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Last Updated on: 26 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Indo Tech Transformers Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 26, 2024, 9:51 pm

Market Cap 2,972 Cr.
Current Price 2,782
High / Low2,868/551
Stock P/E49.6
Book Value 227
Dividend Yield0.00 %
ROCE34.5 %
ROE24.2 %
Face Value 10.0
PEG Ratio0.59

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

View Share Price Target for Indo Tech Transformers Ltd

Competitors of Indo Tech Transformers Ltd

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

All Competitor Stocks of Indo Tech Transformers Ltd

Quarterly Result

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales38.9453.8396.8122.6576.3281.8199.2954.0888.5483.62144.6793.2295.81
Expenses41.1351.8784.0327.5370.0373.9791.6552.1686.7078.53122.9387.1684.57
Operating Profit-2.191.9612.78-4.886.297.847.641.921.845.0921.746.0611.24
OPM %-5.62%3.64%13.20%-21.55%8.24%9.58%7.69%3.55%2.08%6.09%15.03%6.50%11.73%
Other Income0.230.202.170.590.220.240.640.740.820.370.730.812.36
Interest0.050.000.040.070.270.430.810.510.390.651.170.691.28
Depreciation1.251.201.181.111.141.151.120.920.940.972.001.131.21
Profit before tax-3.260.9613.73-5.475.106.506.351.231.333.8419.305.0511.11
Tax %0.00%0.00%0.51%0.00%0.00%0.00%4.57%0.00%0.00%0.00%0.00%29.90%36.36%
Net Profit-3.260.9613.66-5.475.106.506.061.231.333.8419.303.547.07
EPS in Rs-3.070.9012.86-5.154.806.125.711.161.253.6218.173.336.66

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2012Jun 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales11511494157190149220213205206280371473
Expenses147153109166191152221215203195258335419
Operating Profit-32-39-15-9-1-3-1-2211223654
OPM %-28%-34%-16%-6%-0%-2%-1%-1%1%5%8%10%11%
Other Income1111171325153235
Interest58126232223784
Depreciation4535555555556
Profit before tax-40-50-19-44-9-4-806122650
Tax %0%0%0%0%0%-24%0%0%-1,820%1%2%0%
Net Profit-40-50-19-44-11-4-826122641
EPS in Rs-37.65-47.25-17.70-3.523.79-10.61-3.47-7.901.815.9211.4824.2038.22
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-25.00%78.95%200.00%-375.00%63.64%-100.00%125.00%200.00%100.00%116.67%
Change in YoY Net Profit Growth (%)0.00%103.95%121.05%-575.00%438.64%-163.64%225.00%75.00%-100.00%16.67%

Indo Tech Transformers Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 10 years from 2012-2013 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:18%
5 Years:19%
3 Years:35%
TTM:30%
Compounded Profit Growth
10 Years:16%
5 Years:50%
3 Years:95%
TTM:77%
Stock Price CAGR
10 Years:30%
5 Years:94%
3 Years:149%
1 Year:385%
Return on Equity
10 Years:4%
5 Years:12%
3 Years:17%
Last Year:24%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 11:31 pm

MonthJun 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital11111111111111111111111111
Reserves14-4140144128123115116123134160207230
Borrowings81125000000011154
Other Liabilities72525759647569775594121164165
Total Liabilities177184207214202209195203188240303386410
Fixed Assets73716662545052484441444948
CWIP2100000001102
Investments0000000000000
Other Assets102112141152148159143155144197258337360
Total Assets177184207214202209195203188240303386410

Reserves and Borrowings Chart

Cash Flow

MonthJun 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-18-32-13-3-12417-14822-432
Cash from Investing Activity +-0-3-08-1-1-1-2-3-9-15-12
Cash from Financing Activity +2134190-1-0-0-0-0-09-8
Net Cash Flow2-156-14216-16513-912

Free Cash Flow

MonthJun 2013Mar 2012Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-120.00-32.00-140.00-9.00-1.00-3.00-1.00-2.002.0011.0021.0025.00

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

MonthJun 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days111172121124146132106131123106127101
Inventory Days1361511178816291791139298102126
Days Payable180148971011271161011349613012388
Cash Conversion Cycle661761411111811078411011875106139
Working Capital Days5118215012316811067105112759080
ROCE %-36%1%-3%-4%-1%-5%2%7%14%21%34%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%
FIIs0.02%0.02%0.08%0.03%0.00%0.00%0.00%0.02%0.00%0.00%0.02%0.42%
DIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.01%
Public24.98%24.98%24.92%24.97%25.01%25.00%25.00%25.00%25.00%25.00%24.98%24.58%
No. of Shareholders9,0178,9289,8069,8349,6459,4749,2099,7028,9328,90011,07516,210

