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Last Updated on: 24 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 500490 | NSE: BAJAJHLDNG

Bajaj Holdings & Investment Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 22, 2024, 11:32 pm

Market Cap 1,16,390 Cr.
Current Price 10,458
High / Low11,350/7,210
Stock P/E15.7
Book Value 5,375
Dividend Yield1.25 %
ROCE13.1 %
ROE14.8 %
Face Value 10.0
PEG Ratio0.81

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

View Share Price Target for Bajaj Holdings & Investment Ltd

Competitors of Bajaj Holdings & Investment Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Choice International Ltd 10,727 Cr. 538540/21569.9 44.60.00 %25.0 %23.8 % 10.0
Abans Holdings Ltd 1,916 Cr. 379625/26021.6 1990.00 %9.23 %9.30 % 2.00
Max India Ltd 1,014 Cr. 236338/134 1030.00 %7.69 %10.7 % 10.0
BF Investment Ltd 2,723 Cr. 723829/4935.17 2,1190.00 %10.6 %7.96 % 5.00
Bajaj Holdings & Investment Ltd 1,16,390 Cr. 10,45811,350/7,21015.7 5,3751.25 %13.1 %14.8 % 10.0
Industry Average64,728.67 Cr2,322.5028.491,378.100.22%12.89%13.64%6.33

All Competitor Stocks of Bajaj Holdings & Investment Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales929814796899118898871042251081,212
Expenses34282531333737373236333635
Operating Profit5869122645754151625568192721,177
OPM %63%71%83%67%64%60%81%63%63%66%85%67%97%
Other Income9337411,1311,0041,0749381,2141,2521,3261,3751,4791,6021,563
Interest1111111151111
Depreciation8888888888888
Profit before tax9828011,2441,0591,1229841,3561,3051,3681,4341,6621,6652,731
Tax %3%3%4%2%1%1%1%1%1%1%4%1%1%
Net Profit9507801,1981,0421,1069701,3361,2871,3531,4161,5881,6452,716
EPS in Rs85.2769.96101.6793.4699.3287.10111.67115.52121.55127.19133.98147.76244.05

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales3374235244708424204314354574845221,649
Expenses152340422156585134106117142140
Operating Profit3224004844296283553473013523673801,508
OPM %95%94%92%91%75%85%80%69%77%76%73%91%
Other Income3535782,3902,8273,0583,4513,8964,6736,020
Interest0000000134372
Depreciation25655543334343434
Profit before tax3224005134306302,7393,1703,3143,7664,2265,0127,493
Tax %21%20%19%21%21%3%4%7%3%2%1%2%
Net Profit1,8561,9882,0292,2652,4732,6553,0483,0803,6544,1264,9467,365
EPS in Rs166.80178.59182.33203.54222.22238.54273.90268.84327.95364.41435.83652.98
Dividend Payout %15%17%19%16%15%17%12%15%12%32%28%20%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)7.11%2.06%11.63%9.18%7.36%14.80%1.05%18.64%12.92%19.87%48.91%
Change in YoY Net Profit Growth (%)0.00%-5.05%9.57%-2.45%-1.82%7.44%-13.75%17.59%-5.72%6.96%29.03%

Bajaj Holdings & Investment 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:15%
5 Years:32%
3 Years:55%
TTM:237%
Compounded Profit Growth
10 Years:14%
5 Years:19%
3 Years:26%
TTM:34%
Stock Price CAGR
10 Years:22%
5 Years:23%
3 Years:28%
1 Year:41%
Return on Equity
10 Years:12%
5 Years:12%
3 Years:12%
Last Year:15%

Last Updated: Unknown

Balance Sheet

Last Updated: November 15, 2024, 1:38 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital111111111111111111111111111111111111111
Reserves10,23411,88813,28215,18217,70725,09026,84127,65237,05642,73144,07154,13659,712
Borrowings0000000168136114936347
Other Liabilities4304495001787168564,7978,18610,6328,91310,85112,662
Total Liabilities10,77512,44813,89315,47217,88925,26927,00832,72945,49053,58853,18865,16172,533
Fixed Assets532532544544222215193374342310278244227
CWIP0000000000000
Investments9,57711,32513,07813,27617,36424,57526,25732,06844,91452,96452,55564,71571,252
Other Assets6665922711,6513024785582872343143552031,054
Total Assets10,77512,44813,89315,47217,88925,26927,00832,72945,49053,58853,18865,16172,533

