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Last Updated on: 15 October, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Moschip Technologies Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 15, 2024, 11:16 pm

Market Cap 4,182 Cr.
Current Price 221
High / Low327/77.0
Stock P/E392
Book Value 14.3
Dividend Yield0.00 %
ROCE6.62 %
ROE5.17 %
Face Value 2.00
PEG Ratio11.19

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

View Share Price Target for Moschip Technologies Ltd

Competitors of Moschip Technologies Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hit Kit Global Solutions Ltd 6.26 Cr. 1.351.35/0.58156 1.860.00 %1.92 %1.94 % 2.00
Globalspace Technologies Ltd 63.1 Cr. 18.427.0/16.2191 11.20.00 %%% 10.0
First Fintec Ltd 8.34 Cr. 8.0210.9/4.51 10.20.00 %2.41 %1.77 % 10.0
ERP Soft Systems Ltd 43.6 Cr. 110190/65.6363 44.30.00 %1.25 %0.98 % 10.0
Equippp Social Impact Technologies Ltd 225 Cr. 21.636.7/20.22,501 0.650.00 %1.86 %4.06 % 1.00
Industry Average48,801.16 Cr742.09144.55115.930.62%17.87%18.60%6.86

All Competitor Stocks of Moschip Technologies Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales27.4030.1733.9238.0238.2937.4141.6749.1553.7053.8357.0171.8589.63
Expenses24.9626.8929.1332.2732.0931.6835.5843.9046.1846.3849.2861.6380.83
Operating Profit2.443.284.795.756.205.736.095.257.527.457.7310.228.80
OPM %8.91%10.87%14.12%15.12%16.19%15.32%14.61%10.68%14.00%13.84%13.56%14.22%9.82%
Other Income0.380.152.151.221.290.570.953.240.620.161.660.840.41
Interest2.112.102.192.202.112.102.042.451.711.521.551.531.48
Depreciation2.162.423.033.163.263.193.454.744.574.574.535.575.26
Profit before tax-1.45-1.091.721.612.121.011.551.301.861.523.313.962.47
Tax %0.00%-4.59%0.00%0.62%0.00%0.00%0.00%4.62%0.00%0.00%3.02%8.59%11.34%
Net Profit-1.45-1.141.721.602.121.011.551.241.861.523.213.632.19
EPS in Rs-0.09-0.070.110.100.130.060.100.080.110.090.180.200.12

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
Sales151086538607599105148198236
Expenses22171481437669111498125172203
Operating Profit-7-7-7-2-90-5-16-157232633
OPM %-43%-69%-88%-37%-165%0%-9%-21%-15%7%15%13%14%
Other Income-3-6-100302-162553
Interest2122325569986
Depreciation2100002999131719
Profit before tax-13-14-10-5-121-13-28-46-96611
Tax %0%0%0%0%0%9%-0%-3%1%-1%0%1%
Net Profit-13-14-10-5-121-13-29-46-96610
EPS in Rs-2.83-3.13-2.13-1.01-2.590.09-0.96-1.96-2.91-0.580.400.370.58
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-7.69%28.57%50.00%-140.00%108.33%-1400.00%-123.08%-58.62%80.43%166.67%0.00%
Change in YoY Net Profit Growth (%)0.00%36.26%21.43%-190.00%248.33%-1508.33%1276.92%64.46%139.06%86.23%-166.67%

Moschip Technologies Ltd 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:44%
5 Years:31%
3 Years:41%
TTM:48%
Compounded Profit Growth
10 Years:12%
5 Years:19%
3 Years:45%
TTM:36%
Stock Price CAGR
10 Years:51%
5 Years:73%
3 Years:68%
1 Year:144%
Return on Equity
10 Years:%
5 Years:-3%
3 Years:7%
Last Year:5%

Last Updated: Unknown

Balance Sheet

Last Updated: October 15, 2024, 3:24 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital4646992526313232323338
Reserves-44-52-22-3419125031213380232
Borrowings91316263255446263687269
Other Liabilities389101133593637293044
Total Liabilities1515131187126184161154162215382
Fixed Assets32003248105969194110236
CWIP00001410230009
Investments000000000000
Other Assets12131311406777616268105138
Total Assets1515131187126184161154162215382

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity -1-0-0-0-39-20-21-1111161431
Cash from Investing Activity 0000-15-14-7-2-0-6-18-81
Cash from Financing Activity -000056342913-8-10-051
Net Cash Flow-1-0-0-01-02031-41

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-7.00-16.00-20.00-18.00-35.00-32.00-60.00-60.00-77.00-56.00-45.00-46.00

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 Days1761555187150202170103121102134112
Inventory Days259103192794812
Days Payable372372836643356221
Cash Conversion Cycle176155518737-67-473-461121-207134-96
Working Capital Days29816615477251185187918595124101
ROCE %-60%-76%-44%-321%4%-9%-21%-18%-0%12%9%7%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters56.57%55.57%55.30%55.28%55.03%55.15%55.00%51.23%50.32%47.64%47.33%46.51%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.20%2.84%2.80%2.86%
Public43.30%44.31%44.57%44.59%44.85%44.73%44.87%48.65%49.38%49.42%49.76%50.52%
Others0.12%0.12%0.12%0.12%0.12%0.12%0.12%0.11%0.11%0.11%0.10%0.10%
No. of Shareholders27,17547,36379,64781,88077,40174,32670,99269,75876,96885,0721,05,9381,91,748

