Fundamental Analysis of Maruti Suzuki India Ltd

About the Company - Maruti Suzuki India Ltd

Maruti Suzuki India Ltd. is a Public Limited Listed company incorporated on 24/02/1981 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L34103DL1981PLC011375 and registration number is 011375. Currently Company is involved in the business activities of Sale of motor vehicle parts and accessories. Company’s Total Operating Revenue is Rs. 88295.60 Cr. and Equity Capital is Rs. 151.00 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Auto - Cars & Jeeps	1, Nelson Mandela Road, Vasant Kunj, New Delhi Delhi 110070	investor@maruti.co.in http://www.marutisuzuki.com

Management
Name	Position Held
Mr. R C Bhargava	Chairman
Mr. Kenichi Ayukawa	Director
Mr. Hisashi Takeuchi	Managing Director & CEO
Mr. D S Brar	Independent Director
Mr. R P Singh	Independent Director
Ms. Lira Goswami	Independent Director
Mr. Maheswar Sahu	Independent Director
Mr. O Suzuki	Director
Mr. T Suzuki	Director
Mr. Kenichiro Toyofuku	Director - Corporate
Mr. Kinji Saito	Director

Basic Stock Data of Maruti Suzuki India Ltd

Last Updated: July 6, 2024, 11:51 am

Market Cap	3,80,554 Cr.
Current Price	12,104
High / Low	13,074/9,254
Stock P/E	28.2
Book Value	2,724
Dividend Yield	1.03 %
ROCE	23.7 %
ROE	18.3 %
Face Value	5.00
PEG Ratio	1.73

Competitors of Maruti Suzuki India Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Mahindra & Mahindra Ltd	3,58,211 Cr.	2,881	3,014/1,416	31.8	532	0.73 %	13.6 %	18.4 %	5.00
Industry Average	358,211.00 Cr	2,881.00		31.80	532.00	0.73%	13.60%	18.40%	5.00

Maruti Suzuki India Ltd Quarterly Results

Month	Dec 2020	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023
Sales	23,471	24,034	17,776	20,551	23,253	26,749	26,512	29,942	29,251	32,060	32,338	37,339	33,513
Expenses	21,244	22,040	16,958	19,694	21,691	24,320	24,597	27,172	25,878	28,708	29,353	32,022	29,073
Operating Profit	2,228	1,995	819	857	1,562	2,429	1,915	2,771	3,373	3,352	2,985	5,318	4,440
OPM %	9%	8%	5%	4%	7%	9%	7%	9%	12%	10%	9%	14%	13%
Other Income	1,054	163	544	532	355	514	112	662	893	791	1,041	952	1,053
Interest	29	33	22	23	25	56	28	31	30	99	46	35	36
Depreciation	742	742	744	757	641	648	652	723	1,209	740	748	1,342	1,302
Profit before tax	2,510	1,384	596	610	1,252	2,239	1,347	2,679	3,027	3,304	3,231	4,892	4,156
Tax %	20%	10%	20%	20%	17%	16%	23%	21%	21%	19%	22%	23%	23%
Net Profit	1,997	1,241	475	487	1,042	1,876	1,036	2,112	2,406	2,671	2,525	3,786	3,207
EPS in Rs	66.10	41.09	15.72	16.12	34.49	62.10	34.30	69.93	79.65	88.41	83.59	125.33	102.00

Last Updated: June 5, 2024, 11:01 am

Maruti Suzuki India Ltd Quarterly Chart

Maruti Suzuki India Ltd Profit & Loss

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	36,090	44,304	44,542	50,801	57,589	68,085	79,809	86,068	75,660	70,372	88,330	117,571	135,250
Expenses	33,807	39,944	39,232	43,909	48,565	57,664	67,692	75,012	68,305	64,961	82,578	106,542	119,156
Operating Profit	2,283	4,361	5,310	6,892	9,024	10,421	12,118	11,056	7,355	5,411	5,752	11,029	16,094
OPM %	6%	10%	12%	14%	16%	15%	15%	13%	10%	8%	7%	9%	12%
Other Income	1,086	797	724	817	1,464	2,399	2,155	2,664	3,410	3,046	1,861	2,307	3,836
Interest	62	198	184	218	82	89	346	76	134	102	127	187	217
Depreciation	1,162	1,890	2,116	2,515	2,822	2,604	2,760	3,021	3,528	3,034	2,789	2,826	4,131
Profit before tax	2,145	3,070	3,734	4,976	7,585	10,127	11,167	10,624	7,103	5,321	4,697	10,323	15,583
Tax %	24%	20%	24%	24%	28%	26%	29%	28%	20%	18%	17%	20%
Net Profit	1,681	2,470	2,854	3,809	5,497	7,511	7,881	7,651	5,678	4,389	3,880	8,211	12,189
EPS in Rs	58.19	81.74	94.44	126.04	181.98	248.61	260.86	253.21	187.90	145.30	128.43	271.82	399.33
Dividend Payout %	13%	10%	13%	20%	19%	30%	31%	32%	32%	31%	47%	33%

