Dhanalaxmi Roto Spinners Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 30, 2024, 11:23 pm

Market Cap	76.8 Cr.
Current Price	197
High / Low	289/120
Stock P/E	8.01
Book Value	132
Dividend Yield	0.76 %
ROCE	38.4 %
ROE	28.4 %
Face Value	10.0
PEG Ratio	0.34

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

Stock P/E Current Price Intrinsic Value

View Share Price Target for Dhanalaxmi Roto Spinners Ltd

Competitors of Dhanalaxmi Roto Spinners Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Hisar Spinning Mills Ltd	25.1 Cr.	67.0	84.0/40.0	11.1	62.4	0.00 %	12.5 %	9.50 %	10.0
Rudra Ecovation Ltd	634 Cr.	60.4	82.6/31.6	1,509	9.01	0.00 %	1.92 %	4.05 %	1.00
H P Cotton Textile Mills Ltd	50.2 Cr.	128	194/110		38.5	0.00 %	4.39 %	6.57 %	10.0
Gujarat Hy-Spin Ltd	34.9 Cr.	20.8	20.9/8.50	32.9	11.2	0.00 %	4.31 %	0.90 %	10.0
Gem Spinners India Ltd	52.8 Cr.	8.60	10.6/3.27		0.31	0.00 %	9.62 %	%	5.00
Industry Average	3,223.04 Cr	208.13		100.98	126.10	0.30%	32.92%	11.11%	7.40

All Competitor Stocks of Dhanalaxmi Roto Spinners Ltd

Quarterly Result

Month	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024
Sales	37.69	20.15	27.96	33.47	44.29	56.86	50.10	49.92	50.79	40.14	49.54	56.13	29.68
Expenses	33.39	19.62	26.17	32.27	43.19	57.03	49.23	47.44	47.84	38.74	47.49	54.49	29.54
Operating Profit	4.30	0.53	1.79	1.20	1.10	-0.17	0.87	2.48	2.95	1.40	2.05	1.64	0.14
OPM %	11.41%	2.63%	6.40%	3.59%	2.48%	-0.30%	1.74%	4.97%	5.81%	3.49%	4.14%	2.92%	0.47%
Other Income	0.62	1.01	0.66	1.58	1.36	1.16	1.51	2.11	0.88	3.41	3.29	3.05	1.43
Interest	0.25	0.29	0.19	0.12	0.16	0.17	0.17	0.28	0.24	0.18	0.19	0.25	0.17
Depreciation	0.06	0.07	0.09	0.03	0.07	0.07	0.08	0.06	0.07	0.08	0.09	0.06	0.08
Profit before tax	4.61	1.18	2.17	2.63	2.23	0.75	2.13	4.25	3.52	4.55	5.06	4.38	1.32
Tax %	0.00%	0.00%	0.00%	123.19%	30.04%	29.33%	30.05%	27.76%	28.69%	26.59%	27.47%	18.49%	21.21%
Net Profit	4.60	1.18	2.17	-0.62	1.56	0.53	1.49	3.08	2.50	3.34	3.67	3.56	1.04
EPS in Rs	11.79	3.03	5.56	-1.59	4.00	1.36	3.82	7.90	6.41	8.56	9.41	9.13	2.67

Last Updated: October 7, 2024, 8:14 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	26	40	46	50	53	74	98	71	73	119	201	197	175
Expenses	25	39	43	49	51	72	96	70	69	111	197	189	170
Operating Profit	0	1	2	0	2	2	2	1	4	8	4	8	5
OPM %	2%	2%	5%	1%	4%	3%	2%	2%	5%	7%	2%	4%	3%
Other Income	0	1	1	1	1	2	3	2	3	4	6	11	11
Interest	0	0	1	0	0	0	1	1	1	1	1	1	1
Depreciation	0	0	0	0	0	0	0	0	0	0	0	0	0
Profit before tax	1	1	2	1	3	3	4	3	6	11	9	18	15
Tax %	31%	30%	35%	33%	33%	33%	27%	25%	32%	31%	29%	25%
Net Profit	0	0	1	1	2	2	3	2	4	7	7	13	12
EPS in Rs	1.05	1.18	3.72	2.05	5.05	6.00	6.74	4.97	10.38	18.79	17.05	33.51	29.77
Dividend Payout %	0%	0%	0%	0%	0%	0%	0%	0%	0%	5%	7%	4%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2015-2016	2016-2017	2017-2018	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	0.00%	100.00%	0.00%	50.00%	-33.33%	100.00%	75.00%	0.00%	85.71%
Change in YoY Net Profit Growth (%)	0.00%	100.00%	-100.00%	50.00%	-83.33%	133.33%	-25.00%	-75.00%	85.71%

Dhanalaxmi Roto Spinners Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 9 years from 2015-2016 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	17%
5 Years:	15%
3 Years:	39%
TTM:	-5%

