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Last Updated on: 04 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 500645 | NSE: DEEPAKFERT

Deepak Fertilisers & Petrochemicals Corp Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 30, 2024, 5:41 pm

Market Cap 15,336 Cr.
Current Price 1,217
High / Low1,336/450
Stock P/E22.6
Book Value 450
Dividend Yield0.70 %
ROCE10.7 %
ROE7.67 %
Face Value 10.0
PEG Ratio0.69

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

View Share Price Target for Deepak Fertilisers & Petrochemicals Corp Ltd

Competitors of Deepak Fertilisers & Petrochemicals Corp Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Gujarat State Fertilizers & Chemicals Ltd 8,310 Cr. 209322/17915.4 3191.94 %5.77 %4.55 % 2.00
Bharat Agri Fert & Realty Ltd 422 Cr. 79.8132/76.9 9.970.06 %6.14 %14.8 % 1.00
Basant Agro Tech (India) Ltd 177 Cr. 19.628.9/17.642.2 19.20.26 %5.65 %1.30 % 1.00
Zuari Agro Chemicals Ltd 825 Cr. 196260/1486.19 4030.00 %8.50 %3.44 % 10.0
Southern Petrochemicals Industries Corporation Ltd (SPIC) 1,624 Cr. 79.8108/64.49.42 52.81.88 %17.8 %14.4 % 10.0
Industry Average9,692.19 Cr338.8735.59162.650.65%21.98%10.61%7.35

All Competitor Stocks of Deepak Fertilisers & Petrochemicals Corp Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales1,5751,9021,7931,9562,0123,0312,7192,7552,7962,3132,4241,8532,086
Expenses1,3021,6121,5811,6041,5112,2912,2252,2942,3262,0322,1381,5701,648
Operating Profit273290212352502740495461469281286282438
OPM %17%15%12%18%25%24%18%17%17%12%12%15%21%
Other Income661117101127311520191172
Interest48433736394443535579107106112
Depreciation526251665359565569598191102
Profit before tax17919013526742064942238436016211797296
Tax %35%31%31%32%33%33%35%34%29%30%46%37%26%
Net Profit116131931812834362762522571146361220
EPS in Rs11.0312.478.4014.9023.1935.9821.5419.7620.198.724.764.5617.01

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales2,6693,9053,8084,3094,1505,9956,7424,6855,8087,66311,3018,676
Expenses2,3533,3873,5123,9523,6765,4516,2854,2214,8486,3079,1357,389
Operating Profit3165172973584745444574659611,3562,1651,287
OPM %12%13%8%8%11%9%7%10%17%18%19%15%
Other Income5835377113235495274484123
Interest82101111130121173229243188155195404
Depreciation108114124122135163171214212233239334
Profit before tax183337981772302301101035881,0131,816672
Tax %29%29%32%34%33%29%33%14%31%32%33%32%
Net Profit1292406711615516473894066871,221457
EPS in Rs12.7523.726.7111.4715.2216.046.978.5038.9956.2495.8635.05
Dividend Payout %38%24%52%38%34%33%37%31%19%16%10%24%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)86.05%-72.08%73.13%33.62%5.81%-55.49%21.92%356.18%69.21%77.73%-62.57%
Change in YoY Net Profit Growth (%)0.00%-158.13%145.22%-39.51%-27.81%-61.29%77.41%334.26%-286.97%8.52%-140.30%

Deepak Fertilisers & Petrochemicals Corp 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:8%
5 Years:5%
3 Years:14%
TTM:-13%
Compounded Profit Growth
10 Years:5%
5 Years:48%
3 Years:0%
TTM:1%
Stock Price CAGR
10 Years:25%
5 Years:65%
3 Years:45%
1 Year:107%
Return on Equity
10 Years:12%
5 Years:15%
3 Years:17%
Last Year:8%

Last Updated: Unknown

Balance Sheet

Last Updated: September 15, 2024, 3:48 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital8888888888888889103121126126
Reserves1,1931,3651,3841,4391,9281,9581,9602,0502,6003,7644,9415,282
Borrowings1,1249641,3841,9702,0133,5323,0323,0152,5932,6563,6994,149
Other Liabilities5347235849571,0191,4132,0381,7771,8652,2042,6552,226
Total Liabilities2,9393,1393,4404,4545,0486,9917,1186,9317,1618,74411,42111,783
Fixed Assets1,4581,4271,3841,3172,0562,1892,2092,7122,6212,6442,6786,274
CWIP27951523963856541,3701,3101,6192,4283,528754
Investments2552102537215438825212449879600261
Other Assets1,1991,4061,6512,6682,4533,7613,2862,8972,4722,7944,6154,495
Total Assets2,9393,1393,4404,4545,0486,9917,1186,9317,1618,74411,42111,783

