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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: 508136 | NSE: BNALTD

B&A Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 31, 2024, 5:05 pm

Market Cap 177 Cr.
Current Price 571
High / Low734/297
Stock P/E12.8
Book Value 426
Dividend Yield0.00 %
ROCE8.52 %
ROE5.55 %
Face Value 10.0
PEG Ratio-3.54

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

View Share Price Target for B&A Ltd

Competitors of B&A Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Goodricke Group Ltd 676 Cr. 313329/159 1120.00 %14.8 %25.0 % 10.0
Diana Tea Company Ltd 63.8 Cr. 42.653.8/23.5 45.90.00 %3.15 %0.32 % 5.00
Bengal Tea & Fabrics Ltd 161 Cr. 178227/77.0 1220.56 %1.98 %2.13 % 10.0
Bansisons Tea Industries Ltd 4.81 Cr. 7.608.90/3.34 9.370.00 %2.66 %2.66 % 10.0
B&A Ltd 177 Cr. 571734/29712.8 4260.00 %8.52 %5.55 % 10.0
Industry Average9,210.73 Cr452.2858.14228.580.29%8.63%12.47%6.84

All Competitor Stocks of B&A Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales45.52106.2297.8440.7964.94108.5680.3038.4254.33101.8196.2637.7150.51
Expenses45.5076.1276.5948.9862.9780.3176.5949.2758.7177.1284.4252.3451.77
Operating Profit0.0230.1021.25-8.191.9728.253.71-10.85-4.3824.6911.84-14.63-1.26
OPM %0.04%28.34%21.72%-20.08%3.03%26.02%4.62%-28.24%-8.06%24.25%12.30%-38.80%-2.49%
Other Income0.090.320.290.820.480.633.331.940.596.360.931.430.93
Interest1.351.410.890.491.150.961.050.571.671.060.820.991.66
Depreciation1.271.101.021.121.201.241.341.421.311.371.311.141.76
Profit before tax-2.5127.9119.63-8.980.1026.684.65-10.90-6.7728.6210.64-15.33-3.75
Tax %44.22%6.06%4.79%62.69%1,360.00%6.18%17.42%26.61%9.01%6.46%7.52%2.74%37.87%
Net Profit-3.6226.2218.69-14.62-1.2625.043.84-13.81-7.3926.789.83-15.74-5.17
EPS in Rs-14.1380.8159.94-48.90-7.1078.2910.58-44.94-25.1982.2629.94-53.97-19.84

Last Updated: October 7, 2024, 8:33 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: September 23, 2024, 2:56 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales130140146156156189191207248290292290286
Expenses108116125134138166173190216247269273266
Operating Profit22242222182419173243231821
OPM %17%17%15%14%11%12%10%8%13%15%8%6%7%
Other Income11111011226910
Interest9765556654455
Depreciation3333445555556
Profit before tax121513151015982436211720
Tax %26%23%21%28%30%30%26%20%30%26%33%22%
Net Profit9111011711661727141316
EPS in Rs28.5535.5531.2931.6518.9729.9716.1913.1046.1677.7136.8433.0338.39
Dividend Payout %9%8%10%9%16%10%6%0%2%3%1%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)22.22%-9.09%10.00%-36.36%57.14%-45.45%0.00%183.33%58.82%-48.15%-7.14%
Change in YoY Net Profit Growth (%)0.00%-31.31%19.09%-46.36%93.51%-102.60%45.45%183.33%-124.51%-106.97%41.01%

B&A 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:8%
5 Years:9%
3 Years:5%
TTM:2%
Compounded Profit Growth
10 Years:-4%
5 Years:7%
3 Years:-21%
TTM:269%
Stock Price CAGR
10 Years:14%
5 Years:33%
3 Years:40%
1 Year:77%
Return on Equity
10 Years:11%
5 Years:12%
3 Years:12%
Last Year:6%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital333333333333
Reserves586874835967707388111119129
Borrowings454442384642453641243049
Other Liabilities353437424451595254606571
Total Liabilities142149156166152163177165186199217252
Fixed Assets9710010010265788282848689117
CWIP115921119756610
Investments000000000000
Other Assets444951556774867696107123125
Total Assets142149156166152163177165186199217252

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 1281819517121316311133
Cash from Investing Activity -9-6-10-9-8-7-7-2-6-14-16-50
Cash from Financing Activity -6-0-9-8-7-9-9-60-5-69
Net Cash Flow-32-11-110-451012-11-9

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-23.00-20.00-20.00-16.00-28.00-18.00-26.00-19.00-9.0019.00-7.00-31.00

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 Days242625272728303032302830
Inventory Days107107121115163138171112280342
Days Payable1421111251421099910269130155
Cash Conversion Cycle-122221-08168100721822162830
Working Capital Days-5109144339515262658370
ROCE %19%19%16%16%12%18%12%11%22%27%13%9%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters59.15%59.15%59.15%59.15%59.15%59.15%59.15%59.15%59.15%59.15%59.15%59.15%
DIIs0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%
Public40.85%40.85%40.84%40.84%40.84%40.84%40.85%40.84%40.85%40.85%40.85%40.84%
No. of Shareholders2,8012,8232,7712,6692,7682,6642,6052,4052,3382,2182,1932,213

