax %40%40%35%37%41%32%28%27%14%
Net Profit3095246916938118661,1061,6604,8242,787
EPS in Rs4.086.584.303.153.963.814.667.0619.8310.56
Dividend Payout %0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)69.58%31.87%0.29%17.03%6.78%27.71%50.09%190.60%
Change in YoY Net Profit Growth (%)0.00%-37.71%-31.58%16.74%-10.25%20.93%22.38%140.51%

Aditya Birla Capital Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 8 years from 2015-2016 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:%
5 Years:18%
3 Years:21%
TTM:31%
Compounded Profit Growth
10 Years:%
5 Years:33%
3 Years:44%
TTM:39%
Stock Price CAGR
10 Years:%
5 Years:13%
3 Years:16%
1 Year:15%
Return on Equity
10 Years:%
5 Years:15%
3 Years:17%
Last Year:14%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:46 am

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital7577961,2322,2012,2012,4142,4152,4162,4182,6002,605
Reserves1,0561,9215,3786,3377,31110,16211,32713,07617,89324,21726,091
Borrowings15,97324,75033,21544,51656,32455,96653,04458,42584,738110,139121,558
Other Liabilities1,8572,57438,31640,50243,63344,97857,69866,89775,30494,667103,047
Total Liabilities19,64230,04278,14193,556109,470113,520124,485140,815180,353231,623253,301
Fixed Assets2843147788378921,1811,2591,3051,2791,6521,863
CWIP811353334744545449414
Investments7201,36311,76039,57343,95548,41557,70367,35580,38399,53969,218
Other Assets18,63028,35365,56953,11364,58963,85065,47872,11098,647130,338182,206
Total Assets19,64230,04278,14193,556109,470113,520124,485140,815180,353231,623253,301

Reserves and Borrowings Chart

Cash Flow

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +0-8,697-7,570-11,894-10,2564,27164-5,070-24,029-24,100
Cash from Investing Activity +0-638-1,62338-690-3,0702,429-1,446-2,675-4,590
Cash from Financing Activity +09,1849,87012,00610,852875-2,5815,83626,38528,514
Net Cash Flow0-151678150-942,076-88-679-318-176

Free Cash Flow

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-14.00-22.00-30.00-41.00-51.00-50.00-48.00-53.00-74.00

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 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days1718231291081157
Inventory Days
Days Payable
Cash Conversion Cycle1718231291081157
Working Capital Days770663461-1,217-978-899-1,018-1,018-859-944
ROCE %11%10%9%9%9%8%8%11%10%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters70.69%71.03%71.07%71.07%71.06%71.05%71.02%69.11%69.00%68.98%68.97%68.90%
FIIs2.37%2.44%2.36%2.55%6.80%7.23%7.32%10.53%10.46%9.77%10.92%10.12%
DIIs11.75%11.50%12.33%11.94%7.80%8.04%7.85%7.73%8.24%8.37%7.55%8.12%
Public15.19%15.03%14.24%14.44%14.33%13.66%13.80%12.64%12.32%12.89%12.59%12.86%
No. of Shareholders5,28,5555,22,7585,38,5085,46,7685,32,1684,88,9544,75,2834,66,5204,64,3664,91,8565,03,8425,30,088

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
SBI Arbitrage Opportunities Fund5,864,4000.38100.345,864,4002024-12-240%
Nippon India Arbitrage Fund4,190,4000.5571.75,864,4002024-12-24-28.55%
ICICI Prudential Equity - Arbitrage Fund3,844,8000.465.785,864,4002024-12-24-34.44%
Aditya Birla Sun Life Frontline Equity Fund3,332,3010.2257.025,864,4002024-12-24-43.18%
HDFC Large and Mid Cap Fund - Regular Plan3,000,0000.3251.335,864,4002024-12-24-48.84%
HDFC Multi Cap Fund2,600,0000.3844.495,864,4002024-12-24-55.66%
Kotak Equity Arbitrage Fund - Regular Plan2,376,0000.1140.655,864,4002024-12-24-59.48%
UTI Large & Mid Cap Fund2,353,7391.6140.275,864,4002024-12-24-59.86%
HSBC Arbitrage Fund2,311,2001.9239.545,864,4002024-12-24-60.59%
Samco Flexi Cap Fund2,070,0004.4535.425,864,4002024-12-24-64.7%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)13.0519.847.064.674.07
Diluted EPS (Rs.)12.9519.847.064.664.06
Cash EPS (Rs.)12.8019.425.963.942.97
Book Value[Excl.RevalReserv]/Share (Rs.)110.1290.2370.7363.0457.57
Book Value[Incl.RevalReserv]/Share (Rs.)110.1290.2370.7363.0457.57
Revenue From Operations / Share (Rs.)132.71113.3892.0079.6969.15
PBDIT / Share (Rs.)46.5042.3122.9621.9723.93
PBIT / Share (Rs.)45.7541.7122.4521.5023.50
PBT / Share (Rs.)16.4522.188.055.294.26
Net Profit / Share (Rs.)12.0618.825.463.472.55
NP After MI And SOA / Share (Rs.)12.8319.837.064.663.81
PBDIT Margin (%)35.0337.3124.9527.5734.60
PBIT Margin (%)34.4736.7824.4026.9733.98
PBT Margin (%)12.3919.568.756.636.16
Net Profit Margin (%)9.0816.605.934.343.68
NP After MI And SOA Margin (%)9.6617.497.675.855.51
Return on Networth / Equity (%)12.4323.6111.018.197.31
Return on Capital Employeed (%)7.618.225.355.747.21
Return On Assets (%)1.432.651.200.900.80
Long Term Debt / Equity (X)1.521.501.431.571.80
Total Debt / Equity (X)4.094.153.753.834.42
Asset Turnover Ratio (%)0.160.000.010.000.00
Current Ratio (X)2.962.993.453.573.16
Quick Ratio (X)2.962.993.453.573.16
Interest Coverage Ratio (X)1.592.171.591.361.25
Interest Coverage Ratio (Post Tax) (X)1.411.961.381.211.13
Enterprise Value (Cr.)153372.96120666.6583024.4380190.8564018.34
EV / Net Operating Revenue (X)4.444.403.734.173.84
EV / EBITDA (X)12.6911.8014.9715.1111.09
MarketCap / Net Operating Revenue (X)1.321.361.171.500.61
Price / BV (X)1.701.831.682.100.80
Price / Net Operating Revenue (X)1.321.361.171.500.61
EarningsYield0.070.120.060.030.09