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 225415-54-110796-1321,3105781,2481,211493732
Cash from Investing Activity -315-64-189-62-840-1,139-576-156-634-1,430-979-375
Cash from Financing Activity 50-356205330-811,269-737-354-613221604-410
Net Cash Flow-40-5-38157-125-1-36913118-53

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow315.00-447.00296.00357.00472.00541.00454.00462.00959.00-1.00-1.00-3.00

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 Days897491131115120769958305562
Inventory Days484651666362577561766074
Days Payable4247305154731021431241038580
Cash Conversion Cycle96721121461241083032-533056
Working Capital Days7351801235610132295-42963
ROCE %11%18%7%8%9%8%6%5%15%19%25%11%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters53.06%47.58%47.58%47.58%45.46%45.46%45.46%45.46%45.46%45.46%45.63%45.63%
FIIs1.57%11.95%14.29%15.98%20.76%19.37%19.09%13.44%12.97%13.16%12.76%9.85%
DIIs4.95%1.78%1.56%1.67%2.08%2.06%2.13%2.07%2.83%3.50%3.16%6.30%
Public40.42%38.69%36.56%34.76%31.70%33.11%33.32%39.05%38.76%37.90%38.45%38.22%
No. of Shareholders1,43,3141,51,4621,72,5481,70,9691,82,4711,93,4651,93,6282,15,6902,28,8282,18,2902,38,0942,16,469

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Axis Small Cap Fund1,530,1850.4692.5952,9312024-11-022790.91%
JM Flexicap Fund513,4511.4731.0752,9312024-11-02870.04%
JM Midcap Fund228,5221.4513.8352,9312024-11-02331.74%
JM Value Fund164,0861.499.9352,9312024-11-02210%
Quant Small Cap Fund150,0000.059.0852,9312024-11-02183.39%
Nippon India Nifty Smallcap 250 Index Fund52,9310.253.252,9312024-11-020%
JM Focused Fund46,0002.852.7852,9312024-11-02-13.09%
JM ELSS Tax Saver Fund31,3481.341.952,9312024-11-02-40.78%
SBI Nifty Smallcap 250 Index Fund29,7640.251.852,9312024-11-02-43.77%
Motilal Oswal Nifty Smallcap 250 Index Fund28,8640.251.7552,9312024-11-02-45.47%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)35.0597.7060.4441.479.83
Diluted EPS (Rs.)35.0597.7058.2539.209.83
Cash EPS (Rs.)62.66115.6676.2960.2233.91
Book Value[Excl.RevalReserv]/Share (Rs.)431.40411.38331.87272.65249.09
Book Value[Incl.RevalReserv]/Share (Rs.)431.40411.38331.87272.65249.09
Revenue From Operations / Share (Rs.)687.27895.17635.48565.69524.80
PBDIT / Share (Rs.)111.65178.19116.0896.2262.69
PBIT / Share (Rs.)85.21159.2496.8075.5838.77
PBT / Share (Rs.)53.23143.8183.9657.3011.56
Net Profit / Share (Rs.)36.2296.7157.0139.589.99
NP After MI And SOA / Share (Rs.)35.0595.8656.2438.999.77
PBDIT Margin (%)16.2419.9018.2617.0011.94
PBIT Margin (%)12.3917.7815.2313.367.38
PBT Margin (%)7.7416.0613.2110.122.20
Net Profit Margin (%)5.2710.808.976.991.90
NP After MI And SOA Margin (%)5.1010.708.856.891.86
Return on Networth / Equity (%)8.1823.8817.4614.814.00
Return on Capital Employeed (%)12.2523.3617.9515.027.80
Return On Assets (%)3.7410.597.755.601.25
Long Term Debt / Equity (X)0.560.630.590.830.98
Total Debt / Equity (X)0.740.710.660.871.33
Asset Turnover Ratio (%)0.740.370.410.350.33
Current Ratio (X)1.411.561.361.220.96
Quick Ratio (X)1.021.110.880.890.68
Inventory Turnover Ratio (X)3.982.663.211.651.60
Dividend Payout Ratio (NP) (%)0.008.9611.956.6936.55
Dividend Payout Ratio (CP) (%)0.007.488.904.3710.60
Earning Retention Ratio (%)0.0091.0488.0593.3163.45
Cash Earning Retention Ratio (%)0.0092.5291.1095.6389.40
Interest Coverage Ratio (X)3.4911.559.045.262.30
Interest Coverage Ratio (Post Tax) (X)2.137.275.443.171.37
Enterprise Value (Cr.)10092.8210158.319193.824543.483343.85
EV / Net Operating Revenue (X)1.160.891.200.780.71
EV / EBITDA (X)7.164.526.574.605.97
MarketCap / Net Operating Revenue (X)0.730.610.880.400.14
Retention Ratios (%)0.0091.0388.0493.3063.44
Price / BV (X)1.181.371.750.860.30
Price / Net Operating Revenue (X)0.730.610.880.400.14
EarningsYield0.060.170.100.170.13

