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Last Updated on: 15 October, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

FDC Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 15, 2024, 11:32 pm

Market Cap 9,197 Cr.
Current Price 565
High / Low659/343
Stock P/E29.3
Book Value 129
Dividend Yield0.00 %
ROCE18.4 %
ROE14.2 %
Face Value 1.00
PEG Ratio19.09

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

View Share Price Target for FDC Ltd

Competitors of FDC Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Industry Average0 Cr0000%0.59%0.49%0

All Competitor Stocks of FDC Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales340313447398342341495445409435536486458
Expenses266262332326294322417378360386414410374
Operating Profit7452115714819786749491227684
OPM %22%16%26%18%14%6%16%15%12%11%23%16%18%
Other Income3513233013101913187292725
Interest1111111111111
Depreciation910109999101010101010
Profit before tax9954128915119876957451419398
Tax %24%13%24%21%30%45%19%25%28%32%22%25%19%
Net Profit754798723610715241311107079
EPS in Rs4.462.785.804.292.110.624.263.122.461.856.624.294.87

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales7107728458889941,0131,0741,0891,3411,3311,5251,7811,867
Expenses5455916386907657698418601,0389971,2711,5301,570
Operating Profit165181207199229243233229304334254251297
OPM %23%23%24%22%23%24%22%21%23%25%17%14%16%
Other Income27463946394445425795765082
Interest1232111133344
Depreciation18282539343535333738373939
Profit before tax172198218204232252241237320388289258335
Tax %22%22%38%27%27%25%28%28%25%22%25%25%
Net Profit134155135148169189174170240301216194251
EPS in Rs7.338.497.618.339.4810.609.959.7414.0317.8512.8211.7015.14
Dividend Payout %27%26%30%27%24%21%0%0%6%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)15.67%-12.90%9.63%14.19%11.83%-7.94%-2.30%41.18%25.42%-28.24%-10.19%
Change in YoY Net Profit Growth (%)0.00%-28.57%22.53%4.56%-2.35%-19.77%5.64%43.48%-15.76%-53.66%18.05%

FDC Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2012-2013 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:9%
5 Years:12%
3 Years:13%
TTM:12%
Compounded Profit Growth
10 Years:9%
5 Years:11%
3 Years:1%
TTM:35%
Stock Price CAGR
10 Years:14%
5 Years:28%
3 Years:17%
1 Year:45%
Return on Equity
10 Years:14%
5 Years:13%
3 Years:12%
Last Year:14%

Last Updated: Unknown

Balance Sheet

Last Updated: September 15, 2024, 3:43 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital181818181818181717171716
Reserves7668279191,0651,2521,2591,4281,5301,7171,9401,9652,081
Borrowings33211111515322821
Other Liabilities179211210182197228194250207281333350
Total Liabilities9661,0591,1481,2661,4681,5051,6401,8131,9562,2702,3432,468
Fixed Assets289284393675678674682674689705699680
CWIP7182920613122419105198261
Investments416417489325491471585665790886806843
Other Assets254340237246293348360451458575640684
Total Assets9661,0591,1481,2661,4681,5051,6401,8131,9562,2702,3432,468

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 150150128174154150112250207162155221
Cash from Investing Activity -107-55-89-73-14421-121-98-77-14511-17
Cash from Financing Activity -63-75-48-970-169-0-142-129-10-180-202
Net Cash Flow-2019-94111-81017-142

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow165.00178.00204.00197.00228.00242.00232.00228.00289.00319.00222.00223.00

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 Days202625232728293430202522
Inventory Days117116132134148166184180189210183216
Days Payable729094848110182101689499103
Cash Conversion Cycle665164729493131113152135109135
Working Capital Days242112123294541504749139
ROCE %23%25%21%22%21%19%17%21%22%15%13%19%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters69.35%69.36%69.36%69.50%69.49%69.49%69.49%69.49%69.66%69.66%69.66%69.66%
FIIs4.51%4.47%4.52%4.34%3.99%3.77%3.80%2.06%2.42%2.43%2.65%2.51%
DIIs4.65%5.46%5.86%6.07%6.77%7.76%8.27%9.13%8.12%7.76%6.94%6.72%
Public21.48%20.72%20.27%20.09%19.75%18.98%18.44%19.32%19.80%20.15%20.76%21.11%
No. of Shareholders49,88953,58286,50365,31863,17259,87157,01256,71756,92855,34152,37750,634

