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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

Advani Hotels & Resorts (India) Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 22, 2024, 11:40 pm

Market Cap 613 Cr.
Current Price 66.4
High / Low91.6/48.0
Stock P/E26.7
Book Value 7.30
Dividend Yield2.71 %
ROCE48.2 %
ROE36.9 %
Face Value 2.00
PEG Ratio1.57

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

View Share Price Target for Advani Hotels & Resorts (India) Ltd

Competitors of Advani Hotels & Resorts (India) Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Howard Hotels Ltd 23.7 Cr. 26.033.5/15.3 10.40.00 %9.86 %8.53 % 10.0
HS India Ltd 24.8 Cr. 15.220.8/12.519.0 19.00.00 %6.90 %4.47 % 10.0
Gujarat Hotels Ltd 80.1 Cr. 211261/15217.7 1191.18 %13.9 %11.2 % 10.0
Graviss Hospitality Ltd 303 Cr. 42.964.7/35.122.8 26.50.00 %1.80 %1.40 % 2.00
Goel Food Products Ltd 42.6 Cr. 22.678.0/21.210.9 11.92.21 %18.9 %25.4 % 10.0
Industry Average9,704.87 Cr475.22115.4391.790.40%12.66%15.98%6.76

All Competitor Stocks of Advani Hotels & Resorts (India) Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales1.835.7325.1018.6822.8716.3329.0030.4423.3217.2532.2932.5722.06
Expenses6.727.5913.5512.6813.4912.8917.2515.8316.9016.8819.4818.2617.41
Operating Profit-4.89-1.8611.556.009.383.4411.7514.616.420.3712.8114.314.65
OPM %-267.21%-32.46%46.02%32.12%41.01%21.07%40.52%48.00%27.53%2.14%39.67%43.94%21.08%
Other Income0.270.060.180.360.290.420.740.540.620.680.750.970.90
Interest0.020.020.010.020.020.050.060.050.030.030.030.040.02
Depreciation0.780.760.680.660.640.640.640.700.790.820.830.860.81
Profit before tax-5.42-2.5811.045.689.013.1711.7914.406.220.2012.7014.384.72
Tax %-24.91%-24.03%32.43%10.74%25.19%31.23%25.78%24.03%25.88%-125.00%26.77%26.29%23.52%
Net Profit-4.07-1.967.465.076.752.188.7510.934.610.459.3110.593.61
EPS in Rs-0.44-0.210.810.550.730.240.951.180.500.051.011.150.39

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales373940485360627070275199100
Expenses29313337404247545330415967
Operating Profit787111417151617-3113933
OPM %20%21%18%23%26%29%24%23%24%-10%21%40%33%
Other Income0110111111123
Interest2222100000000
Depreciation3334444443333
Profit before tax3436914131414-593833
Tax %34%40%25%35%32%38%33%18%20%25%25%25%
Net Profit23246991111-472925
EPS in Rs0.480.570.490.781.381.931.872.462.44-0.881.416.195.35
Dividend Payout %50%46%49%54%35%31%37%81%78%0%99%55%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)50.00%-33.33%100.00%50.00%50.00%0.00%22.22%0.00%-136.36%275.00%314.29%
Change in YoY Net Profit Growth (%)0.00%-83.33%133.33%-50.00%0.00%-50.00%22.22%-22.22%-136.36%411.36%39.29%

Advani Hotels & Resorts (India) Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2012-2013 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:10%
5 Years:8%
3 Years:57%
TTM:4%
Compounded Profit Growth
10 Years:26%
5 Years:17%
3 Years:100%
TTM:-7%
Stock Price CAGR
10 Years:7%
5 Years:19%
3 Years:19%
1 Year:25%
Return on Equity
10 Years:23%
5 Years:25%
3 Years:35%
Last Year:37%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital9999999999918
Reserves232425283238453834415353
Borrowings141815811211122
Other Liabilities151715171923201920242526
Total Liabilities6168646361717668647590100
Fixed Assets485956535051494744434344
CWIP311110000000
Investments000000191112253319
Other Assets10979102089871436
Total Assets6168646361717668647590100

