Fundamental Analysis of MSP Steel & Power Ltd

About the Company - MSP Steel & Power Ltd

MSP Steel & Power Ltd. is a Public Limited Listed company incorporated on 18/11/1968 and has its registered office in the State of West Bengal, India. Company’s Corporate Identification Number(CIN) is L27109WB1968PLC027399 and registration number is 027399. Currently Company is involved in the business activities of Manufacture of basic iron and steel. Company’s Total Operating Revenue is Rs. 2339.58 Cr. and Equity Capital is Rs. 385.42 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Steel - Sponge Iron	16/S, Block-'A', New Alipore, Kolkata West Bengal 700053	contactus@mspsteel.com http://www.mspsteel.com

Management
Name	Position Held
Mr. Suresh Kumar Agrawal	Chairman
Mr. Saket Agrawal	Managing Director
Mr. Manish Agrawal	Non Ind.& Exe.Director
Mr. Navneet Jagatramka	Ind. Non-Executive Director
Mr. Ashok Kumar Soin	Ind. Non-Executive Director
Mrs. Suneeta Mohanty	Ind. Non-Executive Director
Mr. Pradip Kumar Dey	Non Executive Director
Mr. Prateek Bansal	Ind. Non-Executive Director

Basic Stock Data of MSP Steel & Power Ltd

Last Updated: July 26, 2024, 10:24 pm

Market Cap	1,066 Cr.
Current Price	27.6
High / Low	33.4/10.2
Stock P/E	74.3
Book Value	15.1
Dividend Yield	0.00 %
ROCE	7.92 %
ROE	2.56 %
Face Value	10.0
PEG Ratio	2.64

Data Source: screener.in

Competitors of MSP Steel & Power Ltd

Stock Name	Market Cap	Current Price	High / Low	Stock P/E	Book Value	Dividend Yield	ROCE	ROE	Face Value
Chennai Ferrous Industries Ltd	43.7 Cr.	121	163/103	15.6	133	0.00 %	9.15 %	5.98 %	10.0
Bihar Sponge Iron Ltd	156 Cr.	17.3	22.4/8.01	20.9	6.18	0.00 %	29.5 %	%	10.0
Ashirwad Steels & Industries Ltd	52.3 Cr.	41.8	67.6/26.6	23.2	64.7	0.00 %	4.08 %	2.84 %	10.0
Vaswani Industries Ltd	160 Cr.	53.2	62.6/20.5	17.7	40.6	0.00 %	13.2 %	7.71 %	10.0
Sarda Energy & Minerals Ltd	9,687 Cr.	275	308/173	18.4	110	0.27 %	15.5 %	14.4 %	1.00
Industry Average	21,485.83 Cr	359.50		18.83	112.74	0.05%	22.49%	21.77%	8.00

MSP Steel & Power 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	477.43	558.35	526.42	571.74	588.54	652.88	624.52	586.81	661.65	677.42	671.12	673.59	780.74
Expenses	441.62	512.85	488.07	529.75	563.37	603.54	610.80	620.69	631.56	628.25	641.53	644.89	741.54
Operating Profit	35.81	45.50	38.35	41.99	25.17	49.34	13.72	-33.88	30.09	49.17	29.59	28.70	39.20
OPM %	7.50%	8.15%	7.29%	7.34%	4.28%	7.56%	2.20%	-5.77%	4.55%	7.26%	4.41%	4.26%	5.02%
Other Income	0.15	0.19	0.17	0.39	0.23	2.92	0.54	3.82	0.71	9.99	4.23	9.70	10.00
Interest	19.35	17.87	16.13	19.19	18.26	20.60	18.74	18.30	19.27	20.95	16.86	20.32	25.37
Depreciation	13.45	14.98	13.54	13.75	13.85	13.33	13.54	13.58	13.64	13.32	13.96	14.36	13.83
Profit before tax	3.16	12.84	8.85	9.44	-6.71	18.33	-18.02	-61.94	-2.11	24.89	3.00	3.72	10.00
Tax %	31.01%	11.21%	3.28%	0.85%	-2.53%	20.08%	18.87%	5.93%	218.01%	20.45%	160.33%	144.09%	52.30%
Net Profit	2.18	11.39	8.55	9.36	-6.88	14.65	-14.61	-58.27	2.50	19.80	-1.81	-1.64	4.78
EPS in Rs	0.06	0.30	0.22	0.24	-0.18	0.38	-0.38	-1.51	0.06	0.51	-0.05	-0.04	0.12

