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Last Updated on: 05 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 523537 | NSE: APMIN

APM Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: December 4, 2024, 9:00 pm

Market Cap 104 Cr.
Current Price 48.0
High / Low92.0/45.0
Stock P/E104
Book Value 78.2
Dividend Yield1.04 %
ROCE3.27 %
ROE2.48 %
Face Value 2.00
PEG Ratio-7.94

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

View Share Price Target for APM Industries Ltd

Competitors of APM Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Deepak Spinners Ltd 134 Cr. 186320/175 3140.27 %1.93 %0.45 % 10.0
APM Industries Ltd 104 Cr. 48.092.0/45.0104 78.21.04 %3.27 %2.48 % 2.00
Aditya Spinners Ltd 48.2 Cr. 28.832.0/17.4150 28.50.00 %5.24 %3.88 % 10.0
Adinath Textiles Ltd 19.4 Cr. 28.635.5/23.039.7 4.490.00 %25.7 %18.1 % 10.0
Sangam (India) Ltd 1,900 Cr. 377630/31845.1 2220.53 %6.81 %4.64 % 10.0
Industry Average612.50 Cr132.1167.72142.170.31%7.55%5.84%7.75

All Competitor Stocks of APM Industries Ltd

Quarterly Result

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Sales93.5986.6688.5094.48100.4687.1278.4377.7884.6174.9462.5274.0984.24
Expenses85.5778.8880.4983.2588.0378.6073.2474.4080.6370.8961.4073.3581.73
Operating Profit8.027.788.0111.2312.438.525.193.383.984.051.120.742.51
OPM %8.57%8.98%9.05%11.89%12.37%9.78%6.62%4.35%4.70%5.40%1.79%1.00%2.98%
Other Income0.270.430.680.360.350.250.670.260.610.150.450.600.11
Interest0.820.580.620.510.300.320.550.570.620.590.680.740.61
Depreciation1.631.601.681.751.741.751.791.881.901.911.931.951.95
Profit before tax5.846.036.399.3310.746.703.521.192.071.70-1.04-1.350.06
Tax %42.98%31.18%27.39%29.26%28.96%30.75%29.55%31.09%32.85%30.00%-174.04%-27.41%66.67%
Net Profit3.334.154.646.607.634.642.480.821.391.190.77-0.980.02
EPS in Rs1.541.922.153.063.532.151.150.380.640.550.36-0.450.01

Last Updated: November 6, 2024, 7:19 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales291304313266248276270268237317360300296
Expenses251266282235228257256252221286323287286
Operating Profit39383131191814171631371310
OPM %14%12%10%12%8%7%5%6%7%10%10%4%3%
Other Income13341194211212
Interest3322244543223
Depreciation5533455666788
Profit before tax333329312318877233041
Tax %33%36%34%34%31%30%9%-0%30%36%30%-6%
Net Profit222119201613775152142
EPS in Rs10.219.928.739.307.425.813.403.322.226.839.881.931.10
Dividend Payout %16%20%31%38%27%17%15%0%0%15%16%26%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)-4.55%-9.52%5.26%-20.00%-18.75%-46.15%0.00%-28.57%200.00%40.00%-80.95%
Change in YoY Net Profit Growth (%)0.00%-4.98%14.79%-25.26%1.25%-27.40%46.15%-28.57%228.57%-160.00%-120.95%

APM Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:0%
5 Years:2%
3 Years:8%
TTM:-10%
Compounded Profit Growth
10 Years:-15%
5 Years:-11%
3 Years:-4%
TTM:-89%
Stock Price CAGR
10 Years:5%
5 Years:18%
3 Years:9%
1 Year:-5%
Return on Equity
10 Years:8%
5 Years:7%
3 Years:8%
Last Year:2%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 5:52 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital4444444444444
Reserves148164175184174186118127132147166167165
Borrowings32171529414757523335242916
Other Liabilities27323934586165585254555251
Total Liabilities212216232252278298244241221240248251236
Fixed Assets120121118120130145148157152160170173170
CWIP0010316000000
Investments813335158710000000
Other Assets84838080878089846979787966
Total Assets212216232252278298244241221240248251236

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +213230237277212815348
Cash from Investing Activity +-7-9-20-23-14-27-11-9-4-15-17-8
Cash from Financing Activity +-14-23-90603-11-25-0-16-1
Net Cash Flow-001-000-00-0-01-0

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow7.0021.0016.002.00-22.00-29.00-43.00-35.00-17.00-4.0013.00-16.00

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 Days323128334135403123231312
Inventory Days6883751021239611212312210094114
Days Payable54693633424136232225
Cash Conversion Cycle94111961261279911011311010085102
Working Capital Days706451678461656360604962
ROCE %20%20%16%15%12%10%6%7%6%15%17%3%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Mar 2024Jun 2024Sep 2024
Promoters63.53%63.53%63.53%64.30%64.34%64.18%64.18%64.18%64.18%64.18%64.18%64.18%
Public36.46%36.46%36.46%35.70%35.65%35.82%35.82%35.82%35.81%35.82%35.82%35.82%
No. of Shareholders9,2619,5459,3189,2069,3109,2989,2269,1129,54210,72310,67710,391

