Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 22 April, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 523850 | NSE: AXTEL

Fundamental Analysis of Axtel Industries Ltd

Basic Stock Data

Last Updated: April 20, 2024, 5:45 am

Market Cap 1,039 Cr.
Current Price 643
High / Low850/241
Stock P/E27.4
Book Value 67.0
Dividend Yield0.93 %
ROCE26.2 %
ROE18.9 %
Face Value 10.0

Data Source: screener.in

Competitors of Axtel Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Mold-Tek Technologies Ltd 617 Cr. 216399/18019.6 38.61.57 %41.7 %33.2 % 2.00
Lokesh Machines Ltd 843 Cr. 456476/12569.6 91.10.00 %9.83 %5.63 % 10.0
Va Tech Wabag Ltd 5,658 Cr. 910970/37818.7 2700.00 %19.5 %3.11 % 2.00
Jash Engineering Ltd 2,105 Cr. 1,7001,918/83634.5 2020.24 %22.5 %24.3 % 10.0
Ircon International Ltd 20,437 Cr. 217281/64.021.8 58.91.38 %15.7 %15.4 % 2.00
Industry Average5,932.00 Cr699.8032.84132.120.64%21.85%16.33%5.20

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales44.3937.5824.2026.5037.9955.2930.4442.0040.3767.3347.9169.4753.79
Expenses35.6734.1022.1224.4234.6345.7730.8735.6136.7254.1540.8752.8641.11
Operating Profit8.723.482.082.083.369.52-0.436.393.6513.187.0416.6112.68
OPM %19.64%9.26%8.60%7.85%8.84%17.22%-1.41%15.21%9.04%19.58%14.69%23.91%23.57%
Other Income1.500.722.691.910.200.310.460.590.362.270.751.090.75
Interest0.170.140.070.170.090.150.140.360.140.460.310.420.49
Depreciation0.700.720.660.700.740.740.570.590.610.630.470.530.77
Profit before tax9.353.344.043.122.738.94-0.686.033.2614.367.0116.7512.17
Tax %25.13%34.43%25.00%33.97%28.57%23.83%1.47%22.39%31.90%22.77%23.97%28.90%21.20%
Net Profit7.002.193.022.061.946.81-0.674.672.2111.095.3211.929.58
EPS in Rs4.331.361.871.281.204.22-0.412.891.376.863.297.385.93

Last Updated: April 10, 2024, 6:18 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: April 6, 2024, 1:38 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales58604839677682111100153144180238
Expenses525339425765719185124127157189
Operating Profit679-2101110201429172350
OPM %11%11%19%-6%15%14%12%18%14%19%12%13%21%
Other Income0000011243545
Interest1122110011012
Depreciation1134332333322
Profit before tax454-8688181529192350
Tax %32%33%34%4%16%18%25%29%27%26%26%25%
Net Profit333-8576131121141738
EPS in Rs3.023.382.76-4.672.974.233.678.026.7413.188.5610.7123.46
Dividend Payout %0%0%0%0%0%0%41%19%37%46%23%28%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)0.00%0.00%-366.67%162.50%40.00%-14.29%116.67%-15.38%90.91%-33.33%21.43%
Change in YoY Net Profit Growth (%)0.00%0.00%-366.67%529.17%-122.50%-54.29%130.95%-132.05%106.29%-124.24%54.76%

Growth

Compounded Sales Growth
10 Years:12%
5 Years:17%
3 Years:22%
TTM:42%
Compounded Profit Growth
10 Years:17%
5 Years:23%
3 Years:15%
TTM:191%
Stock Price CAGR
10 Years:61%
5 Years:39%
3 Years:33%
1 Year:182%
Return on Equity
10 Years:18%
5 Years:22%
3 Years:22%
Last Year:19%

Last Updated: April 16, 2024, 12:48 am

Balance Sheet

Last Updated: April 22, 2024, 12:25 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital10101016161616161616161616
Reserves13151710142127363955658092
Borrowings81517121054181000
Other Liabilities17232331212336314036508381
Total Liabilities4862676961648384103108131179190
Fixed Assets7172421191717161616141315
CWIP3300000010057
Investments00000414152634183430
Other Assets3742424743445253605998127137
Total Assets4862676961648384103108131179190

Reserves and Borrowings Chart

Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 5187-1151291225-1130
Cash from Investing Activity -3-11-8-1-1-4-13-2-11-814-20
Cash from Financing Activity 26-0-1-4-6-1-6-2-13-5-5
Net Cash Flow3-305-55-31-14-25

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-2.00-8.00-8.00-14.000.006.006.0019.006.0028.0017.0023.00

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 Days79105134121998690644348116125
Inventory Days11778191327158123161146235101175172
Days Payable5790164233971161729313286148153
Cash Conversion Cycle14092160216160937811714762143143
Working Capital Days9811415597113674651543410662
ROCE %19%16%15%-14%18%22%19%39%27%43%22%26%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters49.95%49.95%49.95%49.95%49.95%49.95%49.95%49.95%49.95%49.95%49.95%49.95%
FIIs0.19%0.19%0.19%0.19%0.19%0.19%0.09%0.06%0.00%0.00%0.00%0.00%
Public49.86%49.86%49.86%49.86%49.86%49.86%49.96%49.99%50.06%50.07%50.06%50.06%
No. of Shareholders18,14117,72017,83917,66617,82917,99417,99718,58118,03318,23617,69819,180

