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Last Updated on: 05 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 544022 | NSE: ASKAUTOLTD

ASK Automotive Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 4, 2024, 5:38 pm

Market Cap 8,801 Cr.
Current Price 446
High / Low485/240
Stock P/E39.7
Book Value 46.7
Dividend Yield0.22 %
ROCE24.2 %
ROE23.8 %
Face Value 2.00
PEG Ratio2.90

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

View Share Price Target for ASK Automotive Ltd

Competitors of ASK Automotive Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
ASK Automotive Ltd 8,801 Cr. 446485/24039.7 46.70.22 %24.2 %23.8 % 2.00
Industry Average8,801.00 Cr446.0039.7046.700.22%24.20%23.80%2.00

All Competitor Stocks of ASK Automotive Ltd

Quarterly Result

MonthSep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales746637569657794762783862
Expenses665582521593719682700762
Operating Profit81554864748082101
OPM %11%9%8%10%9%11%11%12%
Other Income323371244
Interest33448888
Depreciation1515151517181920
Profit before tax6739324857666076
Tax %27%25%29%27%28%24%20%25%
Net Profit4929233541504857
EPS in Rs2.471.481.141.772.092.532.422.88

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales1,7851,6451,5442,0132,5552,9953,200
Expenses1,5591,4361,3621,8472,3252,6942,863
Operating Profit226209182166231301338
OPM %13%13%12%8%9%10%11%
Other Income1272411112728
Interest2020118112933
Depreciation37525256616974
Profit before tax181144143113170230258
Tax %33%18%26%27%28%24%
Net Profit11410710683123174196
EPS in Rs25.5821.035.224.116.248.819.92
Dividend Payout %0%2%0%0%0%11%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)-6.14%-0.93%-21.70%48.19%41.46%
Change in YoY Net Profit Growth (%)0.00%5.21%-20.76%69.89%-6.73%

ASK Automotive 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:11%
3 Years:25%
TTM:27%
Compounded Profit Growth
10 Years:%
5 Years:10%
3 Years:23%
TTM:74%
Stock Price CAGR
10 Years:%
5 Years:%
3 Years:%
1 Year:%
Return on Equity
10 Years:%
5 Years:19%
3 Years:19%
Last Year:24%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital91041403939
Reserves415509582592604777
Borrowings30714984175328346
Other Liabilities234206242298310406
Total Liabilities9658749481,1061,2811,568
Fixed Assets560607603738726992
CWIP611610311864
Investments191630420
Other Assets326235332365433492
Total Assets9658749481,1061,2811,568

Reserves and Borrowings Chart

Cash Flow

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 176246128144139303
Cash from Investing Activity -297-58-6-80-161-278
Cash from Financing Activity 119-186-107-8123-16
Net Cash Flow-3215-17110

Free Cash Flow

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-81.0060.0098.00-9.00-97.00-45.00

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 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days331637363026
Inventory Days313341333132
Days Payable393455473544
Cash Conversion Cycle261424222713
Working Capital Days7-322172012
ROCE %23%20%16%20%24%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2023Mar 2024Jun 2024
Promoters85.00%85.00%85.00%
FIIs4.92%4.48%4.91%
DIIs3.83%4.02%4.20%
Public6.25%6.51%5.87%
No. of Shareholders91,23888,34976,532

