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Last Updated on: 22 July, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 532960 | NSE: DHANI

Fundamental Analysis of Dhani Services Ltd

Share Price and Basic Stock Data

Last Updated: July 20, 2024, 10:03 pm

Market Cap 3,279 Cr.
Current Price 54.4
High / Low62.3/33.2
Stock P/E
Book Value 57.1
Dividend Yield0.00 %
ROCE5.33 %
ROE10.3 %
Face Value 2.00
PEG Ratio0.00

Data Source: screener.in

Competitors of Dhani Services Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Enbee Trade & Finance Ltd 16.8 Cr. 11.830.2/9.9010.8 21.20.00 %7.94 %7.61 % 10.0
Elixir Capital Ltd 60.4 Cr. 104139/40.13.95 83.41.20 %36.8 %37.2 % 10.0
Elcid Investments Ltd 0.07 Cr. 3.533.53/3.370.00 5,84,329708 %2.02 %1.54 % 10.0
Ekam Leasing And Finance Co Ltd 5.03 Cr. 8.388.38/4.097.98 14.80.00 %10.5 %7.34 % 5.00
Easy Fincorp Ltd 23.0 Cr. 939939/814 5920.00 %0.37 %1.23 % 10.0
Industry Average0 Cr663.4284.955,579.230%0%0%7.57

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales239304335490305246130148841209987118
Expenses320456469606465266211215299164162158174
Operating Profit-80-152-134-116-160-20-81-67-214-44-64-71-56
OPM %-33%-50%-40%-24%-52%-8%-62%-45%-254%-37%-65%-81%-48%
Other Income-33-11217285320305142017
Interest101837159625942353026242221
Depreciation7202225272928171718161414
Profit before tax-191-252-228-189-232-79-98-99-232-83-89-87-75
Tax %14%24%10%-15%-6%-31%11%7%15%-14%-17%-3%-14%
Net Profit-164-192-206-218-244-104-87-92-198-95-105-89-85
EPS in Rs-3.12-3.64-3.95-3.63-4.13-1.69-1.46-1.56-3.25-1.57-1.75-1.48-1.42

Last Updated: July 11, 2024, 11:08 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: July 11, 2024, 12:46 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales1912843983974139801,9932,9151,3471,434612423
Expenses1221191401622014787501,9529631,986968658
Operating Profit691652582362135021,243963384-551-356-235
OPM %36%58%65%59%51%51%62%33%29%-38%-58%-56%
Other Income718101296154492910956
Interest8246114813922459182451828417093
Depreciation85132324122711684959163
Profit before tax611541947714628162927-209-901-508-334
Tax %-4%34%22%4%30%25%27%-55%-10%4%5%-12%
Net Profit631021517410221046042-230-860-481-374
EPS in Rs2.313.704.862.122.693.997.590.09-4.27-14.42-7.95-6.22
Dividend Payout %110%18%52%119%31%22%15%3,836%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 (%)61.90%48.04%-50.99%37.84%105.88%119.05%-90.87%-647.62%-273.91%44.07%22.25%
Change in YoY Net Profit Growth (%)0.00%-13.87%-99.03%88.83%68.04%13.17%-209.92%-556.75%373.71%317.98%-21.82%

Growth

Compounded Sales Growth
10 Years:4%
5 Years:-27%
3 Years:-32%
TTM:-31%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:-34%
TTM:19%
Stock Price CAGR
10 Years:8%
5 Years:-27%
3 Years:-35%
1 Year:77%
Return on Equity
10 Years:-3%
5 Years:-8%
3 Years:-13%
Last Year:-10%

Last Updated: July 17, 2024, 4:35 pm

Balance Sheet

Last Updated: July 11, 2024, 12:46 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital464652596493113102115121122122
Reserves1711712682733851,8066,3124,9255,0684,9423,6923,324
Borrowings1373681,6902,1931,5194,9298,6485,4103,7392,4821,021697
Other Liabilities1912324151962479309421,1291,2001,079479381
Total Liabilities5468182,4252,7202,2157,75816,01511,56610,1218,6245,3144,523
Fixed Assets32346646608666118755409537319252
CWIP10113685966740
Investments43326901634996386341,42058851055
Other Assets4707511,6802,0231,9597,18815,25010,1718,2867,4924,4814,216
Total Assets5468182,4252,7202,2157,75816,01511,56610,1218,6245,3144,523