Compounded Profit Growth
10 Years:	38%
5 Years:	41%
3 Years:	44%
TTM:	1%

Stock Price CAGR
10 Years:	37%
5 Years:	66%
3 Years:	34%
1 Year:	42%

Return on Equity
10 Years:	21%
5 Years:	23%
3 Years:	26%
Last Year:	28%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 4:39 pm

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	4	4	4	4	4	4	4	4	4	4	4	4	4
Reserves	2	3	4	5	8	10	13	15	19	26	32	45	47
Borrowings	1	1	1	3	1	2	5	3	5	2	2	1	6
Other Liabilities	4	10	9	5	11	13	13	10	11	17	22	30	23
Total Liabilities	11	18	19	17	23	29	34	32	39	49	60	81	80
Fixed Assets	2	2	3	3	5	5	5	4	4	5	5	4	4
CWIP	0	0	0	0	0	0	0	0	0	0	0	0	0
Investments	0	0	0	0	3	2	5	2	4	2	3	6	15
Other Assets	9	16	15	14	16	23	24	26	30	42	53	70	61
Total Assets	11	18	19	17	23	29	34	32	39	49	60	81	80

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	-1	4	1	-4	4	1	3	2	6	0	2	23
Cash from Investing Activity +	-0	-0	-0	2	-3	-1	-1	3	-2	1	3	-0
Cash from Financing Activity +	1	-0	-0	1	-2	1	2	-2	1	-4	-1	-2
Net Cash Flow	-1	4	0	-1	-1	2	4	3	4	-3	4	21

Free Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	-1.00	0.00	1.00	-3.00	1.00	0.00	-3.00	-2.00	-1.00	6.00	2.00	7.00

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

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	64	62	57	57	75	67	52	57	51	68	59	51
Inventory Days	7	4	5	2	1	2	1	3	9	2	0	1
Days Payable	63	95	70	36	63	54	47	45	42	45	36	56
Cash Conversion Cycle	8	-30	-8	24	13	14	6	15	18	24	23	-4
Working Capital Days	49	-21	-9	24	4	10	6	17	13	37	24	2
ROCE %	14%	14%	32%	15%	28%	26%	19%	14%	27%	39%	29%	38%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024
Promoters	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%	47.64%
DIIs	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%
Public	52.36%	52.36%	52.36%	52.36%	52.36%	52.36%	52.36%	52.36%	52.36%	52.36%	52.36%	52.37%
No. of Shareholders	4,292	4,336	4,670	4,685	4,669	4,603	4,746	4,816	4,784	5,034	5,010	5,224

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	10.00	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	33.52	17.06	18.80	10.39	4.97
Diluted EPS (Rs.)	33.52	17.06	18.80	10.39	4.97
Cash EPS (Rs.)	34.29	17.77	19.46	11.02	5.57
Book Value[Excl.RevalReserv]/Share (Rs.)	125.51	90.60	74.54	55.74	45.37
Book Value[Incl.RevalReserv]/Share (Rs.)	125.51	93.24	77.18	58.38	48.01
Dividend / Share (Rs.)	1.50	1.25	1.00	0.00	0.00
Revenue From Operations / Share (Rs.)	504.07	515.77	305.81	186.75	183.20
PBDIT / Share (Rs.)	44.59	26.75	30.07	17.77	8.25
PBIT / Share (Rs.)	43.82	26.04	29.41	17.14	7.64
PBT / Share (Rs.)	44.88	24.05	27.25	15.22	6.28
Net Profit / Share (Rs.)	33.52	17.06	18.80	10.39	4.96
PBDIT Margin (%)	8.84	5.18	9.83	9.51	4.50
PBIT Margin (%)	8.69	5.04	9.61	9.17	4.17
PBT Margin (%)	8.90	4.66	8.91	8.15	3.42
Net Profit Margin (%)	6.64	3.30	6.14	5.56	2.71
Return on Networth / Equity (%)	26.70	18.82	25.21	18.63	10.94
Return on Capital Employeed (%)	34.27	27.51	36.82	28.25	15.20
Return On Assets (%)	16.20	11.01	15.02	10.47	5.99
Long Term Debt / Equity (X)	0.01	0.01	0.02	0.02	0.03
Total Debt / Equity (X)	0.02	0.05	0.06	0.21	0.18
Asset Turnover Ratio (%)	2.79	3.68	2.73	2.05	2.15
Current Ratio (X)	2.45	2.33	2.50	2.26	1.94
Quick Ratio (X)	2.43	2.33	2.47	2.16	1.91
Dividend Payout Ratio (NP) (%)	3.72	5.86	0.00	0.00	0.00
Dividend Payout Ratio (CP) (%)	3.64	5.62	0.00	0.00	0.00
Earning Retention Ratio (%)	96.28	94.14	0.00	0.00	0.00
Cash Earning Retention Ratio (%)	96.36	94.38	0.00	0.00	0.00
Interest Coverage Ratio (X)	20.15	13.44	13.92	9.28	6.07
Interest Coverage Ratio (Post Tax) (X)	14.67	9.60	9.76	6.45	4.39
Enterprise Value (Cr.)	30.53	11.97	19.72	0.47	-4.93
EV / Net Operating Revenue (X)	0.15	0.05	0.16	0.01	-0.06
EV / EBITDA (X)	1.76	1.15	1.68	0.06	-1.53
MarketCap / Net Operating Revenue (X)	0.34	0.13	0.26	0.17	0.05
Retention Ratios (%)	96.27	94.13	0.00	0.00	0.00
Price / BV (X)	1.39	0.79	1.10	0.57	0.23
Price / Net Operating Revenue (X)	0.34	0.13	0.26	0.17	0.05
EarningsYield	0.19	0.23	0.23	0.32	0.46