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Tata Small Cap Fund2,274,6091.1268.48372,3782024-11-04510.83%
ICICI Prudential Transportation and Logistics Fund531,9610.6116.01372,3782024-11-0442.86%
Canara Robeco Small Cap Fund372,3780.1211.21372,3782024-11-040%
Edelweiss Recently Listed IPO Fund297,4420.968.95372,3782024-11-04-20.12%
Nippon India Value Fund268,3960.128.08372,3782024-11-04-27.92%
Edelweiss Equity Savings Fund53,1860.441.6372,3782024-11-04-85.72%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24
FaceValue2.00
Basic EPS (Rs.)8.81
Diluted EPS (Rs.)8.81
Cash EPS (Rs.)11.48
Book Value[Excl.RevalReserv]/Share (Rs.)41.43
Book Value[Incl.RevalReserv]/Share (Rs.)41.43
Revenue From Operations / Share (Rs.)151.90
PBDIT / Share (Rs.)15.78
PBIT / Share (Rs.)12.28
PBT / Share (Rs.)10.83
Net Profit / Share (Rs.)7.98
NP After MI And SOA / Share (Rs.)8.81
PBDIT Margin (%)10.38
PBIT Margin (%)8.08
PBT Margin (%)7.12
Net Profit Margin (%)5.25
NP After MI And SOA Margin (%)5.80
Return on Networth / Equity (%)21.27
Return on Capital Employeed (%)21.18
Return On Assets (%)11.07
Long Term Debt / Equity (X)0.32
Total Debt / Equity (X)0.42
Current Ratio (X)1.08
Quick Ratio (X)0.66
Interest Coverage Ratio (X)10.89
Interest Coverage Ratio (Post Tax) (X)6.51
Enterprise Value (Cr.)5949.02
EV / Net Operating Revenue (X)1.99
EV / EBITDA (X)19.13
MarketCap / Net Operating Revenue (X)1.88
Price / BV (X)6.88
Price / Net Operating Revenue (X)1.88
EarningsYield0.03

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of ASK Automotive Ltd as of November 5, 2024 is: 442.22

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 5, 2024, ASK Automotive Ltd is Overvalued by 0.85% compared to the current share price ₹446.00

Intrinsic Value of ASK Automotive Ltd as of November 5, 2024 is: 502.81

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 5, 2024, ASK Automotive Ltd is Undervalued by 12.74% compared to the current share price ₹446.00

Last 5 Year EPS CAGR: 13.70%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 17.17%, which is a positive sign.
  2. The stock has a low average Working Capital Days of 12.50, which is a positive sign.
  3. The company has higher reserves (579.83 cr) compared to borrowings (231.50 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (1.71 cr) and profit (177.00 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 21.00, 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 ASK Automotive Ltd:
    1. Net Profit Margin: 5.25%
      • 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: 21.18% (Industry Average ROCE: 24.2%)
      • 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%: 21.27% (Industry Average ROE: 23.8%)
      • 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): 6.51
      • 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: 0.66
      • 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: 39.7 (Industry average Stock P/E: 39.7)
      • 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: 0.42
      • 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

Auto Ancl - Others
INDUSTRYADDRESSCONTACT
Flat No.104, 929/1, Naiwala, New Delhi Delhi 110005Mr.Kuldip%20Singh%20Rathee
Chairman%20&%20Managing%20Director
Management
NamePosition Held
Ms. Vijay RatheeNon Executive Director
Mr. Prashant RatheeWhole Time Director
Mr. Aman RatheeWhole Time Director
Mr. Rajesh KatariaWhole Time Director
Mr. Arun DuggalIndependent Director
Mr. Kumaresh Chandra MisraIndependent Director
Ms. Deepti SehgalIndependent Director
Mr. Yogesh KapurIndependent Director
Mr. Vinay Kumar PiparsaniaIndependent Director

FAQ

What is the latest fair value of ASK Automotive Ltd?

The latest fair value of ASK Automotive Ltd is ₹442.22.

What is the Market Cap of ASK Automotive Ltd?

The Market Cap of ASK Automotive Ltd is 8,801 Cr..

What is the current Stock Price of ASK Automotive Ltd as on 05 November 2024?

The current stock price of ASK Automotive Ltd as on 05 November 2024 is 446.

What is the High / Low of ASK Automotive Ltd stocks in FY 2024?

In FY 2024, the High / Low of ASK Automotive Ltd stocks is 485/240.

What is the Stock P/E of ASK Automotive Ltd?

The Stock P/E of ASK Automotive Ltd is 39.7.

What is the Book Value of ASK Automotive Ltd?

The Book Value of ASK Automotive Ltd is 46.7.

What is the Dividend Yield of ASK Automotive Ltd?

The Dividend Yield of ASK Automotive Ltd is 0.22 %.

What is the ROCE of ASK Automotive Ltd?

The ROCE of ASK Automotive Ltd is 24.2 %.

What is the ROE of ASK Automotive Ltd?

The ROE of ASK Automotive Ltd is 23.8 %.

What is the Face Value of ASK Automotive Ltd?

The Face Value of ASK Automotive 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 ASK Automotive 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