EMS Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 27, 2024, 8:28 pm

Market Cap	4,848 Cr.
Current Price	873
High / Low	1,017/353
Stock P/E	28.3
Book Value	159
Dividend Yield	0.23 %
ROCE	29.3 %
ROE	22.9 %
Face Value	10.0
PEG Ratio	6.02

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

Stock P/E Current Price Intrinsic Value

View Share Price Target for EMS Ltd

Competitors of EMS Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
EMS Ltd	4,848 Cr.	873	1,017/353	28.3	159	0.23 %	29.3 %	22.9 %	10.0
Industry Average	4,848.00 Cr	873.00		28.30	159.00	0.23%	29.30%	22.90%	10.00

All Competitor Stocks of EMS Ltd

Quarterly Result

Month	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024
Sales	121	151	190	138	211	200	245	206
Expenses	78	109	143	106	154	153	178	156
Operating Profit	43	43	48	32	57	47	68	50
OPM %	36%	28%	25%	23%	27%	23%	28%	24%
Other Income	2	1	2	1	8	6	1	2
Interest	1	1	1	2	2	1	2	1
Depreciation	1	1	1	1	1	1	3	2
Profit before tax	43	42	48	31	62	51	64	49
Tax %	31%	28%	25%	25%	26%	26%	26%	25%
Net Profit	30	30	36	23	45	37	47	37
EPS in Rs					8.15	6.72	8.53	6.68

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: September 23, 2024, 2:32 pm

Month	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	TTM
Sales	326	331	360	538	793	862
Expenses	230	232	247	388	589	640
Operating Profit	96	99	113	150	204	222
OPM %	30%	30%	31%	28%	26%	26%
Other Income	7	5	3	5	16	17
Interest	3	4	6	4	6	6
Depreciation	2	2	3	3	7	7
Profit before tax	98	98	107	148	207	226
Tax %	26%	27%	27%	26%	26%
Net Profit	72	72	79	109	153	167
EPS in Rs					27.44	30.08
Dividend Payout %	0%	0%	0%	0%	7%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	0.00%	9.72%	37.97%	40.37%
Change in YoY Net Profit Growth (%)	0.00%	9.72%	28.25%	2.39%

EMS Ltd has shown a consistent positive trend in YoY Net Profit Growth (%) in the last 4 years from 2020-2021 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	%
5 Years:	%
3 Years:	34%
TTM:	28%

Compounded Profit Growth
10 Years:	%
5 Years:	%
3 Years:	27%
TTM:	29%

Stock Price CAGR
10 Years:	%
5 Years:	%
3 Years:	%
1 Year:	106%

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

Last Updated: Unknown

Balance Sheet

Last Updated: December 14, 2024, 1:46 pm

Month	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	12	12	12	47	56	56
Reserves	218	290	368	444	743	829
Borrowings	16	4	4	45	71	79
Other Liabilities	62	73	119	103	101	118
Total Liabilities	308	378	503	639	970	1,082
Fixed Assets	31	36	51	54	94	97
CWIP	0	3	0	4	-0	-0
Investments	0	0	1	2	10	18
Other Assets	276	340	451	579	866	967
Total Assets	308	378	503	639	970	1,082

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	47	36	23	4	-116
Cash from Investing Activity +	-27	-8	-15	-21	-70
Cash from Financing Activity +	-6	-11	3	38	176
Net Cash Flow	15	16	11	21	-9

Free Cash Flow

Month	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	80.00	95.00	109.00	105.00	133.00

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 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	44	103	160	84	112
Inventory Days
Days Payable
Cash Conversion Cycle	44	103	160	84	112
Working Capital Days	127	184	219	137	156
ROCE %		37%	33%	33%	29%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024
Promoters	69.70%	69.70%	69.70%	69.70%	69.70%
FIIs	7.23%	4.09%	2.78%	0.88%	0.75%
DIIs	1.78%	1.45%	1.43%	1.58%	1.08%
Public	21.28%	24.75%	26.08%	27.84%	28.46%
No. of Shareholders	46,765	38,767	43,841	58,971	94,855

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
Navi Flexi Cap Fund	30,000	0.91	2.51	30,000	2024-12-26	0%
Navi Aggressive Hybrid Fund	21,500	1.63	1.8	30,000	2024-12-26	-28.33%

