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Last Updated on: 14 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Mohit Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 10, 2024, 7:27 pm

Market Cap 42.0 Cr.
Current Price 29.6
High / Low36.8/16.5
Stock P/E
Book Value 192
Dividend Yield0.00 %
ROCE0.50 %
ROE0.85 %
Face Value 10.0
PEG Ratio0.00

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

View Share Price Target for Mohit Industries Ltd

Competitors of Mohit Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Gujarat Cotex Ltd 17.4 Cr. 12.214.4/3.1939.4 4.890.00 %3.52 %2.90 % 5.00
Gini Silk Mills Ltd 73.8 Cr. 132164/58.028.4 85.20.00 %5.66 %4.64 % 10.0
Dhanlaxmi Fabrics Ltd 54.8 Cr. 63.980.0/44.0 55.20.00 %12.2 %14.6 % 10.0
Bluechip Tex Industries Ltd 31.2 Cr. 159226/139 1350.63 %3.29 %1.84 % 10.0
Arex Industries Ltd 65.3 Cr. 165244/11121.1 79.80.00 %11.3 %8.34 % 10.0
Industry Average1,246.43 Cr117.51495.2567.320.10%10.37%13.84%7.33

All Competitor Stocks of Mohit Industries Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales44.6754.1040.5743.3244.9037.8635.2344.6441.8845.4436.7638.7929.54
Expenses41.5050.8139.8044.3540.1937.3535.1942.8841.2845.6936.2639.0329.05
Operating Profit3.173.290.77-1.034.710.510.041.760.60-0.250.50-0.240.49
OPM %7.10%6.08%1.90%-2.38%10.49%1.35%0.11%3.94%1.43%-0.55%1.36%-0.62%1.66%
Other Income0.251.191.033.20-3.212.200.82-0.240.351.810.190.180.21
Interest1.371.401.390.981.001.820.860.991.121.481.120.811.02
Depreciation0.790.460.660.670.670.630.430.430.430.440.360.360.36
Profit before tax1.262.62-0.250.52-0.170.26-0.430.10-0.60-0.36-0.79-1.23-0.68
Tax %-5.56%17.56%20.00%23.08%23.53%19.23%0.00%30.00%8.33%-58.33%16.46%22.76%38.24%
Net Profit1.312.16-0.190.39-0.100.02-0.390.08-0.47-0.67-0.66-0.96-0.42
EPS in Rs0.921.52-0.130.27-0.070.01-0.270.06-0.33-0.47-0.46-0.68-0.30

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales136153157191175149167167151
Expenses123141147182167142162165150
Operating Profit121111987520
OPM %9%8%7%5%4%5%3%1%0%
Other Income222432332
Interest778976544
Depreciation444432322
Profit before tax3211010-1-3
Tax %31%1%59%-13%-93%35%22%-15%
Net Profit2201-010-1-3
EPS in Rs1.531.370.310.49-0.040.490.08-1.01-1.91
Dividend Payout %65%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2016-20172017-20182019-20202021-2022
YoY Net Profit Growth (%)0.00%-100.00%-100.00%-100.00%
Change in YoY Net Profit Growth (%)0.00%-100.00%0.00%0.00%

Mohit Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 4 years from 2016-2017 to 2021-2022.

Growth

Compounded Sales Growth
10 Years:%
5 Years:-7%
3 Years:-4%
TTM:-31%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:%
TTM:3%
Stock Price CAGR
10 Years:1%
5 Years:40%
3 Years:36%
1 Year:65%
Return on Equity
10 Years:%
5 Years:0%
3 Years:-1%
Last Year:-1%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital141414141414141414
Reserves153654211939124166259
Borrowings646967615151525652
Other Liabilities146814108954
Total Liabilities10712414311093112199242330
Fixed Assets283133302725232120
CWIP240000000
Investments524429626115159253
Other Assets726568716061616256
Total Assets10712414311093112199242330

Reserves and Borrowings Chart

Cash Flow

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +3221492-1-09
Cash from Investing Activity +-7-6-3-70-0-01-2
Cash from Financing Activity +441-7-8-22-1-7
Net Cash Flow-00-000-0-0-0-0

Free Cash Flow

MonthMar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-52.00-58.00-56.00-52.00-43.00-44.00-47.00-54.00

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 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days715662473443423934
Inventory Days785574585871666877
Days Payable242122417151784
Cash Conversion Cycle1261091248175999299107
Working Capital Days136131140107104134117126146
ROCE %8%7%8%8%7%4%1%0%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters54.32%54.32%54.32%54.32%54.32%54.32%54.32%54.32%54.32%54.32%54.32%54.82%
Public45.68%45.68%45.68%45.68%45.68%45.69%45.67%45.69%45.68%45.68%45.68%45.19%
No. of Shareholders9,0649,1519,4399,5509,4299,1289,0159,0739,2108,9438,8459,764

