Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 23 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 500820 | NSE: ASIANPAINT

The Best Exclusive Fundamental Analysis of Asian Paints Ltd

Basic Stock Data of Asian Paints Ltd

Last Updated: June 22, 2024, 10:59 pm

Market Cap 2,77,290 Cr.
Current Price 2,891
High / Low3,568/2,670
Stock P/E50.8
Book Value 195
Dividend Yield1.15 %
ROCE37.5 %
ROE31.4 %
Face Value 1.00
PEG Ratio3.39

Competitors of Asian Paints Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Kansai Nerolac Paints Ltd 22,162 Cr. 274357/25234.3 69.10.91 %16.6 %12.8 % 1.00
Shalimar Paints Ltd 1,209 Cr. 144226/134 47.00.00 %12.3 %19.8 % 2.00
Berger Paints India Ltd 58,605 Cr. 503680/43950.2 46.10.53 %27.6 %23.7 % 1.00
Sirca Paints India Ltd 1,801 Cr. 329444/28235.0 56.30.46 %24.1 %17.9 % 10.0
Industry Average20,944.25 Cr312.5029.8854.630.48%20.15%18.55%3.50

Asian Paints Ltd Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales6,7886,6515,5857,0968,5277,8938,6078,4588,6378,7879,1828,4799,103
Expenses5,0015,3334,6746,1926,9856,4497,0517,2307,0256,9237,0616,7627,047
Operating Profit1,7881,3189119041,5421,4431,5561,2281,6111,8652,1211,7162,056
OPM %26%20%16%13%18%18%18%15%19%21%23%20%23%
Other Income123819014887-2688118122104228194186
Interest21302124272329354139465154
Depreciation193213201203208205208216214220198209220
Profit before tax1,6971,1567798261,3941,1891,4071,0941,4781,7102,1051,6511,968
Tax %25%25%26%27%26%26%26%27%26%26%25%25%25%
Net Profit1,2658705746051,0318741,0368041,0971,2581,5751,2321,475
EPS in Rs12.918.885.936.2110.598.8710.608.1611.1812.8716.1612.5715.09

Last Updated: June 12, 2024, 6:56 pm

Asian Paints Ltd Quarterly Chart

Asian Paints Ltd Profit & Loss - Annual Report

Last Updated: June 1, 2024, 11:55 pm

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales9,23110,50412,22013,61514,27115,06216,82519,24020,21121,71329,10134,48935,551
Expenses7,7208,76710,21711,37211,54612,06813,62115,47516,05416,85724,29828,22927,793
Operating Profit1,5111,7372,0042,2432,7252,9943,2043,7654,1574,8564,8046,2607,758
OPM %16%17%16%16%19%20%19%20%21%22%17%18%22%
Other Income107114124142213338336274355332296431713
Interest434248424937411101029295144190
Depreciation121155246266276335360622780791816858848
Profit before tax1,4541,6551,8342,0772,6142,9603,1383,3063,6294,3044,1885,6897,434
Tax %30%30%31%31%32%32%33%33%24%26%26%26%
Net Profit1,0211,1601,2631,4271,8032,0162,0982,2082,7743,2073,0854,1955,541
EPS in Rs10.3111.6112.7114.5418.1920.2221.2622.4828.2032.7331.5942.8156.69
Dividend Payout %39%40%42%42%41%51%41%47%43%55%61%60%

Asian Paints Ltd Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)13.61%8.88%12.98%26.35%11.81%4.07%5.24%25.63%15.61%-3.80%35.98%
Change in YoY Net Profit Growth (%)0.00%-4.73%4.11%13.36%-14.54%-7.75%1.18%20.39%-10.02%-19.41%39.78%

Asian Paints Ltd Growth

Compounded Sales Growth
10 Years:11%
5 Years:13%
3 Years:18%
TTM:3%
Compounded Profit Growth
10 Years:16%
5 Years:21%
3 Years:20%
TTM:32%
Stock Price CAGR
10 Years:18%
5 Years:16%
3 Years:-1%
1 Year:-12%
Return on Equity
10 Years:28%
5 Years:28%
3 Years:28%
Last Year:31%

Last Updated: June 17, 2024, 3:14 pm

Asian Paints Ltd Balance Sheet

Last Updated: June 1, 2024, 11:55 pm

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital96969696969696969696969696
Reserves2,6533,2883,9434,6466,4297,5088,3149,37510,03412,71013,71615,89616,466
Borrowings3412512494183235605331,3201,1181,0931,5871,9332,327
Other Liabilities2,6233,1493,7873,7543,7114,2414,8205,4594,8896,4567,5607,8548,533
Total Liabilities5,7126,7848,0758,91410,55912,40513,76316,24916,13820,35522,95825,77927,422
Fixed Assets1,3012,4412,5622,6603,4163,3043,7326,4976,2725,8595,5195,7706,303
CWIP61759721961072581,4052101401834261,0201,999
Investments3552961,4241,5882,7122,6522,1412,5692,0194,7373,2484,2624,641
Other Assets3,4403,9894,0194,4714,3246,1926,4856,9747,7079,57713,76514,72814,478
Total Assets5,7126,7848,0758,91410,55912,40513,76316,24916,13820,35522,95825,77927,422

