Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 28 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 519136 | NSE: NAHARINDUS

Nahar Industrial Enterprises Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 27, 2024, 9:30 pm

Market Cap 602 Cr.
Current Price 139
High / Low175/108
Stock P/E27.4
Book Value 222
Dividend Yield0.00 %
ROCE2.72 %
ROE0.76 %
Face Value 10.0
PEG Ratio0.52

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

View Share Price Target for Nahar Industrial Enterprises Ltd

Competitors of Nahar Industrial Enterprises Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Ruby Mills Ltd 961 Cr. 288325/17724.7 1810.61 %7.33 %7.52 % 5.00
Soma Textiles & Industries Ltd 151 Cr. 45.755.3/18.841.4 47.80.00 %2.57 %1.94 % 10.0
Nahar Industrial Enterprises Ltd 602 Cr. 139175/10827.4 2220.00 %2.72 %0.76 % 10.0
Mohota Industries Ltd 6.77 Cr. 4.60/ 99.80.00 %1.19 %1.89 % 10.0
Industry Average430.19N/A23.38N/AN/A3.453.03N/A

All Competitor Stocks of Nahar Industrial Enterprises Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales418.75463.62416.66480.30530.15579.25455.31468.63451.92398.01391.54343.75363.75
Expenses387.79395.82353.97412.10434.66500.45400.34424.15423.81381.12384.96341.19346.29
Operating Profit30.9667.8062.6968.2095.4978.8054.9744.4828.1116.896.582.5617.46
OPM %7.39%14.62%15.05%14.20%18.01%13.60%12.07%9.49%6.22%4.24%1.68%0.74%4.80%
Other Income2.073.392.474.835.592.924.1716.687.0214.225.296.506.11
Interest14.2316.9414.2013.7514.2813.3614.1212.788.072.696.746.276.66
Depreciation14.2314.5511.9412.0112.4513.4311.1911.3812.0013.7610.9011.3212.24
Profit before tax4.5739.7039.0247.2774.3554.9333.8337.0015.0614.66-5.77-8.534.67
Tax %0.00%-1.23%10.79%25.47%35.64%29.11%22.38%23.32%32.80%4.71%-3.64%-2.70%-0.43%
Net Profit4.5740.1934.8135.2347.8438.9426.2628.3710.1313.97-5.98-8.764.69
EPS in Rs1.1510.098.748.8412.019.786.597.122.543.23-1.38-2.031.09

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
Sales1,4041,7071,8441,7981,7701,7221,7591,8661,5731,4182,0061,7741,497
Expenses1,3391,4111,5191,5981,5511,5131,6101,7441,4821,3241,7001,6281,454
Operating Profit66296325199219210148122919430614643
OPM %5%17%18%11%12%12%8%7%6%7%15%8%3%
Other Income78665666128154132
Interest97131106105796071676557563822
Depreciation81110120135906966797158504848
Profit before tax-10662105-35558618-18-33-132161015
Tax %23%33%34%21%23%19%3%-23%23%29%27%22%
Net Profit-814269-28427017-22-25-9157794
EPS in Rs-20.2710.5017.38-7.0310.6317.614.32-5.42-6.37-2.2939.3618.350.91
Dividend Payout %0%10%6%0%9%6%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 (%)151.85%64.29%-140.58%250.00%66.67%-75.71%-229.41%-13.64%64.00%1844.44%-49.68%
Change in YoY Net Profit Growth (%)0.00%-87.57%-204.87%390.58%-183.33%-142.38%-153.70%215.78%77.64%1780.44%-1894.13%

Nahar Industrial Enterprises 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:-2%
5 Years:-5%
3 Years:1%
TTM:-9%
Compounded Profit Growth
10 Years:-20%
5 Years:19%
3 Years:39%
TTM:81%
Stock Price CAGR
10 Years:9%
5 Years:44%
3 Years:8%
1 Year:4%
Return on Equity
10 Years:4%
5 Years:4%
3 Years:8%
Last Year:1%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital404040404040404040404343
Reserves536601539565649656654695694848907917
Borrowings1,1991,105973942880970845707696704276532
Other Liabilities155149196126174241240199136225122153
Total Liabilities1,9301,8951,7481,6741,7441,9071,7801,6411,5671,8181,3491,646
Fixed Assets766735615542545559583562534530533599
CWIP12344018564524171253456
Investments1391391381331371278280808371109
Other Assets1,0129869559801,0061,1761,0919819411,201711880
Total Assets1,9301,8951,7481,6741,7441,9071,7801,6411,5671,8181,3491,646

