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Last Updated on: 17 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Genus Paper & Boards Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 15, 2024, 3:22 pm

Market Cap 534 Cr.
Current Price 20.8
High / Low30.3/16.0
Stock P/E191
Book Value 19.1
Dividend Yield0.00 %
ROCE4.34 %
ROE0.74 %
Face Value 1.00
PEG Ratio-8.87

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

View Share Price Target for Genus Paper & Boards Ltd

Competitors of Genus Paper & Boards Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Gratex Industries Ltd 6.98 Cr. 23.026.0/13.0116 11.60.00 %4.54 %3.18 % 10.0
Ganga Papers India Ltd 119 Cr. 110191/74.776.6 27.60.00 %6.93 %5.22 % 10.0
Encode Packaging India Ltd 4.35 Cr. 13.818.7/6.6562.1 10.40.00 %3.24 %3.65 % 10.0
Cella Space Ltd 32.2 Cr. 16.016.7/7.9034.6 10.30.00 %10.7 %% 10.0
Bandaram Pharma Packtech Ltd 51.9 Cr. 43.263.1/28.331.6 11.00.23 %9.10 %6.77 % 10.0
Industry Average2,972.35 Cr226.1947.96139.520.83%26.26%12.72%6.60

All Competitor Stocks of Genus Paper & Boards Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales80.6893.5791.45145.35170.69174.86179.21177.46141.64223.35178.18193.98155.26
Expenses71.3484.2781.79138.57147.08163.35164.08179.73135.12210.43165.68175.21141.25
Operating Profit9.349.309.666.7823.6111.5115.13-2.276.5212.9212.5018.7714.01
OPM %11.58%9.94%10.56%4.66%13.83%6.58%8.44%-1.28%4.60%5.78%7.02%9.68%9.02%
Other Income0.000.950.000.040.000.040.020.020.042.200.250.510.41
Interest0.810.461.882.551.210.852.602.765.308.007.707.847.99
Depreciation3.193.173.593.823.934.336.206.866.857.366.456.496.60
Profit before tax5.346.624.190.4518.476.376.35-11.87-5.59-0.24-1.404.95-0.17
Tax %22.28%22.36%28.64%-104.44%22.96%-20.25%24.41%3.45%11.63%29.17%25.00%16.57%47.06%
Net Profit4.165.163.000.9114.227.654.81-11.46-4.94-0.17-1.064.14-0.09
EPS in Rs0.160.200.120.040.550.300.19-0.45-0.19-0.01-0.040.16-0.00

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2014Mar 2015Mar 2021Mar 2022Mar 2023TTM
Sales247288286582722751
Expenses228262260531689693
Operating Profit192626523258
OPM %8%9%9%9%4%8%
Other Income741023
Interest66461932
Depreciation71013162727
Profit before tax13141029-113
Tax %22%34%24%12%-4%
Net Profit109826-123
EPS in Rs0.400.370.301.00-0.460.11
Dividend Payout %0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2014-20152021-20222022-2023
YoY Net Profit Growth (%)-10.00%225.00%-146.15%
Change in YoY Net Profit Growth (%)0.00%235.00%-371.15%

Genus Paper & Boards Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 3 years from 2014-2015 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:11%
5 Years:%
3 Years:36%
TTM:3%
Compounded Profit Growth
10 Years:-10%
5 Years:%
3 Years:-21%
TTM:237%
Stock Price CAGR
10 Years:%
5 Years:33%
3 Years:27%
1 Year:2%
Return on Equity
10 Years:%
5 Years:%
3 Years:1%
Last Year:1%

Last Updated: Unknown

Balance Sheet

Last Updated: September 15, 2024, 3:39 pm

MonthMar 2014Mar 2015Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital262626262626
Reserves300309339456441447
Borrowings496360219298355
Other Liabilities76878294179191
Total Liabilities4514855087949431,019
Fixed Assets175207199398536608
CWIP122415856
Investments556773656165
Other Assets209209195273342340
Total Assets4514855087949431,019

Reserves and Borrowings Chart

Cash Flow

MonthMar 2014Mar 2015Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +463950531373
Cash from Investing Activity +-15-40-29-185-110-100
Cash from Financing Activity +-297201394927
Net Cash Flow26417-481

Free Cash Flow

MonthMar 2014Mar 2015Mar 2021Mar 2022Mar 2023
Free Cash Flow-30.00-37.00-34.00-167.00-266.00

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 2014Mar 2015Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days616579384129
Inventory Days9210511776112133
Days Payable617411272108118
Cash Conversion Cycle939684434644
Working Capital Days12211699606055
ROCE %5%6%1%4%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters50.50%50.50%50.50%50.50%50.49%50.49%50.49%50.49%50.49%50.50%50.50%50.50%
FIIs0.02%0.10%0.08%0.07%0.06%0.06%0.05%0.03%0.12%0.02%0.07%0.04%
DIIs0.04%0.04%0.04%0.03%0.04%0.04%0.04%0.04%0.04%0.04%0.04%0.04%
Government0.00%0.00%0.00%0.00%0.02%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
Public49.44%49.35%49.38%49.40%49.39%49.42%49.41%49.43%49.34%49.44%49.40%49.43%
No. of Shareholders28,08927,85436,26042,73643,78943,57041,97340,53342,43443,65948,28546,798