Asian Paints Ltd Reserves and Borrowings Chart

Asian Paints Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 7101,1871,4021,1882,2431,5272,1132,4703,0383,6839864,193
Cash from Investing Activity -386-463-586-465-866-681-1,556-918-518-541-317-1,282
Cash from Financing Activity -327-601-626-576-849-756-1,379-1,117-2,871-650-1,808-2,140
Net Cash Flow-212319014752890-822434-3512,492-1,138771

Asian Paints Ltd Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-340.00-250.00-247.00-416.00-321.00-558.00-530.002.003.003.003.005.00

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.

Asian Paints Ltd Free Cash Flow Chart

Asian Paints Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days313433323035383632444949
Inventory Days118122121123108138117119127134142121
Days Payable989610284841019590801199671
Cash Conversion Cycle516052705472606579599499
Working Capital Days111311202135323043466966
ROCE %51%47%45%42%42%38%36%33%33%34%29%34%

Asian Paints Ltd Financial Efficiency Indicators Chart

Asian Paints Ltd Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters52.79%52.79%52.63%52.63%52.63%52.63%52.63%52.63%52.63%52.63%52.63%52.63%
FIIs20.72%20.96%20.48%19.45%18.51%18.56%18.11%17.02%17.48%17.65%17.32%15.89%
DIIs7.26%6.84%7.15%7.57%8.42%8.74%9.16%9.96%10.01%10.01%10.52%11.61%
Government0.04%0.04%0.04%0.04%0.04%0.04%0.04%0.05%0.05%0.05%0.06%0.06%
Public19.18%19.35%19.68%20.29%20.37%19.99%20.02%20.32%19.82%19.64%19.44%19.78%
Others0.00%0.02%0.02%0.02%0.04%0.04%0.04%0.04%0.04%0.04%0.04%0.04%
No. of Shareholders4,92,8675,77,1537,12,2619,46,87610,11,4479,11,6809,79,33110,82,6509,97,4559,85,2169,75,31911,05,326

Asian Paints Ltd Shareholding Pattern Chart

No. of Asian Paints Ltd Shareholders

Asian Paints Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
SBI Nifty 50 ETF8,149,7781.322299.795,749,1182024-06-2241.76%
SBI S&P BSE Sensex ETF5,749,1181.541624.365,749,1182024-06-220%
SBI Blue Chip Fund2,400,0001.56677.265,749,1182024-06-22-58.25%
UTI Nifty 50 ETF2,271,5141.326415,749,1182024-06-22-60.49%
UTI S&P BSE Sensex ETF2,009,3741.54567.735,749,1182024-06-22-65.05%
UTI Flexi Cap Fund1,378,7211.58389.065,749,1182024-06-22-76.02%
Nippon India ETF Nifty 50 BeES1,011,7861.32285.525,749,1182024-06-22-82.4%
UTI Nifty 50 Index Fund734,2401.32207.25,749,1182024-06-22-87.23%
ICICI Prudential India Opportunities Fund633,8211.05178.865,749,1182024-06-22-88.98%
HDFC Index Nifty 50 Plan - Regular Plan592,0431.32167.075,749,1182024-06-22-89.7%

Asian Paints Ltd ROCE Trend

Asian Paints Ltd EPS Trend

Asian Paints Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)42.8331.5932.7328.2022.48
Diluted EPS (Rs.)42.8231.5932.7328.2022.48
Cash EPS (Rs.)51.7040.3441.3836.5329.08
Book Value[Excl.RevalReserv]/Share (Rs.)171.45148.03137.92109.82102.50
Book Value[Incl.RevalReserv]/Share (Rs.)171.45148.03137.92109.82102.50
Revenue From Operations / Share (Rs.)359.56303.39226.36210.71200.59
PBDIT / Share (Rs.)69.2954.0453.7846.5641.69
PBIT / Share (Rs.)60.3445.5345.5338.4235.20
PBT / Share (Rs.)58.3343.3344.5837.3634.10
Net Profit / Share (Rs.)42.7631.8333.1328.3922.59
NP After MI And SOA / Share (Rs.)42.8131.5932.7328.2022.48
PBDIT Margin (%)19.2717.8123.7522.0920.78
PBIT Margin (%)16.7815.0020.1118.2317.54
PBT Margin (%)16.2214.2819.6917.7217.00
Net Profit Margin (%)11.8910.4914.6313.4711.26
NP After MI And SOA Margin (%)11.9010.4114.4513.3811.20
Return on Networth / Equity (%)25.6721.9424.5126.7022.76
Return on Capital Employeed (%)32.3328.3330.2331.3030.42
Return On Assets (%)15.9113.1815.4116.7413.24
Total Debt / Equity (X)0.060.050.020.030.06
Asset Turnover Ratio (%)1.411.341.101.151.19
Current Ratio (X)2.092.002.031.731.47
Quick Ratio (X)1.311.191.390.950.86
Inventory Turnover Ratio (X)2.803.272.622.823.30
Dividend Payout Ratio (NP) (%)46.4857.4410.2364.3539.59
Dividend Payout Ratio (CP) (%)38.4545.258.1749.9430.72
Earning Retention Ratio (%)53.5242.5689.7735.6560.41
Cash Earning Retention Ratio (%)61.5554.7591.8350.0669.28
Interest Coverage Ratio (X)46.0154.3356.3043.6437.98
Interest Coverage Ratio (Post Tax) (X)29.7334.2135.6827.6621.64
Enterprise Value (Cr.)265479.52295900.32243477.40159830.67143635.01
EV / Net Operating Revenue (X)7.7010.1711.217.917.47
EV / EBITDA (X)39.9457.0847.2035.7935.92
MarketCap / Net Operating Revenue (X)7.6810.1611.217.917.44
Retention Ratios (%)53.5142.5589.7635.6460.40
Price / BV (X)16.5621.4019.0015.7815.11
Price / Net Operating Revenue (X)7.6810.1611.217.917.44
EarningsYield0.010.010.010.010.01

