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Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 540005 | NSE: LTIM

Fundamental Analysis of LTIMindtree Ltd

About the Company - LTIMindtree Ltd

LTIMindtree Ltd. is a Public Limited Listed company incorporated on 23/12/1996 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L72900MH1996PLC104693 and registration number is 104693. Currently Company is involved in the business activities of Computer programming, consultancy and related activities. Company’s Total Operating Revenue is Rs. 14406.40 Cr. and Equity Capital is Rs. 17.50 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
IT Consulting & SoftwareL&T House, Mumbai Maharashtra 400001investor@ltimindtree.com
https://www.ltimindtree.com
Management
NamePosition Held
Mr. A M NaikFounder Chairman
Mr. S N SubrahmanyanVice Chairman
Mr. Debashis ChatterjeeManaging Director & CEO
Mr. Sudhir ChaturvediWhole Time Director
Mr. Nachiket DeshpandeWhole Time Director
Mr. R Shankar RamanNon Executive Director
Mr. James AbrahamIndependent Director
Mr. Sanjeev AgaIndependent Director
Mr. Vinayak ChatterjeeIndependent Director
Mrs. Apurva PurohitIndependent Director
Mr. Bijou KurienIndependent Director
Mr. Chandrasekaran RamakrishnanIndependent Director

Basic Stock Data of LTIMindtree Ltd

Last Updated: June 17, 2024, 8:26 pm

Market Cap 1,49,046 Cr.
Current Price 5,033
High / Low6,443/4,514
Stock P/E32.5
Book Value 676
Dividend Yield1.29 %
ROCE31.2 %
ROE25.0 %
Face Value 1.00
PEG Ratio2.66

Competitors of LTIMindtree Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Palred Technologies Ltd 144 Cr. 118230/99.0 46.00.00 %1.05 %5.89 % 10.0
Colab Cloud Platforms Ltd 145 Cr. 14.322.2/3.6190.9 2.130.00 %8.50 %7.69 % 2.00
Kellton Tech Solutions Ltd 1,075 Cr. 110128/60.216.8 45.50.00 %16.2 %15.7 % 5.00
Silver Touch Technologies Ltd 987 Cr. 779870/35561.5 89.00.06 %20.0 %15.4 % 10.0
Ace Software Exports Ltd 153 Cr. 240255/17.431.0 47.00.00 %21.0 %19.8 % 10.0
Industry Average35,933.46 Cr666.1264.57118.740.71%20.18%19.76%6.86

LTIMindtree Ltd Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales3,1533,2693,4623,7674,1384,3027,6448,2288,6208,6918,7028,9059,017
Expenses2,4212,5542,8153,0343,3063,4556,1516,5927,2457,0877,0677,2747,432
Operating Profit7327166487338318461,4941,6361,3751,6041,6361,6311,585
OPM %23%22%19%19%20%20%20%20%16%18%19%18%18%
Other Income6910312211110013417816115266132143220
Interest20191817191931383844464761
Depreciation8283808588102166196178182185208199
Profit before tax6997176727428248601,4741,5631,3111,4441,5361,5191,545
Tax %26%24%26%26%26%26%25%24%24%23%25%24%24%
Net Profit5195464975526126381,1061,1891,0011,1141,1521,1621,169
EPS in Rs29.7031.2028.3931.4834.9336.3463.0640.1833.8237.6538.9239.2639.49

Last Updated: June 7, 2024, 9:02 am

LTIMindtree Ltd Quarterly Chart

LTIMindtree Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales3,1823,8514,9204,9785,8466,5017,3069,44610,87912,37026,10933,18335,315
Expenses2,4932,9813,7733,9734,8195,2716,1197,5628,8499,64520,86027,07528,860
Operating Profit6898701,1471,0051,0281,2301,1871,8832,0292,7255,2496,1086,455
OPM %22%23%23%20%18%19%16%20%19%22%20%18%18%
Other Income102221799187187426302329274766557561
Interest342131106316118379123150197
Depreciation105123130158174178156147273332597723774
Profit before tax5607491,2049361,0351,2361,4422,0282,0032,5885,2945,7926,045
Tax %25%25%17%18%19%21%23%25%24%25%25%24%
Net Profit4195629967698369711,1121,5161,5201,9383,9504,4104,598
EPS in Rs130.03174.14308.96238.3049.2556.9164.6587.3787.30110.79225.27149.02155.32
Dividend Payout %61%54%55%63%72%29%33%32%32%36%41%40%

LTIMindtree Ltd Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)34.13%77.22%-22.79%8.71%16.15%14.52%36.33%0.26%27.50%103.82%11.65%
Change in YoY Net Profit Growth (%)0.00%43.10%-100.02%31.50%7.44%-1.63%21.81%-36.07%27.24%76.32%-92.17%

