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Last Updated on: 21 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo

Kothari Petrochemicals Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 21, 2024, 2:17 am

Market Cap 1,131 Cr.
Current Price 192
High / Low 267/108
Stock P/E17.3
Book Value 46.9
Dividend Yield0.91 %
ROCE41.3 %
ROE28.8 %
Face Value 10.0
PEG Ratio0.63

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

View Share Price Target for

Competitors of

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hindustan Fluoro Carbons Ltd 31.9 Cr. 16.3 23.7/14.424.3 41.90.00 %3.05 %% 10.0
Gujarat Petrosynthese Ltd 40.8 Cr. 68.3 98.0/47.332.3 81.90.00 %2.73 %3.46 % 10.0
AVI Polymers Ltd 4.91 Cr. 12.0 14.0/9.4598.2 12.00.00 %0.57 %0.41 % 10.0
Supreme Petrochem Ltd 13,347 Cr. 710 927/52132.4 1121.27 %22.5 %16.8 % 2.00
Signet Industries Ltd 205 Cr. 69.8 97.4/52.216.4 75.40.72 %14.8 %7.22 % 10.0
Industry Average4,826.00 Cr230.2943.5879.550.74%12.39%9.72%7.55

All Competitor Stocks of

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales6370749110611174130142137149162125
Expenses51606476929969116122118126134105
Operating Profit1110111513114142019222720
OPM %18%14%14%16%13%10%6%11%14%14%15%17%16%
Other Income111-0112222222
Interest0000000111100
Depreciation1111112222222
Profit before tax119101313104131919222720
Tax %26%33%27%26%31%30%28%29%29%29%29%31%30%
Net Profit86710973101313161914
EPS in Rs1.351.091.241.631.541.190.511.622.292.242.663.152.45

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
Sales161237334277212219195300273227382482572
Expenses153229321259196207177279246193332425483
Operating Profit981218151218212834505789
OPM %5%3%4%7%7%5%9%7%10%15%13%12%16%
Other Income1333332244278
Interest1112121321132
Depreciation2223334566677
Profit before tax771216141014162431465588
Tax %34%30%34%31%36%42%34%24%25%28%29%29%
Net Profit458119610121823333962
EPS in Rs0.730.891.341.921.560.991.632.073.113.835.596.6610.50
Dividend Payout %69%85%75%52%64%51%46%24%-0%-0%-0%19%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)25.00%60.00%37.50%-18.18%-33.33%66.67%20.00%50.00%27.78%43.48%18.18%
Change in YoY Net Profit Growth (%)0.00%35.00%-22.50%-55.68%-15.15%100.00%-46.67%30.00%-22.22%15.70%-25.30%

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:6%
5 Years:15%
3 Years:39%
TTM:5%
Compounded Profit Growth
10 Years:23%
5 Years:39%
3 Years:41%
TTM:8%
Stock Price CAGR
10 Years:29%
5 Years:65%
3 Years:49%
1 Year:30%
Return on Equity
10 Years:20%
5 Years:24%
3 Years:25%
Last Year:29%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 9:30 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital59595959595959595959595959
Reserves1258121926416497133187217
Borrowings818231834342784122303
Other Liabilities28313126283137384455557259
Total Liabilities97111118110133144150146171223270319338
Fixed Assets48475253639599999693121130134
CWIP06226010318316
Investments31112600041533417482
Other Assets45475350644850435779105114115
Total Assets97111118110133144150146171223270319338

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +0141416416282630192672
Cash from Investing Activity +9-12-34-8-29-8-4-14-32-26-44
Cash from Financing Activity +-82-4-1313-8-14-11-485-33
Net Cash Flow14779-2251213-65-6

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow9.000.00-6.00-5.00-3.00-22.00-16.00-6.0020.0030.0038.0034.00

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 Days333431283341272830283636
Inventory Days20817222433172350383830
Days Payable281922363958405380494041
Cash Conversion Cycle2523261518164-20173424
Working Capital Days252023192628558183325
ROCE %11%18%22%18%12%15%17%23%28%33%29%41%

Financial Efficiency Indicators Chart

No data available for the Shareholding

No data available for the Shareholding Pattern chart.

No data available for the No. of Shareholders chart.