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +118310294116219502031727585504-72
Cash from Investing Activity +-92-105-52-7-93-65-29-34-15-35-55-152
Cash from Financing Activity +-27-204-241-109-12614-174-139-60-49-449227
Net Cash Flow-101-0-1-1-0-0-00-03

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow66.00295.00324.00-774.00-723.00-670.00-822.00-723.00-616.00-602.00-398.00-130.00

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 Days364235384437474751503440
Inventory Days280244233252253287220241219254148240
Days Payable302238193762606039541835
Cash Conversion Cycle286264230271260262207228231250163245
Working Capital Days159138129156160176146164205176121181
ROCE %11%12%4%9%9%5%3%2%3%18%8%3%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters68.77%68.77%68.81%68.81%68.81%71.25%71.25%71.25%71.25%71.25%71.25%71.25%
FIIs0.27%0.29%0.36%0.14%0.12%0.01%0.04%0.03%0.15%0.15%0.17%0.07%
DIIs0.46%0.36%0.35%0.35%0.35%0.33%0.33%0.43%0.46%0.45%0.26%0.26%
Public30.50%30.59%30.47%30.68%30.71%28.42%28.40%28.31%28.15%28.15%28.33%28.44%
No. of Shareholders42,58944,26147,04146,84646,11945,92546,68947,69340,14939,59138,97240,523

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.)2.2519.8039.41-2.20-6.20
Diluted EPS (Rs.)2.2519.8039.41-2.20-6.20
Cash EPS (Rs.)12.7429.4051.5712.0711.39
Book Value[Excl.RevalReserv]/Share (Rs.)215.91213.42199.95161.40163.53
Book Value[Incl.RevalReserv]/Share (Rs.)215.91213.42199.95161.40163.53
Revenue From Operations / Share (Rs.)339.08408.68501.16354.20392.85
PBDIT / Share (Rs.)20.2543.3780.1825.4625.78
PBIT / Share (Rs.)9.6932.2467.7311.078.05
PBT / Share (Rs.)2.6523.2953.84-3.22-8.28
Net Profit / Share (Rs.)2.1818.2639.13-2.32-6.34
NP After MI And SOA / Share (Rs.)2.2418.1839.21-2.19-6.34
PBDIT Margin (%)5.9710.6115.997.186.56
PBIT Margin (%)2.857.8813.513.122.04
PBT Margin (%)0.785.6910.74-0.91-2.10
Net Profit Margin (%)0.644.467.80-0.65-1.61
NP After MI And SOA Margin (%)0.664.447.82-0.61-1.61
Return on Networth / Equity (%)1.038.5119.60-1.35-3.87
Return on Capital Employeed (%)3.8313.3527.075.053.59
Return On Assets (%)0.585.808.58-0.55-1.53
Long Term Debt / Equity (X)0.090.050.100.200.21
Total Debt / Equity (X)0.550.280.871.000.98
Asset Turnover Ratio (%)0.971.111.180.880.91
Current Ratio (X)1.582.221.431.331.28
Quick Ratio (X)0.560.850.540.590.49
Inventory Turnover Ratio (X)1.731.591.821.311.28
Interest Coverage Ratio (X)3.075.005.771.781.60
Interest Coverage Ratio (Post Tax) (X)1.403.143.820.830.61
Enterprise Value (Cr.)1016.45666.931359.13822.94710.02
EV / Net Operating Revenue (X)0.690.370.670.580.45
EV / EBITDA (X)11.563.544.238.076.88
MarketCap / Net Operating Revenue (X)0.330.220.320.120.04
Price / BV (X)0.520.420.820.270.10
Price / Net Operating Revenue (X)0.330.220.320.120.04
EarningsYield0.010.200.23-0.04-0.35

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Nahar Industrial Enterprises Ltd as of November 28, 2024 is: 47.15