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
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)0.550.380.41-0.58-2.92
Diluted EPS (Rs.)0.520.350.39-0.58-2.86
Cash EPS (Rs.)1.601.411.190.00-2.32
Book Value[Excl.RevalReserv]/Share (Rs.)14.346.804.093.363.95
Book Value[Incl.RevalReserv]/Share (Rs.)14.346.804.093.363.95
Revenue From Operations / Share (Rs.)15.6411.929.246.676.29
PBDIT / Share (Rs.)2.001.881.730.54-0.84
PBIT / Share (Rs.)0.920.830.94-0.03-1.44
PBT / Share (Rs.)0.600.370.40-0.57-2.94
Net Profit / Share (Rs.)0.520.370.40-0.57-2.92
NP After MI And SOA / Share (Rs.)0.520.370.40-0.57-2.92
PBDIT Margin (%)12.7915.7718.768.23-13.41
PBIT Margin (%)5.907.0310.20-0.49-22.85
PBT Margin (%)3.853.144.37-8.63-46.76
Net Profit Margin (%)3.363.114.37-8.69-46.32
NP After MI And SOA Margin (%)3.363.114.37-8.69-46.32
Return on Networth / Equity (%)3.665.469.86-17.28-73.88
Return on Capital Employeed (%)5.688.7718.08-0.84-32.79
Return On Assets (%)2.582.873.98-5.95-28.58
Long Term Debt / Equity (X)0.020.120.020.000.00
Total Debt / Equity (X)0.160.340.891.191.00
Asset Turnover Ratio (%)0.980.910.750.490.35
Current Ratio (X)1.711.810.830.640.63
Quick Ratio (X)1.701.790.810.620.60
Inventory Turnover Ratio (X)26.231.030.500.500.35
Interest Coverage Ratio (X)6.254.053.221.01-2.09
Interest Coverage Ratio (Post Tax) (X)2.641.801.75-0.06-3.49
Enterprise Value (Cr.)1686.971070.321023.91417.65169.41
EV / Net Operating Revenue (X)5.745.406.933.971.71
EV / EBITDA (X)44.8634.2136.9648.22-12.71
MarketCap / Net Operating Revenue (X)5.665.266.583.431.11
Price / BV (X)6.189.2414.866.811.77
Price / Net Operating Revenue (X)5.665.266.583.431.11
EarningsYield0.010.010.01-0.02-0.41

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Moschip Technologies Ltd as of October 15, 2024 is: ₹295.61

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 October 15, 2024, Moschip Technologies Ltd is Undervalued by 33.76% compared to the current share price ₹221.00

Intrinsic Value of Moschip Technologies Ltd as of October 15, 2024 is: ₹399.18

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 October 15, 2024, Moschip Technologies Ltd is Undervalued by 80.62% compared to the current share price ₹221.00

Last 5 Year EPS CAGR: 35.04%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Cash Conversion Cycle of -45.25, which is a positive sign.
  1. The stock has a low average ROCE of -43.08%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 151.17, which may not be favorable.
  3. The company has higher borrowings (44.08) compared to reserves (27.17), which may suggest financial risk.
  4. The company has not shown consistent growth in sales (77.15) and profit (-9.69).

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 Moschip Technologies Ltd:
    1. Net Profit Margin: 3.36%
      • 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: 5.68% (Industry Average ROCE: 17.05%)
      • 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%: 3.66% (Industry Average ROE: 17.06%)
      • 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): 2.64
      • 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: 1.7
      • 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: 392 (Industry average Stock P/E: 116.7)
      • 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: 0.16
      • 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

MosChip Technologies Ltd. is a Public Limited Listed company incorporated on 27/07/1999 and has its registered office in the State of Andhra Pradesh, India. Company’s Corporate Identification Number(CIN) is L31909TG1999PLC032184 and registration number is 032184. Currently Company is involved in the business activities of Writing , modifying, testing of computer program to meet the needs of a particular client excluding web-page designing. Company’s Total Operating Revenue is Rs. 120.70 Cr. and Equity Capital is Rs. 31.97 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
IT Consulting & Software7th Floor, My Home Twitza, Plot No. - 30/A, Survey no. 83/1 Hyderabad Telangana 500081investorrelations@moschip.com
www.moschip.com
Management
NamePosition Held
Mr. K Pradeep ChandraChairman
Mr. Srinivasa Rao KakumanuManaging Director & CEO
Mr. Damodar Rao GummadapuNon Executive Director
Mr. Naveed Ahmed SherwaniNon Executive Director
Mr. G V Pranav ReddyNon Executive Director
Mr. Vinayendra ParvathaneniNon Executive Director
Mrs. Madhurika Nalluri VenkatIndependent Director
Mr. D G PrasadIndependent Director

FAQ

What is the latest fair value of Moschip Technologies Ltd?

The latest fair value of Moschip Technologies Ltd is ₹295.61.

What is the Market Cap of Moschip Technologies Ltd?

The Market Cap of Moschip Technologies Ltd is 4,182 Cr..

What is the current Stock Price of Moschip Technologies Ltd as on 15 October 2024?

The current stock price of Moschip Technologies Ltd as on 15 October 2024 is ₹221.

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

In FY 2024, the High / Low of Moschip Technologies Ltd stocks is 327/77.0.

What is the Stock P/E of Moschip Technologies Ltd?

The Stock P/E of Moschip Technologies Ltd is 392.

What is the Book Value of Moschip Technologies Ltd?

The Book Value of Moschip Technologies Ltd is 14.3.

What is the Dividend Yield of Moschip Technologies Ltd?

The Dividend Yield of Moschip Technologies Ltd is 0.00 %.

What is the ROCE of Moschip Technologies Ltd?

The ROCE of Moschip Technologies Ltd is 6.62 %.

What is the ROE of Moschip Technologies Ltd?

The ROE of Moschip Technologies Ltd is 5.17 %.

What is the Face Value of Moschip Technologies Ltd?

The Face Value of Moschip Technologies Ltd is 2.00.

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 Moschip Technologies 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