Fundamental Analysis of Hindustan Composites Ltd

About the Company - Hindustan Composites Ltd

Hindustan Composites Ltd. is a Public Limited Listed company incorporated on 01/07/1964 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L29120MH1964PLC012955 and registration number is 012955. Currently Company is involved in the business activities of Manufacture of diverse parts and accessories for motor vehecles sucs as brakes, gearboxes, axles, road wheels, suspension shock absorbers, radiators, silencers, exhaust pipes, catalysers, clutches, steering wheels, steering columns and steering boxes etc.. Company’s Total Operating Revenue is Rs. 232.64 Cr. and Equity Capital is Rs. 7.38 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Auto Ancl - Dr. Trans & Steer - Clutch	Peninsula Business Park, 'A' Tower, 8th Floor, Mumbai Maharashtra 400013	investor@hindcompo.com http://www.hindcompo.com

Management
Name	Position Held
Mr. Raghu Mody	Non Executive Chairman
Mr. P K Choudhary	Managing Director
Mr. A B Vaidya	Independent Director
Lt. Gen. (Retd.) K S Brar	Independent Director
Mr. Deepak Sethi	Independent Director
Mr. Lalit Kumar Bararia	Independent Director
Mrs. Preeti Agrawal	Independent Director
Mr. Vinay Sarin	Additional Non Exe.Non Ind.Director

Basic Stock Data of Hindustan Composites Ltd

Last Updated: July 26, 2024, 10:36 pm

Market Cap	822 Cr.
Current Price	555
High / Low	650/362
Stock P/E	23.9
Book Value	669
Dividend Yield	0.36 %
ROCE	4.46 %
ROE	3.60 %
Face Value	5.00
PEG Ratio	1.01

Data Source: screener.in

Hindustan Composites Ltd Quarterly Results

Month	Dec 2020	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023
Sales	51.27	58.29	49.25	50.40	66.27	66.72	73.30	61.98	69.43	77.98	75.70	71.72	71.69
Expenses	43.30	50.40	43.51	43.78	52.82	59.56	59.39	56.71	60.68	65.30	61.19	58.22	60.67
Operating Profit	7.97	7.89	5.74	6.62	13.45	7.16	13.91	5.27	8.75	12.68	14.51	13.50	11.02
OPM %	15.55%	13.54%	11.65%	13.13%	20.30%	10.73%	18.98%	8.50%	12.60%	16.26%	19.17%	18.82%	15.37%
Other Income	0.01	0.00	0.08	0.18	0.07	0.05	0.54	0.04	0.03	0.24	0.06	0.64	0.01
Interest	0.06	0.04	0.02	0.01	0.02	0.03	0.04	0.05	0.02	0.02	0.04	0.04	0.01
Depreciation	2.18	2.17	2.12	2.15	2.16	2.13	2.18	2.24	2.25	2.06	2.22	2.32	2.53
Profit before tax	5.74	5.68	3.68	4.64	11.34	5.05	12.23	3.02	6.51	10.84	12.31	11.78	8.49
Tax %	9.76%	3.52%	5.71%	21.34%	11.11%	12.87%	19.22%	11.92%	16.59%	12.36%	18.44%	15.62%	23.91%
Net Profit	5.18	5.48	3.47	3.65	10.08	4.40	9.88	2.66	5.43	9.50	10.04	9.94	6.46
EPS in Rs	3.51	3.71	2.35	2.47	6.83	2.98	6.69	1.80	3.68	6.43	6.80	6.73	4.37

Last Updated: July 11, 2024, 10:55 am

Hindustan Composites Ltd Quarterly Chart

Hindustan Composites Ltd Profit & Loss

Last Updated: July 10, 2024, 3:41 pm

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	115	93	107	143	153	166	199	197	178	185	233	283	295
Expenses	84	99	110	107	123	127	162	172	158	155	195	239	245
Operating Profit	30	-6	-3	36	30	39	37	25	20	30	37	44	49
OPM %	26%	-6%	-3%	25%	20%	23%	18%	13%	11%	16%	16%	16%	17%
Other Income	3	24	33	0	0	1	0	2	0	4	-4	-2	1
Interest	2	0	1	0	0	0	0	0	0	0	0	0	0
Depreciation	5	6	7	6	7	8	9	9	10	9	9	9	9
Profit before tax	28	12	22	30	24	32	28	18	10	25	25	33	41
Tax %	24%	16%	20%	13%	13%	22%	10%	-4%	-17%	15%	13%	16%
Net Profit	21	10	17	26	21	25	25	19	12	21	22	27	35
EPS in Rs	14.14	6.89	11.62	17.43	14.00	16.82	17.18	12.86	8.15	14.21	14.63	18.60	23.64
Dividend Payout %	5%	5%	6%	2%	2%	2%	3%	16%	25%	14%	14%	11%

