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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: 531153 | NSE: DILIGENT

Diligent Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 31, 2024, 3:04 pm

Market Cap 108 Cr.
Current Price 4.30
High / Low6.29/3.54
Stock P/E52.5
Book Value 0.71
Dividend Yield0.00 %
ROCE7.35 %
ROE12.0 %
Face Value 1.00
PEG Ratio1.44

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

View Share Price Target for Diligent Industries Ltd

Competitors of Diligent Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
IEL Ltd 19.0 Cr. 5.6912.0/4.5327.5 0.500.00 %17.5 %23.6 % 1.00
Evexia Lifecare Ltd 764 Cr. 4.074.34/1.55597 1.830.00 %0.30 %1.26 % 1.00
Diligent Industries Ltd 108 Cr. 4.306.29/3.5452.5 0.710.00 %7.35 %12.0 % 1.00
CIAN Agro Industries & Infrastructure Ltd 729 Cr. 260260/34.5150 32.00.00 %11.1 %5.85 % 10.0
BCL Industries Ltd 1,679 Cr. 56.986.3/45.816.1 25.60.44 %16.3 %17.1 % 1.00
Industry Average10,518.00 Cr147.13132.6161.900.19%10.06%9.26%5.14

All Competitor Stocks of Diligent Industries Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales19.5520.2730.1531.6830.2731.7126.3029.1726.3022.0722.7251.2030.24
Expenses19.4220.3029.2630.0229.9731.6725.3327.8325.3321.1921.4549.6228.47
Operating Profit0.13-0.030.891.660.300.040.971.340.970.881.271.581.77
OPM %0.66%-0.15%2.95%5.24%0.99%0.13%3.69%4.59%3.69%3.99%5.59%3.09%5.85%
Other Income0.540.770.490.000.951.130.720.750.720.370.000.570.00
Interest0.390.390.390.450.480.370.580.860.580.600.610.510.66
Depreciation0.180.180.180.400.360.360.270.320.270.270.270.430.26
Profit before tax0.100.170.810.810.410.440.840.910.840.380.391.210.85
Tax %0.00%5.88%23.46%37.04%-39.02%54.55%28.57%41.76%28.57%13.16%25.64%33.06%24.71%
Net Profit0.100.150.620.500.570.200.600.540.600.330.290.800.64
EPS in Rs0.010.010.050.040.050.020.050.050.050.030.030.070.06

Last Updated: October 7, 2024, 8:12 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales484184466178788171102121122126
Expenses46398144597577806999119118121
Operating Profit2232231223256
OPM %5%5%4%5%3%4%1%2%3%3%2%4%4%
Other Income0000002112421
Interest2222221222222
Depreciation0100000111111
Profit before tax0-100010112333
Tax %53%-62%135%-40%129%34%16%22%27%27%21%28%
Net Profit0-0-00-010001222
EPS in Rs0.05-0.02-0.010.01-0.000.060.040.040.040.120.190.180.19
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2018-20192022-20232023-2024
YoY Net Profit Growth (%)-100.00%100.00%0.00%
Change in YoY Net Profit Growth (%)0.00%200.00%-100.00%

Diligent Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 3 years from 2018-2019 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:12%
5 Years:9%
3 Years:20%
TTM:11%
Compounded Profit Growth
10 Years:28%
5 Years:38%
3 Years:62%
TTM:6%
Stock Price CAGR
10 Years:-6%
5 Years:47%
3 Years:30%
1 Year:-18%
Return on Equity
10 Years:6%
5 Years:10%
3 Years:12%
Last Year:12%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital111111111111111111111111
Reserves-1-1-1-1-1-0-001246
Borrowings131517192025242528314857
Other Liabilities694320211116174122641
Total Liabilities3034714952475253445790116
Fixed Assets1099888778131211
CWIP000002224012
Investments000003333333
Other Assets2025624144343941304175100
Total Assets3034714952475253445790116

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity -3-00-662223-2-10-5
Cash from Investing Activity -0-000-0-5-0-0-3-2-1-1
Cash from Financing Activity 2-0-16-63-2-1-15107
Net Cash Flow-1-0-0-01-0-00-01-10

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-11.00-13.00-14.00-17.00-18.00-22.00-23.00-23.00-26.00-28.00-46.00-52.00

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 Days78125235174279911913710649135141
Inventory Days548027453928302138825872
Days Payable50861981511314464731640754
Cash Conversion Cycle821196468-6483858412892118209
Working Capital Days9912975160130106105102127100143173
ROCE %15%6%10%6%6%8%6%6%6%8%9%7%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters61.33%61.33%61.33%61.33%61.33%61.33%61.33%61.33%61.33%61.33%61.33%61.33%
Public38.67%38.67%38.67%38.67%38.68%38.67%38.67%38.68%38.68%38.68%38.68%38.67%
No. of Shareholders2,1142,3622,7394,8214,9836,5256,4057,0387,2018,67211,76612,562