LTIMindtree Ltd Growth

Compounded Sales Growth
10 Years:22%
5 Years:30%
3 Years:42%
TTM:7%
Compounded Profit Growth
10 Years:16%
5 Years:25%
3 Years:33%
TTM:4%
Stock Price CAGR
10 Years:%
5 Years:24%
3 Years:7%
1 Year:0%
Return on Equity
10 Years:31%
5 Years:29%
3 Years:29%
Last Year:25%

Last Updated: June 17, 2024, 2:56 pm

LTIMindtree Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital16161616171717171718303030
Reserves1,0891,3231,5942,0102,1083,1273,8434,8765,3877,28614,25816,56218,035
Borrowings269234110218550009127982583541,742
Other Liabilities7157569457349581,2731,4771,7702,4992,6046,0276,5355,271
Total Liabilities2,0892,3282,6662,9783,1374,4175,3376,6648,81510,70620,57223,48125,078
Fixed Assets6326996496836385426819301,9201,9063,4733,6794,688
CWIP10814257252017125966503902131
Investments5949169104439411,2641,7402,2193,7306,0485,4586,766
Other Assets1,2901,4381,7912,1662,4372,9343,3853,9824,6175,00410,54813,44213,492
Total Assets2,0892,3282,6662,9783,1374,4175,3376,6648,81510,70620,57223,48125,078

LTIMindtree Ltd Reserves and Borrowings Chart

LTIMindtree Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 3366086286428581,1708441,3951,6442,4003,2513,095
Cash from Investing Activity -97-224180-103-40-961-452-749-643-1,657-1,643-271
Cash from Financing Activity -253-396-769-497-817-33-408-594-890-509-1,680-1,932
Net Cash Flow-14-1340422176-1652110234-73892

LTIMindtree Ltd Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days706980736670717861646259
Inventory Days
Days Payable
Cash Conversion Cycle706980736670717861646259
Working Capital Days504272524360534738404840
ROCE %52%75%48%47%46%42%47%37%37%48%36%31%

LTIMindtree Ltd Financial Efficiency Indicators Chart

LTIMindtree Ltd Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters74.25%74.09%74.07%74.05%74.03%74.00%68.69%68.68%68.66%68.66%68.64%68.60%
FIIs13.07%13.25%12.53%10.08%8.42%8.13%9.21%8.41%8.21%8.11%8.65%7.86%
DIIs4.77%4.72%5.41%7.47%8.10%8.05%10.43%11.61%12.34%12.87%12.85%13.48%
Government0.00%0.00%0.00%0.00%0.04%0.07%0.04%0.05%0.08%0.08%0.08%0.10%
Public7.91%7.94%7.99%8.40%9.41%9.74%11.61%11.22%10.71%10.27%9.78%9.95%
Others0.00%0.00%0.00%0.00%0.00%0.00%0.01%0.01%0.01%0.00%0.00%0.00%
No. of Shareholders2,18,7512,39,4842,63,6393,04,6243,87,9904,11,3106,01,3345,72,5455,41,2925,12,5604,83,4435,03,965

LTIMindtree Ltd Shareholding Pattern Chart

No. of LTIMindtree Ltd Shareholders

LTIMindtree Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
UTI Flexi Cap Fund2,570,6045.571400.61487,7582024-06-16427.02%
SBI Nifty 50 ETF1,660,9260.53904.96487,7582024-06-16240.52%
Tata Digital India Fund1,188,0626.67647.32487,7582024-06-16143.58%
ICICI Prudential Technology Fund1,040,0204.63566.66487,7582024-06-16113.22%
Axis Focused 25 Fund984,2973.87536.3487,7582024-06-16101.8%
Aditya Birla Sun Life Digital India Fund619,9107.16337.76487,7582024-06-1627.09%
Mirae Asset Large & Midcap Fund487,7580.8265.76487,7582024-06-160%
SBI Large & Midcap Fund470,0001.28256.08487,7582024-06-16-3.64%
UTI Nifty 50 ETF459,9450.53250.6487,7582024-06-16-5.7%
UTI Large Cap Fund450,8812.03245.66487,7582024-06-16-7.56%

