Arrowhead Seperation Engineering Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 23, 2024, 10:28 am

Market Cap	26.2 Cr.
Current Price	140
High / Low	216/122
Stock P/E	15.1
Book Value	90.2
Dividend Yield	0.00 %
ROCE	24.9 %
ROE	21.9 %
Face Value	10.0
PEG Ratio	0.82

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

Stock P/E Current Price Intrinsic Value

View Share Price Target for Arrowhead Seperation Engineering Ltd

Competitors of

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Arrowhead Seperation Engineering Ltd	26.2 Cr.	140	216/122	15.1	90.2	0.00 %	24.9 %	21.9 %	10.0
Industry Average	0 Cr	140.00		15.10	90.20	0.00%	24.90%	21.90%	10.00

All Competitor Stocks of

Quarterly Result

Month	Sep 2023	Mar 2024
Sales	12.91	11.85
Expenses	11.10	10.22
Operating Profit	1.81	1.63
OPM %	14.02%	13.76%
Other Income	0.12	0.01
Interest	0.55	0.25
Depreciation	0.01	0.01
Profit before tax	1.37	1.38
Tax %	25.55%	26.09%
Net Profit	1.02	1.02
EPS in Rs	7.77	5.45

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 23, 2024, 3:07 pm

Month	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Sales	16.35	18.05	9.12	10.87	21.47	24.74
Expenses	15.52	17.21	9.51	9.80	18.92	21.30
Operating Profit	0.83	0.84	-0.39	1.07	2.55	3.44
OPM %	5.08%	4.65%	-4.28%	9.84%	11.88%	13.90%
Other Income	0.04	0.07	0.04	0.05	0.21	0.13
Interest	0.61	0.80	0.82	0.93	1.55	0.80
Depreciation	0.06	0.08	0.06	0.06	0.04	0.02
Profit before tax	0.20	0.03	-1.23	0.13	1.17	2.75
Tax %	50.00%	0.00%	45.53%	30.77%	12.82%	26.18%
Net Profit	0.10	0.03	-1.79	0.09	1.02	2.04
EPS in Rs					7.77	10.90
Dividend Payout %	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	-70.00%	-6066.67%	105.03%	1033.33%	100.00%
Change in YoY Net Profit Growth (%)	0.00%	-5996.67%	6171.69%	928.31%	-933.33%

Arrowhead Seperation Engineering Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 5 years from 2019-2020 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	%
5 Years:	9%
3 Years:	39%
TTM:	15%

Compounded Profit Growth
10 Years:	%
5 Years:	83%
3 Years:	46%
TTM:	100%

Stock Price CAGR
10 Years:	%
5 Years:	%
3 Years:	%
1 Year:	-28%

Return on Equity
10 Years:	%
5 Years:	8%
3 Years:	27%
Last Year:	22%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 5:50 pm

Month	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	0.81	0.81	0.81	0.81	1.31	1.87	1.87
Reserves	2.21	2.24	-0.13	-0.04	1.15	14.30	15.01
Borrowings	4.85	5.09	6.01	6.99	8.13	1.79	4.28
Other Liabilities	11.47	7.70	8.98	10.56	10.12	6.82	9.33
Total Liabilities	19.34	15.84	15.67	18.32	20.71	24.78	30.49
Fixed Assets	0.52	0.44	0.38	0.33	0.29	0.29	0.27
CWIP	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Investments	0.00	0.00	0.00	0.00	0.00	0.00	0.00
Other Assets	18.82	15.40	15.29	17.99	20.42	24.49	30.22
Total Assets	19.34	15.84	15.67	18.32	20.71	24.78	30.49

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	-0.97	0.57	-2.27
Cash from Investing Activity +	-0.02	0.00	-0.02
Cash from Financing Activity +	0.14	-0.27	4.59
Net Cash Flow	-0.84	0.30	2.30

Free Cash Flow

Month	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	-4.02	-4.25	-6.40	-5.92	-5.58	1.65

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

Month	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	191.09	140.14	259.74	216.58	153.00	114.04
Inventory Days	385.64	258.87	544.51	840.85	286.04	267.93
Days Payable	145.50	100.72	262.42	258.65	127.43	78.05
Cash Conversion Cycle	431.24	298.29	541.83	798.78	311.61	303.92
Working Capital Days	151.58	173.70	226.12	259.23	179.18	228.68
ROCE %		10.37%	-5.53%	14.67%	29.65%	24.87%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Nov 2023	Mar 2024	Sep 2024
Promoters	35.09%	35.09%	35.09%
FIIs	0.16%	0.00%	0.00%
DIIs	1.60%	1.38%	0.00%
Public	63.14%	63.53%	64.91%
No. of Shareholders	869	563	524

