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Last Updated on: 18 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 512068 | NSE: DECNGOLD

Deccan Gold Mines Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 15, 2024, 5:31 pm

Market Cap 1,881 Cr.
Current Price 122
High / Low179/88.5
Stock P/E
Book Value 14.3
Dividend Yield0.00 %
ROCE8.77 %
ROE34.8 %
Face Value 1.00
PEG Ratio0.00

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

View Share Price Target for Deccan Gold Mines Ltd

Competitors of Deccan Gold Mines Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Ganesha Ecoverse Ltd 114 Cr. 46.571.9/42.821.1 4.290.00 %28.2 %39.4 % 10.0
Foundry Fuel Products Ltd 7.01 Cr. 8.7414.6/4.12 1.350.00 %%% 10.0
Deccan Gold Mines Ltd 1,881 Cr. 122179/88.5 14.30.00 %8.77 %34.8 % 1.00
Asi Industries Ltd 378 Cr. 42.056.2/18.214.1 35.90.83 %10.1 %7.47 % 1.00
Anmol India Ltd 161 Cr. 28.368.0/28.012.0 18.40.00 %14.9 %23.6 % 10.0
Industry Average37,780.43 Cr641.5535.4576.751.73%19.61%20.19%5.38

All Competitor Stocks of Deccan Gold Mines Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales0-00000-0010033
Expenses11111111127107
Operating Profit-1-1-1-0-0-1-1-1-0-2-6-7-4
OPM %-7,600%-5,300%-1,200%-175%-1,280%-922%-48%-3,667%-2,090%-210%-120%
Other Income-0-0-0-0-0-0-0-0-0-0-0-0-0
Interest-0-0-0-0-0-0-0-0-0-0-0-0-0
Depreciation0000-0-0-00-02343
Profit before tax-1-1-1-0-0-1-1-1-0-4-9-10-7
Tax %-0%-0%-0%-0%-0%-0%-0%12%-0%-0%-0%0%-0%
Net Profit-1-1-1-0-0-1-1-1-0-45-6838
EPS in Rs-0.08-0.07-0.06-0.05-0.04-0.07-0.09-0.07-0.02-0.300.35-4.582.58

Last Updated: November 6, 2024, 6:56 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: September 23, 2024, 2:39 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales0000000000037
Expenses1127114333331526
Operating Profit-1-1-2-7-11-4-3-3-3-3-2-12-19
OPM %-646%-1,821%-7,850%-6,625%-712%-347%-287%
Other Income0101210000000
Interest0000000000050
Depreciation00000000000912
Profit before tax-1-0-2-7-9-3-3-3-3-3-3-25-31
Tax %0%0%-1%1%1%-1%-1%0%0%0%4%0%
Net Profit-1-0-2-7-9-3-3-3-3-3-3-64-29
EPS in Rs-0.12-0.04-0.18-0.76-1.03-0.32-0.31-0.29-0.34-0.29-0.22-4.33-1.95
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)100.00%-250.00%-28.57%66.67%0.00%0.00%0.00%0.00%0.00%-2033.33%
Change in YoY Net Profit Growth (%)0.00%-350.00%221.43%95.24%-66.67%0.00%0.00%0.00%0.00%-2033.33%

Deccan Gold Mines 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 Years:%
3 Years:%
TTM:1251%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:%
TTM:-1263%
Stock Price CAGR
10 Years:16%
5 Years:48%
3 Years:78%
1 Year:-16%
Return on Equity
10 Years:%
5 Years:-18%
3 Years:-21%
Last Year:-35%

Last Updated: Unknown

Balance Sheet

Last Updated: October 15, 2024, 1:53 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital66699999991315
Reserves-3-6-633464441393533142197
Borrowings00200000003100
Other Liabilities0211111113714
Total Liabilities32343565451494545166325
Fixed Assets00011100000148
CWIP00002832353739404142
Investments200000000011665
Other Assets1234228221612651071
Total Assets32343565451494545166325

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-10-2-4-6-5-3-23-0-2-57
Cash from Investing Activity +0-0-1-6-12-3-9-2-2-1-116-147
Cash from Financing Activity +013481200-0-0118212
Net Cash Flow-00039-17-6-12-41-107

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-1.00-1.00-4.00-7.00-11.00-4.00-3.00-3.00-3.00-3.00-5.00-112.00

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 Days182220
Inventory Days5,997
Days Payable674
Cash Conversion Cycle182225,324
Working Capital Days13,9611,0954,951
ROCE %-31%-23%-190%-31%-19%-6%-6%-5%-7%-6%-2%-9%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters25.89%25.89%25.89%25.89%25.89%25.89%30.54%30.54%26.31%25.93%25.64%25.52%
FIIs4.37%4.35%4.35%4.35%4.35%4.35%3.12%3.12%2.16%1.88%1.88%1.99%
Public69.74%69.76%69.76%69.76%69.76%69.75%66.33%66.34%71.53%72.17%72.46%72.49%
No. of Shareholders20,98221,50321,65421,97421,63521,31620,91120,68723,59529,22330,36732,814

