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Last Updated on: 17 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 533260 | NSE: CAREERP

Career Point Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 15, 2024, 9:04 pm

Market Cap 851 Cr.
Current Price 468
High / Low570/187
Stock P/E13.7
Book Value 292
Dividend Yield0.64 %
ROCE13.4 %
ROE10.8 %
Face Value 10.0
PEG Ratio0.06

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

View Share Price Target for Career Point Ltd

Competitors of Career Point Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
IEC Education Ltd 28.0 Cr. 18.418.4/1.69 19.70.00 %1.88 %2.00 % 10.0
Humming Bird Education Ltd 60.3 Cr. 98.4120/36.0108 4.460.00 %5.80 %2.11 % 1.00
Golden Crest Education & Services Ltd 174 Cr. 332332/69.5871 20.60.00 %0.85 %0.66 % 10.0
DSJ Keep Learning Ltd 74.3 Cr. 4.777.53/2.15201 0.450.00 %23.0 %221 % 1.00
Ascensive Educare Ltd 45.8 Cr. 112117/41.535.7 33.3%19.5 %14.4 %
Industry Average518.40 Cr106.00167.0257.230.18%8.26%28.90%6.17

All Competitor Stocks of Career Point Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales14121513201922252920262630
Expenses44511688488116118
Operating Profit108102131114-23219201523
OPM %71%64%68%16%68%60%63%-94%72%46%77%58%75%
Other Income1112112225243
Interest1111101000010
Depreciation1111111111111
Profit before tax87102131114-222113211824
Tax %22%20%28%-52%25%23%24%-27%24%13%27%20%18%
Net Profit767410811-161612151420
EPS in Rs3.593.063.852.065.224.435.94-8.998.936.338.277.8310.91

Last Updated: September 12, 2024, 4:55 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales786578768390101105495485102103
Expenses51556855545964614224703635
Operating Profit2710102129313644730156667
OPM %35%15%13%27%35%34%36%42%14%55%18%65%66%
Other Income20135111211758561314
Interest2555676753222
Depreciation3555554444444
Profit before tax421242230303238627157376
Tax %29%23%-19%34%30%26%24%28%98%17%20%22%
Net Profit30951421222427023125761
EPS in Rs16.625.393.217.9811.5612.2213.2914.970.0812.486.5731.3733.34
Dividend Payout %0%0%31%0%0%0%0%20%1,299%8%15%3%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212022-20232023-2024
YoY Net Profit Growth (%)-70.00%-44.44%180.00%50.00%4.76%9.09%12.50%-100.00%-47.83%375.00%
Change in YoY Net Profit Growth (%)0.00%25.56%224.44%-130.00%-45.24%4.33%3.41%-112.50%52.17%422.83%

Career Point 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:5%
5 Years:0%
3 Years:27%
TTM:13%
Compounded Profit Growth
10 Years:25%
5 Years:19%
3 Years:297%
TTM:179%
Stock Price CAGR
10 Years:16%
5 Years:32%
3 Years:48%
1 Year:116%
Return on Equity
10 Years:5%
5 Years:5%
3 Years:6%
Last Year:11%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital181818181818181818181818
Reserves307317321335363386410431430453461513
Borrowings5343434712990757372262135
Other Liabilities171917232525252124236173
Total Liabilities395397399423535519529544543520562639
Fixed Assets131196163163176183189192187204207192
CWIP67342382234400
Investments1075451477666393029412
Other Assets90113184210276269298319323307353445
Total Assets395397399423535519529544543520562639

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +15-15-79-2-49720145423-29
Cash from Investing Activity +-7329822-64-46-25810418
Cash from Financing Activity +52-15-7-075-50-21-16-12-49-107
Net Cash Flow-6-1-4062-3303-3-4

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-26.00-33.00-33.00-26.00-100.00-59.00-39.00-29.00-65.004.00-6.0031.00

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 Days35843813911771841861733131546136
Inventory Days60224166100477182
Days Payable22226482
Cash Conversion Cycle35844383911773863272687813346136
Working Capital Days81154725349946397077211,521940718498
ROCE %11%3%3%6%8%7%7%8%1%6%3%13%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters63.68%63.68%63.68%63.68%63.68%63.68%63.68%63.68%63.68%63.68%63.68%63.68%
FIIs0.08%0.00%0.00%0.03%0.08%0.02%0.11%0.04%0.06%0.05%0.16%0.09%
Public36.24%36.31%36.31%36.29%36.22%36.31%36.21%36.28%36.25%36.27%36.16%36.22%
No. of Shareholders15,65015,41915,03414,91114,25013,99214,21613,16412,50712,93811,47211,536