LTIMindtree Ltd ROCE Trend

LTIMindtree Ltd EPS Trend

LTIMindtree Ltd Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)154.85149.07131.19110.9887.45
Diluted EPS (Rs.)154.48148.83130.81110.2686.61
Cash EPS (Rs.)182.55173.41151.62129.75103.07
Book Value[Excl.RevalReserv]/Share (Rs.)676.57560.78504.02417.55310.64
Book Value[Incl.RevalReserv]/Share (Rs.)676.57560.78504.02417.55310.64
Revenue From Operations / Share (Rs.)1199.901121.05895.35706.85625.21
PBDIT / Share (Rs.)239.50225.16201.43171.40135.55
PBIT / Share (Rs.)211.84200.74181.15152.40119.86
PBT / Share (Rs.)204.35195.66176.99147.90115.11
Net Profit / Share (Rs.)154.89149.00131.34110.7587.39
NP After MI And SOA / Share (Rs.)154.80148.93131.25110.6387.36
PBDIT Margin (%)19.9620.0822.4924.2421.68
PBIT Margin (%)17.6517.9020.2321.5619.17
PBT Margin (%)17.0317.4519.7620.9218.41
Net Profit Margin (%)12.9013.2914.6615.6613.97
NP After MI And SOA Margin (%)12.9013.2814.6515.6513.97
Return on Networth / Equity (%)22.8926.5626.0526.5028.12
Return on Capital Employeed (%)28.7332.9833.1933.0232.11
Return On Assets (%)16.6218.7618.4118.0717.22
Long Term Debt / Equity (X)0.080.000.070.000.00
Total Debt / Equity (X)0.100.010.090.010.01
Asset Turnover Ratio (%)1.391.831.291.231.36
Current Ratio (X)3.283.133.043.092.71
Quick Ratio (X)3.283.133.043.092.71
Dividend Payout Ratio (NP) (%)0.0035.4438.0927.4937.43
Dividend Payout Ratio (CP) (%)0.0030.4532.9923.4631.73
Earning Retention Ratio (%)0.0064.5661.9172.5162.57
Cash Earning Retention Ratio (%)0.0069.5567.0176.5468.27
Interest Coverage Ratio (X)31.9844.3148.4238.0628.55
Interest Coverage Ratio (Post Tax) (X)21.6830.3232.5725.6019.41
Enterprise Value (Cr.)145373.84138037.20107811.4070125.7024401.21
EV / Net Operating Revenue (X)4.094.166.885.672.24
EV / EBITDA (X)20.5120.7130.5823.3810.35
MarketCap / Net Operating Revenue (X)4.114.246.885.732.29
Retention Ratios (%)0.0064.5561.9072.5062.56
Price / BV (X)7.308.4912.229.704.61
Price / Net Operating Revenue (X)4.114.246.885.732.29
EarningsYield0.030.030.020.020.06

LTIMindtree Ltd Profitability Ratios (%)

LTIMindtree Ltd Liquidity Ratios

LTIMindtree Ltd Liquidity Ratios (%)

LTIMindtree Ltd Interest Coverage Ratios (X)

LTIMindtree Ltd Valuation Ratios

Fair Value

Fair Value: 5,563.35

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: 10.54% compared to the current price 5033

Intrinsic Value: 6,242.80

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: 24.04% compared to the current price ₹5033

Last 5 Year EPS CAGR: 12.21%

*Investments are subject to market risks

Strength and Weakness of LTIMindtree Ltd

StrengthWeakness
  1. The stock has a high average ROCE of 45.50%, which is a positive sign.
  2. The company has higher reserves (6,269.08 cr) compared to borrowings (380.77 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (12.08 cr) and profit (174.69 cr) over the years.
  1. The stock has a high average Working Capital Days of 48.75, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 68.58, which may not be favorable.

Should I Buy LTIMindtree Ltd Share Now?

  • 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 LTIMindtree Ltd:
    1. Net Profit Margin: 12.90%
      • 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: 28.73% (Industry Average ROCE: %)
      • 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%: 22.89% (Industry Average ROE: %)
      • 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): 21.68
      • 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: 3.28
      • 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: 32.5 (Industry average Stock P/E: )
      • 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: 0.10
      • 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:

FAQ

What is the latest fair value of LTIMindtree Ltd?

The latest fair value of LTIMindtree Ltd is ₹5563.35.

What is the Market Cap of LTIMindtree Ltd?

The Market Cap of LTIMindtree Ltd is 1,49,046 Cr..

What is the current Stock Price of LTIMindtree Ltd as on 21 June 2024?

The current stock price of LTIMindtree Ltd as on 21 June 2024 is ₹5,033.

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

In FY 2024, the High / Low of LTIMindtree Ltd stocks is 6,443/4,514.

What is the Stock P/E of LTIMindtree Ltd?

The Stock P/E of LTIMindtree Ltd is 32.5.

What is the Book Value of LTIMindtree Ltd?

The Book Value of LTIMindtree Ltd is 676.

What is the Dividend Yield of LTIMindtree Ltd?

The Dividend Yield of LTIMindtree Ltd is 1.29 %.

What is the ROCE of LTIMindtree Ltd?

The ROCE of LTIMindtree Ltd is 31.2 %.

What is the ROE of LTIMindtree Ltd?

The ROE of LTIMindtree Ltd is 25.0 %.

What is the Face Value of LTIMindtree Ltd?

The Face Value of LTIMindtree Ltd is 1.00.

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 LTIMindtree 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