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +4738727961,147-9231,6316281,9202721,6101,7281,941
Cash from Investing Activity +-369-519-4641,019-372-1,123-163-800-308-151-137-472
Cash from Financing Activity +-332-326-391-761-110-434-536-1,028-37-1,460-1,587-1,455
Net Cash Flow-22827-591,406-1,40674-7292-73-1414

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow322.00400.00484.00429.00628.00355.00347.00133.00216.00253.00287.00-62.00

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 Days100000045850
Inventory Days
Days Payable
Cash Conversion Cycle100000045850
Working Capital Days-427-323-278-4831120299786716017211
ROCE %3%4%4%3%4%13%12%11%10%9%10%13%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters49.95%50.07%50.48%51.09%51.20%51.20%51.36%51.46%51.46%51.46%51.46%51.46%
FIIs13.68%13.31%13.02%12.06%11.80%12.04%12.27%12.34%12.39%11.65%11.57%11.53%
DIIs4.29%4.64%4.73%5.17%5.28%5.32%4.95%4.97%5.04%5.88%5.95%6.09%
Public32.08%31.98%31.77%31.68%31.72%31.43%31.41%31.22%31.11%31.01%31.01%30.90%
No. of Shareholders59,50963,81564,33162,74968,18565,28673,43766,68763,63360,73461,27560,774

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Parag Parikh Flexi Cap Fund4,884,7556.23964.5442,1242024-11-2311496.13%
Parag Parikh ELSS Tax Saver Fund278,9386.74226.3942,1242024-11-23562.18%
L&T Flexicap Fund - Regular Plan105,7322.4470.4242,1242024-11-23151%
HSBC Flexi Cap Fund59,9641.1148.6742,1242024-11-2342.35%
Sundaram Consumption Fund42,1242.4534.1942,1242024-11-230%
ICICI Prudential Nifty Next 50 Index Fund32,3380.5326.2542,1242024-11-23-23.23%
Nippon India ETF Nifty Next 50 Junior BeES28,0750.5322.7942,1242024-11-23-33.35%
UTI Nifty Next 50 Index Fund25,2220.5320.4742,1242024-11-23-40.12%
Axis Value Fund17,0002.5913.842,1242024-11-23-59.64%
SBI Nifty Next 50 ETF16,5420.5313.4342,1242024-11-23-60.73%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)653.00435.80364.40327.90268.80
Diluted EPS (Rs.)653.00435.80364.40327.90268.80
Cash EPS (Rs.)129.7028.1323.8721.765.00
Book Value[Excl.RevalReserv]/Share (Rs.)5658.284633.204634.783964.202902.29
Book Value[Incl.RevalReserv]/Share (Rs.)5658.284633.204634.783964.202902.29
Revenue From Operations / Share (Rs.)148.1441.7038.6135.8635.35
PBDIT / Share (Rs.)141.3634.6233.1632.1327.11
PBIT / Share (Rs.)138.3231.5830.1429.1124.12
PBT / Share (Rs.)138.1330.9529.8528.7722.99
Net Profit / Share (Rs.)126.6625.0920.8418.742.01
NP After MI And SOA / Share (Rs.)653.00435.85364.42327.96268.85
PBDIT Margin (%)95.4283.0285.8989.5876.70
PBIT Margin (%)93.3675.7278.0581.1668.22
PBT Margin (%)93.2374.2377.3180.2165.04
Net Profit Margin (%)85.4960.1653.9752.255.68
NP After MI And SOA Margin (%)440.781045.16943.86914.49760.58
Return on Networth / Equity (%)13.3910.979.469.8210.77
Return on Capital Employeed (%)2.360.660.620.710.82
Return On Assets (%)11.159.117.568.029.12
Asset Turnover Ratio (%)0.020.050.050.010.11
Current Ratio (X)576.71378.76331.07249.08144.49
Quick Ratio (X)576.68378.73331.03249.06144.47
Inventory Turnover Ratio (X)1.480.000.000.000.00
Dividend Payout Ratio (NP) (%)20.2033.1336.390.0026.14
Dividend Payout Ratio (CP) (%)20.1032.9036.090.0025.85
Earning Retention Ratio (%)79.8066.8763.610.0073.86
Cash Earning Retention Ratio (%)79.9067.1063.910.0074.15
Interest Coverage Ratio (X)728.3555.52117.1794.0924.06
Interest Coverage Ratio (Post Tax) (X)653.6041.2374.6355.882.78
Enterprise Value (Cr.)100927.3073218.2164597.4243507.9724450.96
EV / Net Operating Revenue (X)61.22157.77150.33109.0162.16
EV / EBITDA (X)64.15190.03175.02121.6881.04
MarketCap / Net Operating Revenue (X)55.96141.95130.0891.8150.91
Retention Ratios (%)79.7966.8663.600.0073.85
Price / BV (X)1.701.491.300.980.72
Price / Net Operating Revenue (X)55.96141.95130.0891.8150.91
EarningsYield0.070.070.070.090.14