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.)31.376.5712.620.0814.97
Diluted EPS (Rs.)31.376.5712.620.0814.97
Cash EPS (Rs.)33.528.9414.822.4017.37
Book Value[Excl.RevalReserv]/Share (Rs.)292.36263.92258.82246.23247.24
Book Value[Incl.RevalReserv]/Share (Rs.)292.36263.92258.82246.23247.24
Revenue From Operations / Share (Rs.)55.8446.9229.8127.0457.60
PBDIT / Share (Rs.)43.2411.5719.188.2326.90
PBIT / Share (Rs.)41.079.2816.915.9124.48
PBT / Share (Rs.)40.178.2815.133.1720.82
Net Profit / Share (Rs.)31.356.6512.550.0814.94
NP After MI And SOA / Share (Rs.)31.376.5712.600.0714.97
PBDIT Margin (%)77.4424.6464.3330.4546.71
PBIT Margin (%)73.5619.7756.7221.8642.49
PBT Margin (%)71.9417.6450.7511.7036.14
Net Profit Margin (%)56.1414.1742.100.2925.93
NP After MI And SOA Margin (%)56.1714.0042.270.2925.98
Return on Networth / Equity (%)10.732.494.870.036.05
Return on Capital Employeed (%)12.663.156.202.239.17
Return On Assets (%)8.922.124.410.025.00
Long Term Debt / Equity (X)0.010.010.020.040.05
Total Debt / Equity (X)0.060.040.050.140.14
Asset Turnover Ratio (%)0.160.150.050.030.10
Current Ratio (X)3.457.407.004.124.21
Quick Ratio (X)3.437.316.934.064.12
Inventory Turnover Ratio (X)2.232.100.390.411.04
Dividend Payout Ratio (NP) (%)9.5630.430.001261.6520.04
Dividend Payout Ratio (CP) (%)8.9422.570.0041.6317.24
Earning Retention Ratio (%)90.4469.570.00-1161.6579.96
Cash Earning Retention Ratio (%)91.0677.430.0058.3782.76
Interest Coverage Ratio (X)47.9311.5810.783.007.35
Interest Coverage Ratio (Post Tax) (X)35.747.668.061.035.08
Enterprise Value (Cr.)541.28400.98212.56292.59280.82
EV / Net Operating Revenue (X)5.334.703.925.952.68
EV / EBITDA (X)6.8819.066.0919.535.75
MarketCap / Net Operating Revenue (X)5.054.573.714.852.14
Retention Ratios (%)90.4369.560.00-1161.6579.95
Price / BV (X)0.960.810.420.530.49
Price / Net Operating Revenue (X)5.054.573.714.852.14
EarningsYield0.110.030.110.000.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Career Point Ltd as of November 17, 2024 is: 434.81

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 17, 2024, Career Point Ltd is Overvalued by 7.09% compared to the current share price 468.00

Intrinsic Value of Career Point Ltd as of November 17, 2024 is: 1,453.03

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 17, 2024, Career Point Ltd is Undervalued by 210.48% compared to the current share price 468.00

Last 5 Year EPS CAGR: 234.18%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (393.92 cr) compared to borrowings (58.92 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (82.23 cr) and profit (31.31 cr) over the years.
  1. The stock has a low average ROCE of 6.33%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 528.92, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 276.50, 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 Career Point Ltd:
    1. Net Profit Margin: 56.14%
      • 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: 12.66% (Industry Average ROCE: 8.26%)
      • 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%: 10.73% (Industry Average ROE: 28.9%)
      • 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): 35.74
      • 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: 3.43
      • 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: 13.7 (Industry average Stock P/E: 115.63)
      • 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: 0.06
      • 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

Career Point Ltd. is a Public Limited Listed company incorporated on 31/03/2000 and has its registered office in the State of Rajasthan, India. Company’s Corporate Identification Number(CIN) is L80100PB2000PLC054497 and registration number is 016272. Currently Company is involved in the business activities of Academic tutoring services. Company’s Total Operating Revenue is Rs. 29.34 Cr. and Equity Capital is Rs. 18.19 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Education - Coaching/Study Material/OthersVillage Tangori, Mohali Punjab 140601investors@cpil.in
http://www.cpil.in
Management
NamePosition Held
Mr. Pramod MaheshwariChairman & M.D & CEO
Mr. Om Prakash MaheshwariExecutive Director & CFO
Mr. Nawal Kishore MaheshwariExecutive Director
Mrs. Neelima MaheshwariNon Exe.Non Ind.Director
Mr. Jagdish Prasad SardaInd. Non-Executive Director
Mrs. Divya SodaniInd. Non-Executive Director
Mr. Sanjay KhandelwalInd. Non-Executive Director
Mr. Akshaya GuptaInd. Non-Executive Director
Mr. Neha GargInd. Non-Executive Director

FAQ

What is the latest intrinsic value of Career Point Ltd?

The latest intrinsic value of Career Point Ltd as on 17 November 2024 is ₹434.81, which is 7.09% lower than the current market price of ₹468.00.

What is the Market Cap of Career Point Ltd?

The Market Cap of Career Point Ltd is 851 Cr..

What is the current Stock Price of Career Point Ltd as on 17 November 2024?

The current stock price of Career Point Ltd as on 17 November 2024 is ₹468.

What is the High / Low of Career Point Ltd stocks in FY 2024?

In FY 2024, the High / Low of Career Point Ltd stocks is 570/187.

What is the Stock P/E of Career Point Ltd?

The Stock P/E of Career Point Ltd is 13.7.

What is the Book Value of Career Point Ltd?

The Book Value of Career Point Ltd is 292.

What is the Dividend Yield of Career Point Ltd?

The Dividend Yield of Career Point Ltd is 0.64 %.

What is the ROCE of Career Point Ltd?

The ROCE of Career Point Ltd is 13.4 %.

What is the ROE of Career Point Ltd?

The ROE of Career Point Ltd is 10.8 %.

What is the Face Value of Career Point Ltd?

The Face Value of Career Point 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 Career Point 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