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 16Mar 15Mar 14Mar 13
FaceValue10.0010.0010.0010.00
Basic EPS (Rs.)1.622.031.340.88
Diluted EPS (Rs.)1.622.031.340.88
Cash EPS (Rs.)2.072.451.671.30
Book Value[Excl.RevalReserv]/Share (Rs.)11.5311.0410.3910.24
Book Value[Incl.RevalReserv]/Share (Rs.)11.5311.0410.3910.24
Revenue From Operations / Share (Rs.)36.2047.3456.9540.21
PBDIT / Share (Rs.)3.133.722.571.74
PBIT / Share (Rs.)2.673.292.231.32
PBT / Share (Rs.)2.472.872.021.25
Net Profit / Share (Rs.)1.612.021.330.87
NP After MI And SOA / Share (Rs.)1.612.021.330.87
PBDIT Margin (%)8.667.854.504.32
PBIT Margin (%)7.386.953.913.27
PBT Margin (%)6.816.063.543.10
Net Profit Margin (%)4.454.252.342.18
NP After MI And SOA Margin (%)4.454.252.342.18
Return on Networth / Equity (%)13.9818.2512.848.58
Return on Capital Employeed (%)21.5727.7220.0212.08
Return On Assets (%)8.5310.007.135.38
Long Term Debt / Equity (X)0.000.000.000.05
Total Debt / Equity (X)0.260.340.280.18
Asset Turnover Ratio (%)1.862.440.000.00
Current Ratio (X)1.481.331.291.50
Quick Ratio (X)1.241.131.161.17
Inventory Turnover Ratio (X)15.9627.090.000.00
Dividend Payout Ratio (NP) (%)61.6749.3074.490.00
Dividend Payout Ratio (CP) (%)47.9240.6459.490.00
Earning Retention Ratio (%)38.3350.7025.510.00
Cash Earning Retention Ratio (%)52.0859.3640.510.00
Interest Coverage Ratio (X)15.358.8812.187.93
Interest Coverage Ratio (Post Tax) (X)8.895.817.334.33
Enterprise Value (Cr.)9.1622.2721.1616.76
EV / Net Operating Revenue (X)0.040.070.060.07
EV / EBITDA (X)0.491.011.391.63
MarketCap / Net Operating Revenue (X)0.040.030.020.04
Retention Ratios (%)38.3250.6925.500.00
Price / BV (X)0.140.150.160.16
Price / Net Operating Revenue (X)0.040.030.020.04
EarningsYield0.941.190.780.51

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of as of December 21, 2024 is: 235.80

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 December 21, 2024, is Undervalued by 22.81% compared to the current share price 192.00

Intrinsic Value of as of December 21, 2024 is: 300.77

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 December 21, 2024, is Undervalued by 56.65% compared to the current share price 192.00

Last 5 Year EPS CAGR: 27.55%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 22.25%, which is a positive sign.
  2. The stock has a low average Working Capital Days of 19.58, which is a positive sign.
  3. The company has higher reserves (62.46 cr) compared to borrowings (16.31 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (297.77 cr) and profit (26.15 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 16.67, which may not be favorable.
  • 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 :
    1. Net Profit Margin: 4.45%
      • 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: 21.57% (Industry Average ROCE: 12.39%)
      • 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%: 13.98% (Industry Average ROE: 9.72%)
      • 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): 8.89
      • 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: 1.24
      • 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: 17.3 (Industry average Stock P/E: 43.58)
      • 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: 0.26
      • 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

Kothari Petrochemicals Ltd. is a Public Limited Listed company incorporated on 28/04/1989 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L11101TN1989PLC017347 and registration number is 017347. Currently Company is involved in the business activities of Manufacture of polymer/ synthetic / pvc water storage tanks. Company’s Total Operating Revenue is Rs. 381.53 Cr. and Equity Capital is Rs. 59.19 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Petrochemicals - PolymersKothari Buildings, Chennai (Madras) Tamil Nadu 600034secdept@hckgroup.com
http://www.kotharipetrochemicals.com
Management
NamePosition Held
Mrs. Nina B KothariChairperson
Mr. Arjun B KothariManaging Director
Mr. S SundarramanIndependent Director
Mr. V V Surya RauIndependent Director
Mr. M RajavelWhole Time Director
Mr. Brij Mohan BansalIndependent Director
Mr. Gautam RoyIndependent Director

FAQ

What is the latest intrinsic value of Kothari Petrochemicals Ltd?

The latest intrinsic value of Kothari Petrochemicals Ltd as on 20 December 2024 is ₹235.80, which is 22.81% higher than the current market price of ₹192.00. The stock has a market capitalization of 1,131 Cr. and recorded a high/low of 267/108 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹217 Cr and total liabilities of ₹338 Cr.

What is the Market Cap of Kothari Petrochemicals Ltd?

The Market Cap of Kothari Petrochemicals Ltd is 1,131 Cr..

What is the current Stock Price of Kothari Petrochemicals Ltd as on 20 December 2024?

The current stock price of Kothari Petrochemicals Ltd as on 20 December 2024 is 192.

What is the High / Low of Kothari Petrochemicals Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Kothari Petrochemicals Ltd stocks is 267/108.

What is the Stock P/E of Kothari Petrochemicals Ltd?

The Stock P/E of Kothari Petrochemicals Ltd is 17.3.

What is the Book Value of Kothari Petrochemicals Ltd?

The Book Value of Kothari Petrochemicals Ltd is 46.9.

What is the Dividend Yield of Kothari Petrochemicals Ltd?

The Dividend Yield of Kothari Petrochemicals Ltd is 0.91 %.

What is the ROCE of Kothari Petrochemicals Ltd?

The ROCE of Kothari Petrochemicals Ltd is 41.3 %.

What is the ROE of Kothari Petrochemicals Ltd?

The ROE of Kothari Petrochemicals Ltd is 28.8 %.

What is the Face Value of Kothari Petrochemicals Ltd?

The Face Value of Kothari Petrochemicals 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 . 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