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity -94376-26810203-2,912-7,0446,040925-702848-231
Cash from Investing Activity 66166-330-77120-537-204-848-53777477489
Cash from Financing Activity 40-431994196-2474,4737,062-4,093-1,168-801-1,168-318
Net Cash Flow13112397129761,024-1851,099-780-729-244-60

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-68.00-203.00257.00234.00212.00498.00-7.00958.00381.00-553.00-357.00-932.00

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 Days11517822829229898501938337175
Inventory Days2401,5582,804
Days Payable284124220
Cash Conversion Cycle11517822829229898501938-111,5052,659
Working Capital Days30212503779660-103143169185232774360
ROCE %22%38%19%10%12%11%11%6%3%-7%-5%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters29.26%30.05%30.05%33.00%33.00%33.01%32.89%32.89%32.89%31.26%31.26%30.77%
FIIs27.30%28.86%27.16%21.89%20.52%18.34%15.87%14.56%14.14%14.38%14.27%14.63%
DIIs1.41%1.40%1.41%1.40%1.42%1.43%1.45%1.38%1.38%1.43%1.45%1.47%
Public38.81%36.45%38.15%38.84%40.18%42.37%44.96%46.33%46.74%48.10%48.20%48.29%
Others3.23%3.23%3.23%4.87%4.87%4.87%4.85%4.85%4.85%4.85%4.85%4.85%
No. of Shareholders99,76796,1741,11,2771,92,1742,07,2432,08,4072,14,4082,13,6772,22,5542,20,9852,13,5062,11,898

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
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)-6.49-8.31-15.30-4.160.07
Diluted EPS (Rs.)-6.49-8.31-15.30-4.160.07
Cash EPS (Rs.)-5.12-6.42-12.63-2.553.09
Book Value[Excl.RevalReserv]/Share (Rs.)56.9063.6286.9998.0083.75
Book Value[Incl.RevalReserv]/Share (Rs.)56.9063.6286.9998.0083.75
Revenue From Operations / Share (Rs.)6.9510.0123.6722.8957.03
PBDIT / Share (Rs.)-2.94-4.12-8.766.4018.45
PBIT / Share (Rs.)-3.97-5.62-10.334.9316.17
PBT / Share (Rs.)-5.50-8.35-14.87-3.640.52
Net Profit / Share (Rs.)-6.15-7.91-14.20-4.010.81
NP After MI And SOA / Share (Rs.)-6.17-7.89-14.30-3.930.08
PBDIT Margin (%)-42.23-41.19-37.0027.9632.34
PBIT Margin (%)-57.07-56.12-43.6221.5528.36
PBT Margin (%)-79.10-83.41-62.80-15.920.92
Net Profit Margin (%)-88.43-79.09-59.97-17.521.43
NP After MI And SOA Margin (%)-88.73-78.81-60.39-17.160.14
Return on Networth / Equity (%)-10.89-12.57-17.11-4.340.11
Return on Capital Employeed (%)-6.85-8.65-10.584.3712.47
Return On Assets (%)-8.29-9.01-10.04-2.220.03
Long Term Debt / Equity (X)0.000.000.100.140.23
Total Debt / Equity (X)0.180.250.440.681.38
Asset Turnover Ratio (%)0.080.080.010.000.02
Current Ratio (X)2.972.522.442.361.99
Quick Ratio (X)2.712.332.402.361.99
Dividend Payout Ratio (NP) (%)0.000.000.000.003969.38
Dividend Payout Ratio (CP) (%)0.000.000.000.00142.64
Earning Retention Ratio (%)0.000.000.000.00-3869.38
Cash Earning Retention Ratio (%)0.000.000.000.00-42.64
Interest Coverage Ratio (X)-1.92-1.51-1.930.741.18
Interest Coverage Ratio (Post Tax) (X)-3.01-1.90-2.130.531.05
Enterprise Value (Cr.)2336.581939.994879.0711614.168357.75
EV / Net Operating Revenue (X)5.533.193.408.862.87
EV / EBITDA (X)-13.08-7.74-9.1931.688.86
MarketCap / Net Operating Revenue (X)5.472.662.637.351.90
Retention Ratios (%)0.000.000.000.00-3869.38
Price / BV (X)0.670.420.741.861.49
Price / Net Operating Revenue (X)5.472.662.637.351.90
EarningsYield-0.16-0.29-0.22-0.020.00