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21
FaceValue	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	13.45	12.88	0.70	-13.64
Diluted EPS (Rs.)	13.45	12.88	0.07	-13.64
Cash EPS (Rs.)	11.00	13.17	1.85	-21.37
Book Value[Excl.RevalReserv]/Share (Rs.)	86.40	18.74	9.56	8.43
Book Value[Incl.RevalReserv]/Share (Rs.)	86.40	18.74	9.56	8.43
Revenue From Operations / Share (Rs.)	132.32	163.72	134.51	112.88
PBDIT / Share (Rs.)	19.16	25.17	13.33	-5.43
PBIT / Share (Rs.)	19.04	24.88	12.62	-6.23
PBT / Share (Rs.)	14.80	14.00	1.60	-15.23
Net Profit / Share (Rs.)	10.88	12.88	1.13	-22.17
PBDIT Margin (%)	14.47	15.37	9.90	-4.81
PBIT Margin (%)	14.38	15.19	9.37	-5.52
PBT Margin (%)	11.18	8.54	1.18	-13.48
Net Profit Margin (%)	8.22	7.86	0.84	-19.64
Return on Networth / Equity (%)	12.59	68.75	11.86	-263.12
Return on Capital Employeed (%)	19.28	66.22	31.10	-16.39
Return On Assets (%)	8.21	8.17	0.50	-11.43
Long Term Debt / Equity (X)	0.06	0.44	1.47	1.69
Total Debt / Equity (X)	0.11	3.30	9.05	8.82
Asset Turnover Ratio (%)	1.09	1.10	0.63	0.00
Current Ratio (X)	3.83	1.28	1.17	1.18
Quick Ratio (X)	2.34	0.74	0.54	0.67
Inventory Turnover Ratio (X)	1.79	1.06	0.86	0.00
Interest Coverage Ratio (X)	4.51	2.31	1.21	-0.60
Interest Coverage Ratio (Post Tax) (X)	3.59	2.18	1.10	-1.47
Enterprise Value (Cr.)	22.82	0.00	0.00	0.00
EV / Net Operating Revenue (X)	0.92	0.00	0.00	0.00
EV / EBITDA (X)	6.36	0.00	0.00	0.00
MarketCap / Net Operating Revenue (X)	0.97	0.00	0.00	0.00
Price / BV (X)	1.49	0.00	0.00	0.00
Price / Net Operating Revenue (X)	0.97	0.00	0.00	0.00
EarningsYield	0.08	0.00	0.00	0.00

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Arrowhead Seperation Engineering Ltd as of December 23, 2024 is: 304.25

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 23, 2024, Arrowhead Seperation Engineering Ltd is Undervalued by 117.32% compared to the current share price 140.00

Intrinsic Value of Arrowhead Seperation Engineering Ltd as of December 23, 2024 is: 360.36

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 23, 2024, Arrowhead Seperation Engineering Ltd is Undervalued by 157.40% compared to the current share price 140.00

Last 5 Year EPS CAGR: 18.44%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The company has shown consistent growth in sales (16.77 cr) and profit (0.51 cr) over the years.	The stock has a low average ROCE of 12.34%, which may not be favorable. The stock has a high average Working Capital Days of 203.08, which may not be favorable. The stock has a high average Cash Conversion Cycle of 447.61, which may not be favorable. The company has higher borrowings (5.31) compared to reserves (4.96), 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 Arrowhead Seperation Engineering Ltd:
1. Net Profit Margin: 8.22%
  - 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: 19.28% (Industry Average ROCE: 24.9%)
  - 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%: 12.59% (Industry Average ROE: 21.9%)
  - 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): 3.59
  - 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: 2.34
  - 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: 15.1 (Industry average Stock P/E: 15.1)
  - 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: 0.11
  - 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

Engineering - Heavy

INDUSTRY	ADDRESS	CONTACT
Survey No 39, Village Mundhegaon, Nasik Maharashtra 422403	Mr.	Ajit%20Mundle Chairman%20&%20Managing%20Director

Management
Name	Position Held
Mrs. Jyoti Mundle	Whole Time Director
Ms. Priyanka Moondra Rathi	Ind. Non-Executive Director
Mrs. Mayuri Rupareliya	Ind. Non-Executive Director
Mr. Nikhil Malpani	Ind. Non-Executive Director

FAQ

What is the latest intrinsic value of Arrowhead Seperation Engineering Ltd?

The latest intrinsic value of Arrowhead Seperation Engineering Ltd as on 23 December 2024 is ₹304.25, which is 117.32% higher than the current market price of ₹140.00. The stock has a market capitalization of 26.2 Cr. and recorded a high/low of 216/122 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹15.01 Cr and total liabilities of ₹30.49 Cr.

What is the Market Cap of Arrowhead Seperation Engineering Ltd?

The Market Cap of Arrowhead Seperation Engineering Ltd is 26.2 Cr..

What is the current Stock Price of Arrowhead Seperation Engineering Ltd as on 23 December 2024?

The current stock price of Arrowhead Seperation Engineering Ltd as on 23 December 2024 is 140.

What is the High / Low of Arrowhead Seperation Engineering Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Arrowhead Seperation Engineering Ltd stocks is 216/122.

What is the Stock P/E of Arrowhead Seperation Engineering Ltd?

The Stock P/E of Arrowhead Seperation Engineering Ltd is 15.1.

What is the Book Value of Arrowhead Seperation Engineering Ltd?

The Book Value of Arrowhead Seperation Engineering Ltd is 90.2.

What is the Dividend Yield of Arrowhead Seperation Engineering Ltd?

The Dividend Yield of Arrowhead Seperation Engineering Ltd is 0.00 %.

What is the ROCE of Arrowhead Seperation Engineering Ltd?

The ROCE of Arrowhead Seperation Engineering Ltd is 24.9 %.

What is the ROE of Arrowhead Seperation Engineering Ltd?

The ROE of Arrowhead Seperation Engineering Ltd is 21.9 %.

What is the Face Value of Arrowhead Seperation Engineering Ltd?

The Face Value of Arrowhead Seperation Engineering Ltd is 10.0.