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Last Updated on: 12 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo
Stock Ticker - BSE: 531358 | NSE: CHOICEIN

Choice International Ltd: Share Price Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: December 11, 2024, 9:40 pm

Market Cap 11,127 Cr.
Current Price 558
High / Low565/215
Stock P/E72.6
Book Value 44.6
Dividend Yield0.00 %
ROCE24.8 %
ROE23.6 %
Face Value 10.0
PEG Ratio1.59

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

View Share Price Target for Choice International Ltd

Competitors of Choice International Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Choice International Ltd 11,127 Cr. 558565/21572.6 44.60.00 %24.8 %23.6 % 10.0
Abans Holdings Ltd 1,749 Cr. 346625/26019.7 1990.00 %9.23 %9.30 % 2.00
Max India Ltd 1,292 Cr. 300338/134 1030.00 %7.69 %10.7 % 10.0
IDFC Ltd 17,275 Cr. 108130/10419.9 83.60.93 %8.49 %8.37 % 10.0
BF Investment Ltd 2,802 Cr. 740829/4935.32 2,1190.00 %10.6 %7.96 % 5.00
Industry Average61,070.00 Cr2,129.4327.671,193.170.31%12.23%12.86%6.86

All Competitor Stocks of Choice International Ltd

Quarterly Result

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Sales616792777796137138191207215201247
Expenses43456661617292102142141147148172
Operating Profit18222616162445364967675376
OPM %30%33%28%21%20%25%33%26%25%32%31%26%31%
Other Income2012222233252
Interest335557671011121315
Depreciation1111111122222
Profit before tax16182112121840294056554361
Tax %28%25%27%34%29%24%25%28%25%28%29%26%23%
Net Profit121415881430213040393246
EPS in Rs0.590.680.770.390.420.711.521.081.481.981.931.482.31

Last Updated: November 6, 2024, 7:02 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 23, 2024, 2:50 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales426262187134152121132176285393756870
Expenses3246361601031138593134194286531607
Operating Profit10162628303936394192107225263
OPM %24%25%42%15%23%26%29%29%23%32%27%30%30%
Other Income00-001000012311
Interest391719192120171515224152
Depreciation1122233333577
Profit before tax666710161218237482181215
Tax %35%38%25%39%41%24%28%32%27%27%27%28%
Net Profit4354612612175460131158
EPS in Rs0.730.701.020.861.261.220.591.241.172.693.026.567.70
Dividend Payout %27%29%20%23%0%0%0%0%0%0%0%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 (%)-25.00%66.67%-20.00%50.00%100.00%-50.00%100.00%41.67%217.65%11.11%118.33%
Change in YoY Net Profit Growth (%)0.00%91.67%-86.67%70.00%50.00%-150.00%150.00%-58.33%175.98%-206.54%107.22%

Choice International 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:28%
5 Years:44%
3 Years:63%
TTM:55%
Compounded Profit Growth
10 Years:44%
5 Years:86%
3 Years:99%
TTM:62%
Stock Price CAGR
10 Years:56%
5 Years:122%
3 Years:159%
1 Year:149%
Return on Equity
10 Years:14%
5 Years:16%
3 Years:18%
Last Year:24%

Last Updated: Unknown

Balance Sheet

Last Updated: September 15, 2024, 1:54 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital10101010102020202950100199
Reserves4446505360146154193234360378423
Borrowings2996121119147177166143151220206455
Other Liabilities323846497084133146240346424727
Total Liabilities1141892272322874284735026559761,1071,805
Fixed Assets28323234377898888688126134
CWIP000014000057
Investments15262222264722207111123
Other Assets701311731752222993523955628779651,641
Total Assets1141892272322874284735026559761,1071,805

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-5-14-2228-204-3626-45-34138-148
Cash from Investing Activity +-14-40135-11-22541315-123-48-18
Cash from Financing Activity +19576-222139-28-1523152-29224
Net Cash Flow03-311-921-1124-7-56258

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-19.00-80.00-95.00-91.00-117.00-138.00-130.00-104.00-110.00-128.00-99.00-230.00

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 Days27430857216931328120125115810410791
Inventory Days14558432206284
Days Payable9521,984164136160
Cash Conversion Cycle274-499-8283838340520125115810410791
Working Capital Days128242490148323350586553570479209169
ROCE %13%12%14%14%15%13%10%10%10%17%16%25%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters64.31%64.31%51.45%51.45%51.46%51.46%55.32%55.98%56.27%57.98%58.21%58.21%
FIIs5.02%5.02%7.18%7.03%14.09%14.09%15.12%14.97%15.44%13.58%12.44%12.22%
DIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.04%0.05%0.06%0.07%
Government0.00%0.01%0.01%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Public30.66%30.65%41.36%41.51%34.46%34.47%29.56%29.05%28.26%28.41%29.29%29.51%
No. of Shareholders2,5042,5413,5603,6095,2045,0575,1016,2027,2348,09618,51318,524