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
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)-4.67-0.29-0.28-0.34-0.29
Diluted EPS (Rs.)-4.48-0.29-0.28-0.34-0.29
Cash EPS (Rs.)-1.11-0.21-0.28-0.33-0.27
Book Value[Excl.RevalReserv]/Share (Rs.)14.3611.834.514.795.13
Book Value[Incl.RevalReserv]/Share (Rs.)14.3611.834.514.795.13
Revenue From Operations / Share (Rs.)0.240.020.000.000.00
PBDIT / Share (Rs.)-1.11-0.18-0.27-0.33-0.27
PBIT / Share (Rs.)-1.71-0.18-0.28-0.34-0.28
PBT / Share (Rs.)-1.71-0.21-0.28-0.34-0.28
Net Profit / Share (Rs.)-1.71-0.21-0.28-0.34-0.28
NP After MI And SOA / Share (Rs.)-4.38-0.22-0.28-0.34-0.28
PBDIT Margin (%)-453.95-718.31-7465.420.000.00
PBIT Margin (%)-700.83-725.47-7574.850.000.00
PBT Margin (%)-700.83-826.02-7600.000.000.00
Net Profit Margin (%)-701.53-856.88-7600.000.000.00
NP After MI And SOA Margin (%)-1793.65-864.68-7600.000.000.00
Return on Networth / Equity (%)-30.49-1.87-6.31-7.18-5.57
Return on Capital Employeed (%)-11.88-1.52-6.25-7.11-5.53
Return On Assets (%)-19.82-1.69-5.90-7.07-5.47
Total Debt / Equity (X)0.470.020.010.000.00
Asset Turnover Ratio (%)0.010.000.000.000.00
Current Ratio (X)0.610.841.4212.218.47
Quick Ratio (X)0.240.841.4212.218.47
Interest Coverage Ratio (X)0.00-7.14-296.92-326.04-1214.76
Interest Coverage Ratio (Post Tax) (X)0.00-7.52-301.27-333.86-1270.05
Enterprise Value (Cr.)1504.38566.16313.39146.32107.77
EV / Net Operating Revenue (X)418.581739.908953.880.000.00
EV / EBITDA (X)-92.21-242.22-119.94-46.75-42.25
MarketCap / Net Operating Revenue (X)393.571731.808946.060.000.00
Price / BV (X)6.693.767.443.312.26
Price / Net Operating Revenue (X)393.651735.559067.570.000.00
EarningsYield-0.040.00-0.01-0.02-0.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Deccan Gold Mines Ltd as of November 18, 2024 is: 76.14

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 18, 2024, Deccan Gold Mines Ltd is Overvalued by 37.59% compared to the current share price 122.00

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of Deccan Gold Mines Ltd as of November 18, 2024 is: 62.85

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 18, 2024, Deccan Gold Mines Ltd is Overvalued by 48.48% compared to the current share price 122.00

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: -17.46%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of 1.50, which is a positive sign.
  2. The company has higher reserves (49.58 cr) compared to borrowings (8.75 cr), indicating strong financial stability.
  1. The stock has a low average ROCE of -27.92%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 17.42, which may not be favorable.
  3. The company has not shown consistent growth in sales (0.77) and profit (-7.15).

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 Deccan Gold Mines Ltd:
    1. Net Profit Margin: -701.53%
      • 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: -11.88% (Industry Average ROCE: 19.61%)
      • 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%: -30.49% (Industry Average ROE: 20.19%)
      • 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): 0
      • 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: 0.24
      • 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: 0 (Industry average Stock P/E: 35.45)
      • 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: 0.47
      • 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

Deccan Gold Mines Ltd. is a Public Limited Listed company incorporated on 29/11/1984 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L51900MH1984PLC034662 and registration number is 034662. Currently company belongs to the Industry of Mining/Minerals. Company’s Total Operating Revenue is Rs. 0.04 Cr. and Equity Capital is Rs. 9.33 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Mining/MineralsNo. 501, Ackruti Trade Center, Road No. 7, MIDC, Andheri (East), Mumbai Maharashtra 400093info@deccangoldmines.com
http://www.deccangoldmines.com
Management
NamePosition Held
Mr. Kailasam SundaramChairman
Dr. Hanuma Prasad ModaliManaging Director
Mr. Subramaniam SundaramExecutive Director
Mr. Dinesh Kumar GandhiDirector
Mr. Pandarinathan ElangoDirector
Mrs. Deepthi DonkeshwarDirector

FAQ

What is the latest intrinsic value of Deccan Gold Mines Ltd?

The latest intrinsic value of Deccan Gold Mines Ltd as on 18 November 2024 is ₹76.14, which is 37.59% lower than the current market price of ₹122.00.

What is the Market Cap of Deccan Gold Mines Ltd?

The Market Cap of Deccan Gold Mines Ltd is 1,881 Cr..

What is the current Stock Price of Deccan Gold Mines Ltd as on 18 November 2024?

The current stock price of Deccan Gold Mines Ltd as on 18 November 2024 is ₹122.

What is the High / Low of Deccan Gold Mines Ltd stocks in FY 2024?

In FY 2024, the High / Low of Deccan Gold Mines Ltd stocks is 179/88.5.

What is the Stock P/E of Deccan Gold Mines Ltd?

The Stock P/E of Deccan Gold Mines Ltd is .

What is the Book Value of Deccan Gold Mines Ltd?

The Book Value of Deccan Gold Mines Ltd is 14.3.

What is the Dividend Yield of Deccan Gold Mines Ltd?

The Dividend Yield of Deccan Gold Mines Ltd is 0.00 %.

What is the ROCE of Deccan Gold Mines Ltd?

The ROCE of Deccan Gold Mines Ltd is 8.77 %.

What is the ROE of Deccan Gold Mines Ltd?

The ROE of Deccan Gold Mines Ltd is 34.8 %.

What is the Face Value of Deccan Gold Mines Ltd?

The Face Value of Deccan Gold Mines Ltd is 1.00.

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 Deccan Gold Mines 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