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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

Indo Count Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 15, 2024, 11:22 pm

Market Cap 7,268 Cr.
Current Price 367
High / Low451/214
Stock P/E21.2
Book Value 105
Dividend Yield0.60 %
ROCE18.3 %
ROE17.5 %
Face Value 2.00
PEG Ratio0.62

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

View Share Price Target for Indo Count Industries Ltd

Competitors of Indo Count Industries Ltd

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

All Competitor Stocks of Indo Count Industries Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales7927057597677876907228496578107471,009713
Expenses649599581628641558581729584663616844609
Operating Profit14310617813914613214112073147130165104
OPM %18%15%23%18%19%19%20%14%11%18%17%16%15%
Other Income-0000-210005002514
Interest71112121581421207151818
Depreciation11101010101116151616192022
Profit before tax1258515611710011311084411239715179
Tax %26%32%25%28%29%25%30%20%9%23%24%24%26%
Net Profit9358117857185776738957411458
EPS in Rs4.712.935.954.303.614.313.913.391.904.783.725.772.93

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
Sales7801,1871,4681,7172,0632,1531,8591,9342,0802,5192,8423,0123,252
Expenses7441,0971,3061,4681,6461,8281,6961,7781,8972,1412,4032,5562,708
Operating Profit3690161249417325163156183379439455544
OPM %5%8%11%14%20%15%9%8%9%15%15%15%17%
Other Income15152839481039910-4432135300
Interest35505065554235363928476260
Depreciation19182016303333354343416572
Profit before tax-3361202073793531949557340486359413
Tax %26%18%8%30%34%34%36%37%-29%27%26%23%
Net Profit-2301101462512321256073249359277320
EPS in Rs-0.121.656.207.3812.7411.766.393.053.7412.7018.1713.9716.17
Dividend Payout %0%0%0%0%3%7%13%20%16%12%11%14%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)1600.00%266.67%32.73%71.92%-7.57%-46.12%-52.00%21.67%241.10%44.18%-22.84%
Change in YoY Net Profit Growth (%)0.00%-1333.33%-233.94%39.19%-79.49%-38.55%-5.88%73.67%219.43%-196.92%-67.02%

Indo Count Industries 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:13%
3 Years:12%
TTM:23%
Compounded Profit Growth
10 Years:12%
5 Years:42%
3 Years:10%
TTM:25%
Stock Price CAGR
10 Years:27%
5 Years:55%
3 Years:8%
1 Year:50%
Return on Equity
10 Years:21%
5 Years:19%
3 Years:19%
Last Year:18%

Last Updated: Unknown

Balance Sheet

Last Updated: September 15, 2024, 3:28 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital353539393939393939394040
Reserves1582523825918079179359471,2451,5511,7532,049
Borrowings4134373864093113843373495771,319876956
Other Liabilities233286435352367359313361433352379524
Total Liabilities8391,0111,2421,3921,5241,6991,6251,6962,2963,2623,0483,569
Fixed Assets3603463884845335435745755616311,1101,355
CWIP201511122416682418335
Investments-0-0-0-0-004601672143133
Other Assets4786648398989791,1329881,1151,5602,6061,6112,046
Total Assets8391,0111,2421,3921,5241,6991,6251,6962,2963,2623,0483,569

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 193423615321642215140-20-37755146
Cash from Investing Activity -152-103-113-78-52-10116-189-258-474-98
Cash from Financing Activity -2-13-114-61-14817-106-40185646-574-47
Net Cash Flow12319-21-1078116-23352-2931

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow36.00-323.00-276.00-137.008.0014.00-221.00-181.00-166.00-198.00438.00-421.00

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 Days272727435356484375634854
Inventory Days122142148159149206188168206288240275
Days Payable938596676167514167455774
Cash Conversion Cycle568479136141196185169214307231255
Working Capital Days527474104120169139116169201140155
ROCE %18%26%39%47%36%18%10%15%23%22%15%18%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters58.94%58.94%58.94%58.94%58.94%58.74%58.74%58.74%58.74%58.74%58.74%58.74%
FIIs9.76%9.68%9.44%9.28%9.28%9.30%9.28%9.14%10.24%10.66%10.74%10.69%
DIIs0.06%0.04%0.06%0.09%0.09%0.02%0.04%0.02%0.12%0.79%1.06%2.16%
Public31.24%31.34%31.56%31.69%31.70%31.94%31.93%32.10%30.88%29.80%29.45%28.40%
No. of Shareholders51,69656,86161,84864,98865,10569,25067,26361,53761,81367,62673,38469,110