Maruti Suzuki India Ltd Profit & Loss Yearly Chart

Maruti Suzuki India Ltd Growth

Compounded Sales Growth
10 Years:	12%
5 Years:	11%
3 Years:	26%
TTM:	21%

Compounded Profit Growth
10 Years:	18%
5 Years:	18%
3 Years:	45%
TTM:	100%

Stock Price CAGR
10 Years:	16%
5 Years:	14%
3 Years:	17%
1 Year:	25%

Return on Equity
10 Years:	13%
5 Years:	11%
3 Years:	12%
Last Year:	18%

Last Updated: June 29, 2024, 1:51 pm

Maruti Suzuki India Ltd Balance Sheet

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Sep 2023
Equity Capital	144	151	151	151	151	151	151	151	151	151	151	151	151
Reserves	15,530	18,877	21,345	24,167	30,465	36,924	42,408	46,941	49,262	52,350	55,182	61,640	65,642
Borrowings	1,421	1,569	2,004	666	231	484	121	160	184	541	426	1,247	392
Other Liabilities	6,004	6,920	7,975	9,492	11,879	14,402	17,568	16,717	14,031	18,335	18,896	21,558	24,291
Total Liabilities	23,099	27,517	31,476	34,477	42,726	51,960	60,248	63,969	63,628	71,376	74,656	84,597	90,477
Fixed Assets	7,746	10,022	11,034	12,490	12,530	13,311	13,389	15,437	15,744	14,989	13,747	17,830	18,838
CWIP	943	1,966	2,640	1,890	1,007	1,252	2,132	1,607	1,415	1,497	2,936	2,904	2,632
Investments	6,545	7,421	10,527	13,298	20,676	29,151	36,123	37,504	37,488	42,945	42,035	49,184	52,847
Other Assets	7,866	8,107	7,275	6,800	8,513	8,247	8,604	9,421	8,980	11,946	15,937	14,678	16,159
Total Assets	23,099	27,517	31,476	34,477	42,726	51,960	60,248	63,969	63,628	71,376	74,656	84,597	90,477

Maruti Suzuki India Ltd Reserves and Borrowings Chart

Maruti Suzuki India Ltd Cash Flow

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Cash from Operating Activity	2,655	4,059	4,995	6,449	8,482	10,282	11,788	6,601	3,496	8,856	1,840	9,251
Cash from Investing Activity	-3,181	-3,119	-4,997	-4,491	-7,230	-9,173	-8,302	-3,540	-557	-7,291	-239	-8,036
Cash from Financing Activity	610	-979	-74	-2,004	-1,237	-1,129	-3,436	-2,948	-3,104	-1,545	-1,607	-1,213
Net Cash Flow	84	-39	-76	-45	16	-20	50	113	-165	20	-6	2

Maruti Suzuki India Ltd Free Cash Flow

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Free Cash Flow	1.00	3.00	3.00	-660.00	-222.00	-474.00	-109.00	-149.00	-177.00	-536.00	-421.00	10.00

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.

Maruti Suzuki India Ltd Free Cash Flow Chart

Maruti Suzuki India Ltd Financial Efficiency Indicators

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	13	12	8	8	6	7	10	10	7	8	10	12
Inventory Days	21	20	28	30	25	21	20	22	22	20	18	19
Days Payable	47	57	57	70	65	70	59	51	73	54	50	62
Cash Conversion Cycle	-14	-25	-20	-32	-33	-42	-29	-20	-44	-26	-22	-31
Working Capital Days	-7	-18	-26	-27	-33	-40	-29	-19	-47	-29	-23	-16
ROCE %	15%	16%	19%	23%	24%	24%	19%	9%	11%	6%	14%