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
FaceValue1.001.005.005.005.00
Basic EPS (Rs.)0.180.190.600.210.21
Diluted EPS (Rs.)0.180.190.600.210.21
Cash EPS (Rs.)0.280.311.010.480.47
Book Value[Excl.RevalReserv]/Share (Rs.)1.571.396.015.415.20
Book Value[Incl.RevalReserv]/Share (Rs.)1.571.396.015.415.20
Revenue From Operations / Share (Rs.)10.6910.6044.4431.1335.56
PBDIT / Share (Rs.)0.550.551.951.321.19
PBIT / Share (Rs.)0.440.421.531.050.92
PBT / Share (Rs.)0.240.240.810.280.27
Net Profit / Share (Rs.)0.170.180.590.210.20
PBDIT Margin (%)5.195.194.374.243.35
PBIT Margin (%)4.184.043.443.362.61
PBT Margin (%)2.302.261.840.920.76
Net Profit Margin (%)1.651.781.340.670.59
Return on Networth / Equity (%)11.3013.589.943.884.03
Return on Capital Employeed (%)8.8310.4010.799.689.04
Return On Assets (%)1.752.392.391.080.90
Long Term Debt / Equity (X)2.231.961.361.000.97
Total Debt / Equity (X)3.183.042.282.242.06
Asset Turnover Ratio (%)1.191.642.011.461.55
Current Ratio (X)1.721.711.641.491.35
Quick Ratio (X)1.321.280.751.141.20
Inventory Turnover Ratio (X)6.120.006.9211.5014.37
Interest Coverage Ratio (X)2.762.932.741.741.82
Interest Coverage Ratio (Post Tax) (X)1.882.001.841.281.32
Enterprise Value (Cr.)113.59137.49225.6846.2832.39
EV / Net Operating Revenue (X)0.921.132.220.650.39
EV / EBITDA (X)17.8721.8450.7015.3211.86
MarketCap / Net Operating Revenue (X)0.460.731.920.260.10
Price / BV (X)3.185.6214.191.520.69
Price / Net Operating Revenue (X)0.460.731.920.260.10
EarningsYield0.030.020.010.020.05

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Diligent Industries Ltd as of November 4, 2024 is: 4.56

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 November 4, 2024, Diligent Industries Ltd is Undervalued by 6.05% compared to the current share price ₹4.30

Intrinsic Value of Diligent Industries Ltd as of November 4, 2024 is: 6.23

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, Diligent Industries Ltd is Undervalued by 44.88% compared to the current share price ₹4.30

Last 5 Year EPS CAGR: 36.56%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (81.46 cr) and profit (1.00 cr) over the years.
  1. The stock has a low average ROCE of 7.75%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 120.75, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 89.00, which may not be favorable.
  4. The company has higher borrowings (26.83) compared to reserves (0.67), 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 Diligent Industries Ltd:
    1. Net Profit Margin: 1.65%
      • 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: 8.83% (Industry Average ROCE: 10.06%)
      • 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%: 11.3% (Industry Average ROE: 9.26%)
      • 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): 1.88
      • 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: 1.32
      • 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: 52.5 (Industry average Stock P/E: 132.61)
      • 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: 3.18
      • 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

Diligent Industries Ltd. is a Public Limited Listed company incorporated on 13/01/1995 and has its registered office in the State of Andhra Pradesh, India. Company’s Corporate Identification Number(CIN) is L15490AP1995PLC088116 and registration number is 088116. Currently Company is involved in the business activities of Manufacture of vegetable oils and fats excluding corn oil. Company’s Total Operating Revenue is Rs. 101.65 Cr. and Equity Capital is Rs. 11.44 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Edible Oils & Solvent ExtractionDwarka Thirumala Road, West Godavari Dist. Andhra Pradesh 534432diligentinvestors@gmail.com
http://www.diligentindustries.com
Management
NamePosition Held
Mr. Bhanu Prakash VankineniManaging Director
Mr. Kirankumar VankineniExecutive Director
Mrs. Phani Anupama VankineniNon Exe.Non Ind.Director
Mr. Srinivas Babu EdupugantiIndependent Director
Mr. Lokeswararao NelluriIndependent Director
Mr. Mohammed BabaIndependent Director

FAQ

What is the latest fair value of Diligent Industries Ltd?

The latest fair value of Diligent Industries Ltd is ₹4.56.

What is the Market Cap of Diligent Industries Ltd?

The Market Cap of Diligent Industries Ltd is 108 Cr..

What is the current Stock Price of Diligent Industries Ltd as on 03 November 2024?

The current stock price of Diligent Industries Ltd as on 03 November 2024 is 4.30.

What is the High / Low of Diligent Industries Ltd stocks in FY 2024?

In FY 2024, the High / Low of Diligent Industries Ltd stocks is 6.29/3.54.

What is the Stock P/E of Diligent Industries Ltd?

The Stock P/E of Diligent Industries Ltd is 52.5.

What is the Book Value of Diligent Industries Ltd?

The Book Value of Diligent Industries Ltd is 0.71.

What is the Dividend Yield of Diligent Industries Ltd?

The Dividend Yield of Diligent Industries Ltd is 0.00 %.

What is the ROCE of Diligent Industries Ltd?

The ROCE of Diligent Industries Ltd is 7.35 %.

What is the ROE of Diligent Industries Ltd?

The ROE of Diligent Industries Ltd is 12.0 %.

What is the Face Value of Diligent Industries Ltd?

The Face Value of Diligent Industries 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 Diligent Industries 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