Hindustan Composites Ltd Profit & Loss Yearly Chart

Hindustan Composites Ltd Growth

Compounded Sales Growth
10 Years:	11%
5 Years:	9%
3 Years:	17%
TTM:	5%

Compounded Profit Growth
10 Years:	9%
5 Years:	13%
3 Years:	25%
TTM:	16%

Stock Price CAGR
10 Years:	12%
5 Years:	25%
3 Years:	19%
1 Year:	51%

Return on Equity
10 Years:	3%
5 Years:	3%
3 Years:	3%
Last Year:	4%

Last Updated: July 25, 2024, 5:13 am

Hindustan Composites Ltd Balance Sheet

Last Updated: July 10, 2024, 3:41 pm

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Sep 2023
Equity Capital	5	5	5	5	5	5	7	7	7	7	7	7	7
Reserves	493	503	519	544	630	688	733	755	764	812	912	916	941
Borrowings	7	8	7	6	5	5	5	4	6	0	0	1	1
Other Liabilities	26	28	31	29	62	83	88	89	84	103	83	76	95
Total Liabilities	532	544	562	584	702	781	833	856	861	923	1,003	1,000	1,045
Fixed Assets	48	115	114	115	120	124	122	125	122	116	113	111	130
CWIP	43	1	0	0	0	0	0	0	0	0	0	0	4
Investments	282	341	363	386	473	541	613	617	625	687	796	807	835
Other Assets	158	87	85	83	109	116	98	113	113	120	94	82	77
Total Assets	532	544	562	584	702	781	833	856	861	923	1,003	1,000	1,045

Hindustan Composites Ltd Reserves and Borrowings Chart

Hindustan Composites Ltd Cash Flow

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity	5	4	11	8	11	53	5	4	9	22	16	40
Cash from Investing Activity	-12	-1	-8	-6	-9	-54	-3	3	0	-13	-21	-35
Cash from Financing Activity	-1	-3	-3	-1	-1	-1	-3	-1	-9	-3	-2	-4
Net Cash Flow	-8	-0	1	1	1	-2	-1	6	1	7	-8	1

Hindustan Composites Ltd Financial Efficiency Indicators

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Debtor Days	49	74	91	59	63	59	63	63	70	83	59	51
Inventory Days	78	58	54	44	51	58	53	54	66	59	48	38
Days Payable	60	83	85	75	101	166	164	154	166	198	151	110
Cash Conversion Cycle	68	49	60	28	14	-49	-48	-36	-31	-55	-44	-21
Working Capital Days	318	128	131	106	81	109	103	101	108	143	39	43
ROCE %	5%	2%	4%	5%	4%	5%	4%	2%	1%	3%	3%	4%

Hindustan Composites Ltd Financial Efficiency Indicators Chart

Hindustan Composites Ltd Share Holding Pattern

Month	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024
Promoters	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%	74.97%
FIIs	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.04%	0.03%	0.00%	0.00%
DIIs	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%	0.01%
Public	25.01%	25.01%	25.01%	25.01%	25.01%	25.01%	25.01%	25.00%	24.97%	24.98%	25.01%	25.00%
No. of Shareholders	14,514	14,664	14,986	15,115	15,160	14,861	14,695	14,975	15,329	15,483	15,406	15,573