Asian Paints Ltd Profitability Ratios (%)

Asian Paints Ltd Liquidity Ratios

Asian Paints Ltd Liquidity Ratios (%)

Asian Paints Ltd Interest Coverage Ratios (%)

Asian Paints Ltd Valuation Ratios

Fair Value

Fair Value: 3,146.25

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.

Undervalued: 8.83% compared to the current price 2891

Intrinsic Value: 3,617.81

Calculation basis:

  • Fair 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 fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Undervalued: 25.14% compared to the current price ₹2891

Last 5 Year EPS CAGR: 14.99%

*Investments are subject to market risks

Strength and Weakness of Asian Paints Ltd Stock

StrengthWeakness
  1. The stock has a high average ROCE of 38.67%, which is a positive sign.
  2. The company has higher reserves (8,844.46 cr) compared to borrowings (927.15 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (19.00 cr) and profit (2.92 cr) over the years.
  1. The stock has a high average Working Capital Days of 33.08, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 67.92, which may not be favorable.

Should I Buy Asian Paints Ltd Share Now?

  • 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 Asian Paints Ltd:
    1. Net Profit Margin: 11.89%
      • 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: 32.33% (Industry Average ROCE: 22.63%)
      • 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%: 25.67% (Industry Average ROE: 20.48%)
      • 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): 29.73
      • 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: 1.31
      • 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: 50.8 (Industry average Stock P/E: 30.28)
      • 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: 0.06
      • 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 - Asian Paints Ltd

Asian Paints Ltd. is a Public Limited Listed company incorporated on 24/10/1945 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24220MH1945PLC004598 and registration number is 004598. Currently Company is involved in the business activities of Manufacture of paints and varnishes, enamels or lacquers. Company’s Total Operating Revenue is Rs. 25188.51 Cr. and Equity Capital is Rs. 95.92 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Paints/Varnishes6A, Shantinagar, Santacruz East, Mumbai Maharashtra 400055investor.relations@asianpaints.com
http://www.asianpaints.com
Management
NamePosition Held
Mr. R SeshasayeeChairman & Ind.Director
Mr. Manish ChoksiVice Chairman & Non Exe.Dire
Mr. Amit SyngleManaging Director & CEO
Mr. Malav DaniNon Executive Director
Ms. Amrita VakilNon Executive Director
Mr. Jigish ChoksiNon Executive Director
Ms. Nehal VakilNon Executive Director
Mr. Milind SarwateIndependent Director
Ms. Ireena VittalIndependent Director
Mr. Soumitra BhattacharyaIndependent Director
Dr. Gopichand KatragaddaIndependent Director

FAQ

What is the latest fair value of Asian Paints Ltd?

The latest fair value of Asian Paints Ltd is ₹3146.25.

What is the Market Cap of Asian Paints Ltd?

The Market Cap of Asian Paints Ltd is 2,77,290 Cr..

What is the current Stock Price of Asian Paints Ltd as on 23 June 2024?

The current stock price of Asian Paints Ltd as on 23 June 2024 is ₹2,891.

What is the High / Low of Asian Paints Ltd stocks in FY 2024?

In FY 2024, the High / Low of Asian Paints Ltd stocks is 3,568/2,670.

What is the Stock P/E of Asian Paints Ltd?

The Stock P/E of Asian Paints Ltd is 50.8.

What is the Book Value of Asian Paints Ltd?

The Book Value of Asian Paints Ltd is 195.

What is the Dividend Yield of Asian Paints Ltd?

The Dividend Yield of Asian Paints Ltd is 1.15 %.

What is the ROCE of Asian Paints Ltd?

The ROCE of Asian Paints Ltd is 37.5 %.

What is the ROE of Asian Paints Ltd?

The ROE of Asian Paints Ltd is 31.4 %.

What is the Face Value of Asian Paints Ltd?

The Face Value of Asian Paints Ltd is 1.00.

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 Asian Paints 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