Maruti Suzuki India Ltd Financial Efficiency Indicators Chart

Maruti Suzuki India Ltd Share Holding Pattern

Month	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Promoters	56.37%	56.37%	56.37%	56.37%	56.37%	56.37%	56.37%	56.48%	56.48%	56.48%	58.19%	58.19%
FIIs	22.90%	22.52%	23.60%	22.57%	21.89%	21.84%	21.49%	21.11%	21.87%	21.85%	20.60%	19.64%
DIIs	15.76%	15.98%	15.29%	16.25%	18.01%	18.10%	18.19%	18.57%	18.07%	18.15%	17.64%	18.86%
Government	0.00%	0.00%	0.00%	0.00%	0.00%	0.06%	0.06%	0.06%	0.06%	0.06%	0.06%	0.06%
Public	4.97%	5.13%	4.74%	4.81%	3.73%	3.62%	3.89%	3.78%	3.51%	3.45%	3.50%	3.24%
No. of Shareholders	4,42,482	4,63,718	4,21,912	4,31,889	3,95,441	3,92,551	4,18,288	4,15,127	3,78,323	3,68,608	3,87,767	3,64,375

Maruti Suzuki India Ltd Shareholding Pattern Chart

No. of Maruti Suzuki India Ltd Shareholders

Maruti Suzuki India Ltd Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
Parag Parikh Flexi Cap Fund	2,762,479	5.11	2814.11	950,000	2024-07-05	190.79%
SBI Nifty 50 ETF	2,390,866	1.42	2435.55	950,000	2024-07-05	151.67%
ICICI Prudential Bluechip Fund	2,103,659	4.3	2142.98	950,000	2024-07-05	121.44%
ICICI Prudential Balanced Advantage Fund	1,948,980	3.67	1985.41	950,000	2024-07-05	105.16%
SBI S&P BSE Sensex ETF	1,702,248	1.65	1733.45	950,000	2024-07-05	79.18%
Kotak Flexicap Fund - Regular Plan	1,525,000	3.5	1553.5	950,000	2024-07-05	60.53%
ICICI Prudential Equity & Debt Fund	1,280,135	4.18	1304.06	950,000	2024-07-05	34.75%
ICICI Prudential Multi Asset Fund	1,180,659	3.66	1202.73	950,000	2024-07-05	24.28%
ICICI Prudential Flexicap Fund	1,078,742	8	1098.9	950,000	2024-07-05	13.55%
HDFC Flexi Cap Fund - Regular Plan	950,000	2.03	967.76	950,000	2024-07-05	0%

Maruti Suzuki India Ltd ROCE Trend

Maruti Suzuki India Ltd EPS Trend

Maruti Suzuki India Ltd Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	5.00	5.00	5.00	5.00	5.00
Basic EPS (Rs.)	429.01	271.82	128.43	145.30	187.95
Diluted EPS (Rs.)	429.01	271.82	128.43	145.30	187.95
Cash EPS (Rs.)	588.10	359.58	215.45	240.21	300.91
Book Value[Excl.RevalReserv]/Share (Rs.)	2723.79	2046.07	1832.23	1738.43	1636.83
Book Value[Incl.RevalReserv]/Share (Rs.)	2723.79	2046.07	1832.23	1738.43	1636.83
Revenue From Operations / Share (Rs.)	4512.03	3893.09	2924.83	2330.20	2505.30
PBDIT / Share (Rs.)	719.46	435.71	246.72	274.43	352.55
PBIT / Share (Rs.)	552.29	342.14	154.37	173.97	235.72
PBT / Share (Rs.)	546.13	335.95	150.18	170.60	231.27
Net Profit / Share (Rs.)	420.93	266.01	123.10	139.74	184.08
NP After MI And SOA / Share (Rs.)	429.01	271.89	128.46	145.33	187.95
PBDIT Margin (%)	15.94	11.19	8.43	11.77	14.07
PBIT Margin (%)	12.24	8.78	5.27	7.46	9.40
PBT Margin (%)	12.10	8.62	5.13	7.32	9.23
Net Profit Margin (%)	9.32	6.83	4.20	5.99	7.34
NP After MI And SOA Margin (%)	9.50	6.98	4.39	6.23	7.50
Return on Networth / Equity (%)	15.75	13.28	7.01	8.36	11.48
Return on Capital Employeed (%)	19.42	16.02	8.08	9.52	13.60
Return On Assets (%)	11.69	9.70	5.19	6.15	8.92
Total Debt / Equity (X)	0.00	0.01	0.01	0.01	0.00
Asset Turnover Ratio (%)	1.42	1.49	1.22	1.05	1.20
Current Ratio (X)	0.87	0.57	0.98	1.15	0.74
Quick Ratio (X)	0.66	0.36	0.77	0.96	0.46
Inventory Turnover Ratio (X)	16.44	11.94	12.07	10.63	10.60
Dividend Payout Ratio (NP) (%)	0.00	22.07	35.04	41.29	42.57
Dividend Payout Ratio (CP) (%)	0.00	16.42	20.38	24.41	26.25
Earning Retention Ratio (%)	0.00	77.93	64.96	58.71	57.43
Cash Earning Retention Ratio (%)	0.00	83.58	79.62	75.59	73.75
Interest Coverage Ratio (X)	116.84	70.37	58.85	81.41	79.34
Interest Coverage Ratio (Post Tax) (X)	69.36	43.96	30.36	42.45	42.42
Enterprise Value (Cr.)	393761.56	251612.23	225648.68	204608.95	129591.95
EV / Net Operating Revenue (X)	2.78	2.14	2.55	2.91	1.71
EV / EBITDA (X)	17.41	19.12	30.28	24.69	12.17
MarketCap / Net Operating Revenue (X)	2.80	2.13	2.58	2.94	1.71
Retention Ratios (%)	0.00	77.92	64.95	58.70	57.42
Price / BV (X)	4.63	4.05	4.13	3.95	2.62
Price / Net Operating Revenue (X)	2.80	2.13	2.58	2.94	1.71
EarningsYield	0.03	0.03	0.01	0.02	0.04

