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Last Updated on: 24 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 543650 | NSE: DCXINDIA

Fundamental Analysis of DCX Systems Ltd

Share Price and Basic Stock Data

Last Updated: June 24, 2024, 7:52 pm

Market Cap 4,166 Cr.
Current Price 373
High / Low393/235
Stock P/E61.2
Book Value 100
Dividend Yield0.00 %
ROCE9.25 %
ROE8.08 %
Face Value 2.00
PEG Ratio-2.34

Competitors of DCX Systems Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Mishra Dhatu Nigam Ltd 8,572 Cr. 458548/26993.9 70.40.73 %9.39 %7.00 % 10.0
Zen Technologies Ltd 8,475 Cr. 1,0081,130/38566.4 53.90.02 %47.3 %33.1 % 1.00
Data Patterns (India) Ltd 16,712 Cr. 2,9933,444/1,73592.0 2370.22 %20.1 %14.6 % 2.00
Paras Defence and Space Technologies Ltd 5,465 Cr. 1,4021,528/604160 1150.00 %10.8 %7.96 % 10.0
Hindustan Aeronautics Ltd 3,56,264 Cr. 5,3255,586/1,76846.9 4340.52 %38.9 %28.9 % 5.00
Industry Average79,097.60 Cr2,237.2091.84182.060.30%25.30%18.31%5.60

Quarterly Result

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales213417374213174356511170309198746
Expenses208397338208164333465162290187716
Operating Profit5203651023468191130
OPM %2%5%10%2%6%6%9%5%6%5%4%
Other Income7917661011121114
Interest53557957678
Depreciation01100000011
Profit before tax7263279205012241435
Tax %13%31%-1%13%13%13%18%16%16%16%26%
Net Profit6183268174110201226
EPS in Rs16.4952.034.190.741.021.794.251.022.111.232.33

Last Updated: June 9, 2024, 3:44 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: June 8, 2024, 6:33 am

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales3004496411,1021,2541,423
Expenses2954436311,0351,1701,353
Operating Profit5610678470
OPM %2%1%2%6%7%5%
Other Income91642223046
Interest6810112628
Depreciation112222
Profit before tax71340768685
Tax %37%24%26%13%16%20%
Net Profit51030667268
EPS in Rs13.1127.8384.468.487.416.11
Dividend Payout %0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)100.00%200.00%120.00%9.09%-5.56%
Change in YoY Net Profit Growth (%)0.00%100.00%-80.00%-110.91%-14.65%

Growth

Compounded Sales Growth
10 Years:%
5 Years:37%
3 Years:30%
TTM:14%
Compounded Profit Growth
10 Years:%
5 Years:72%
3 Years:32%
TTM:-5%
Stock Price CAGR
10 Years:%
5 Years:%
3 Years:%
1 Year:27%
Return on Equity
10 Years:%
5 Years:19%
3 Years:16%
Last Year:8%

Last Updated: June 8, 2024, 6:33 am

Balance Sheet

Last Updated: June 8, 2024, 6:33 am

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital444151922
Reserves414431025471,097
Borrowings110134136503509265
Other Liabilities371548610322143418
Total Liabilities4896997939431,2191,802
Fixed Assets61716151545
CWIP300050
Investments400004
Other Assets4766827789281,1991,753
Total Assets4896997939431,2191,802

Reserves and Borrowings Chart

Cash Flow

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 121130114-134-5901
Cash from Investing Activity 7821212219
Cash from Financing Activity 3819-2364364223
Net Cash Flow166157133251-204243

Free Cash Flow

MonthMar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-105.00-128.00-126.00-436.00-425.00-195.00

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 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days1227172393171
Inventory Days869119107534
Days Payable96135773544104
Cash Conversion Cycle34649-2123101
Working Capital Days-188-229-217-66132128
ROCE %15%30%22%13%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters71.72%71.72%71.72%71.72%71.72%62.30%
FIIs1.75%0.94%0.69%0.07%0.35%2.30%
DIIs11.28%9.69%9.29%8.21%7.02%11.19%
Public15.25%17.63%18.29%20.00%20.90%24.24%
No. of Shareholders69,31071,99871,59270,80770,96386,690