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Motilal Oswal Nifty Microcap 250 Index Fund119,2970.43.265352024-12-0722198.5%
Groww Nifty Total Market Index Fund5350.010.015352024-12-070%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)6.576.0413.847.7812.43
Diluted EPS (Rs.)6.526.0113.845.1112.43
Cash EPS (Rs.)6.896.5211.456.937.94
Book Value[Excl.RevalReserv]/Share (Rs.)30.0244.2565.4072.4673.11
Book Value[Incl.RevalReserv]/Share (Rs.)32.1148.4473.7887.0693.96
Revenue From Operations / Share (Rs.)37.6538.7054.6359.0764.39
PBDIT / Share (Rs.)11.4210.9218.5614.4819.47
PBIT / Share (Rs.)11.0910.4417.8813.4017.75
PBT / Share (Rs.)9.078.2314.807.999.10
Net Profit / Share (Rs.)6.566.0410.775.856.21
NP After MI And SOA / Share (Rs.)6.566.0710.775.856.21
PBDIT Margin (%)30.3428.2233.9724.5130.24
PBIT Margin (%)29.4626.9732.7322.6827.55
PBT Margin (%)24.0821.2827.0913.5214.13
Net Profit Margin (%)17.4315.5919.729.909.64
NP After MI And SOA Margin (%)17.4315.6719.719.909.64
Return on Networth / Equity (%)22.1913.8616.508.078.49
Return on Capital Employeed (%)24.5717.2519.3512.8215.50
Return On Assets (%)7.245.445.482.542.47
Long Term Debt / Equity (X)0.380.200.110.120.02
Total Debt / Equity (X)0.770.470.660.710.97
Asset Turnover Ratio (%)0.510.360.020.020.02
Current Ratio (X)1.561.711.651.551.41
Quick Ratio (X)1.561.701.601.531.30
Interest Coverage Ratio (X)5.644.966.022.682.25
Interest Coverage Ratio (Post Tax) (X)4.243.744.502.081.72
Enterprise Value (Cr.)5537.182777.151213.64449.81243.55
EV / Net Operating Revenue (X)7.387.214.462.671.89
EV / EBITDA (X)24.3125.5613.1410.886.25
MarketCap / Net Operating Revenue (X)7.277.324.182.081.18
Price / BV (X)9.266.473.501.691.04
Price / Net Operating Revenue (X)7.277.324.182.081.18
EarningsYield0.020.020.040.040.08

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Choice International Ltd as of December 12, 2024 is: 779.44

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 December 12, 2024, Choice International Ltd is Undervalued by 39.68% compared to the current share price 558.00

Intrinsic Value of Choice International Ltd as of December 12, 2024 is: 1,136.17

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 December 12, 2024, Choice International Ltd is Undervalued by 103.61% compared to the current share price 558.00

Last 5 Year EPS CAGR: 45.77%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (178.42 cr) compared to borrowings (169.17 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (259.38 cr) and profit (50.46 cr) over the years.
  1. The stock has a low average ROCE of 14.08%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 353.92, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 57.08, 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 Choice International Ltd:
    1. Net Profit Margin: 17.43%
      • 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: 24.57% (Industry Average ROCE: 12.23%)
      • 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%: 22.19% (Industry Average ROE: 12.86%)
      • 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): 4.24
      • 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: 1.56
      • 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: 72.6 (Industry average Stock P/E: 27.67)
      • 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: 0.77
      • 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

Choice International Ltd. is a Public Limited Listed company incorporated on 12/03/1993 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L67190MH1993PLC071117 and registration number is 071117. Currently Company is involved in the business activities of Other professional, scientific and technical activities. Company’s Total Operating Revenue is Rs. 11.28 Cr. and Equity Capital is Rs. 49.76 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Holding CompanySunil Patodia Tower, Mumbai Maharashtra 400099info@choiceindia.com
http://www.choiceindia.com
Management
NamePosition Held
Mrs. Vinita PatodiaNon Exe. Non Ind Chairperson
CA. Kamal PoddarManaging Director
Mr. Suyash PatodiaJoint Managing Director
Mr. Arun Kumar PoddarExecutive Director & CEO
CA. Ajay KejriwalExecutive Director
Mr. Ashok Kumar ThakurIndependent Director
Mr. Kanhaiyalal BerwalIndependent Director
CA. Sudha BhushanIndependent Director
CA. Subodh Kumar AgarwalIndependent Director
Mr. Sandeep SinghIndependent Director
CA. Sobhag Mal JainIndependent Director

FAQ

What is the latest intrinsic value of Choice International Ltd?

The latest intrinsic value of Choice International Ltd as on 12 December 2024 is ₹779.44, which is 39.68% higher than the current market price of ₹558.00. The stock has a market capitalization of 11,127 Cr. and recorded a high/low of ₹565/215 during the current fiscal year 2024-2025. As of Mar 2024, the company has reserves of ₹423 Cr and total liabilities of ₹1,805 Cr.

What is the Market Cap of Choice International Ltd?

The Market Cap of Choice International Ltd is 11,127 Cr..

What is the current Stock Price of Choice International Ltd as on 12 December 2024?

The current stock price of Choice International Ltd as on 12 December 2024 is 558.

What is the High / Low of Choice International Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Choice International Ltd stocks is 565/215.

What is the Stock P/E of Choice International Ltd?

The Stock P/E of Choice International Ltd is 72.6.

What is the Book Value of Choice International Ltd?

The Book Value of Choice International Ltd is 44.6.

What is the Dividend Yield of Choice International Ltd?

The Dividend Yield of Choice International Ltd is 0.00 %.

What is the ROCE of Choice International Ltd?

The ROCE of Choice International Ltd is 24.8 %.

What is the ROE of Choice International Ltd?

The ROE of Choice International Ltd is 23.6 %.

What is the Face Value of Choice International Ltd?

The Face Value of Choice International 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 Choice International 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