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.)	29.38	23.16	67.27	61.24	61.62
Diluted EPS (Rs.)	29.38	23.16	67.27	61.24	61.62
Cash EPS (Rs.)	28.67	23.88	69.32	62.68	62.98
Book Value[Excl.RevalReserv]/Share (Rs.)	144.16	104.86	324.36	257.09	195.74
Book Value[Incl.RevalReserv]/Share (Rs.)	144.16	104.86	324.36	257.09	195.74
Revenue From Operations / Share (Rs.)	142.86	114.50	306.26	281.45	277.14
PBDIT / Share (Rs.)	39.55	33.00	98.52	88.83	87.46
PBIT / Share (Rs.)	38.37	32.28	96.37	87.36	86.13
PBT / Share (Rs.)	37.24	31.46	91.48	83.57	83.66
Net Profit / Share (Rs.)	27.49	23.16	67.17	61.20	61.65
NP After MI And SOA / Share (Rs.)	27.44	22.91	66.51	61.18	61.65
PBDIT Margin (%)	27.68	28.82	32.16	31.56	31.55
PBIT Margin (%)	26.85	28.19	31.46	31.03	31.07
PBT Margin (%)	26.06	27.47	29.87	29.69	30.18
Net Profit Margin (%)	19.24	20.22	21.93	21.74	22.24
NP After MI And SOA Margin (%)	19.20	20.01	21.71	21.73	22.24
Return on Networth / Equity (%)	19.09	21.94	20.55	23.80	31.49
Return on Capital Employeed (%)	24.18	26.92	28.74	32.87	40.72
Return On Assets (%)	15.70	16.78	15.55	19.00	23.51
Long Term Debt / Equity (X)	0.08	0.09	0.01	0.01	0.05
Total Debt / Equity (X)	0.08	0.09	0.01	0.01	0.06
Asset Turnover Ratio (%)	0.98	0.94	0.00	0.90	0.00
Current Ratio (X)	6.14	5.41	3.82	4.54	3.76
Quick Ratio (X)	5.14	4.06	3.32	4.00	3.04
Dividend Payout Ratio (NP) (%)	3.64	0.00	0.00	0.00	0.00
Dividend Payout Ratio (CP) (%)	3.49	0.00	0.00	0.00	0.00
Earning Retention Ratio (%)	96.36	0.00	0.00	0.00	0.00
Cash Earning Retention Ratio (%)	96.51	0.00	0.00	0.00	0.00
Interest Coverage Ratio (X)	34.95	40.38	20.15	23.44	35.43
Interest Coverage Ratio (Post Tax) (X)	25.29	29.34	14.74	17.15	25.97
Enterprise Value (Cr.)	2183.92	0.00	0.00	0.00	0.00
EV / Net Operating Revenue (X)	2.75	0.00	0.00	0.00	0.00
EV / EBITDA (X)	9.94	0.00	0.00	0.00	0.00
MarketCap / Net Operating Revenue (X)	2.81	0.00	0.00	0.00	0.00
Retention Ratios (%)	96.35	0.00	0.00	0.00	0.00
Price / BV (X)	2.79	0.00	0.00	0.00	0.00
Price / Net Operating Revenue (X)	2.81	0.00	0.00	0.00	0.00
EarningsYield	0.06	0.00	0.00	0.00	0.00

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of EMS Ltd as of December 28, 2024 is: 1,032.80

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 28, 2024, EMS Ltd is Undervalued by 18.30% compared to the current share price 873.00

Intrinsic Value of EMS Ltd as of December 28, 2024 is: 1,081.34

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 28, 2024, EMS Ltd is Undervalued by 23.86% compared to the current share price 873.00

Last 5 Year EPS CAGR: 4.70%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The stock has a high average ROCE of 26.40%, which is a positive sign. The company has higher reserves (482.00 cr) compared to borrowings (36.50 cr), indicating strong financial stability. The company has shown consistent growth in sales (535.00 cr) and profit (147.33 cr) over the years.	The stock has a high average Working Capital Days of 164.60, which may not be favorable. The stock has a high average Cash Conversion Cycle of 100.60, 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 EMS Ltd:
1. Net Profit Margin: 19.24%
  - 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: 24.18% (Industry Average ROCE: 29.3%)
  - 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%: 19.09% (Industry Average ROE: 22.9%)
  - 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): 25.29
  - 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: 5.14
  - 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: 28.3 (Industry average Stock P/E: 28.3)
  - 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: 0.08
  - 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

Water Supply & Management

INDUSTRY	ADDRESS	CONTACT
701, DLF Tower A, New Delhi Delhi 110025	Mr.	Ramveer%20Singh Chairman%20&%20Director

Management
Name	Position Held
Mr. Ashish Tomar	Managing Director & CFO
Mrs. Kritika Tomar	Whole Time Director
Ms. Swati Jain	Ind. Non-Executive Director
Mr. Mukesh Garg	Ind. Non-Executive Director
Mrs. Chetna	Ind. Non-Executive Director
Mr. Achal Kapoor	Ind. Non-Executive Director

FAQ

What is the latest intrinsic value of EMS Ltd?

The latest intrinsic value of EMS Ltd as on 28 December 2024 is ₹1032.80, which is 18.30% higher than the current market price of ₹873.00. The stock has a market capitalization of 4,848 Cr. and recorded a high/low of 1,017/353 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹829 Cr and total liabilities of ₹1,082 Cr.

What is the Market Cap of EMS Ltd?

The Market Cap of EMS Ltd is 4,848 Cr..

What is the current Stock Price of EMS Ltd as on 28 December 2024?

The current stock price of EMS Ltd as on 28 December 2024 is 873.

What is the High / Low of EMS Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of EMS Ltd stocks is 1,017/353.

What is the Stock P/E of EMS Ltd?

The Stock P/E of EMS Ltd is 28.3.

What is the Book Value of EMS Ltd?

The Book Value of EMS Ltd is 159.

What is the Dividend Yield of EMS Ltd?

The Dividend Yield of EMS Ltd is 0.23 %.

What is the ROCE of EMS Ltd?

The ROCE of EMS Ltd is 29.3 %.

What is the ROE of EMS Ltd?

The ROE of EMS Ltd is 22.9 %.

What is the Face Value of EMS Ltd?

The Face Value of EMS Ltd is 10.0.