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Large and Mid Cap Fund - Regular Plan2,415,3840.4277.631,224,9332024-06-2297.18%
HDFC Dividend Yield Fund1,466,2760.9547.131,224,9332024-06-2219.7%
Bandhan Focused Equity Fund1,224,9332.5539.371,224,9332024-06-220%
HDFC Defence Fund1,069,8821.2834.391,224,9332024-06-22-12.66%
Bandhan Small Cap Fund613,8830.419.731,224,9332024-06-22-49.88%
Bandhan Large Cap Fund426,1510.9813.71,224,9332024-06-22-65.21%
Bandhan Midcap Fund156,6280.435.031,224,9332024-06-22-87.21%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21
FaceValue2.002.002.0010.00
Basic EPS (Rs.)7.618.449.194.22
Diluted EPS (Rs.)7.618.449.194.22
Cash EPS (Rs.)7.267.608.7691.40
Book Value[Excl.RevalReserv]/Share (Rs.)101.1158.5915.19133.67
Book Value[Incl.RevalReserv]/Share (Rs.)101.1158.5915.19133.67
Revenue From Operations / Share (Rs.)127.80129.61142.411831.89
PBDIT / Share (Rs.)11.6311.7111.51149.03
PBIT / Share (Rs.)11.1711.5211.22142.08
PBT / Share (Rs.)8.498.879.76113.73
Net Profit / Share (Rs.)6.807.418.4884.45
NP After MI And SOA / Share (Rs.)6.807.418.4884.45
PBDIT Margin (%)9.099.038.078.13
PBIT Margin (%)8.738.887.887.75
PBT Margin (%)6.646.846.856.20
Net Profit Margin (%)5.325.715.954.61
NP After MI And SOA Margin (%)5.325.715.954.61
Return on Networth / Equity (%)6.7212.6455.7963.17
Return on Capital Employeed (%)10.8319.4156.38104.43
Return On Assets (%)4.105.876.963.72
Long Term Debt / Equity (X)0.010.010.300.00
Total Debt / Equity (X)0.250.894.272.91
Asset Turnover Ratio (%)0.921.161.270.00
Current Ratio (X)2.551.851.171.04
Quick Ratio (X)2.261.491.140.77
Inventory Turnover Ratio (X)5.429.888.120.00
Interest Coverage Ratio (X)4.354.427.875.26
Interest Coverage Ratio (Post Tax) (X)3.543.806.793.98
Enterprise Value (Cr.)2729.091324.370.000.00
EV / Net Operating Revenue (X)1.921.060.000.00
EV / EBITDA (X)21.0711.700.000.00
MarketCap / Net Operating Revenue (X)2.301.130.000.00
Price / BV (X)2.912.490.000.00
Price / Net Operating Revenue (X)2.301.130.000.00
EarningsYield0.020.050.000.00

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 504.39

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.

Undervalued: 35.22% compared to the current price 373

Intrinsic Value: 372.45

Calculation basis:

  • Fair 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 fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Overvalued: 0.15% compared to the current price ₹373

Last 5 Year EPS CAGR: -26.16%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -73.33, which is a positive sign.
  2. The company has higher reserves (301.17 cr) compared to borrowings (276.17 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (232.17 cr) and profit (51.17 cr) over the years.
  1. The stock has a low average ROCE of 13.33%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 51.83, 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 DCX Systems Ltd:
    1. Net Profit Margin: 5.32%
      • 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: 10.83% (Industry Average ROCE: %)
      • 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%: 6.72% (Industry Average ROE: %)
      • 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): 3.54
      • 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: 2.26
      • 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: 61.2 (Industry average Stock P/E: )
      • 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: 0.25
      • 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

DCX Systems Ltd. is a Public Limited Listed company incorporated on 16/12/2011 and has its registered office in the State of Karnataka, India. Company’s Corporate Identification Number(CIN) is L31908KA2011PLC061686 and registration number is 061686. Currently company belongs to the Industry of Electronics - Equipment/Components. Company’s Total Operating Revenue is Rs. 1102.27 Cr. and Equity Capital is Rs. 15.48 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Aerospace & DefenseAerospace SEZ Sector, Plot Nos. 29, 30 and 107, Bengalure Rural Dist. Karnataka 562110cs@dcxindia.com
http://www.dcxindia.com
Management
NamePosition Held
Dr. H S Raghavendra RaoChairman & Managing Director
Mr. Neal Jeremy CastlemanNon Exe.Non Ind.Director
Mr. Sankarakrishnan RamalingamWhole Time Director
Mr. Kalyanasundaram ChandrasekaranIndependent Director
Mr. Panchangam NagashayanaIndependent Director
Ms. Lathika Siddharth PaiIndependent Director

FAQ

What is the latest fair value of DCX Systems Ltd?

The latest fair value of DCX Systems Ltd is ₹504.39.

What is the Market Cap of DCX Systems Ltd?

The Market Cap of DCX Systems Ltd is 4,166 Cr..

What is the current Stock Price of DCX Systems Ltd as on 24 June 2024?

The current stock price of DCX Systems Ltd as on 24 June 2024 is ₹373.

What is the High / Low of DCX Systems Ltd stocks in FY 2024?

In FY 2024, the High / Low of DCX Systems Ltd stocks is 393/235.

What is the Stock P/E of DCX Systems Ltd?

The Stock P/E of DCX Systems Ltd is 61.2.

What is the Book Value of DCX Systems Ltd?

The Book Value of DCX Systems Ltd is 100.

What is the Dividend Yield of DCX Systems Ltd?

The Dividend Yield of DCX Systems Ltd is 0.00 %.

What is the ROCE of DCX Systems Ltd?

The ROCE of DCX Systems Ltd is 9.25 %.

What is the ROE of DCX Systems Ltd?

The ROE of DCX Systems Ltd is 8.08 %.

What is the Face Value of DCX Systems Ltd?

The Face Value of DCX Systems Ltd is 2.00.

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 DCX Systems 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