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Last Updated on: 23 April, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 530499 | NSE: AKCAPIT

Fundamental Analysis of AK Capital Services Ltd

Basic Stock Data

Last Updated: April 23, 2024, 1:33 pm

Market Cap 588 Cr.
Current Price 891
High / Low1,160/410
Stock P/E6.81
Book Value 1,328
Dividend Yield1.35 %
ROCE8.77 %
ROE11.0 %
Face Value 10.0

Data Source: screener.in

Competitors of AK Capital Services Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Abate As Industries Ltd 13.1 Cr. 26.026.0/16.8 0.160.00 %57.8 %184 % 10.0
Angel One Ltd 26,987 Cr. 3,0033,900/1,18125.7 3111.30 %44.0 %47.1 % 10.0
L&T Finance Holdings Ltd 40,209 Cr. 162179/86.418.4 89.21.24 %7.56 %6.41 % 10.0
Nagreeka Capital & Infrastructure Ltd 26.5 Cr. 21.025.8/14.1 5.790.00 %7.52 %480 % 5.00
Vardhman Holdings Ltd 967 Cr. 3,0533,788/2,4254.83 10,0600.16 %7.66 %7.77 % 10.0
Industry Average13,640.52 Cr1,253.009.792,093.230.54%24.91%145.06%9.00

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales8678738279888997105116116124132
Expenses24382231263533383645405053
Operating Profit62405151535356597071767579
OPM %72%51%70%63%67%60%63%61%66%61%65%60%60%
Other Income1000-010000000
Interest22212322232426293738444651
Depreciation2222222222222
Profit before tax40172627282728293031302726
Tax %20%22%24%25%27%19%25%28%26%21%25%26%23%
Net Profit32132021212221212225222020
EPS in Rs47.5220.1130.0930.8031.0032.7631.5530.8033.2637.1833.7729.7730.02

Last Updated: April 10, 2024, 5:50 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: April 5, 2024, 3:54 pm

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales195194242252242336330421313288322407489
Expenses1298913411610214198169126101114150188
Operating Profit66104109136140195232252187187208256300
OPM %34%54%45%54%58%58%70%60%60%65%65%63%61%
Other Income433333-0-001101
Interest9375677811061381531158392131179
Depreciation2223333377888
Profit before tax59695359598991976598109118114
Tax %35%33%33%30%30%35%30%26%21%24%24%25%
Net Profit38463541425863725175838887
EPS in Rs57.6569.7453.3262.3363.0087.0295.30108.1577.29112.73124.65132.77130.74
Dividend Payout %10%9%11%10%10%7%6%6%8%5%6%9%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)21.05%-23.91%17.14%2.44%38.10%8.62%14.29%-29.17%47.06%10.67%6.02%
Change in YoY Net Profit Growth (%)0.00%-44.97%41.06%-14.70%35.66%-29.47%5.67%-43.45%76.23%-36.39%-4.64%

Growth

Compounded Sales Growth
10 Years:8%
5 Years:4%
3 Years:9%
TTM:29%
Compounded Profit Growth
10 Years:7%
5 Years:7%
3 Years:20%
TTM:2%
Stock Price CAGR
10 Years:19%
5 Years:22%
3 Years:37%
1 Year:101%
Return on Equity
10 Years:11%
5 Years:11%
3 Years:11%
Last Year:11%

Last Updated: April 16, 2024, 1:32 pm

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital7777777777777
Reserves270311341377414471517578608677753833870
Borrowings2014256008231,3852,0021,8871,8788811,3911,8452,1642,660
Other Liabilities873043304926821028586109114121
Total Liabilities5657729921,2371,8552,5062,4932,5651,5812,1612,7143,1183,657
Fixed Assets43455249485273677166787076
CWIP0000000000300
Investments1581463917629281,1188287915911,0981,4621,8382,343
Other Assets3645815494268791,3361,5921,7089199981,1711,2101,238
Total Assets5657729921,2371,8552,5062,4932,5651,5812,1612,7143,1183,657

Reserves and Borrowings Chart

Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -155-2003103-425-54034525966-91-11945
Cash from Investing Activity -354-149-257-4928-139133288-418-218-230
Cash from Financing Activity 160183115144478508-210-152-1,163425356177
Net Cash Flow237-31-94-3-3691-8520-8

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-135.00-321.00-491.00-687.00139.00193.00231.00251.00-694.00186.00207.00254.00

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 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days1365957307424472565
Inventory Days
Days Payable
Cash Conversion Cycle1365957307424472565
Working Capital Days4819377104681,0451,235616784562744737472
ROCE %18%17%13%13%9%9%9%10%9%10%8%9%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters70.51%70.51%70.67%70.67%71.37%71.50%71.50%71.50%71.50%71.50%71.50%71.50%
Public29.49%29.49%29.33%29.33%28.63%28.50%28.49%28.50%28.50%28.52%28.51%28.50%
No. of Shareholders2,1872,4432,3672,3862,3652,3412,2932,2142,1882,1692,5362,342