Last Updated: July 11, 2024, 9:23 am

MSP Steel & Power Ltd Quarterly Chart

MSP Steel & Power Ltd Profit & Loss

Last Updated: July 10, 2024, 7:22 pm

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	695	920	1,191	1,090	902	849	1,160	1,670	1,533	1,723	2,340	2,550	2,684
Expenses	579	759	1,032	1,085	913	775	1,043	1,539	1,462	1,581	2,184	2,491	2,546
Operating Profit	116	161	159	5	-11	74	117	130	70	142	155	59	138
OPM %	17%	18%	13%	0%	-1%	9%	10%	8%	5%	8%	7%	2%	5%
Other Income	5	6	36	5	2	1	7	1	1	1	3	15	25
Interest	59	91	109	109	118	123	129	79	86	79	74	77	77
Depreciation	29	46	55	53	63	56	57	55	54	55	54	54	55
Profit before tax	34	30	32	-152	-191	-104	-62	-2	-68	8	30	-57	30
Tax %	23%	33%	34%	32%	5%	10%	10%	-956%	-11%	42%	14%	12%
Net Profit	26	20	21	-104	-182	-94	-56	-21	-76	5	26	-51	19
EPS in Rs		2.28	2.42	-11.76	-20.71	-10.64	-1.44	-0.53	-1.97	0.13	0.67	-1.31	0.48
Dividend Payout %	5%	0%	0%	0%	0%	0%	0%	0%	0%	0%	0%	0%

MSP Steel & Power Ltd Profit & Loss Yearly Chart

MSP Steel & Power Ltd Growth

Compounded Sales Growth
10 Years:	9%
5 Years:	11%
3 Years:	19%
TTM:	13%

Compounded Profit Growth
10 Years:	-4%
5 Years:	21%
3 Years:	43%
TTM:	128%

Stock Price CAGR
10 Years:	0%
5 Years:	34%
3 Years:	37%
1 Year:	116%

Return on Equity
10 Years:	-10%
5 Years:	-3%
3 Years:	-1%
Last Year:	3%

Last Updated: July 26, 2024, 4:54 pm

MSP Steel & Power Ltd Balance Sheet

Last Updated: July 10, 2024, 7:22 pm

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	56	86	86	86	88	88	385	385	385	385	385	385	385
Reserves	321	602	612	508	427	335	266	249	177	175	202	153	181
Preference Capital	9	9	21	21	0	0	31	31	31	31	31	31
Borrowings	981	1,054	1,085	1,195	1,142	1,202	882	852	861	766	826	801	803
Other Liabilities	224	327	356	238	113	171	253	213	315	184	338	308	216
Total Liabilities	1,582	2,070	2,140	2,028	1,770	1,796	1,786	1,699	1,738	1,511	1,751	1,648	1,585
Fixed Assets	500	890	1,003	1,144	1,127	1,070	1,013	959	906	855	827	826	820
CWIP	528	187	182	111	1	1	1	2	1	1	1	1	1
Investments	48	48	48	75	52	55	50	53	47	40	40	46	42
Other Assets	506	945	907	698	590	670	722	686	784	615	884	776	722
Total Assets	1,582	2,070	2,140	2,028	1,770	1,796	1,786	1,699	1,738	1,511	1,751	1,648	1,585