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Bajaj Holdings & Investment Ltd as of November 24, 2024 is: 12,645.47

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 24, 2024, Bajaj Holdings & Investment Ltd is Undervalued by 20.92% compared to the current share price 10,458.00

Intrinsic Value of Bajaj Holdings & Investment Ltd as of November 24, 2024 is: 15,101.36

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 November 24, 2024, Bajaj Holdings & Investment Ltd is Undervalued by 44.40% compared to the current share price 10,458.00

Last 5 Year EPS CAGR: 19.42%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -11.50, which is a positive sign.
  2. The company has higher reserves (29,660.15 cr) compared to borrowings (47.77 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (445.50 cr) and profit (193.50 cr) over the years.
  1. The stock has a low average ROCE of 8.00%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 1.92, 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 Bajaj Holdings & Investment Ltd:
    1. Net Profit Margin: 85.49%
      • 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: 2.36% (Industry Average ROCE: 12.89%)
      • 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%: 13.39% (Industry Average ROE: 13.64%)
      • 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): 653.6
      • 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: 576.68
      • 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: 15.7 (Industry average Stock P/E: 28.49)
      • 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
      • 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

Bajaj Holdings & Investment Ltd. is a Public Limited Listed company incorporated on 29/11/1945 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L65100PN1945PLC004656 and registration number is 004656. Currently Company is involved in the business activities of Trusts, funds and other financial vehicles. Company’s Total Operating Revenue is Rs. 1776.46 Cr. and Equity Capital is Rs. 111.29 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Holding CompanyMumbai-Pune Road, Akurdi, Pune Maharashtra 411035investors@bhil.in
http://www.bhil.in
Management
NamePosition Held
Mr. Shekhar BajajChairman
Mr. Niraj BajajVice Chairman
Mr. Rajiv BajajVice Chairman
Mr. Sanjiv BajajManaging Director & CEO
Dr. Naushad ForbesDirector
Mr. Pradip P ShahDirector
Dr. Arindam BhattacharyaDirector
Dr. Vidya Rajiv YeravdekarDirector
Mr. Abhinav BindraDirector
Ms. Smita MankadDirector
Mr. Madhur BajajDirector
Mr. Manish KejriwalDirector

FAQ

What is the latest intrinsic value of Bajaj Holdings & Investment Ltd?

The latest intrinsic value of Bajaj Holdings & Investment Ltd as on 24 November 2024 is ₹12645.47, which is 20.92% higher than the current market price of ₹10,458.00.

What is the Market Cap of Bajaj Holdings & Investment Ltd?

The Market Cap of Bajaj Holdings & Investment Ltd is 1,16,390 Cr..

What is the current Stock Price of Bajaj Holdings & Investment Ltd as on 24 November 2024?

The current stock price of Bajaj Holdings & Investment Ltd as on 24 November 2024 is 10,458.

What is the High / Low of Bajaj Holdings & Investment Ltd stocks in FY 2024?

In FY 2024, the High / Low of Bajaj Holdings & Investment Ltd stocks is 11,350/7,210.

What is the Stock P/E of Bajaj Holdings & Investment Ltd?

The Stock P/E of Bajaj Holdings & Investment Ltd is 15.7.

What is the Book Value of Bajaj Holdings & Investment Ltd?

The Book Value of Bajaj Holdings & Investment Ltd is 5,375.

What is the Dividend Yield of Bajaj Holdings & Investment Ltd?

The Dividend Yield of Bajaj Holdings & Investment Ltd is 1.25 %.

What is the ROCE of Bajaj Holdings & Investment Ltd?

The ROCE of Bajaj Holdings & Investment Ltd is 13.1 %.

What is the ROE of Bajaj Holdings & Investment Ltd?

The ROE of Bajaj Holdings & Investment Ltd is 14.8 %.

What is the Face Value of Bajaj Holdings & Investment Ltd?

The Face Value of Bajaj Holdings & Investment 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 Bajaj Holdings & Investment 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