Maruti Suzuki India Ltd Profitability Ratios (%)

Maruti Suzuki India Ltd Liquidity Ratios

Maruti Suzuki India Ltd Liquidity Ratios (%)

Maruti Suzuki India Ltd Interest Coverage Ratios (%)

Maruti Suzuki India Ltd Valuation Ratios

Fair Value

Fair Value: 14,202.27

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: 17.34% compared to the current price 12104

Intrinsic Value: 16,513.48

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: 36.43% compared to the current price ₹12104

Last 5 Year EPS CAGR: 16.27%

*Investments are subject to market risks

Strength and Weakness of Maruti Suzuki India Ltd Stock

Strength	Weakness
The stock has a low average Working Capital Days of -26.17, which is a positive sign. The stock has a low average Cash Conversion Cycle of -28.17, which is a positive sign. The company has higher reserves (40,056.38 cr) compared to borrowings (726.62 cr), indicating strong financial stability. The company has shown consistent growth in sales (73.00 cr) and profit (7.00 cr) over the years.	The stock has a low average ROCE of 15.00%, which may not be favorable.

Should I Buy Maruti Suzuki India 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 Maruti Suzuki India Ltd:
1. ✓ Net Profit Margin: 9.32%
  - 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: 19.42% (Industry Average ROCE: 23.7%)
  - 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%: 15.75% (Industry Average ROE: 18.3%)
  - 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): 69.36
  - 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: 0.66
  - 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: 28.2 (Industry average Stock P/E: 30)
  - 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: 0.00
  - 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 Maruti Suzuki India Ltd?

The latest fair value of Maruti Suzuki India Ltd is ₹14202.27.

What is the Market Cap of Maruti Suzuki India Ltd?

The Market Cap of Maruti Suzuki India Ltd is 3,80,554 Cr..

What is the current Stock Price of Maruti Suzuki India Ltd as on 06 July 2024?

The current stock price of Maruti Suzuki India Ltd as on 06 July 2024 is 12,104.

What is the High / Low of Maruti Suzuki India Ltd stocks in FY 2024?

In FY 2024, the High / Low of Maruti Suzuki India Ltd stocks is 13,074/9,254.

What is the Stock P/E of Maruti Suzuki India Ltd?

The Stock P/E of Maruti Suzuki India Ltd is 28.2.

What is the Book Value of Maruti Suzuki India Ltd?

The Book Value of Maruti Suzuki India Ltd is 2,724.

What is the Dividend Yield of Maruti Suzuki India Ltd?

The Dividend Yield of Maruti Suzuki India Ltd is 1.03 %.

What is the ROCE of Maruti Suzuki India Ltd?

The ROCE of Maruti Suzuki India Ltd is 23.7 %.

What is the ROE of Maruti Suzuki India Ltd?

The ROE of Maruti Suzuki India Ltd is 18.3 %.

What is the Face Value of Maruti Suzuki India Ltd?

The Face Value of Maruti Suzuki India Ltd is 5.00.