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Last Updated on: 21 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 532916 | NSE: BVCL

Barak Valley Cements Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 10:24 pm

Market Cap 105 Cr.
Current Price 47.5
High / Low77.3/43.5
Stock P/E27.1
Book Value 55.5
Dividend Yield0.00 %
ROCE11.8 %
ROE6.21 %
Face Value 10.0
PEG Ratio1.09

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

View Share Price Target for Barak Valley Cements Ltd

Competitors of Barak Valley Cements Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Bheema Cements Ltd 77.1 Cr. 23.635.3/21.0 13.20.00 %11.8 %56.4 % 10.0
UltraTech Cement Ltd 3,16,116 Cr. 10,95512,138/8,54448.1 2,1260.64 %15.1 %12.2 % 10.0
The Ramco Cements Ltd 21,622 Cr. 9151,058/70078.4 3020.27 %8.17 %5.63 % 1.00
The India Cements Ltd 11,009 Cr. 355386/173 1700.00 %0.78 %4.81 % 10.0
Star Cement Ltd 6,986 Cr. 173256/16235.3 67.90.00 %16.5 %11.5 % 1.00
Industry Average31,942.64 Cr1,738.1834.28530.040.63%11.13%16.10%7.13

All Competitor Stocks of Barak Valley Cements Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales44.9039.7436.8854.1838.9737.7545.1760.6855.5750.7659.0968.5953.54
Expenses40.0233.9234.4347.9833.0332.9539.1954.2149.0543.8752.8064.1546.61
Operating Profit4.885.822.456.205.944.805.986.476.526.896.294.446.93
OPM %10.87%14.65%6.64%11.44%15.24%12.72%13.24%10.66%11.73%13.57%10.64%6.47%12.94%
Other Income0.490.33-12.126.220.100.280.220.930.930.180.152.370.10
Interest2.703.101.452.582.412.002.582.381.852.101.632.041.31
Depreciation1.341.240.962.091.851.851.851.851.661.651.812.371.47
Profit before tax1.331.81-12.087.751.781.231.773.173.943.323.002.404.25
Tax %12.78%12.15%2.65%34.06%20.79%18.70%14.12%59.62%17.01%16.87%20.00%148.75%25.41%
Net Profit1.161.60-12.395.111.411.001.511.283.262.762.40-1.173.17
EPS in Rs0.520.72-5.592.310.640.450.680.581.471.251.08-0.531.43

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales131124157128130157148162147176183234232
Expenses115112140121119139134145127156159210207
Operating Profit1612186111815172019232425
OPM %12%10%11%5%9%12%10%11%13%11%13%10%11%
Other Income-0-0-1011461-5243
Interest1212111091311111110987
Depreciation8865477666777
Profit before tax-5-8-1-9-2-2164-181313
Tax %-3%-2%5%1%48%21%66%3%40%286%34%43%
Net Profit-4-8-1-9-3-2062-5577
EPS in Rs-2.02-3.45-0.45-3.91-1.23-1.030.152.741.06-2.042.363.273.23
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)-100.00%87.50%-800.00%66.67%33.33%100.00%-66.67%-350.00%200.00%40.00%
Change in YoY Net Profit Growth (%)0.00%187.50%-887.50%866.67%-33.33%66.67%-166.67%-283.33%550.00%-160.00%

Barak Valley Cements Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 10 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:7%
5 Years:10%
3 Years:17%
TTM:5%
Compounded Profit Growth
10 Years:12%
5 Years:84%
3 Years:46%
TTM:-56%
Stock Price CAGR
10 Years:14%
5 Years:34%
3 Years:35%
1 Year:5%
Return on Equity
10 Years:1%
5 Years:4%
3 Years:6%
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 Capital222222222222222222222222
Reserves716361528987879395869198
Borrowings1071059086101105103105115786149
Other Liabilities253549526455595759445965
Total Liabilities225225222212276269272278291230233234
Fixed Assets129128125125196192190189186147140135
CWIP00101351523000
Investments000000000000
Other Assets969797877974777481839399
Total Assets225225222212276269272278291230233234

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +220341626132188-62316
Cash from Investing Activity +-10-7-5-5-34-5-7-16-11531-5
Cash from Financing Activity +5-11-29-1311-13-1154-46-26-10
Net Cash Flow-32-0-14-53-301-21

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-91.00-93.00-72.00-80.00-90.00-87.00-88.00-88.00-95.00-59.00-38.00-25.00

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 Days374946483437323038262727
Inventory Days178124161349154145287183209157434201
Days Payable11420823550851931539528119591231114
Cash Conversion Cycle102-36-28-111-331-133-76-685392230114
Working Capital Days1401265945-29-11-13145716966
ROCE %4%2%7%1%4%5%6%6%6%8%10%12%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters56.38%56.38%56.35%56.26%55.94%55.86%55.77%55.77%55.32%55.32%55.32%55.15%
Government0.00%0.00%0.01%0.01%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Public43.62%43.62%43.63%43.73%44.05%44.14%44.23%44.22%44.68%44.67%44.68%44.84%
No. of Shareholders6,7576,7576,9267,0516,9116,9497,4677,4728,4949,0579,40810,173