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Dhanalaxmi Roto Spinners Ltd as of December 31, 2024 is: 302.56

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 31, 2024, Dhanalaxmi Roto Spinners Ltd is Undervalued by 53.58% compared to the current share price 197.00

Intrinsic Value of Dhanalaxmi Roto Spinners Ltd as of December 31, 2024 is: 373.53

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 31, 2024, Dhanalaxmi Roto Spinners Ltd is Undervalued by 89.61% compared to the current share price 197.00

Last 5 Year EPS CAGR: 23.46%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The stock has a high average ROCE of 24.58%, which is a positive sign. The stock has a low average Working Capital Days of 13.00, which is a positive sign. The company has higher reserves (17.62 cr) compared to borrowings (2.54 cr), indicating strong financial stability. The company has shown consistent growth in sales (94.08 cr) and profit (5.92 cr) over the years.	The stock has a high average Cash Conversion Cycle of 8.58, 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 Dhanalaxmi Roto Spinners Ltd:
1. Net Profit Margin: 6.64%
  - 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: 34.27% (Industry Average ROCE: 31.28%)
  - 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%: 26.7% (Industry Average ROE: 8.89%)
  - 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): 14.67
  - 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: 2.43
  - 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: 8.01 (Industry average Stock P/E: 73.21)
  - 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: 0.02
  - 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

Dhanalaxmi Roto Spinners Ltd. is a Public Limited Listed company incorporated on 11/09/1987 and has its registered office in the State of Andhra Pradesh, India. Company’s Corporate Identification Number(CIN) is L18100TG1987PLC007769 and registration number is 007769. Currently Company is involved in the business activities of Manufacture of woodan d of products of woodan d cork, except furniture; manuf acture of articles of stra w and plaiting materials. Company’s Total Operating Revenue is Rs. 119.27 Cr. and Equity Capital is Rs. 3.90 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Textiles - Spinning - Cotton Blended	Sy. No. 114 & 115, Station Road, Ranga Reddy District Telangana 509325	info@dhanroto.com https://www.dhanroto.com

Management
Name	Position Held
Mr. Anirudh Inani	Chairman & Wholetime Director
Mr. Narayan Inani	Managing Director & CFO
Mr. Keshav Inani	WholeTime Director & CEO
Mr. Dhanraj Soni	Independent Director
Mr. Vivek Baheti	Independent Director
Ms. Annushree Atasniya	Independent Woman Director

FAQ

What is the latest intrinsic value of Dhanalaxmi Roto Spinners Ltd?

The latest intrinsic value of Dhanalaxmi Roto Spinners Ltd as on 31 December 2024 is ₹302.56, which is 53.58% higher than the current market price of ₹197.00. The stock has a market capitalization of 76.8 Cr. and recorded a high/low of 289/120 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹47 Cr and total liabilities of ₹80 Cr.

What is the Market Cap of Dhanalaxmi Roto Spinners Ltd?

The Market Cap of Dhanalaxmi Roto Spinners Ltd is 76.8 Cr..

What is the current Stock Price of Dhanalaxmi Roto Spinners Ltd as on 31 December 2024?

The current stock price of Dhanalaxmi Roto Spinners Ltd as on 31 December 2024 is 197.

What is the High / Low of Dhanalaxmi Roto Spinners Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Dhanalaxmi Roto Spinners Ltd stocks is 289/120.

What is the Stock P/E of Dhanalaxmi Roto Spinners Ltd?

The Stock P/E of Dhanalaxmi Roto Spinners Ltd is 8.01.

What is the Book Value of Dhanalaxmi Roto Spinners Ltd?

The Book Value of Dhanalaxmi Roto Spinners Ltd is 132.

What is the Dividend Yield of Dhanalaxmi Roto Spinners Ltd?

The Dividend Yield of Dhanalaxmi Roto Spinners Ltd is 0.76 %.

What is the ROCE of Dhanalaxmi Roto Spinners Ltd?

The ROCE of Dhanalaxmi Roto Spinners Ltd is 38.4 %.

What is the ROE of Dhanalaxmi Roto Spinners Ltd?

The ROE of Dhanalaxmi Roto Spinners Ltd is 28.4 %.

What is the Face Value of Dhanalaxmi Roto Spinners Ltd?

The Face Value of Dhanalaxmi Roto Spinners Ltd is 10.0.