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Deepak Fertilisers & Petrochemicals Corp Ltd as of November 4, 2024 is: 785.50

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 4, 2024, Deepak Fertilisers & Petrochemicals Corp Ltd is Overvalued by 35.46% compared to the current share price ₹1,217.00

Intrinsic Value of Deepak Fertilisers & Petrochemicals Corp Ltd as of November 4, 2024 is: 1,042.80

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 4, 2024, Deepak Fertilisers & Petrochemicals Corp Ltd is Overvalued by 14.31% compared to the current share price ₹1,217.00

Last 5 Year EPS CAGR: 32.76%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (5.17 cr) and profit (227.50 cr) over the years.
  1. The stock has a low average ROCE of 11.83%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 53.17, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 67.00, which may not be favorable.
  4. The company has higher borrowings (2,510.92) compared to reserves (2,488.67), 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 Deepak Fertilisers & Petrochemicals Corp Ltd:
    1. Net Profit Margin: 5.27%
      • 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: 12.25% (Industry Average ROCE: 21.98%)
      • 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%: 8.18% (Industry Average ROE: 10.61%)
      • 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): 2.13
      • 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: 1.02
      • 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: 22.6 (Industry average Stock P/E: 35.59)
      • 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: 0.74
      • 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

Deepak Fertilisers & Petrochemicals Corporation Ltd. is a Public Limited Listed company incorporated on 31/05/1979 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24121MH1979PLC021360 and registration number is 021360. Currently Company is involved in the business activities of Wholesale of industrial chemicals,. Company’s Total Operating Revenue is Rs. 2289.44 Cr. and Equity Capital is Rs. 120.59 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
FertilisersSai Hira, Pune Maharashtra 411036investorgrievance@dfpcl.com
http://www.dfpcl.com
Management
NamePosition Held
Mr. Sailesh Chimanlal MehtaChairman & Managing Director
Mr. Madhumilan Parshuram ShindeNon Exe.Non Ind.Director
Mrs. Parul Sailesh MehtaNon Executive Woman Director
Mr. Jayesh Hirji ShahIndependent Director
Mr. Sujal ShahIndependent Director
Mr. Bhuwan Chandra TripathiIndependent Director
Mr. Terje BakkenIndependent Director
Mr. Sanjay GuptaIndependent Director
Mr. Sitaram KunteIndependent Director
Mrs. Varsha PurandareIndependent Woman Director

FAQ

What is the latest fair value of Deepak Fertilisers & Petrochemicals Corp Ltd?

The latest fair value of Deepak Fertilisers & Petrochemicals Corp Ltd is ₹785.50.

What is the Market Cap of Deepak Fertilisers & Petrochemicals Corp Ltd?

The Market Cap of Deepak Fertilisers & Petrochemicals Corp Ltd is 15,336 Cr..

What is the current Stock Price of Deepak Fertilisers & Petrochemicals Corp Ltd as on 04 November 2024?

The current stock price of Deepak Fertilisers & Petrochemicals Corp Ltd as on 04 November 2024 is 1,217.

What is the High / Low of Deepak Fertilisers & Petrochemicals Corp Ltd stocks in FY 2024?

In FY 2024, the High / Low of Deepak Fertilisers & Petrochemicals Corp Ltd stocks is 1,336/450.

What is the Stock P/E of Deepak Fertilisers & Petrochemicals Corp Ltd?

The Stock P/E of Deepak Fertilisers & Petrochemicals Corp Ltd is 22.6.

What is the Book Value of Deepak Fertilisers & Petrochemicals Corp Ltd?

The Book Value of Deepak Fertilisers & Petrochemicals Corp Ltd is 450.

What is the Dividend Yield of Deepak Fertilisers & Petrochemicals Corp Ltd?

The Dividend Yield of Deepak Fertilisers & Petrochemicals Corp Ltd is 0.70 %.

What is the ROCE of Deepak Fertilisers & Petrochemicals Corp Ltd?

The ROCE of Deepak Fertilisers & Petrochemicals Corp Ltd is 10.7 %.

What is the ROE of Deepak Fertilisers & Petrochemicals Corp Ltd?

The ROE of Deepak Fertilisers & Petrochemicals Corp Ltd is 7.67 %.

What is the Face Value of Deepak Fertilisers & Petrochemicals Corp Ltd?

The Face Value of Deepak Fertilisers & Petrochemicals Corp 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 Deepak Fertilisers & Petrochemicals Corp 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