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Last Updated on: 21 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 540366 | NSE: RADIOCITY

Music Broadcast Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 9:46 pm

Market Cap 417 Cr.
Current Price 12.0
High / Low25.4/11.3
Stock P/E68.0
Book Value 15.4
Dividend Yield0.00 %
ROCE3.35 %
ROE1.22 %
Face Value 2.00
PEG Ratio4.80

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

View Share Price Target for Music Broadcast Ltd

Competitors of Music Broadcast Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hathway Bhawani Cabletel & Datacom Ltd 14.4 Cr. 17.823.7/16.2 1.990.00 %2.26 %2.26 % 10.0
G V Films Ltd 134 Cr. 0.721.20/0.46 0.610.00 %2.27 %2.08 % 1.00
Encash Entertainment Ltd 11.3 Cr. 29.029.0/29.0 21.30.00 %3.81 %3.93 % 10.0
Diksat Transworld Ltd 255 Cr. 146149/126245 14.40.00 %3.36 %4.21 % 10.0
Cyber Media (India) Ltd 40.0 Cr. 25.544.0/17.216.3 0.650.00 %45.5 %% 10.0
Industry Average3,401.73 Cr149.181,179.2552.880.16%37.18%10.95%5.86

All Competitor Stocks of Music Broadcast Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales20.4842.0459.8946.0244.1448.6454.6751.4153.0352.4460.4462.6359.60
Expenses33.6837.4742.1144.1339.8844.5845.3345.9945.9646.0650.9552.4250.36
Operating Profit-13.204.5717.781.894.264.069.345.427.076.389.4910.219.24
OPM %-64.45%10.87%29.69%4.11%9.65%8.35%17.08%10.54%13.33%12.17%15.70%16.30%15.50%
Other Income3.884.793.884.254.504.835.215.175.655.715.815.916.62
Interest0.680.660.660.650.530.510.532.352.402.472.442.582.83
Depreciation8.198.208.208.168.218.238.188.178.238.288.428.508.53
Profit before tax-18.190.5012.80-2.670.020.155.840.072.091.344.445.044.50
Tax %-28.86%40.00%29.69%-22.85%0.00%26.67%29.97%1,200.00%54.55%72.39%42.12%41.07%42.89%
Net Profit-12.940.299.01-2.060.010.104.09-0.770.940.372.572.972.58
EPS in Rs-0.370.010.26-0.060.000.000.12-0.020.030.010.070.090.07

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales138154201225271298325248128168199229235
Expenses104112139149180201212191139157176195200
Operating Profit34426277919711357-1111233335
OPM %24%27%31%34%34%33%35%23%-9%7%12%15%15%
Other Income237241915161517202324
Interest5662119156103341010
Depreciation20151617202627353333333334
Profit before tax1224474257759629-33-861315
Tax %0%0%0%34%36%31%36%2%-26%-25%43%47%
Net Profit1224472837526228-24-6378
EPS in Rs0.440.931.801.051.031.451.780.82-0.70-0.160.100.200.24
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)100.00%95.83%-40.43%32.14%40.54%19.23%-54.84%-185.71%75.00%150.00%133.33%
Change in YoY Net Profit Growth (%)0.00%-4.17%-136.26%72.57%8.40%-21.31%-74.07%-130.88%260.71%75.00%-16.67%

Music Broadcast Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:4%
5 Years:-7%
3 Years:21%
TTM:12%
Compounded Profit Growth
10 Years:-12%
5 Years:-35%
3 Years:31%
TTM:32%
Stock Price CAGR
10 Years:%
5 Years:-13%
3 Years:-20%
1 Year:-21%
Return on Equity
10 Years:5%
5 Years:0%
3 Years:0%
Last Year:1%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 8:30 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital39393942575755696969696969
Reserves-53-2819168491543548563541534456463463
Borrowings149128285223150507422231998106123
Other Liabilities36315557634953342331334237
Total Liabilities171170398490761699731688657654656681692
Fixed Assets423219230312297310309283255233219221
CWIP10066000000010
Investments0001527156172208202219220247305
Other Assets127138379179423246249170172180203213166
Total Assets171170398490761699731688657654656681692

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +34366561794086495233127
Cash from Investing Activity +-2-5-201-60-2113-44324-18-24-16
Cash from Financing Activity +-27-26160-32205-116-40-89-7-7-8-8
Net Cash Flow6624-3173-722-72-2-13

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-115.00-86.00-223.00-146.00-59.0047.0039.0035.00-34.00-8.00-75.00-73.00

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 Days171149140123110135141156221164121117
Inventory Days
Days Payable
Cash Conversion Cycle171149140123110135141156221164121117
Working Capital Days9957436-9-7110745144224153174133
ROCE %12%22%22%19%13%12%14%4%-5%-1%1%3%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters74.05%74.05%74.05%74.05%74.05%74.05%74.05%74.05%74.05%74.05%74.05%74.05%
FIIs0.14%0.14%0.16%0.13%0.14%0.09%0.00%0.00%0.00%0.04%0.28%0.03%
DIIs5.47%5.47%5.47%5.47%5.47%5.47%5.06%4.90%1.40%0.00%0.00%0.00%
Public20.34%20.34%20.31%20.35%20.34%20.40%20.89%21.06%24.55%25.91%25.67%25.92%
No. of Shareholders35,63534,11133,62033,10231,50530,11632,64632,93334,80643,74253,69852,267