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +8101012141511142132629
Cash from Investing Activity +-6-11-2-2-1-3-208-1-13-9-13
Cash from Financing Activity +-31-8-11-11-3-4-20-0-1-15-17
Net Cash Flow-2-0-0-129-1210-12-0

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow7.00-6.00-11.00-4.006.0016.0014.0014.0016.00-4.0010.0037.00

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 Days292616291719181453103
Inventory Days169212172121106106891102151437466
Days Payable333307212199226270208228583296179164
Cash Conversion Cycle-135-69-25-50-103-146-101-104-363-151-95-96
Working Capital Days-37-80-42-48-29-43-31-38-151-94-40-47
ROCE %14%11%15%22%33%29%27%27%-11%18%66%48%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters50.17%50.17%50.18%50.20%50.19%50.25%50.25%50.25%50.25%50.25%50.25%50.25%
FIIs0.00%0.00%0.08%0.00%0.10%0.08%0.00%0.08%0.06%0.17%0.21%0.22%
DIIs0.11%0.11%0.11%0.11%0.11%0.11%0.11%0.11%0.11%0.11%0.05%0.05%
Public49.72%49.72%49.63%49.69%49.60%49.54%49.62%49.55%49.57%49.46%49.48%49.47%
No. of Shareholders7,7217,51114,98114,56313,79214,36713,90114,15015,22519,08530,54134,904

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
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)2.706.191.41-0.882.44
Diluted EPS (Rs.)2.706.191.41-0.882.44
Cash EPS (Rs.)3.066.762.03-0.173.25
Book Value[Excl.RevalReserv]/Share (Rs.)7.7813.5710.799.3610.23
Book Value[Incl.RevalReserv]/Share (Rs.)7.7813.5710.799.3610.23
Dividend / Share (Rs.)2.803.401.400.001.90
Revenue From Operations / Share (Rs.)11.4021.3411.115.9415.17
PBDIT / Share (Rs.)3.998.902.52-0.433.90
PBIT / Share (Rs.)3.648.341.90-1.143.09
PBT / Share (Rs.)3.628.301.89-1.183.04
Net Profit / Share (Rs.)2.706.191.41-0.882.44
PBDIT Margin (%)35.0241.7122.69-7.2325.69
PBIT Margin (%)31.8839.0517.10-19.1320.35
PBT Margin (%)31.7738.8816.99-19.8420.03
Net Profit Margin (%)23.6728.9912.67-14.8516.05
Return on Networth / Equity (%)34.7145.6013.05-9.4323.80
Return on Capital Employeed (%)42.7555.4115.63-10.8526.28
Return On Assets (%)24.9631.788.68-6.3316.64
Long Term Debt / Equity (X)0.000.000.000.000.01
Total Debt / Equity (X)0.010.010.000.010.01
Asset Turnover Ratio (%)1.111.200.730.410.97
Current Ratio (X)2.562.191.691.171.43
Quick Ratio (X)2.502.121.611.091.30
Dividend Payout Ratio (NP) (%)0.0054.930.000.0077.97
Dividend Payout Ratio (CP) (%)0.0050.310.000.0058.52
Earning Retention Ratio (%)0.0045.070.000.0022.03
Cash Earning Retention Ratio (%)0.0049.690.000.0041.48
Interest Coverage Ratio (X)308.95250.78191.97-10.2079.96
Interest Coverage Ratio (Post Tax) (X)209.85175.31108.22-19.9350.97
Enterprise Value (Cr.)634.55327.74420.52262.35137.46
EV / Net Operating Revenue (X)6.023.328.199.551.96
EV / EBITDA (X)17.197.9636.09-131.937.63
MarketCap / Net Operating Revenue (X)6.293.358.219.631.99
Retention Ratios (%)0.0045.060.000.0022.02
Price / BV (X)9.225.278.466.122.95
Price / Net Operating Revenue (X)6.293.358.219.631.99
EarningsYield0.030.080.01-0.010.08

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Advani Hotels & Resorts (India) Ltd as of November 24, 2024 is: 73.87

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, Advani Hotels & Resorts (India) Ltd is Undervalued by 11.25% compared to the current share price 66.40

Intrinsic Value of Advani Hotels & Resorts (India) Ltd as of November 24, 2024 is: 86.43

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, Advani Hotels & Resorts (India) Ltd is Undervalued by 30.17% compared to the current share price 66.40

Last 5 Year EPS CAGR: 17.00%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 24.92%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -56.67, which is a positive sign.
  3. The stock has a low average Cash Conversion Cycle of -119.83, which is a positive sign.
  4. The company has higher reserves (36.17 cr) compared to borrowings (5.50 cr), indicating strong financial stability.
  5. The company has shown consistent growth in sales (58.15 cr) and profit (11.92 cr) over the years.