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 18Mar 17
FaceValue2.002.00
Basic EPS (Rs.)5.917.43
Diluted EPS (Rs.)5.917.43
Cash EPS (Rs.)8.159.37
Book Value[Excl.RevalReserv]/Share (Rs.)88.0682.77
Book Value[Incl.RevalReserv]/Share (Rs.)88.0682.77
Revenue From Operations / Share (Rs.)127.79114.63
PBDIT / Share (Rs.)12.6113.79
PBIT / Share (Rs.)10.3711.85
PBT / Share (Rs.)8.4810.74
Net Profit / Share (Rs.)5.917.43
NP After MI And SOA / Share (Rs.)5.917.43
PBDIT Margin (%)9.8612.03
PBIT Margin (%)8.1110.33
PBT Margin (%)6.639.36
Net Profit Margin (%)4.626.47
NP After MI And SOA Margin (%)4.626.47
Return on Networth / Equity (%)6.708.97
Return on Capital Employeed (%)9.1811.33
Return On Assets (%)4.285.75
Long Term Debt / Equity (X)0.080.06
Total Debt / Equity (X)0.210.20
Asset Turnover Ratio (%)0.950.00
Current Ratio (X)1.541.68
Quick Ratio (X)0.780.79
Inventory Turnover Ratio (X)3.500.00
Dividend Payout Ratio (NP) (%)8.4620.19
Dividend Payout Ratio (CP) (%)6.1316.00
Earning Retention Ratio (%)91.5479.81
Cash Earning Retention Ratio (%)93.8784.00
Interest Coverage Ratio (X)6.6812.46
Interest Coverage Ratio (Post Tax) (X)4.137.71
Enterprise Value (Cr.)153.95184.43
EV / Net Operating Revenue (X)0.550.74
EV / EBITDA (X)5.656.19
MarketCap / Net Operating Revenue (X)0.410.60
Retention Ratios (%)91.5379.80
Price / BV (X)0.600.83
Price / Net Operating Revenue (X)0.410.60
EarningsYield0.110.10

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of APM Industries Ltd as of December 5, 2024 is: 203.79

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 5, 2024, APM Industries Ltd is Undervalued by 324.56% compared to the current share price 48.00

Intrinsic Value of APM Industries Ltd as of December 5, 2024 is: 177.09

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 5, 2024, APM Industries Ltd is Undervalued by 268.94% compared to the current share price 48.00

Last 5 Year EPS CAGR: -13.10%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (157.92 cr) compared to borrowings (32.85 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (288.15 cr) and profit (19.00 cr) over the years.
  1. The stock has a low average ROCE of 12.25%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 63.00, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 106.08, 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 APM Industries Ltd:
    1. Net Profit Margin: 4.62%
      • 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: 9.18% (Industry Average ROCE: 7.55%)
      • 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%: 6.7% (Industry Average ROE: 5.84%)
      • 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): 4.13
      • 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: 0.78
      • 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: 104 (Industry average Stock P/E: 50.79)
      • 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: 0.21
      • 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

APM Industries Ltd. is a Public Limited Listed company incorporated on 21/09/1973 and has its registered office in the State of Rajasthan, India. Company’s Corporate Identification Number(CIN) is L21015RJ1973PLC015819 and registration number is 015819. Currently Company is involved in the business activities of Preparation and spinning of man-made fiber including blended* man-made fiber. Company’s Total Operating Revenue is Rs. 316.83 Cr. and Equity Capital is Rs. 4.32 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Textiles - Spinning - Synthetic BlendedSP-147, RIICO Industrial Area, Bhiwadi, District Khairthal-Tijara, Alwar District Rajasthan 301019bhiwadi@apmindustries.co.in
http://www.apmindustries.co.in
Management
NamePosition Held
Mr. Rajendra Kumar RajgarhiaChairman & Wholetime Director
Mr. Hari Ram SharmaManaging Director
Mr. Deepak Vishwanath HarlalkaNon Executive Director
Mr. Manish GargIndependent Director
Mrs. Nirmala BagriIndependent Director
Mrs. Uma HadaIndependent Director

FAQ

What is the latest intrinsic value of APM Industries Ltd?

The latest intrinsic value of APM Industries Ltd as on 05 December 2024 is ₹203.79, which is 324.56% higher than the current market price of ₹48.00. The stock has a market capitalization of 104 Cr. and recorded a high/low of ₹92.0/45.0 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹165 Cr and total liabilities of ₹236 Cr.

What is the Market Cap of APM Industries Ltd?

The Market Cap of APM Industries Ltd is 104 Cr..

What is the current Stock Price of APM Industries Ltd as on 05 December 2024?

The current stock price of APM Industries Ltd as on 05 December 2024 is 48.0.

What is the High / Low of APM Industries Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of APM Industries Ltd stocks is 92.0/45.0.

What is the Stock P/E of APM Industries Ltd?

The Stock P/E of APM Industries Ltd is 104.

What is the Book Value of APM Industries Ltd?

The Book Value of APM Industries Ltd is 78.2.

What is the Dividend Yield of APM Industries Ltd?

The Dividend Yield of APM Industries Ltd is 1.04 %.

What is the ROCE of APM Industries Ltd?

The ROCE of APM Industries Ltd is 3.27 %.

What is the ROE of APM Industries Ltd?

The ROE of APM Industries Ltd is 2.48 %.

What is the Face Value of APM Industries Ltd?

The Face Value of APM Industries 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 APM Industries 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