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.)3.272.36-2.041.062.74
Diluted EPS (Rs.)3.272.36-2.041.062.74
Cash EPS (Rs.)6.655.700.493.795.63
Book Value[Excl.RevalReserv]/Share (Rs.)54.3051.0348.7252.8852.05
Book Value[Incl.RevalReserv]/Share (Rs.)54.3051.0348.7252.8852.05
Revenue From Operations / Share (Rs.)105.6082.3979.2966.2973.11
PBDIT / Share (Rs.)12.5311.169.879.378.34
PBIT / Share (Rs.)9.157.817.336.645.44
PBT / Share (Rs.)5.713.59-0.521.762.83
Net Profit / Share (Rs.)3.272.36-2.041.062.74
NP After MI And SOA / Share (Rs.)3.272.36-2.041.062.74
PBDIT Margin (%)11.8613.5412.4414.1411.40
PBIT Margin (%)8.669.489.2410.027.44
PBT Margin (%)5.404.35-0.662.653.87
Net Profit Margin (%)3.102.85-2.571.603.75
NP After MI And SOA Margin (%)3.102.85-2.571.603.75
Return on Networth / Equity (%)6.024.61-4.182.005.26
Return on Capital Employeed (%)12.8411.439.977.096.31
Return On Assets (%)3.092.23-1.960.802.18
Long Term Debt / Equity (X)0.140.240.410.650.59
Total Debt / Equity (X)0.400.540.720.910.86
Asset Turnover Ratio (%)1.000.780.700.520.63
Current Ratio (X)1.191.021.060.790.67
Quick Ratio (X)0.710.530.690.550.49
Inventory Turnover Ratio (X)1.591.193.192.722.78
Interest Coverage Ratio (X)3.642.642.231.921.73
Interest Coverage Ratio (Post Tax) (X)1.951.561.311.221.11
Enterprise Value (Cr.)168.20115.13124.82144.60118.89
EV / Net Operating Revenue (X)0.710.630.710.980.73
EV / EBITDA (X)6.064.665.716.966.44
MarketCap / Net Operating Revenue (X)0.520.300.280.270.13
Price / BV (X)1.020.480.460.330.19
Price / Net Operating Revenue (X)0.520.300.280.270.13
EarningsYield0.050.09-0.080.050.27

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Barak Valley Cements Ltd as of November 21, 2024 is: 95.27

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 21, 2024, Barak Valley Cements Ltd is Undervalued by 100.57% compared to the current share price 47.50

Intrinsic Value of Barak Valley Cements Ltd as of November 21, 2024 is: 119.05

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 21, 2024, Barak Valley Cements Ltd is Undervalued by 150.63% compared to the current share price 47.50

Last 5 Year EPS CAGR: 24.96%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Cash Conversion Cycle of -16.00, which is a positive sign.
  2. The company has shown consistent growth in sales (162.23 cr) and profit (1.31 cr) over the years.
  1. The stock has a low average ROCE of 5.92%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 47.42, which may not be favorable.
  3. The company has higher borrowings (92.08) compared to reserves (81.08), which may suggest financial risk.

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 Barak Valley Cements Ltd:
    1. Net Profit Margin: 3.1%
      • 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: 12.84% (Industry Average ROCE: 11.13%)
      • 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%: 6.02% (Industry Average ROE: 16.1%)
      • 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): 1.95
      • 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: 0.71
      • 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: 27.1 (Industry average Stock P/E: 34.28)
      • 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: 0.4
      • 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

Barak Valley Cements Ltd. is a Public Limited Listed company incorporated on 28/04/1999 and has its registered office in the State of Assam, India. Company’s Corporate Identification Number(CIN) is L01403AS1999PLC005741 and registration number is 005741. Currently Company is involved in the business activities of Manufacture of cement, lime and plaster. Company’s Total Operating Revenue is Rs. 172.73 Cr. and Equity Capital is Rs. 22.16 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
CementDebendra Nagar, Karimganj Assam 788803cs@barakcement.com
http://www.barakcement.com
Management
NamePosition Held
Mr. Kamakhya ChamariaVice Chairman & Mng.Director
Mr. Gaurav TulshyanNon Executive Director
Mr. Santosh Kumar BajajNon Executive Director
Mr. Nishant GarodiaAddnl.Non Executive Director
Mrs. Renu KejriwalIndependent Director
Mr. Shyam AgarwalIndependent Director
Mr. Vishal MoreIndependent Director
Mr. Vaibhav AroraIndependent Director
Mrs. Vandana AgarwalIndependent Director
Mrs. Poonam GuptaIndependent Director

FAQ

What is the latest intrinsic value of Barak Valley Cements Ltd?

The latest intrinsic value of Barak Valley Cements Ltd as on 21 November 2024 is ₹95.27, which is 100.57% higher than the current market price of ₹47.50.

What is the Market Cap of Barak Valley Cements Ltd?

The Market Cap of Barak Valley Cements Ltd is 105 Cr..

What is the current Stock Price of Barak Valley Cements Ltd as on 21 November 2024?

The current stock price of Barak Valley Cements Ltd as on 21 November 2024 is ₹47.5.

What is the High / Low of Barak Valley Cements Ltd stocks in FY 2024?

In FY 2024, the High / Low of Barak Valley Cements Ltd stocks is 77.3/43.5.

What is the Stock P/E of Barak Valley Cements Ltd?

The Stock P/E of Barak Valley Cements Ltd is 27.1.

What is the Book Value of Barak Valley Cements Ltd?

The Book Value of Barak Valley Cements Ltd is 55.5.

What is the Dividend Yield of Barak Valley Cements Ltd?

The Dividend Yield of Barak Valley Cements Ltd is 0.00 %.

What is the ROCE of Barak Valley Cements Ltd?

The ROCE of Barak Valley Cements Ltd is 11.8 %.

What is the ROE of Barak Valley Cements Ltd?

The ROE of Barak Valley Cements Ltd is 6.21 %.

What is the Face Value of Barak Valley Cements Ltd?

The Face Value of Barak Valley Cements 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 Barak Valley Cements 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