MSP Steel & Power Ltd Reserves and Borrowings Chart

MSP Steel & Power Ltd Financial Efficiency Indicators

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
Debtor Days	24	50	59	34	44	58	33	24	18	12	11	11
Inventory Days	164	187	123	128	130	175	149	108	160	104	89	84
Days Payable	41	90	64	46	33	70	78	46	55	34	52	36
Cash Conversion Cycle	147	146	117	116	142	163	104	87	122	82	48	59
Working Capital Days	63	160	121	127	156	150	112	86	96	85	70	61
ROCE %	8%	8%	8%	-2%	-4%	1%	4%	5%	1%	6%	7%	1%

MSP Steel & Power Ltd Financial Efficiency Indicators Chart

MSP Steel & Power Ltd Share Holding Pattern

Month	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024
Promoters	41.62%	41.62%	41.62%	41.62%	41.61%	41.61%	41.61%	41.61%	41.61%	41.61%	41.61%	42.15%
FIIs	0.00%	0.00%	0.01%	0.04%	0.01%	0.01%	0.00%	0.00%	0.00%	0.00%	0.16%	0.33%
DIIs	29.80%	22.89%	18.38%	17.25%	16.64%	16.61%	16.60%	16.60%	8.96%	3.14%	3.14%	3.17%
Public	28.58%	35.49%	39.99%	41.09%	41.74%	41.77%	41.79%	41.79%	49.43%	55.24%	55.08%	54.35%
No. of Shareholders	16,689	27,198	56,577	57,295	58,167	57,384	57,690	57,536	54,764	48,600	49,660	51,687

MSP Steel & Power Ltd Shareholding Pattern Chart

No. of MSP Steel & Power Ltd Shareholders

This stock is not held by any mutual fund

MSP Steel & Power Ltd ROCE Trend

MSP Steel & Power Ltd EPS Trend

MSP Steel & Power Ltd Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	10.00	10.00	10.00	10.00	10.00
Basic EPS (Rs.)	0.37	-1.31	0.67	0.13	-1.76
Diluted EPS (Rs.)	0.34	-1.21	0.62	0.13	-1.76
Cash EPS (Rs.)	1.81	0.01	2.08	1.57	-0.36
Book Value[Excl.RevalReserv]/Share (Rs.)	15.12	7.40	8.65	7.97	7.99
Book Value[Incl.RevalReserv]/Share (Rs.)	15.12	7.40	8.65	7.97	7.99
Revenue From Operations / Share (Rs.)	74.56	66.17	60.70	44.71	39.77
PBDIT / Share (Rs.)	4.25	1.83	4.11	3.72	2.19
PBIT / Share (Rs.)	2.81	0.43	2.70	2.28	0.79
PBT / Share (Rs.)	0.53	-1.56	0.77	0.22	-1.46
Net Profit / Share (Rs.)	0.37	-1.39	0.66	0.12	-1.75
NP After MI And SOA / Share (Rs.)	0.37	-1.31	0.66	0.12	-1.75
PBDIT Margin (%)	5.69	2.77	6.77	8.31	5.51
PBIT Margin (%)	3.77	0.65	4.44	5.09	2.01
PBT Margin (%)	0.71	-2.36	1.27	0.49	-3.67
Net Profit Margin (%)	0.49	-2.10	1.09	0.28	-4.41
NP After MI And SOA Margin (%)	0.49	-1.98	1.09	0.28	-4.41
Return on Networth / Equity (%)	2.46	-17.75	7.71	1.59	-21.99
Return on Capital Employeed (%)	10.20	1.54	9.08	7.72	2.65
Return On Assets (%)	0.87	-3.06	1.46	0.32	-3.89
Long Term Debt / Equity (X)	0.81	1.76	1.58	1.77	1.84
Total Debt / Equity (X)	1.34	2.81	2.48	2.35	2.69
Asset Turnover Ratio (%)	1.75	1.50	1.43	1.06	0.89
Current Ratio (X)	1.28	1.27	1.40	1.55	1.29
Quick Ratio (X)	0.42	0.42	0.64	0.54	0.37
Inventory Turnover Ratio (X)	4.79	4.34	4.53	2.90	2.59
Interest Coverage Ratio (X)	1.87	0.91	2.14	1.81	0.98
Interest Coverage Ratio (Post Tax) (X)	1.16	0.30	1.35	1.06	0.22
Enterprise Value (Cr.)	1911.24	1077.78	1143.68	981.13	945.60
EV / Net Operating Revenue (X)	0.66	0.42	0.48	0.56	0.61
EV / EBITDA (X)	11.67	15.24	7.21	6.85	11.18
MarketCap / Net Operating Revenue (X)	0.40	0.11	0.17	0.16	0.09
Price / BV (X)	2.02	1.06	1.24	0.93	0.46
Price / Net Operating Revenue (X)	0.40	0.11	0.17	0.16	0.09
EarningsYield	0.01	-0.16	0.06	0.01	-0.47