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)33.0336.8377.7246.1813.09
Diluted EPS (Rs.)33.0336.8377.7246.1813.09
Cash EPS (Rs.)60.0861.28100.6170.4134.87
Book Value[Excl.RevalReserv]/Share (Rs.)493.75451.57419.66336.27278.98
Book Value[Incl.RevalReserv]/Share (Rs.)493.75451.57419.66336.27278.98
Revenue From Operations / Share (Rs.)935.85942.66936.71795.72667.80
PBDIT / Share (Rs.)86.4583.19144.31109.2157.72
PBIT / Share (Rs.)69.8666.45129.7694.5942.83
PBT / Share (Rs.)55.3566.19116.3579.0124.96
Net Profit / Share (Rs.)43.4944.5486.0655.7919.98
NP After MI And SOA / Share (Rs.)33.0336.8377.7246.1713.09
PBDIT Margin (%)9.238.8215.4013.728.64
PBIT Margin (%)7.467.0413.8511.886.41
PBT Margin (%)5.917.0212.429.923.73
Net Profit Margin (%)4.644.729.187.012.99
NP After MI And SOA Margin (%)3.523.908.295.801.96
Return on Networth / Equity (%)7.749.3521.0715.715.32
Return on Capital Employeed (%)11.4912.9526.5923.6213.07
Return On Assets (%)4.055.2612.107.712.46
Long Term Debt / Equity (X)0.100.010.040.050.00
Total Debt / Equity (X)0.370.240.210.360.47
Asset Turnover Ratio (%)1.241.401.081.060.90
Current Ratio (X)1.821.961.961.340.95
Quick Ratio (X)1.311.151.220.800.55
Inventory Turnover Ratio (X)3.043.181.872.771.53
Dividend Payout Ratio (NP) (%)0.005.431.280.007.63
Dividend Payout Ratio (CP) (%)0.003.731.080.003.57
Earning Retention Ratio (%)0.0094.5798.720.0092.37
Cash Earning Retention Ratio (%)0.0096.2798.920.0096.43
Interest Coverage Ratio (X)5.916.9010.777.013.23
Interest Coverage Ratio (Post Tax) (X)3.963.717.434.572.12
Enterprise Value (Cr.)176.25106.26105.3978.3771.94
EV / Net Operating Revenue (X)0.600.360.360.310.34
EV / EBITDA (X)6.584.122.362.314.02
MarketCap / Net Operating Revenue (X)0.470.250.270.180.14
Retention Ratios (%)0.0094.5698.710.0092.36
Price / BV (X)1.040.610.680.500.38
Price / Net Operating Revenue (X)0.470.250.270.180.14
EarningsYield0.070.150.300.310.13

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of B&A Ltd as of November 5, 2024 is: 308.68

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, B&A Ltd is Overvalued by 45.94% compared to the current share price ₹571.00

Intrinsic Value of B&A Ltd as of November 5, 2024 is: 297.51

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, B&A Ltd is Overvalued by 47.90% compared to the current share price ₹571.00

Last 5 Year EPS CAGR: -3.62%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 16.17%, which is a positive sign.
  2. The company has higher reserves (83.25 cr) compared to borrowings (40.17 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (209.31 cr) and profit (16.54 cr) over the years.
  1. The stock has a high average Working Capital Days of 41.08, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 67.33, 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 B&A Ltd:
    1. Net Profit Margin: 4.64%
      • 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: 11.49% (Industry Average ROCE: 8.63%)
      • 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%: 7.74% (Industry Average ROE: 12.47%)
      • 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): 3.96
      • 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: 12.8 (Industry average Stock P/E: 58.14)
      • 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: 0.37
      • 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

B&A Ltd. is a Public Limited Listed company incorporated on 01/06/1915 and has its registered office in the State of Assam, India. Company’s Corporate Identification Number(CIN) is L01132AS1915PLC000200 and registration number is 000200. Currently Company is involved in the business activities of Processing and blending of tea including manufacture of instant tea. Company’s Total Operating Revenue is Rs. 163.39 Cr. and Equity Capital is Rs. 3.10 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Plantations - Tea & CoffeeIndu Bhawan, Mahatma Gandhi Road, Jorhat Assam 785001investorrelations@bandaltd.in
http://www.barooahs.com
Management
NamePosition Held
Mr. Robin Aidan FarleyChairman
Mr. Somnath ChatterjeeManaging Director
Mr. Dhruba Jyoti DowerahDeputy Managing Director
Mr. Rajkamal BhuyanDirector
Mr. Anjan GhoshDirector
Mr. Parthapratim SenguptaDirector
Mr. Amit ChowdhuriDirector
Mr. Himangshu Sekhar DasDirector
Mr. Amit Kiran DebDirector
Mrs. Mou MukherjeeDirector
Ms. Simeen HossaiDirector

FAQ

What is the latest fair value of B&A Ltd?

The latest fair value of B&A Ltd is ₹308.68.

What is the Market Cap of B&A Ltd?

The Market Cap of B&A Ltd is 177 Cr..

What is the current Stock Price of B&A Ltd as on 05 November 2024?

The current stock price of B&A Ltd as on 05 November 2024 is 571.

What is the High / Low of B&A Ltd stocks in FY 2024?

In FY 2024, the High / Low of B&A Ltd stocks is 734/297.

What is the Stock P/E of B&A Ltd?

The Stock P/E of B&A Ltd is 12.8.

What is the Book Value of B&A Ltd?

The Book Value of B&A Ltd is 426.

What is the Dividend Yield of B&A Ltd?

The Dividend Yield of B&A Ltd is 0.00 %.

What is the ROCE of B&A Ltd?

The ROCE of B&A Ltd is 8.52 %.

What is the ROE of B&A Ltd?

The ROE of B&A Ltd is 5.55 %.

What is the Face Value of B&A Ltd?

The Face Value of B&A 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 B&A 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