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Last Updated on: 22 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Jash Engineering Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 9:59 pm

Market Cap 3,702 Cr.
Current Price 592
High / Low596/258
Stock P/E47.7
Book Value 59.5
Dividend Yield0.24 %
ROCE25.1 %
ROE22.7 %
Face Value 2.00
PEG Ratio2.16

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

View Share Price Target for Jash Engineering Ltd

Competitors of Jash Engineering Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Incon Engineers Ltd 6.62 Cr. 15.324.8/12.1 0.440.00 %72.7 %162 % 10.0
Hittco Tools Ltd 8.53 Cr. 13.816.0/9.53 4.590.00 %7.27 %5.66 % 10.0
Harshil Agrotech Ltd 628 Cr. 12.413.7/0.29106 1.200.00 %16.4 %13.5 % 1.00
Gujarat Toolroom Ltd 198 Cr. 12.445.9/10.81.69 14.88.07 %179 %170 % 1.00
GTV Engineering Ltd 161 Cr. 516640/39324.6 1250.00 %12.7 %13.5 % 10.0
Industry Average4,270.66 Cr524.9044.42117.390.43%29.65%27.04%6.35

All Competitor Stocks of Jash Engineering Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales79129456110415746721141696495139
Expenses63984758861304863941336581107
Operating Profit1631-231827-292036-01432
OPM %20%24%-4%5%18%17%-3%13%18%21%-1%15%23%
Other Income2-021122245112
Interest3222322233233
Depreciation2222332333333
Profit before tax1226-4-01425-471935-41028
Tax %19%8%2%-164%4%5%-4%16%8%6%12%14%20%
Net Profit1024-4-11423-461733-3923
EPS in Rs8.5520.00-3.14-0.9811.4519.65-3.474.7214.2127.61-2.807.1018.82

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales82113119120158175248278299368402443
Expenses719599100137166225240248321338373
Operating Profit11182020219233852476470
OPM %13%16%17%16%13%5%9%14%17%13%16%16%
Other Income11123578361312
Interest5565678101091011
Depreciation434446789101111
Profit before tax3101112151142836355660
Tax %50%22%31%39%32%72%44%28%16%7%8%
Net Profit188710082031325255
EPS in Rs1.568.077.967.6010.540.296.5116.9825.7126.9542.9846.12
Dividend Payout %51%17%20%26%0%348%23%14%12%13%14%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)700.00%0.00%-12.50%42.86%-100.00%150.00%55.00%3.23%62.50%
Change in YoY Net Profit Growth (%)0.00%-700.00%-12.50%55.36%-142.86%250.00%-95.00%-51.77%59.27%

Jash Engineering Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 9 years from 2013-2014 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:16%
5 Years:16%
3 Years:20%
TTM:38%
Compounded Profit Growth
10 Years:24%
5 Years:54%
3 Years:30%
TTM:40%
Stock Price CAGR
10 Years:%
5 Years:87%
3 Years:83%
1 Year:125%
Return on Equity
10 Years:17%
5 Years:21%
3 Years:22%
Last Year:23%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 10:31 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital10101010101212121212121213
Reserves49576066749498114144175227338360
Borrowings372139445264748472828280108
Other Liabilities323247405461857588100128174218
Total Liabilities128120156160190231269285316369449604699
Fixed Assets5757696686889010198112116127159
CWIP1100111261214616
Investments0000000000069
Other Assets70628793103141166177207257329465515
Total Assets128120156160190231269285316369449604699

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-6237621-8181835143458
Cash from Investing Activity +-12-2-18-4-19-18-14-8-12-16-16-68
Cash from Financing Activity +18-2011-1025-4-9-222-1332
Net Cash Flow-00012-1-111-0522

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-26.00-3.00-19.00-24.00-31.00-55.00-51.00-46.00-20.00-35.00-18.00

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 Days13799128119114124108111117134142111
Inventory Days284145207246172209189178201157238279
Days Payable210135169147175201181117128121125120
Cash Conversion Cycle211109167218110132116172190170255270
Working Capital Days16072901399312787102122127144119
ROCE %17%17%15%16%4%13%19%21%17%23%25%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters53.16%53.03%52.88%52.57%52.56%52.57%52.21%51.08%51.01%50.98%50.98%49.44%
FIIs0.00%0.00%0.00%0.00%0.00%0.30%1.03%1.21%1.21%1.21%1.21%1.18%
DIIs3.57%3.29%3.46%3.95%4.10%3.89%3.99%3.98%4.29%4.03%3.95%3.59%
Public43.28%43.69%43.67%43.46%43.33%43.24%42.78%43.73%43.49%43.78%43.86%45.79%
No. of Shareholders5,6846,8596,7537,0807,1256,1645,5445,3445,6416,2276,5599,692