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Motilal Oswal Nifty Microcap 250 Index Fund78,5650.482.241792024-10-1043791.06%
Groww Nifty Total Market Index Fund1790.020.011792024-10-100%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)17.0613.9718.1612.703.74
Diluted EPS (Rs.)17.0613.9718.1612.703.74
Cash EPS (Rs.)21.2317.2420.2414.815.90
Book Value[Excl.RevalReserv]/Share (Rs.)105.4890.5280.6865.3550.30
Book Value[Incl.RevalReserv]/Share (Rs.)105.4890.5280.6865.3550.30
Revenue From Operations / Share (Rs.)179.60152.06143.97127.62105.38
PBDIT / Share (Rs.)30.4324.5229.0921.0012.05
PBIT / Share (Rs.)26.2621.2527.0218.819.85
PBT / Share (Rs.)22.7418.1124.6217.202.87
Net Profit / Share (Rs.)17.0613.9718.1712.623.70
NP After MI And SOA / Share (Rs.)17.0613.9718.1612.703.74
PBDIT Margin (%)16.9416.1220.2016.4511.43
PBIT Margin (%)14.6213.9718.7614.749.34
PBT Margin (%)12.6511.9017.1013.482.72
Net Profit Margin (%)9.509.1912.619.883.51
NP After MI And SOA Margin (%)9.509.1912.619.943.54
Return on Networth / Equity (%)16.1715.4322.5819.517.48
Return on Capital Employeed (%)21.7720.0230.2026.5017.56
Return On Assets (%)9.469.0410.9810.914.35
Long Term Debt / Equity (X)0.060.110.050.010.03
Total Debt / Equity (X)0.430.460.820.430.33
Asset Turnover Ratio (%)1.070.951.041.281.20
Current Ratio (X)1.811.791.511.921.88
Quick Ratio (X)0.840.850.791.110.98
Inventory Turnover Ratio (X)1.631.401.512.222.11
Dividend Payout Ratio (NP) (%)11.7214.268.264.7216.05
Dividend Payout Ratio (CP) (%)9.4111.567.414.0310.10
Earning Retention Ratio (%)88.2885.7491.7495.2883.95
Cash Earning Retention Ratio (%)90.5988.4492.5995.9789.90
Interest Coverage Ratio (X)8.637.7912.1314.766.06
Interest Coverage Ratio (Post Tax) (X)5.845.448.5710.005.37
Enterprise Value (Cr.)7804.202949.124055.413043.06656.22
EV / Net Operating Revenue (X)2.190.971.431.210.31
EV / EBITDA (X)12.956.077.067.342.76
MarketCap / Net Operating Revenue (X)1.970.731.111.040.22
Retention Ratios (%)88.2785.7391.7395.2783.94
Price / BV (X)3.351.241.982.030.47
Price / Net Operating Revenue (X)1.970.731.111.040.22
EarningsYield0.040.120.110.090.15

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Indo Count Industries Ltd as of October 15, 2024 is: ₹391.89

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, Indo Count Industries Ltd is Undervalued by 6.78% compared to the current share price ₹367.00

Intrinsic Value of Indo Count Industries Ltd as of October 15, 2024 is: ₹525.21

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, Indo Count Industries Ltd is Undervalued by 43.11% compared to the current share price ₹367.00

Last 5 Year EPS CAGR: 34.02%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 23.92%, which is a positive sign.
  2. The company has higher reserves (965.58 cr) compared to borrowings (562.83 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (61.62 cr) and profit (233.54 cr) over the years.
  1. The stock has a high average Working Capital Days of 126.08, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 171.08, 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 Indo Count Industries Ltd:
    1. Net Profit Margin: 9.5%
      • 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: 21.77% (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%: 16.17% (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): 5.84
      • 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: 0.84
      • 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: 21.2 (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: 0.43
      • 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

Indo Count Industries Ltd. is a Public Limited Listed company incorporated on 07/11/1988 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L72200PN1988PLC068972 and registration number is 068972. Currently Company is involved in the business activities of Manufacture of bedding, quilts pillows, sleeping bags etc.. Company’s Total Operating Revenue is Rs. 2805.95 Cr. and Equity Capital is Rs. 39.48 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Textiles - Spinning - Cotton BlendedOffice No. 1, Plot No. 266, Village Alte, Kolhapur District Maharashtra 416109info@indocount.com
http://www.indocount.com
Management
NamePosition Held
Mr. Anil Kumar JainExecutive Chairman
Mr. Mohit JainExecutive Vice Chairman
Mr. Kailash R LalpuriaExecutive Director & CEO
Mr. Kamal MitraDirector - Works
Mr. Siddharth MehtaLead Independent Director
Mr. Dilip J ThakkarIndependent Director
Mr. Prem MalikIndependent Director
Dr.(Mrs.) Vaijayanti PanditIndependent Director
Dr. Sanjay Kumar PandaIndependent Director
Mr. Akash KagliwalIndependent Director
Mr. L ViswanathanIndependent Director
Mrs. Ambika SharmaIndependent Director

FAQ

What is the latest fair value of Indo Count Industries Ltd?

The latest fair value of Indo Count Industries Ltd is ₹391.89.

What is the Market Cap of Indo Count Industries Ltd?

The Market Cap of Indo Count Industries Ltd is 7,268 Cr..

What is the current Stock Price of Indo Count Industries Ltd as on 15 October 2024?

The current stock price of Indo Count Industries Ltd as on 15 October 2024 is ₹367.

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

In FY 2024, the High / Low of Indo Count Industries Ltd stocks is 451/214.

What is the Stock P/E of Indo Count Industries Ltd?

The Stock P/E of Indo Count Industries Ltd is 21.2.

What is the Book Value of Indo Count Industries Ltd?

The Book Value of Indo Count Industries Ltd is 105.

What is the Dividend Yield of Indo Count Industries Ltd?

The Dividend Yield of Indo Count Industries Ltd is 0.60 %.

What is the ROCE of Indo Count Industries Ltd?

The ROCE of Indo Count Industries Ltd is 18.3 %.

What is the ROE of Indo Count Industries Ltd?

The ROE of Indo Count Industries Ltd is 17.5 %.

What is the Face Value of Indo Count Industries Ltd?

The Face Value of Indo Count Industries Ltd is 2.00.

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 Indo Count 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