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 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)44.1224.2011.4841.761.81
Diluted EPS (Rs.)44.1224.2011.4841.761.81
Cash EPS (Rs.)48.7528.7415.7310.466.32
Book Value[Excl.RevalReserv]/Share (Rs.)204.48160.93136.65125.45119.14
Book Value[Incl.RevalReserv]/Share (Rs.)204.48160.93136.65125.45119.14
Revenue From Operations / Share (Rs.)474.21349.25263.72193.97193.34
PBDIT / Share (Rs.)62.0531.3017.4910.674.78
PBIT / Share (Rs.)57.4326.7613.236.130.26
PBT / Share (Rs.)53.9424.2011.755.980.09
Net Profit / Share (Rs.)44.1224.2011.485.921.81
PBDIT Margin (%)13.088.966.635.492.47
PBIT Margin (%)12.117.665.013.150.13
PBT Margin (%)11.376.924.453.080.04
Net Profit Margin (%)9.306.924.353.050.93
Return on Networth / Equity (%)21.5715.038.394.711.51
Return on Capital Employeed (%)27.3016.389.624.840.22
Return On Assets (%)12.268.545.113.360.95
Long Term Debt / Equity (X)0.010.010.000.000.00
Total Debt / Equity (X)0.020.060.000.000.00
Asset Turnover Ratio (%)1.481.381.321.061.04
Current Ratio (X)2.031.972.062.591.95
Quick Ratio (X)1.281.411.501.931.33
Inventory Turnover Ratio (X)4.144.504.963.354.22
Interest Coverage Ratio (X)17.7712.2311.7773.9527.30
Interest Coverage Ratio (Post Tax) (X)13.6310.468.7242.0311.34
Enterprise Value (Cr.)993.68152.65190.1670.6281.76
EV / Net Operating Revenue (X)1.970.410.670.340.39
EV / EBITDA (X)15.084.5910.246.2316.12
MarketCap / Net Operating Revenue (X)2.080.490.820.440.45
Price / BV (X)4.821.071.600.690.74
Price / Net Operating Revenue (X)2.080.490.820.440.45
EarningsYield0.040.130.050.060.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Indo Tech Transformers Ltd as of November 26, 2024 is: 2,779.22

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 26, 2024, Indo Tech Transformers Ltd is Overvalued by 0.10% compared to the current share price 2,782.00

Intrinsic Value of Indo Tech Transformers Ltd as of November 26, 2024 is: 5,115.00

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 26, 2024, Indo Tech Transformers Ltd is Undervalued by 83.86% compared to the current share price 2,782.00

Last 5 Year EPS CAGR: 84.04%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (125.38 cr) compared to borrowings (17.46 cr), indicating strong financial stability.
  1. The stock has a low average ROCE of 2.50%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 109.42, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 117.83, which may not be favorable.
  4. The company has not shown consistent growth in sales (214.38) and profit (-2.77).

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 Tech Transformers Ltd:
    1. Net Profit Margin: 9.3%
      • 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: 27.3% (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%: 21.57% (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): 13.63
      • 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: 1.28
      • 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: 49.6 (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: 0.02
      • 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 Tech Transformers Ltd. is a Public Limited Listed company incorporated on 16/01/1992 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L29113TN1992PLC022011 and registration number is 022011. Currently Company is involved in the business activities of Manufacture of electric motors, generators, transformers and electricity distribution and control apparatus. Company’s Total Operating Revenue is Rs. 280.07 Cr. and Equity Capital is Rs. 10.62 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Power - Transmission/EquipmentSurvey no.153-210, Kancheepuram Dist. Tamil Nadu 631561investor@indo-tech.com
http://www.indo-tech.com
Management
NamePosition Held
Mr. N Visweswara ReddyChairman & Non-Exe.Director
Mr. Shridhar GokhaleWhole Time Director
Mr. Sharat Chandra KollaNon Executive Director
Mr. Sudheer VennamNon Executive Director
Mr. Ajay Kumar DhagatIndependent Director
Mr. Sutanu BehuriaIndependent Director
Ms. Leena M SathyanarayananIndependent Director

FAQ

What is the latest intrinsic value of Indo Tech Transformers Ltd?

The latest intrinsic value of Indo Tech Transformers Ltd as on 26 November 2024 is ₹2779.22, which is 0.10% lower than the current market price of ₹2,782.00.

What is the Market Cap of Indo Tech Transformers Ltd?

The Market Cap of Indo Tech Transformers Ltd is 2,972 Cr..

What is the current Stock Price of Indo Tech Transformers Ltd as on 26 November 2024?

The current stock price of Indo Tech Transformers Ltd as on 26 November 2024 is 2,782.

What is the High / Low of Indo Tech Transformers Ltd stocks in FY 2024?

In FY 2024, the High / Low of Indo Tech Transformers Ltd stocks is 2,868/551.

What is the Stock P/E of Indo Tech Transformers Ltd?

The Stock P/E of Indo Tech Transformers Ltd is 49.6.

What is the Book Value of Indo Tech Transformers Ltd?

The Book Value of Indo Tech Transformers Ltd is 227.

What is the Dividend Yield of Indo Tech Transformers Ltd?

The Dividend Yield of Indo Tech Transformers Ltd is 0.00 %.

What is the ROCE of Indo Tech Transformers Ltd?

The ROCE of Indo Tech Transformers Ltd is 34.5 %.

What is the ROE of Indo Tech Transformers Ltd?

The ROE of Indo Tech Transformers Ltd is 24.2 %.

What is the Face Value of Indo Tech Transformers Ltd?

The Face Value of Indo Tech Transformers Ltd is 10.0.

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 Tech Transformers 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