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.)-1.35-1.040.090.49-0.03
Diluted EPS (Rs.)-1.35-1.040.090.49-0.03
Cash EPS (Rs.)-0.320.172.062.212.38
Book Value[Excl.RevalReserv]/Share (Rs.)192.93127.6097.5137.8323.55
Book Value[Incl.RevalReserv]/Share (Rs.)192.93127.6097.5137.8323.55
Revenue From Operations / Share (Rs.)92.96118.09117.71100.79118.02
PBDIT / Share (Rs.)2.043.445.772.392.32
PBIT / Share (Rs.)1.002.233.910.660.11
PBT / Share (Rs.)-1.81-0.910.250.730.09
Net Profit / Share (Rs.)-1.36-1.040.200.470.17
NP After MI And SOA / Share (Rs.)-1.35-1.020.080.48-0.03
PBDIT Margin (%)2.192.914.902.371.96
PBIT Margin (%)1.071.883.320.650.10
PBT Margin (%)-1.94-0.770.210.720.07
Net Profit Margin (%)-1.46-0.880.170.470.15
NP After MI And SOA Margin (%)-1.45-0.860.070.48-0.02
Return on Networth / Equity (%)-0.69-0.790.081.28-0.14
Return on Capital Employeed (%)0.501.653.541.370.39
Return On Assets (%)-0.57-0.590.060.61-0.05
Long Term Debt / Equity (X)0.010.040.110.230.21
Total Debt / Equity (X)0.190.300.370.871.46
Asset Turnover Ratio (%)0.461.121.601.651.76
Current Ratio (X)1.101.201.401.391.19
Quick Ratio (X)0.670.710.850.880.76
Inventory Turnover Ratio (X)4.315.215.515.125.98
Interest Coverage Ratio (X)0.721.101.580.0086.70
Interest Coverage Ratio (Post Tax) (X)0.510.661.050.007.68
Enterprise Value (Cr.)79.0171.8879.9259.2852.10
EV / Net Operating Revenue (X)0.600.420.470.410.31
EV / EBITDA (X)27.3114.749.7917.5115.87
MarketCap / Net Operating Revenue (X)0.200.090.160.090.02
Price / BV (X)0.090.080.200.240.12
Price / Net Operating Revenue (X)0.200.090.160.090.02
EarningsYield-0.07-0.080.000.05-0.01

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Mohit Industries Ltd as of November 14, 2024 is: 24.97

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 14, 2024, Mohit Industries Ltd is Overvalued by 15.64% compared to the current share price 29.60

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of Mohit Industries Ltd as of November 14, 2024 is: 20.22

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 14, 2024, Mohit Industries Ltd is Overvalued by 31.69% compared to the current share price 29.60

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: -19.01%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (81.44 cr) compared to borrowings (58.11 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (160.67 cr) and profit (0.44 cr) over the years.
  1. The stock has a low average ROCE of 4.78%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 126.78, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 101.33, 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 Mohit Industries Ltd:
    1. Net Profit Margin: -1.46%
      • 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: 0.5% (Industry Average ROCE: 10.37%)
      • 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%: -0.69% (Industry Average ROE: 13.84%)
      • 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): 0.51
      • 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: 0.67
      • 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: 0 (Industry average Stock P/E: 495.25)
      • 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: 0.19
      • 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

Mohit Industries Ltd. is a Public Limited Listed company incorporated on 18/02/1991 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L17119GJ1991PLC015074 and registration number is 015074. Currently Company is involved in the business activities of Weaving of textiles. Company’s Total Operating Revenue is Rs. 166.65 Cr. and Equity Capital is Rs. 14.16 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Textiles - Processing/TexturisingOffice No. 908, 9th Floor, Rajhans Montessa, Dumas Road, Surat Gujarat 395007contact@mohitindustries.com
http://www.mohitindustries.com
Management
NamePosition Held
Mr. Narayan Sitaram SabooChairman & Director
Mr. Manish Narayan SabooExecutive Director & CFO
Mr. Naresh Sitaram SabooExecutive Director
Mr. Jayesh Rasiklal GandhiInd. Non-Executive Director
Mr. Sachinkumar Pramod JainInd. Non-Executive Director
Mrs. Pragya Rahul MemaniInd. Non-Executive Woman Director

FAQ

What is the latest intrinsic value of Mohit Industries Ltd?

The latest intrinsic value of Mohit Industries Ltd as on 14 November 2024 is ₹24.97, which is 15.64% lower than the current market price of ₹29.60.

What is the Market Cap of Mohit Industries Ltd?

The Market Cap of Mohit Industries Ltd is 42.0 Cr..

What is the current Stock Price of Mohit Industries Ltd as on 14 November 2024?

The current stock price of Mohit Industries Ltd as on 14 November 2024 is ₹29.6.

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

In FY 2024, the High / Low of Mohit Industries Ltd stocks is 36.8/16.5.

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

The Stock P/E of Mohit Industries Ltd is .

What is the Book Value of Mohit Industries Ltd?

The Book Value of Mohit Industries Ltd is 192.

What is the Dividend Yield of Mohit Industries Ltd?

The Dividend Yield of Mohit Industries Ltd is 0.00 %.

What is the ROCE of Mohit Industries Ltd?

The ROCE of Mohit Industries Ltd is 0.50 %.

What is the ROE of Mohit Industries Ltd?

The ROE of Mohit Industries Ltd is 0.85 %.

What is the Face Value of Mohit Industries Ltd?

The Face Value of Mohit 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 Mohit 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