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Franklin India Smaller Companies Fund1,892,1460.1319.411,892,1462024-11-160%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 15Mar 14
FaceValue10.0010.00
Basic EPS (Rs.)12.066.36
Diluted EPS (Rs.)12.066.36
Cash EPS (Rs.)16.0910.34
Book Value[Excl.RevalReserv]/Share (Rs.)14.692.66
Book Value[Incl.RevalReserv]/Share (Rs.)14.692.66
Revenue From Operations / Share (Rs.)51.6239.63
PBDIT / Share (Rs.)17.6911.80
PBIT / Share (Rs.)13.657.82
PBT / Share (Rs.)12.066.36
Net Profit / Share (Rs.)12.066.36
NP After MI And SOA / Share (Rs.)12.066.36
PBDIT Margin (%)34.2729.77
PBIT Margin (%)26.4519.72
PBT Margin (%)23.3616.05
Net Profit Margin (%)23.3616.05
NP After MI And SOA Margin (%)23.3616.05
Return on Networth / Equity (%)82.07239.32
Return on Capital Employeed (%)15.4326.45
Return On Assets (%)11.9214.85
Long Term Debt / Equity (X)4.989.97
Total Debt / Equity (X)4.989.97
Asset Turnover Ratio (%)0.710.00
Current Ratio (X)6.962.06
Quick Ratio (X)6.962.06
Interest Coverage Ratio (X)11.088.11
Interest Coverage Ratio (Post Tax) (X)8.565.38

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Music Broadcast Ltd as of November 21, 2024 is: 13.03

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 21, 2024, Music Broadcast Ltd is Undervalued by 8.58% compared to the current share price 12.00

Intrinsic Value of Music Broadcast Ltd as of November 21, 2024 is: 14.88

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 21, 2024, Music Broadcast Ltd is Undervalued by 24.00% compared to the current share price 12.00

Last 5 Year EPS CAGR: 14.17%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (362.15 cr) compared to borrowings (111.54 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (216.85 cr) and profit (28.85 cr) over the years.
  1. The stock has a low average ROCE of 9.67%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 124.33, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 145.67, 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 Music Broadcast Ltd:
    1. Net Profit Margin: 23.36%
      • 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: 15.43% (Industry Average ROCE: 34.99%)
      • 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%: 82.07% (Industry Average ROE: 8.59%)
      • 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): 8.56
      • 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: 6.96
      • 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: 68 (Industry average Stock P/E: 601.19)
      • 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: 4.98
      • 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

Music Broadcast Ltd. is a Public Limited Listed company incorporated on 04/11/1999 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L64200MH1999PLC137729 and registration number is 137729. Currently Company is involved in the business activities of Radio broadcasting. Company’s Total Operating Revenue is Rs. 168.43 Cr. and Equity Capital is Rs. 69.14 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Entertainment & Media5th Floor, RNA Corporate Park, Mumbai Maharashtra 400051investor@myradiocity.com
http://www.radiocity.in
Management
NamePosition Held
Mr. Vijay TandonChairman
Mr. Rahul GuptaNon Executive Director
Mr. Shailesh GuptaNon Executive Director
Mr. Anuj PuriIndependent Director
Mr. Madhukar KamathIndependent Director
Ms. Anita NayyarIndependent Director
Mr. Ravi SardanaIndependent Director

FAQ

What is the latest intrinsic value of Music Broadcast Ltd?

The latest intrinsic value of Music Broadcast Ltd as on 21 November 2024 is ₹13.03, which is 8.58% higher than the current market price of ₹12.00.

What is the Market Cap of Music Broadcast Ltd?

The Market Cap of Music Broadcast Ltd is 417 Cr..

What is the current Stock Price of Music Broadcast Ltd as on 21 November 2024?

The current stock price of Music Broadcast Ltd as on 21 November 2024 is ₹12.0.

What is the High / Low of Music Broadcast Ltd stocks in FY 2024?

In FY 2024, the High / Low of Music Broadcast Ltd stocks is 25.4/11.3.

What is the Stock P/E of Music Broadcast Ltd?

The Stock P/E of Music Broadcast Ltd is 68.0.

What is the Book Value of Music Broadcast Ltd?

The Book Value of Music Broadcast Ltd is 15.4.

What is the Dividend Yield of Music Broadcast Ltd?

The Dividend Yield of Music Broadcast Ltd is 0.00 %.

What is the ROCE of Music Broadcast Ltd?

The ROCE of Music Broadcast Ltd is 3.35 %.

What is the ROE of Music Broadcast Ltd?

The ROE of Music Broadcast Ltd is 1.22 %.

What is the Face Value of Music Broadcast Ltd?

The Face Value of Music Broadcast 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 Music Broadcast 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