    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 Advani Hotels & Resorts (India) Ltd:
      1. Net Profit Margin: 23.67%
        • 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: 42.75% (Industry Average ROCE: 12.66%)
        • 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%: 34.71% (Industry Average ROE: 15.98%)
        • 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): 209.85
        • 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: 2.5
        • 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: 26.7 (Industry average Stock P/E: 115.43)
        • 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: 0.01
        • 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

    Advani Hotels & Resorts (India) Ltd. is a Public Limited Listed company incorporated on 13/03/1987 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L99999MH1987PLC042891 and registration number is 042891. Currently Company is involved in the business activities of Short term accommodation activities. Company’s Total Operating Revenue is Rs. 51.34 Cr. and Equity Capital is Rs. 9.24 Cr. for the Year ended 31/03/2022.
    INDUSTRYADDRESSCONTACT
    Hotels, Resorts & Restaurants18A & 18B, Jolly Maker Chambers-II, Mumbai Maharashtra 400021cs.ho@advanihotels.com
    http://www.caravelabeachresortgoa.com
    Management
    NamePosition Held
    Mr. Sunder G AdvaniChairman & Managing Director
    Mr. Haresh G AdvaniExecutive Director
    Mr. Prahlad S AdvaniWholeTime Director & CEO
    Mr. Prakash V MehtaDirector
    Mr. Vinod DhallDirector
    Mrs. Ragini ChopraDirector
    Mr. Adhiraj HarishDirector
    Mr. Nitin KunkolienkerDirector
    Mrs. Menaka S AdvaniDirector
    Mrs. Nina H AdvaniDirector
    Mr. Satyan IsraniDirector
    Mr. Vinay ChauhanDirector

    FAQ

    What is the latest intrinsic value of Advani Hotels & Resorts (India) Ltd?

    The latest intrinsic value of Advani Hotels & Resorts (India) Ltd as on 24 November 2024 is ₹73.87, which is 11.25% higher than the current market price of ₹66.40.

    What is the Market Cap of Advani Hotels & Resorts (India) Ltd?

    The Market Cap of Advani Hotels & Resorts (India) Ltd is 613 Cr..

    What is the current Stock Price of Advani Hotels & Resorts (India) Ltd as on 24 November 2024?

    The current stock price of Advani Hotels & Resorts (India) Ltd as on 24 November 2024 is 66.4.

    What is the High / Low of Advani Hotels & Resorts (India) Ltd stocks in FY 2024?

    In FY 2024, the High / Low of Advani Hotels & Resorts (India) Ltd stocks is 91.6/48.0.

    What is the Stock P/E of Advani Hotels & Resorts (India) Ltd?

    The Stock P/E of Advani Hotels & Resorts (India) Ltd is 26.7.

    What is the Book Value of Advani Hotels & Resorts (India) Ltd?

    The Book Value of Advani Hotels & Resorts (India) Ltd is 7.30.

    What is the Dividend Yield of Advani Hotels & Resorts (India) Ltd?

    The Dividend Yield of Advani Hotels & Resorts (India) Ltd is 2.71 %.

    What is the ROCE of Advani Hotels & Resorts (India) Ltd?

    The ROCE of Advani Hotels & Resorts (India) Ltd is 48.2 %.

    What is the ROE of Advani Hotels & Resorts (India) Ltd?

    The ROE of Advani Hotels & Resorts (India) Ltd is 36.9 %.

    What is the Face Value of Advani Hotels & Resorts (India) Ltd?

    The Face Value of Advani Hotels & Resorts (India) Ltd is 2.00.

    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 Advani Hotels & Resorts (India) 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