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Small Cap Fund4,257,2620.41154.2430,0832024-10-1414051.72%
ICICI Prudential Smallcap Fund1,509,0880.9154.6730,0832024-10-144916.41%
ICICI Prudential Multi Asset Fund704,0020.125.5130,0832024-10-142240.2%
Bandhan Emerging Businesses Fund525,8740.8519.0530,0832024-10-141648.08%
ICICI Prudential Multicap Fund467,0040.1916.9230,0832024-10-141452.39%
Samco Active Momentum Fund429,0983.6115.5530,0832024-10-141326.38%
ITI Pharma and Healthcare Fund69,8691.972.5330,0832024-10-14132.25%
Nippon India Nifty Smallcap 250 Index Fund30,0830.151.0930,0832024-10-140%
Motilal Oswal Nifty Smallcap 250 Index Fund18,8870.150.6830,0832024-10-14-37.22%
SBI Nifty Smallcap 250 Index Fund13,8650.150.530,0832024-10-14-53.91%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)18.5811.6612.8117.7213.94
Diluted EPS (Rs.)18.5811.6612.8117.7213.94
Cash EPS (Rs.)21.1914.0315.0120.0816.28
Book Value[Excl.RevalReserv]/Share (Rs.)128.81119.43115.89102.7290.51
Book Value[Incl.RevalReserv]/Share (Rs.)128.81119.43115.89102.7290.51
Revenue From Operations / Share (Rs.)119.34107.5190.5178.9878.62
PBDIT / Share (Rs.)27.0418.1319.5425.5421.16
PBIT / Share (Rs.)24.5815.7917.3323.3018.97
PBT / Share (Rs.)24.3415.5417.1422.9718.77
Net Profit / Share (Rs.)18.7411.6812.8117.8414.09
NP After MI And SOA / Share (Rs.)18.7411.7012.8217.8514.03
PBDIT Margin (%)22.6516.8621.5832.3326.91
PBIT Margin (%)20.6014.6819.1429.4924.13
PBT Margin (%)20.3914.4518.9429.0823.87
Net Profit Margin (%)15.7010.8614.1422.5917.92
NP After MI And SOA Margin (%)15.7010.8714.1622.6017.84
Return on Networth / Equity (%)14.549.7811.0517.3715.50
Return on Capital Employeed (%)18.5512.8914.6322.4420.70
Return On Assets (%)12.368.289.5315.4013.23
Asset Turnover Ratio (%)0.800.770.720.700.77
Current Ratio (X)3.593.303.674.583.76
Quick Ratio (X)2.342.242.563.522.91
Inventory Turnover Ratio (X)1.631.851.751.641.77
Dividend Payout Ratio (NP) (%)0.000.000.000.005.71
Dividend Payout Ratio (CP) (%)0.000.000.000.004.94
Earning Retention Ratio (%)0.000.000.000.0094.29
Cash Earning Retention Ratio (%)0.000.000.000.0095.06
Interest Coverage Ratio (X)109.1173.60106.74125.53105.92
Interest Coverage Ratio (Post Tax) (X)76.6248.4270.9789.3271.51
Enterprise Value (Cr.)6886.084231.474298.404791.753318.24
EV / Net Operating Revenue (X)3.542.372.813.592.47
EV / EBITDA (X)15.6414.0713.0311.129.17
MarketCap / Net Operating Revenue (X)3.562.392.843.622.49
Retention Ratios (%)0.000.000.000.0094.28
Price / BV (X)3.302.152.222.782.17
Price / Net Operating Revenue (X)3.562.392.843.622.49
EarningsYield0.040.040.040.060.07

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of FDC Ltd as of October 15, 2024 is: ₹547.45

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 October 15, 2024, FDC Ltd is Overvalued by 3.11% compared to the current share price ₹565.00

Intrinsic Value of FDC Ltd as of October 15, 2024 is: ₹555.85

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 October 15, 2024, FDC Ltd is Overvalued by 1.62% compared to the current share price ₹565.00

Last 5 Year EPS CAGR: 1.53%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 19.83%, which is a positive sign.
  2. The company has higher reserves (1,395.75 cr) compared to borrowings (10.25 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (324.38 cr) and profit (257.23 cr) over the years.
  1. The stock has a high average Working Capital Days of 40.08, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 101.25, 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 FDC Ltd:
    1. Net Profit Margin: 15.7%
      • 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: 18.55% (Industry Average ROCE: 0.59%)
      • 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%: 14.54% (Industry Average ROE: 0.49%)
      • 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): 76.62
      • 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: 2.34
      • 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: 29.3 (Industry average Stock P/E: 0)
      • 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
      • 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

FDC Ltd. is a Public Limited Listed company incorporated on 23/09/1940 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24239MH1940PLC003176 and registration number is 003176. Currently Company is involved in the business activities of Manufacture of allopathic pharmaceutical preparations. Company’s Total Operating Revenue is Rs. 1518.97 Cr. and Equity Capital is Rs. 16.88 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
PharmaceuticalsB-8, MIDC Industrial Estate, Chhatrapati Sambhaji Nagar Aurangabad District Maharashtra 431136investors@fdcindia.com
www.fdcindia.com
Management
NamePosition Held
CA. Uday Kumar GurkarChairman & Ind.Director
Mr. Mohan A ChandavarkarManaging Director
Mr. Nandan M ChandavarkarJoint Managing Director
Mr. Ameya A ChandavarkarExecutive Director & CEO
Mr. Ashok A ChandavarkarExecutive Director
Ms. Nomita R ChandavarkarNon Exe.Non Ind.Director
CA. Swati S MayekarIndependent Director
Dr. Mahesh BijlaniIndependent Director
Mr. Vijay ManiarIndependent Director
Mr. Vijay Nautamlal BhattIndependent Director

FAQ

What is the latest fair value of FDC Ltd?

The latest fair value of FDC Ltd is ₹547.45.

What is the Market Cap of FDC Ltd?

The Market Cap of FDC Ltd is 9,197 Cr..

What is the current Stock Price of FDC Ltd as on 15 October 2024?

The current stock price of FDC Ltd as on 15 October 2024 is ₹565.

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

In FY 2024, the High / Low of FDC Ltd stocks is 659/343.

What is the Stock P/E of FDC Ltd?

The Stock P/E of FDC Ltd is 29.3.

What is the Book Value of FDC Ltd?

The Book Value of FDC Ltd is 129.

What is the Dividend Yield of FDC Ltd?

The Dividend Yield of FDC Ltd is 0.00 %.

What is the ROCE of FDC Ltd?

The ROCE of FDC Ltd is 18.4 %.

What is the ROE of FDC Ltd?

The ROE of FDC Ltd is 14.2 %.

What is the Face Value of FDC Ltd?

The Face Value of FDC 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 FDC 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