MSP Steel & Power Ltd Profitability Ratios (%)

MSP Steel & Power Ltd Liquidity Ratios

MSP Steel & Power Ltd Liquidity Ratios (%)

MSP Steel & Power Ltd Interest Coverage Ratios (%)

MSP Steel & Power Ltd Valuation Ratios

Fair Value

Fair Value: 29.30

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: 6.14% compared to the current price 27.6

Intrinsic Value: 37.53

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: 35.98% compared to the current price 27.6

Last 5 Year EPS CAGR: 28.10%

*Investments are subject to market risks

Strength and Weakness of MSP Steel & Power Ltd Stock

Strength	Weakness
The stock is trading at a low valuation with an average P/B ratio of 1.80 and average Dividend Yield of 3.19%.	The stock has a low average ROCE of 3.58%, which may not be favorable. The stock has a high average Working Capital Days of 107.25, which may not be favorable. The stock has a high average Cash Conversion Cycle of 111.08, which may not be favorable. The company has higher borrowings (973.75) compared to reserves (325.25), which may suggest financial risk. The company has not shown consistent growth in sales (259.85) and profit (-36.31).

Strength

Weakness

The stock is trading at a low valuation with an average P/B ratio of 1.80 and average Dividend Yield of 3.19%.

The stock has a low average ROCE of 3.58%, which may not be favorable.
The stock has a high average Working Capital Days of 107.25, which may not be favorable.
The stock has a high average Cash Conversion Cycle of 111.08, which may not be favorable.
The company has higher borrowings (973.75) compared to reserves (325.25), which may suggest financial risk.
The company has not shown consistent growth in sales (259.85) and profit (-36.31).

FAQ

What is the latest fair value of MSP Steel & Power Ltd?

The latest fair value of MSP Steel & Power Ltd is ₹29.30.

What is the Market Cap of MSP Steel & Power Ltd?

The Market Cap of MSP Steel & Power Ltd is 1,066 Cr..

What is the current Stock Price of MSP Steel & Power Ltd as on 27 July 2024?

The current stock price of MSP Steel & Power Ltd as on 27 July 2024 is 27.6.

What is the High / Low of MSP Steel & Power Ltd stocks in FY 2024?

In FY 2024, the High / Low of MSP Steel & Power Ltd stocks is 33.4/10.2.

What is the Stock P/E of MSP Steel & Power Ltd?

The Stock P/E of MSP Steel & Power Ltd is 74.3.

What is the Book Value of MSP Steel & Power Ltd?

The Book Value of MSP Steel & Power Ltd is 15.1.

What is the Dividend Yield of MSP Steel & Power Ltd?

The Dividend Yield of MSP Steel & Power Ltd is 0.00 %.

What is the ROCE of MSP Steel & Power Ltd?

The ROCE of MSP Steel & Power Ltd is 7.92 %.

What is the ROE of MSP Steel & Power Ltd?

The ROE of MSP Steel & Power Ltd is 2.56 %.

What is the Face Value of MSP Steel & Power Ltd?

The Face Value of MSP Steel & Power Ltd is 10.0.