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Aditya Birla Capital Ltd as of December 26, 2024 is: 208.71

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 26, 2024, Aditya Birla Capital Ltd is Undervalued by 12.21% compared to the current share price 186.00

Intrinsic Value of Aditya Birla Capital Ltd as of December 26, 2024 is: 255.91

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 26, 2024, Aditya Birla Capital Ltd is Undervalued by 37.59% compared to the current share price 186.00

Last 5 Year EPS CAGR: 22.62%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -178.90, which is a positive sign.
  2. The company has shown consistent growth in sales (15.40 cr) and profit (140.30 cr) over the years.
  1. The stock has a low average ROCE of 8.50%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 12.00, which may not be favorable.
  3. The company has higher borrowings (59,877.09) compared to reserves (11,342.64), 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 Aditya Birla Capital Ltd:
    1. Net Profit Margin: 9.08%
      • 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: 7.61% (Industry Average ROCE: 15.08%)
      • 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%: 12.43% (Industry Average ROE: 16.58%)
      • 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): 1.41
      • 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: 2.96
      • 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: 13.1 (Industry average Stock P/E: 3)
      • 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: 4.09
      • 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

Aditya Birla Capital Ltd. is a Public Limited Listed company incorporated on 15/10/2007 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L67120GJ2007PLC058890 and registration number is 058890. Currently Company is involved in the business activities of Activities of holding companies. Company’s Total Operating Revenue is Rs. 452.71 Cr. and Equity Capital is Rs. 2416.31 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Finance & InvestmentsIndian Rayon Compound, Veraval Gujarat 362266abc.secretarial@adityabirlacapital.com
http://www.adityabirlacapital.com
Management
NamePosition Held
Mr. Kumar Mangalam BirlaChairman & Non-Exe.Director
Mr. Sushil AgarwalNon Executive Director
Mr. Romesh SobtiNon Exe. & Nominee Director
Mr. Arun AdhikariIndependent Director
Mrs. Vijayalakshmi R IyerIndependent Director
Mr. S C BhargavaIndependent Director
Mr. P H RavikumarIndependent Director

FAQ

What is the latest intrinsic value of Aditya Birla Capital Ltd?

The latest intrinsic value of Aditya Birla Capital Ltd as on 25 December 2024 is ₹208.71, which is 12.21% higher than the current market price of ₹186.00. The stock has a market capitalization of 48,532 Cr. and recorded a high/low of 247/159 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹26,091 Cr and total liabilities of ₹253,301 Cr.

What is the Market Cap of Aditya Birla Capital Ltd?

The Market Cap of Aditya Birla Capital Ltd is 48,532 Cr..

What is the current Stock Price of Aditya Birla Capital Ltd as on 25 December 2024?

The current stock price of Aditya Birla Capital Ltd as on 25 December 2024 is 186.

What is the High / Low of Aditya Birla Capital Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Aditya Birla Capital Ltd stocks is 247/159.

What is the Stock P/E of Aditya Birla Capital Ltd?

The Stock P/E of Aditya Birla Capital Ltd is 13.1.

What is the Book Value of Aditya Birla Capital Ltd?

The Book Value of Aditya Birla Capital Ltd is 110.

What is the Dividend Yield of Aditya Birla Capital Ltd?

The Dividend Yield of Aditya Birla Capital Ltd is 0.00 %.

What is the ROCE of Aditya Birla Capital Ltd?

The ROCE of Aditya Birla Capital Ltd is 9.95 %.

What is the ROE of Aditya Birla Capital Ltd?

The ROE of Aditya Birla Capital Ltd is 14.2 %.

What is the Face Value of Aditya Birla Capital Ltd?

The Face Value of Aditya Birla Capital 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 Aditya Birla Capital 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