Hindustan Composites Ltd Shareholding Pattern Chart

No. of Hindustan Composites Ltd Shareholders

This stock is not held by any mutual fund

Hindustan Composites Ltd ROCE Trend

Hindustan Composites Ltd EPS Trend

Hindustan Composites Ltd Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	5.00	5.00	5.00	5.00	5.00
Basic EPS (Rs.)	23.30	18.60	14.63	13.35	7.09
Diluted EPS (Rs.)	23.30	18.60	14.63	13.35	7.09
Cash EPS (Rs.)	29.77	24.51	20.42	20.22	14.58
Book Value[Excl.RevalReserv]/Share (Rs.)	668.47	623.50	621.07	553.18	515.30
Book Value[Incl.RevalReserv]/Share (Rs.)	668.47	623.50	621.07	553.18	515.30
Revenue From Operations / Share (Rs.)	201.68	191.41	157.52	124.98	120.56
PBDIT / Share (Rs.)	35.38	28.07	22.59	22.92	13.57
PBIT / Share (Rs.)	28.92	22.16	16.79	16.92	7.13
PBT / Share (Rs.)	28.86	22.07	16.73	16.79	6.98
Net Profit / Share (Rs.)	23.31	18.60	14.63	14.21	8.15
NP After MI And SOA / Share (Rs.)	23.31	18.60	14.63	13.35	7.09
PBDIT Margin (%)	17.54	14.66	14.33	18.34	11.25
PBIT Margin (%)	14.34	11.57	10.65	13.53	5.91
PBT Margin (%)	14.31	11.53	10.62	13.43	5.79
Net Profit Margin (%)	11.55	9.71	9.28	11.37	6.75
NP After MI And SOA Margin (%)	11.55	9.71	9.28	10.68	5.88
Return on Networth / Equity (%)	3.48	2.98	2.35	2.41	1.37
Return on Capital Employeed (%)	4.14	3.43	2.59	2.85	1.30
Return On Assets (%)	3.18	2.74	2.15	2.14	1.23
Total Debt / Equity (X)	0.00	0.00	0.00	0.00	0.01
Asset Turnover Ratio (%)	0.28	0.28	0.24	0.20	0.20
Current Ratio (X)	2.16	2.40	2.31	3.50	3.02
Quick Ratio (X)	1.88	2.12	2.03	3.22	2.71
Inventory Turnover Ratio (X)	9.42	9.83	8.35	6.01	5.90
Dividend Payout Ratio (NP) (%)	0.00	10.75	13.67	14.97	28.20
Dividend Payout Ratio (CP) (%)	0.00	8.15	9.79	10.33	14.78
Earning Retention Ratio (%)	0.00	89.25	86.33	85.03	71.80
Cash Earning Retention Ratio (%)	0.00	91.85	90.21	89.67	85.22
Interest Coverage Ratio (X)	580.22	327.17	427.64	172.82	89.83
Interest Coverage Ratio (Post Tax) (X)	383.33	217.83	277.94	108.15	54.94
Enterprise Value (Cr.)	571.55	360.36	388.94	389.08	157.92
EV / Net Operating Revenue (X)	1.92	1.27	1.67	2.11	0.88
EV / EBITDA (X)	10.94	8.69	11.66	11.49	7.88
MarketCap / Net Operating Revenue (X)	1.93	1.28	1.68	2.12	0.89
Retention Ratios (%)	0.00	89.24	86.32	85.02	71.79
Price / BV (X)	0.58	0.39	0.42	0.47	0.20
Price / Net Operating Revenue (X)	1.93	1.28	1.68	2.12	0.89
EarningsYield	0.06	0.07	0.05	0.05	0.06

Hindustan Composites Ltd Profitability Ratios (%)

Hindustan Composites Ltd Liquidity Ratios

Hindustan Composites Ltd Liquidity Ratios (%)

Hindustan Composites Ltd Interest Coverage Ratios (%)

Hindustan Composites Ltd Valuation Ratios

Fair Value

Fair Value: 577.68

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: 4.09% compared to the current price 555

Intrinsic Value: 714.80

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: 28.79% compared to the current price 555

Last 5 Year EPS CAGR: 23.74%

*Investments are subject to market risks

Strength and Weakness of Hindustan Composites Ltd Stock

Strength	Weakness
The stock has a low average Cash Conversion Cycle of -5.42, which is a positive sign. The company has higher reserves (729.75 cr) compared to borrowings (3.92 cr), indicating strong financial stability. The company has shown consistent growth in sales (180.54 cr) and profit (25.23 cr) over the years.	The stock has a low average ROCE of 3.50%, which may not be favorable. The stock has a high average Working Capital Days of 117.50, which may not be favorable.

FAQ

What is the latest fair value of Hindustan Composites Ltd?

The latest fair value of Hindustan Composites Ltd is ₹577.68.

What is the Market Cap of Hindustan Composites Ltd?

The Market Cap of Hindustan Composites Ltd is 822 Cr..

What is the current Stock Price of Hindustan Composites Ltd as on 27 July 2024?

The current stock price of Hindustan Composites Ltd as on 27 July 2024 is 555.

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

In FY 2024, the High / Low of Hindustan Composites Ltd stocks is 650/362.

What is the Stock P/E of Hindustan Composites Ltd?

The Stock P/E of Hindustan Composites Ltd is 23.9.

What is the Book Value of Hindustan Composites Ltd?

The Book Value of Hindustan Composites Ltd is 669.

What is the Dividend Yield of Hindustan Composites Ltd?

The Dividend Yield of Hindustan Composites Ltd is 0.36 %.

What is the ROCE of Hindustan Composites Ltd?

The ROCE of Hindustan Composites Ltd is 4.46 %.

What is the ROE of Hindustan Composites Ltd?

The ROE of Hindustan Composites Ltd is 3.60 %.

What is the Face Value of Hindustan Composites Ltd?

The Face Value of Hindustan Composites Ltd is 5.00.