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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

MMP Industries Ltd: Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 21, 2024, 2:10 am

Market Cap 856 Cr.
Current Price 337
High / Low 458/188
Stock P/E23.7
Book Value 120
Dividend Yield0.45 %
ROCE13.4 %
ROE11.6 %
Face Value 10.0
PEG Ratio3.45

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

View Share Price Target for MMP Industries Ltd

Competitors of

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Galada Power & Telecommunication Ltd 2.12 Cr. 2.83 /2.14 24.10.00 %37.3 %% 10.0
Bothra Metals & Alloys Ltd 23.9 Cr. 12.9 15.6/8.6164.6 10.60.00 %3.79 %1.70 % 10.0
National Aluminium Company Ltd 39,554 Cr. 215 263/11213.9 86.32.32 %17.0 %12.6 % 5.00
MMP Industries Ltd 856 Cr. 337 458/18823.7 1200.45 %13.4 %11.6 % 10.0
Manaksia Aluminium Company Ltd 192 Cr. 29.4 46.0/22.637.1 20.10.24 %9.85 %3.99 % 1.00
Industry Average36,251.00 Cr193.5926.22115.110.51%16.79%10.40%6.00

All Competitor Stocks of

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales66.1177.2586.1392.41116.36153.36148.19118.90127.68143.52151.43126.07140.87
Expenses58.1968.6277.9882.37106.66139.30141.15111.75117.72132.41139.87118.69127.71
Operating Profit7.928.638.1510.049.7014.067.047.159.9611.1111.567.3813.16
OPM %11.98%11.17%9.46%10.86%8.34%9.17%4.75%6.01%7.80%7.74%7.63%5.85%9.34%
Other Income0.271.781.061.741.360.910.631.000.930.861.671.882.22
Interest0.350.620.640.841.170.990.941.171.131.231.191.592.03
Depreciation1.141.271.351.621.641.711.681.691.751.731.831.892.09
Profit before tax6.708.527.229.328.2512.275.055.298.019.0110.215.7811.26
Tax %25.22%18.54%20.78%19.42%20.00%25.18%7.13%34.97%21.35%23.42%21.35%19.20%20.69%
Net Profit5.016.955.727.506.599.184.703.446.296.898.034.678.93
EPS in Rs1.972.742.252.952.593.611.851.352.482.713.161.843.52

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales157180203243261242231448538549
Expenses144161182213231215205406503509
Operating Profit13192130292726423540
OPM %9%11%10%12%11%11%11%9%7%7%
Other Income0151633535
Interest6744322445
Depreciation2222235677
Profit before tax6122024302422372733
Tax %37%34%28%37%26%24%22%22%22%
Net Profit491719231917292126
EPS in Rs3.127.1613.8810.188.907.316.8711.418.3910.19
Dividend Payout %0%0%0%0%0%0%15%9%12%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)125.00%88.89%11.76%21.05%-17.39%-10.53%70.59%-27.59%
Change in YoY Net Profit Growth (%)0.00%-36.11%-77.12%9.29%-38.44%6.86%81.11%-98.17%

MMP Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 8 years from 2015-2016 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:%
5 Years:17%
3 Years:36%
TTM:10%
Compounded Profit Growth
10 Years:%
5 Years:7%
3 Years:22%
TTM:39%
Stock Price CAGR
10 Years:%
5 Years:27%
3 Years:32%
1 Year:68%
Return on Equity
10 Years:%
5 Years:10%
3 Years:11%
Last Year:12%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 8:31 pm

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital8881217252525252525
Reserves15264689157165184213232264280
Borrowings43394138231730525893122
Other Liabilities2121192425273345435349
Total Liabilities8795114163221234272335358435476
Fixed Assets343737374490112147160183211
CWIP21102517294152710
Investments17162021192229324248
Other Assets505161106131107109155151183207
Total Assets8795114163221234272335358435476

Reserves and Borrowings Chart

Cash Flow

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +6141414101836193343
Cash from Investing Activity +-12-3-11-6-76-7-27-19-24-42
Cash from Financing Activity +5-10-12243-3-10-7-3
Net Cash Flow-01231-2387-02-2

Free Cash Flow

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-30.00-20.00-20.00-8.006.0010.00-4.00-10.00-23.00

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 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days64556268605762423036
Inventory Days625449404878116847692
Days Payable48272421262833231621
Cash Conversion Cycle788286878210814410390108
Working Capital Days666474766988109837286
ROCE %26%23%24%20%13%11%15%10%13%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters74.48%74.48%74.48%74.48%74.48%74.48%74.48%74.48%74.48%74.48%74.48%74.48%
FIIs0.00%0.00%0.00%0.00%7.14%7.14%7.14%7.19%6.05%5.96%5.07%5.07%
DIIs8.81%8.51%8.05%8.05%0.91%0.91%0.91%0.67%0.47%0.47%0.47%0.47%
Public16.71%17.01%17.48%17.48%17.47%17.47%17.47%17.65%19.00%19.08%19.97%19.97%
No. of Shareholders4,5904,3725,2706,2265,8406,0555,8645,1964,4835,0047,8747,702