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 15
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)0.13-0.461.000.300.37
Diluted EPS (Rs.)0.13-0.461.000.300.37
Cash EPS (Rs.)1.150.601.610.790.75
Book Value[Excl.RevalReserv]/Share (Rs.)18.4018.1418.7214.2013.93
Book Value[Incl.RevalReserv]/Share (Rs.)18.4018.1418.7214.2013.93
Revenue From Operations / Share (Rs.)27.6828.1522.6511.1111.22
PBDIT / Share (Rs.)2.361.342.011.041.18
PBIT / Share (Rs.)1.340.281.400.540.78
PBT / Share (Rs.)0.11-0.441.150.390.54
Net Profit / Share (Rs.)0.13-0.451.000.290.35
NP After MI And SOA / Share (Rs.)0.13-0.451.000.290.36
PBDIT Margin (%)8.504.778.869.3610.48
PBIT Margin (%)4.851.006.174.916.96
PBT Margin (%)0.41-1.565.053.544.81
Net Profit Margin (%)0.48-1.624.422.693.19
NP After MI And SOA Margin (%)0.48-1.624.422.693.25
Return on Networth / Equity (%)0.73-2.525.352.102.80
Return on Capital Employeed (%)4.621.065.493.435.02
Return On Assets (%)0.33-1.243.241.511.93
Long Term Debt / Equity (X)0.480.390.310.070.06
Total Debt / Equity (X)0.700.600.420.140.17
Asset Turnover Ratio (%)0.720.830.710.000.65
Current Ratio (X)1.101.171.681.731.81
Quick Ratio (X)0.430.541.041.111.14
Inventory Turnover Ratio (X)2.784.425.050.004.07
Interest Coverage Ratio (X)1.921.857.966.844.90
Interest Coverage Ratio (Post Tax) (X)1.110.364.982.972.49
Enterprise Value (Cr.)797.62608.19527.34205.72118.58
EV / Net Operating Revenue (X)1.120.840.900.710.41
EV / EBITDA (X)13.1717.6010.217.693.92
MarketCap / Net Operating Revenue (X)0.660.460.610.630.17
Price / BV (X)1.010.710.740.490.15
Price / Net Operating Revenue (X)0.660.460.610.630.17
EarningsYield0.01-0.030.070.040.18

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Genus Paper & Boards Ltd as of November 17, 2024 is: 27.54

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 17, 2024, Genus Paper & Boards Ltd is Undervalued by 32.40% compared to the current share price 20.80

Intrinsic Value of Genus Paper & Boards Ltd as of November 17, 2024 is: 21.61

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 17, 2024, Genus Paper & Boards Ltd is Undervalued by 3.89% compared to the current share price 20.80

Last 5 Year EPS CAGR: -21.54%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock is trading at a low valuation with an average P/B ratio of 0.87 and average Dividend Yield of 4.78%.
  2. The company has higher reserves (382.00 cr) compared to borrowings (174.00 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (479.33 cr) and profit (9.67 cr) over the years.
  1. The stock has a low average ROCE of 2.67%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 85.33, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 67.67, 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 Genus Paper & Boards Ltd:
    1. Net Profit Margin: 0.48%
      • 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: 4.62% (Industry Average ROCE: 26.26%)
      • 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%: 0.73% (Industry Average ROE: 12.72%)
      • 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): 1.11
      • 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: 0.43
      • 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: 191 (Industry average Stock P/E: 47.96)
      • 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: 0.7
      • 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

Genus Paper & Boards Ltd. is a Public Limited Listed company incorporated on 11/01/2012 and has its registered office in the State of Uttar Pradesh, India. Company’s Corporate Identification Number(CIN) is L21098UP2012PLC048300 and registration number is 048300. Currently Company is involved in the business activities of Manufacture of packing paper. Company’s Total Operating Revenue is Rs. 439.89 Cr. and Equity Capital is Rs. 25.71 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Paper & Paper ProductsVillage Aghwanpur, Kanth Road, Moradabad Uttar Pradesh 244001cs@genuspaper.com
http://www.genuspaper.com
Management
NamePosition Held
Mr. Ishwar Chand AgarwalChairman
Mr. Kailash Chandra AgarwalManaging Director & CEO
Mr. Surya Prakash SinhaExecutive Director
Mr. Akhilesh Kumar MaheshwariExecutive Director
Mr. Pradeep Narain TandonDirector
Mrs. Anu SharmaDirector
Mrs. Rekha SrivastavaDirector
Mr. Nishant Chandra AgarwalAdditional Director

FAQ

What is the latest intrinsic value of Genus Paper & Boards Ltd?

The latest intrinsic value of Genus Paper & Boards Ltd as on 16 November 2024 is ₹27.54, which is 32.40% higher than the current market price of ₹20.80.

What is the Market Cap of Genus Paper & Boards Ltd?

The Market Cap of Genus Paper & Boards Ltd is 534 Cr..

What is the current Stock Price of Genus Paper & Boards Ltd as on 16 November 2024?

The current stock price of Genus Paper & Boards Ltd as on 16 November 2024 is ₹20.8.

What is the High / Low of Genus Paper & Boards Ltd stocks in FY 2024?

In FY 2024, the High / Low of Genus Paper & Boards Ltd stocks is 30.3/16.0.

What is the Stock P/E of Genus Paper & Boards Ltd?

The Stock P/E of Genus Paper & Boards Ltd is 191.

What is the Book Value of Genus Paper & Boards Ltd?

The Book Value of Genus Paper & Boards Ltd is 19.1.

What is the Dividend Yield of Genus Paper & Boards Ltd?

The Dividend Yield of Genus Paper & Boards Ltd is 0.00 %.

What is the ROCE of Genus Paper & Boards Ltd?

The ROCE of Genus Paper & Boards Ltd is 4.34 %.

What is the ROE of Genus Paper & Boards Ltd?

The ROE of Genus Paper & Boards Ltd is 0.74 %.

What is the Face Value of Genus Paper & Boards Ltd?

The Face Value of Genus Paper & Boards 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 Genus Paper & Boards 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