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 89.98

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: 65.41% compared to the current price 54.4

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

Intrinsic Value: 60.45

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.

Undervalued: 11.12% compared to the current price 54.4

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

Last 5 Year EPS CAGR: -32.82%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
    1. The stock has a low average ROCE of 10.00%, which may not be favorable.
    2. The stock has a high average Working Capital Days of 328.67, which may not be favorable.
    3. The stock has a high average Cash Conversion Cycle of 109.00, which may not be favorable.
    4. The company has higher borrowings (2,736.08) compared to reserves (2,611.42), which may suggest financial risk.
    5. The company has not shown consistent growth in sales (308.58) and profit (-31.92).

    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 Dhani Services Ltd:
      1. Net Profit Margin: -88.43%
        • 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: -6.85% (Industry Average ROCE: 0%%)
        • 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%: -10.89% (Industry Average ROE: 0%%)
        • 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): -3.01
        • 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: 2.71
        • 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: (Industry average Stock P/E: 84.95)
        • 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: 0.18
        • 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

    Dhani Services Ltd. is a Public Limited Listed company incorporated on 09/06/1995 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L74110DL1995PLC069631 and registration number is 069631. Currently Company is involved in the business activities of Other financial service activities, except insurance and pension funding activities. Company’s Total Operating Revenue is Rs. 44.54 Cr. and Equity Capital is Rs. 121.19 Cr. for the Year ended 31/03/2022.
    INDUSTRYADDRESSCONTACT
    Finance & Investments1/1 E, First Floor, East Patel Nagar, New Delhi Delhi 110008support@dhani.com
    http://www.dhani.com
    Management
    NamePosition Held
    Mr. Divyesh B ShahExecutive Director & CEO
    Mr. Gurbans SinghExecutive Chairman
    Mr. Amit Ajit GandhiNon Exe.Non Ind.Director
    Ms. Swati JainIndependent Director
    Mr. Prem Prakash MirdhaIndependent Director
    Mr. Aishwarya KatochIndependent Director

    FAQ

    What is the latest fair value of Dhani Services Ltd?

    The latest fair value of Dhani Services Ltd is ₹89.98.

    What is the Market Cap of Dhani Services Ltd?

    The Market Cap of Dhani Services Ltd is 3,279 Cr..

    What is the current Stock Price of Dhani Services Ltd as on 22 July 2024?

    The current stock price of Dhani Services Ltd as on 22 July 2024 is 54.4.

    What is the High / Low of Dhani Services Ltd stocks in FY 2024?

    In FY 2024, the High / Low of Dhani Services Ltd stocks is 62.3/33.2.

    What is the Stock P/E of Dhani Services Ltd?

    The Stock P/E of Dhani Services Ltd is .

    What is the Book Value of Dhani Services Ltd?

    The Book Value of Dhani Services Ltd is 57.1.

    What is the Dividend Yield of Dhani Services Ltd?

    The Dividend Yield of Dhani Services Ltd is 0.00 %.

    What is the ROCE of Dhani Services Ltd?

    The ROCE of Dhani Services Ltd is 5.33 %.

    What is the ROE of Dhani Services Ltd?

    The ROE of Dhani Services Ltd is 10.3 %.

    What is the Face Value of Dhani Services Ltd?

    The Face Value of Dhani Services 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 Dhani Services 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