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.)12.468.3911.416.877.31
Diluted EPS (Rs.)12.468.3911.416.877.31
Cash EPS (Rs.)12.759.9812.098.008.82
Book Value[Excl.RevalReserv]/Share (Rs.)113.76101.2293.6882.2675.09
Book Value[Incl.RevalReserv]/Share (Rs.)113.76101.2293.6882.2675.09
Revenue From Operations / Share (Rs.)227.75211.90176.4690.8395.20
PBDIT / Share (Rs.)18.7214.1116.6910.6512.03
PBIT / Share (Rs.)15.5911.4114.208.8610.81
PBT / Share (Rs.)12.899.6612.778.199.90
Net Profit / Share (Rs.)9.617.289.606.217.59
NP After MI And SOA / Share (Rs.)12.468.3911.416.877.31
PBDIT Margin (%)8.226.669.4511.7212.63
PBIT Margin (%)6.845.388.049.7511.35
PBT Margin (%)5.664.557.239.0210.39
Net Profit Margin (%)4.223.435.446.837.97
NP After MI And SOA Margin (%)5.463.966.467.567.68
Return on Networth / Equity (%)10.948.2912.188.349.73
Return on Capital Employeed (%)12.4610.4814.1510.3313.86
Return On Assets (%)7.275.958.646.427.93
Long Term Debt / Equity (X)0.040.020.020.000.00
Total Debt / Equity (X)0.320.220.210.140.08
Asset Turnover Ratio (%)1.461.551.530.931.07
Current Ratio (X)1.481.701.711.842.61
Quick Ratio (X)0.530.640.750.911.63
Inventory Turnover Ratio (X)4.705.455.554.135.98
Dividend Payout Ratio (NP) (%)8.0211.918.760.000.00
Dividend Payout Ratio (CP) (%)6.419.017.190.000.00
Earning Retention Ratio (%)91.9888.0991.240.000.00
Cash Earning Retention Ratio (%)93.5990.9992.810.000.00
Interest Coverage Ratio (X)6.958.0311.6715.9513.21
Interest Coverage Ratio (Post Tax) (X)4.575.147.7110.309.34
Enterprise Value (Cr.)739.58341.55553.37241.01149.58
EV / Net Operating Revenue (X)1.280.631.231.040.61
EV / EBITDA (X)15.559.5313.058.914.89
MarketCap / Net Operating Revenue (X)1.120.531.120.930.61
Retention Ratios (%)91.9788.0891.230.000.00
Price / BV (X)2.241.112.111.040.77
Price / Net Operating Revenue (X)1.120.531.120.930.61
EarningsYield0.040.070.050.080.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of MMP Industries Ltd as of December 21, 2024 is: 331.39

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, MMP Industries Ltd is Overvalued by 1.66% compared to the current share price 337.00

Intrinsic Value of MMP Industries Ltd as of December 21, 2024 is: 354.15

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, MMP Industries Ltd is Undervalued by 5.09% compared to the current share price 337.00

Last 5 Year EPS CAGR: 6.87%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 15.50%, which is a positive sign.
  2. The company has higher reserves (151.91 cr) compared to borrowings (50.55 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (305.20 cr) and profit (23.50 cr) over the years.
  1. The stock has a high average Working Capital Days of 78.70, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 96.80, 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 MMP Industries Ltd:
    1. Net Profit Margin: 4.22%
      • 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: 12.46% (Industry Average ROCE: 16.79%)
      • 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%: 10.94% (Industry Average ROE: 8.91%)
      • 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): 4.57
      • 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: 0.53
      • 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: 23.7 (Industry average Stock P/E: 26.22)
      • 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: 0.32
      • 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

MMP Industries Ltd. is a Public Limited Listed company incorporated on 08/10/1973 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L32300MH1973PLC030813 and registration number is 030813. Currently Company is involved in the business activities of Manufacture of other articles. Company’s Total Operating Revenue is Rs. 448.26 Cr. and Equity Capital is Rs. 25.40 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Aluminium - Sheets/Coils/Wires211, Shrimohini, 345, Kingsway, Nagpur Maharashtra 440001companysecretary@mmpil.com
http://www.mmpil.com
Management
NamePosition Held
Mr. Arun Raghuveer Raj BhandariChairman & Managing Director
Mr. Lalit Ranjeet Raj BhandariWhole Time Director
Mr. Tenneti Narasimham MurthyWhole Time Director
Mr. Mayank BhandariNon Executive Director
Mr. Karan Yudhishtir VarmaInd. Non-Executive Director
Ms. Ulka KulkarniInd. Non-Executive Director
Mr. Vijay Singh BapnaInd. Non-Executive Director
Mr. Sunil KhannaInd. Non-Executive Director
Mr. Sanjay SachetiInd. Non-Executive Director

FAQ

What is the latest intrinsic value of MMP Industries Ltd?

The latest intrinsic value of MMP Industries Ltd as on 21 December 2024 is ₹331.39, which is 1.66% lower than the current market price of ₹337.00. The stock has a market capitalization of 856 Cr. and recorded a high/low of 458/188 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹280 Cr and total liabilities of ₹476 Cr.

What is the Market Cap of MMP Industries Ltd?

The Market Cap of MMP Industries Ltd is 856 Cr..

What is the current Stock Price of MMP Industries Ltd as on 21 December 2024?

The current stock price of MMP Industries Ltd as on 21 December 2024 is 337.

What is the High / Low of MMP Industries Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of MMP Industries Ltd stocks is 458/188.

What is the Stock P/E of MMP Industries Ltd?

The Stock P/E of MMP Industries Ltd is 23.7.

What is the Book Value of MMP Industries Ltd?

The Book Value of MMP Industries Ltd is 120.

What is the Dividend Yield of MMP Industries Ltd?

The Dividend Yield of MMP Industries Ltd is 0.45 %.

What is the ROCE of MMP Industries Ltd?

The ROCE of MMP Industries Ltd is 13.4 %.

What is the ROE of MMP Industries Ltd?

The ROE of MMP Industries Ltd is 11.6 %.

What is the Face Value of MMP Industries Ltd?

The Face Value of MMP Industries 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 MMP Industries 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