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Quant Small Cap Fund412,8170.5956.3412,8172024-11-200%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)55.3643.2727.0925.7816.98
Diluted EPS (Rs.)54.5542.5826.7025.7316.98
Cash EPS (Rs.)62.7551.8335.0633.0123.59
Book Value[Excl.RevalReserv]/Share (Rs.)283.77198.44156.32132.08106.00
Book Value[Incl.RevalReserv]/Share (Rs.)283.77198.44156.32132.08106.00
Revenue From Operations / Share (Rs.)416.65334.15307.81252.97234.64
PBDIT / Share (Rs.)84.9664.0744.2846.0838.78
PBIT / Share (Rs.)76.2655.2236.1738.8532.17
PBT / Share (Rs.)67.3446.9628.9630.5623.44
Net Profit / Share (Rs.)54.0542.9826.9525.7816.98
NP After MI And SOA / Share (Rs.)53.9542.9826.9525.7816.98
PBDIT Margin (%)20.3919.1714.3818.2116.52
PBIT Margin (%)18.3016.5211.7515.3513.71
PBT Margin (%)16.1614.059.4012.079.98
Net Profit Margin (%)12.9712.868.7510.197.23
NP After MI And SOA Margin (%)12.9412.868.7510.197.23
Return on Networth / Equity (%)19.0121.6517.2319.5216.01
Return on Capital Employeed (%)25.3225.8620.6324.6225.64
Return On Assets (%)11.0411.528.719.647.05
Long Term Debt / Equity (X)0.030.030.060.150.13
Total Debt / Equity (X)0.200.310.400.420.58
Asset Turnover Ratio (%)0.970.980.740.720.73
Current Ratio (X)1.901.651.561.571.29
Quick Ratio (X)1.201.061.081.020.84
Inventory Turnover Ratio (X)1.691.852.091.621.72
Dividend Payout Ratio (NP) (%)10.818.3111.803.4917.67
Dividend Payout Ratio (CP) (%)9.306.899.072.7212.72
Earning Retention Ratio (%)89.1991.6988.2096.5182.33
Cash Earning Retention Ratio (%)90.7093.1190.9397.2887.28
Interest Coverage Ratio (X)9.537.766.145.564.44
Interest Coverage Ratio (Post Tax) (X)7.066.214.744.112.94
Enterprise Value (Cr.)2073.591052.06658.31401.12171.00
EV / Net Operating Revenue (X)4.022.621.791.340.61
EV / EBITDA (X)19.7213.6512.457.353.73
MarketCap / Net Operating Revenue (X)4.072.511.661.190.41
Retention Ratios (%)89.1891.6888.1996.5082.32
Price / BV (X)5.974.233.262.280.92
Price / Net Operating Revenue (X)4.072.511.661.190.41
EarningsYield0.030.050.050.080.17

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Jash Engineering Ltd as of November 22, 2024 is: 645.81

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 22, 2024, Jash Engineering Ltd is Undervalued by 9.09% compared to the current share price 592.00

Intrinsic Value of Jash Engineering Ltd as of November 22, 2024 is: 788.67

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 22, 2024, Jash Engineering Ltd is Undervalued by 33.22% compared to the current share price 592.00

Last 5 Year EPS CAGR: 22.12%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 15.58%, which is a positive sign.
  2. The company has higher reserves (142.77 cr) compared to borrowings (64.54 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (233.75 cr) and profit (23.42 cr) over the years.
  1. The stock has a high average Working Capital Days of 115.17, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 176.67, 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 Jash Engineering Ltd:
    1. Net Profit Margin: 12.97%
      • 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: 25.32% (Industry Average ROCE: 29.65%)
      • 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%: 19.01% (Industry Average ROE: 27.04%)
      • 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): 7.06
      • 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: 1.2
      • 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: 47.7 (Industry average Stock P/E: 44.42)
      • 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: 0.2
      • 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

Jash Engineering Ltd. is a Public Limited Listed company incorporated on 29/09/1973 and has its registered office in the State of Madhya Pradesh, India. Company’s Corporate Identification Number(CIN) is L28910MP1973PLC001226 and registration number is 001226. Currently Company is involved in the business activities of Manufacture of other structural metal products. Company’s Total Operating Revenue is Rs. 256.71 Cr. and Equity Capital is Rs. 11.94 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Engineering - General31, C-Sector, Industrial Area, Indore Madhya Pradesh 452015info@jashindia.com
http://www.jashindia.com
Management
NamePosition Held
Mr. Pratik PatelChairman & Managing Director
Mr. Suresh PatelExecutive Director
Mr. Vishwapati TrivediIndependent Director
Mr. Durgalal Tuljaram ManwaniIndependent Director
Mr. Brij Mohan MaheshwariIndependent Director
Ms. Sunita KishnaniIndependent Director
Mr. Axel SchutteDirector
Mr. Rahul PatelDirector

FAQ

What is the latest intrinsic value of Jash Engineering Ltd?

The latest intrinsic value of Jash Engineering Ltd as on 21 November 2024 is ₹645.81, which is 9.09% higher than the current market price of ₹592.00.

What is the Market Cap of Jash Engineering Ltd?

The Market Cap of Jash Engineering Ltd is 3,702 Cr..

What is the current Stock Price of Jash Engineering Ltd as on 21 November 2024?

The current stock price of Jash Engineering Ltd as on 21 November 2024 is ₹592.

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

In FY 2024, the High / Low of Jash Engineering Ltd stocks is 596/258.

What is the Stock P/E of Jash Engineering Ltd?

The Stock P/E of Jash Engineering Ltd is 47.7.

What is the Book Value of Jash Engineering Ltd?

The Book Value of Jash Engineering Ltd is 59.5.

What is the Dividend Yield of Jash Engineering Ltd?

The Dividend Yield of Jash Engineering Ltd is 0.24 %.

What is the ROCE of Jash Engineering Ltd?

The ROCE of Jash Engineering Ltd is 25.1 %.

What is the ROE of Jash Engineering Ltd?

The ROE of Jash Engineering Ltd is 22.7 %.

What is the Face Value of Jash Engineering Ltd?

The Face Value of Jash Engineering 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 Jash Engineering 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