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)132.78124.65112.7377.28108.14
Diluted EPS (Rs.)132.78124.65112.7377.28108.14
Cash EPS (Rs.)145.92137.23124.2488.81113.09
Book Value[Excl.RevalReserv]/Share (Rs.)1314.641183.091077.01971.28956.29
Book Value[Incl.RevalReserv]/Share (Rs.)1314.641183.091077.01971.28956.29
Revenue From Operations / Share (Rs.)615.85487.99435.81473.32638.52
PBDIT / Share (Rs.)388.48316.12284.99284.38382.18
PBIT / Share (Rs.)376.52304.66274.45273.56378.13
PBT / Share (Rs.)178.70164.61149.0299.01146.43
Net Profit / Share (Rs.)133.96125.77113.7177.99109.04
NP After MI And SOA / Share (Rs.)132.78124.65112.7377.28108.14
PBDIT Margin (%)63.0764.7865.3960.0859.85
PBIT Margin (%)61.1362.4362.9757.7959.21
PBT Margin (%)29.0133.7334.1920.9122.93
Net Profit Margin (%)21.7525.7726.0916.4717.07
NP After MI And SOA Margin (%)21.5625.5425.8616.3216.93
Return on Networth / Equity (%)10.4410.9210.878.2912.19
Return on Capital Employeed (%)16.1913.3813.0315.5218.26
Return On Assets (%)2.813.033.433.222.77
Long Term Debt / Equity (X)0.770.930.970.831.23
Total Debt / Equity (X)2.582.452.031.433.21
Asset Turnover Ratio (%)0.130.050.060.040.05
Current Ratio (X)1.922.172.703.582.08
Quick Ratio (X)1.921.611.952.391.31
Dividend Payout Ratio (NP) (%)9.404.816.8726.578.93
Dividend Payout Ratio (CP) (%)8.624.406.2823.308.61
Earning Retention Ratio (%)90.6095.1993.1373.4391.07
Cash Earning Retention Ratio (%)91.3895.6093.7276.7091.39
Interest Coverage Ratio (X)1.962.262.271.631.65
Interest Coverage Ratio (Post Tax) (X)1.681.901.911.451.47
Enterprise Value (Cr.)2437.972124.191604.25924.152125.50
EV / Net Operating Revenue (X)6.006.605.582.965.04
EV / EBITDA (X)9.5110.188.534.928.43
MarketCap / Net Operating Revenue (X)0.690.890.700.380.51
Retention Ratios (%)90.5995.1893.1273.4291.06
Price / BV (X)0.330.380.290.190.37
Price / Net Operating Revenue (X)0.690.890.700.380.51
EarningsYield0.310.280.360.420.32

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 1008.23

The stock is undervalued by 13.16% compared to the current price ₹891

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.

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (310.08 cr) and profit (83.08 cr) over the years.
  1. The stock has a low average ROCE of 11.17%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 542.75, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 34.08, which may not be favorable.
  4. The company has higher borrowings (1,395.54) compared to reserves (540.00), 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 AK Capital Services Ltd:
    1. Net Profit Margin: 21.75%
      • 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: 16.19% (Industry Average ROCE: 24.91%)
      • 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%: 10.44% (Industry Average ROE: 145.06%)
      • 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): 1.68
      • 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: 1.92
      • 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: 6.81 (Industry average Stock P/E: 9.79)
      • 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: 2.58
      • 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

AK Capital Services Ltd. is a Public Limited Listed company incorporated on 05/10/1993 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L74899MH1993PLC274881 and registration number is 274881. 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. 86.31 Cr. and Equity Capital is Rs. 6.60 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Finance & Investments603, 6th Floor, Windsor, Off CST Road, Mumbai Maharashtra 400098compliance@akgroup.co.in
http://www.akgroup.co.in
Management
NamePosition Held
Mr. Subhash Chandra BhargavaNon Exe.Chairman&Ind.Director
Mr. A K MittalManaging Director
Mr. Vikas JainWhole Time Director
Mr. Ashish AgarwalWhole Time Director
Ms. Aditi MittalNon Executive Woman Director
Mr. Khimji Shamji PandavInd. Non-Executive Director
Mr. Rajiv BakshiInd. Non-Executive Director
Mr. Ashish VyasInd. Non-Executive Director

AK Capital Services Ltd. Share Price Update

Share PriceValue
Today₹886.00
Previous Day₹891.75

FAQ

What is the latest fair value of AK Capital Services Ltd?

The latest fair value of AK Capital Services Ltd is ₹1008.23.

What is the Market Cap of AK Capital Services Ltd?

The Market Cap of AK Capital Services Ltd is 588 Cr..

What is the current Stock Price of AK Capital Services Ltd as on 23 April 2024?

The current stock price of AK Capital Services Ltd as on 23 April 2024 is 891.

What is the High / Low of AK Capital Services Ltd stocks in FY 2024?

In FY 2024, the High / Low of AK Capital Services Ltd stocks is ₹1,160/410.

What is the Stock P/E of AK Capital Services Ltd?

The Stock P/E of AK Capital Services Ltd is 6.81.

What is the Book Value of AK Capital Services Ltd?

The Book Value of AK Capital Services Ltd is 1,328.

What is the Dividend Yield of AK Capital Services Ltd?

The Dividend Yield of AK Capital Services Ltd is 1.35 %.

What is the ROCE of AK Capital Services Ltd?

The ROCE of AK Capital Services Ltd is 8.77 %.

What is the ROE of AK Capital Services Ltd?

The ROE of AK Capital Services Ltd is 11.0 %.

What is the Face Value of AK Capital Services Ltd?

The Face Value of AK Capital Services 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 AK Capital 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