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 28, 2024, Nahar Industrial Enterprises Ltd is Overvalued by 66.08% compared to the current share price 139.00

Intrinsic Value of Nahar Industrial Enterprises Ltd as of November 28, 2024 is: 71.96

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 28, 2024, Nahar Industrial Enterprises Ltd is Overvalued by 48.23% compared to the current share price 139.00

Last 5 Year EPS CAGR: 52.62%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (1.08 cr) and profit (34.08 cr) over the years.
  1. The stock has a low average ROCE of 7.25%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 159.25, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 241.42, which may not be favorable.
  4. The company has higher borrowings (819.08) compared to reserves (688.42), which may suggest financial risk.

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 Nahar Industrial Enterprises Ltd:
    1. Net Profit Margin: 0.64%
      • 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: 3.83% (Industry Average ROCE: 3.45%)
      • 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%: 1.03% (Industry Average ROE: 3.03%)
      • 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): 1.4
      • 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: 0.56
      • 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: 27.4 (Industry average Stock P/E: 23.38)
      • 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: 0.55
      • 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

Nahar Industrial Enterprises Ltd. is a Public Limited Listed company incorporated on 27/09/1983 and has its registered office in the State of Punjab, India. Company’s Corporate Identification Number(CIN) is L15143PB1983PLC018321 and registration number is 018321. Currently Company is involved in the business activities of Spinning, weaving and finishing of textiles. Company’s Total Operating Revenue is Rs. 2006.36 Cr. and Equity Capital is Rs. 40.03 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Textiles - Composite MillsFocal Point, Ludhiana Punjab 141010msood@owmnahar.com
http://www.owmnahar.com
Management
NamePosition Held
Mr. Jawahar Lal OswalChairman
Mr. Kamal OswalVice Chairman & Mng.Director
Mr. Abhinav OswalExecutive Director
Mrs. Manisha GuptaIndependent Director
Dr. Roshan Lal BehlIndependent Director
Mr. Parvinder Singh PruthiIndependent Director
Dr. Suresh Kumar SinglaIndependent Director
Mr. Yash Paul SachdevaIndependent Director
Dr. Anchal Kumar JainIndependent Director
Mr. Dinesh OswalDirector
Mr. Dinesh GognaDirector
Mr. Navdeep SharmaDirector

FAQ

What is the latest intrinsic value of Nahar Industrial Enterprises Ltd?

The latest intrinsic value of Nahar Industrial Enterprises Ltd as on 28 November 2024 is ₹47.15, which is 66.08% lower than the current market price of ₹139.00. The stock has a market capitalization of 602 Cr. and recorded a high/low of ₹175/108 during the current fiscal year 2024-2025. As of Mar 2024, the company has reserves of ₹917 Cr and total liabilities of ₹1,646 Cr.

What is the Market Cap of Nahar Industrial Enterprises Ltd?

The Market Cap of Nahar Industrial Enterprises Ltd is 602 Cr..

What is the current Stock Price of Nahar Industrial Enterprises Ltd as on 28 November 2024?

The current stock price of Nahar Industrial Enterprises Ltd as on 28 November 2024 is ₹139.

What is the High / Low of Nahar Industrial Enterprises Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Nahar Industrial Enterprises Ltd stocks is 175/108.

What is the Stock P/E of Nahar Industrial Enterprises Ltd?

The Stock P/E of Nahar Industrial Enterprises Ltd is 27.4.

What is the Book Value of Nahar Industrial Enterprises Ltd?

The Book Value of Nahar Industrial Enterprises Ltd is 222.

What is the Dividend Yield of Nahar Industrial Enterprises Ltd?

The Dividend Yield of Nahar Industrial Enterprises Ltd is 0.00 %.

What is the ROCE of Nahar Industrial Enterprises Ltd?

The ROCE of Nahar Industrial Enterprises Ltd is 2.72 %.

What is the ROE of Nahar Industrial Enterprises Ltd?

The ROE of Nahar Industrial Enterprises Ltd is 0.76 %.

What is the Face Value of Nahar Industrial Enterprises Ltd?

The Face Value of Nahar Industrial Enterprises 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 Nahar Industrial Enterprises 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