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.)10.718.5613.186.748.02
Diluted EPS (Rs.)10.718.5613.186.748.02
Cash EPS (Rs.)12.2010.3214.798.409.75
Book Value[Excl.RevalReserv]/Share (Rs.)59.5250.0344.1834.0532.23
Book Value[Incl.RevalReserv]/Share (Rs.)59.5250.0344.1834.0532.23
Dividend / Share (Rs.)3.002.006.002.501.50
Revenue From Operations / Share (Rs.)111.5189.1394.9561.6968.56
PBDIT / Share (Rs.)16.3812.4919.9211.3014.01
PBIT / Share (Rs.)14.8910.7318.319.6412.28
PBT / Share (Rs.)14.2111.6517.879.2011.26
Net Profit / Share (Rs.)10.718.5613.186.748.02
PBDIT Margin (%)14.6814.0120.9718.3120.43
PBIT Margin (%)13.3412.0319.2815.6217.90
PBT Margin (%)12.7413.0718.8114.9116.42
Net Profit Margin (%)9.609.6013.8810.9211.70
Return on Networth / Equity (%)17.9917.1129.8319.8024.89
Return on Capital Employeed (%)24.3220.3338.6726.0834.78
Return On Assets (%)9.6610.5719.6310.5815.37
Long Term Debt / Equity (X)0.000.000.000.010.01
Total Debt / Equity (X)0.000.010.010.140.02
Asset Turnover Ratio (%)1.161.201.451.061.32
Current Ratio (X)1.962.442.751.831.76
Quick Ratio (X)1.391.642.051.120.96
Inventory Turnover Ratio (X)2.522.702.762.132.79
Dividend Payout Ratio (NP) (%)18.6735.0322.7559.3318.69
Dividend Payout Ratio (CP) (%)16.3829.0520.2947.6115.37
Earning Retention Ratio (%)81.3364.9777.2540.6781.31
Cash Earning Retention Ratio (%)83.6270.9579.7152.3984.63
Interest Coverage Ratio (X)24.2342.2044.8725.9047.07
Interest Coverage Ratio (Post Tax) (X)16.8425.8230.7016.4530.36
Enterprise Value (Cr.)376.49426.56499.76155.49200.42
EV / Net Operating Revenue (X)2.092.963.261.561.81
EV / EBITDA (X)14.2321.1415.538.528.86
MarketCap / Net Operating Revenue (X)2.153.003.311.531.85
Retention Ratios (%)81.3264.9677.2440.6681.30
Price / BV (X)4.045.357.112.763.93
Price / Net Operating Revenue (X)2.153.003.311.531.85
EarningsYield0.040.030.040.070.06

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 350.19

The stock is overvalued by 45.54% compared to the current price ₹643

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 stock has a high average ROCE of 21.00%, which is a positive sign.
  2. The company has higher reserves (37.23 cr) compared to borrowings (6.23 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (104.31 cr) and profit (13.92 cr) over the years.
  1. The stock has a high average Working Capital Days of 83.08, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 129.25, which may not be favorable.

Stock Analysis

  • Based on the analysis of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Axtel Industries Ltd:
    1. Net Profit Margin: 9.60% (Higher values are generally favorable)
      • 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: 24.32% (Industry Average ROCE: 14.94%)
      • 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%: 17.99% (Industry Average ROE: 11.59%)
      • 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): 16.84 (Higher values, preferably > 2, are recommended)
      • 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: 1.39 (Higher values, preferably > 1, are recommended)
      • 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: 27.4 (Industry average Stock P/E: 33.98)
      • 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: 0.00 (Lower values, preferably < 1, are preferred)
      • 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.
    While these metrics suggest potential opportunity, it's essential to conduct thorough research or seek advice from financial experts before making any investment decisions.
    Stock Rating: ★★★★★

About the Company

Axtel Industries Ltd. is a Public Limited Listed company incorporated on 28/08/1991 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L91110GJ1991PLC016185 and registration number is 016185. Currently Company is involved in the business activities of Manufacture of other machinery for the industrial preparation or manufacture of food or drink (including tea or coffee making machines). Company’s Total Operating Revenue is Rs. 143.99 Cr. and Equity Capital is Rs. 16.15 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Engineering - GeneralVadodara-Halol Highway, Panchmahal District Gujarat 389350info@axtelindia.com
http://www.axtelindia.com
Management
NamePosition Held
Mr. Ajay Naishad DesaiExecutive Director
Mr. Ajay Nalin ParikhExecutive Director
Mr. Ajit Singh BubberNon Executive Director
Mr. Ameet Nalin ParikhNon Executive Director
Mr. Sandeep LalwaniIndependent Director
Mrs. Deepti SharmaIndependent Director
Mr. Nimish PatelIndependent Director

Axtel Industries Ltd. Share Price Update

Share PriceValue
Today₹643.15
Previous Day₹631.65

FAQ

What is the latest fair value of Axtel Industries Ltd?

The latest fair value of Axtel Industries Ltd is 350.19.

What is the Market Cap of Axtel Industries Ltd?

The Market Cap of Axtel Industries Ltd is 1,039 Cr..

What is the current Stock Price of Axtel Industries Ltd as on 21 April 2024?

The current stock price of Axtel Industries Ltd as on 21 April 2024 is 643.

What is the High / Low of Axtel Industries Ltd stocks in FY 2024?

In FY 2024, the High / Low of Axtel Industries Ltd stocks is ₹850/241.

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

The Stock P/E of Axtel Industries Ltd is 27.4.

What is the Book Value of Axtel Industries Ltd?

The Book Value of Axtel Industries Ltd is 67.0.

What is the Dividend Yield of Axtel Industries Ltd?

The Dividend Yield of Axtel Industries Ltd is 0.93 %.

What is the ROCE of Axtel Industries Ltd?

The ROCE of Axtel Industries Ltd is 26.2 %.

What is the ROE of Axtel Industries Ltd?

The ROE of Axtel Industries Ltd is 18.9 %.

What is the Face Value of Axtel Industries Ltd?

The Face Value of Axtel Industries 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 Axtel 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