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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: 534309 | NSE: NBCC

NBCC (India) Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 20, 2024, 9:41 pm

Market Cap 24,251 Cr.
Current Price 89.8
High / Low140/42.5
Stock P/E49.7
Book Value 8.28
Dividend Yield0.47 %
ROCE30.7 %
ROE23.0 %
Face Value 1.00
PEG Ratio3.90

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

View Share Price Target for NBCC (India) Ltd

Competitors of NBCC (India) Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
IITL Projects Ltd 24.0 Cr. 48.067.2/15.07.42 70.70.00 %%% 10.0
HB Estate Developers Ltd 172 Cr. 88.3125/41.023.1 80.10.00 %7.00 %2.39 % 10.0
Hazoor Multi Projects Ltd 1,101 Cr. 55.963.9/13.613.1 19.50.54 %%% 1.00
Gyan Developers & Builders Ltd 6.92 Cr. 23.033.8/6.74 12.70.00 %4.02 %3.75 % 10.0
GG Dandekar Properties Ltd 56.2 Cr. 118163/87.4 96.90.00 %1.27 %9.45 % 1.00
Industry Average17,891.15 Cr272.6332.13129.970.16%24.93%17.75%22.76

All Competitor Stocks of NBCC (India) Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales9351,3031,5091,8001,3661,5561,5872,2271,4781,6221,9193,0321,627
Expenses9321,2681,4531,7371,3171,4721,5082,1371,4301,5331,8162,8301,549
Operating Profit235566349847890488910220278
OPM %0%3%4%4%4%5%5%4%3%5%5%7%5%
Other Income375240-40-6446-840371524-5839
Interest1111100000000
Depreciation0000000100011
Profit before tax37859421-171306913085103126143116
Tax %27%23%26%1%-22%24%30%26%25%17%25%28%25%
Net Profit27666921-1399499663859410287
EPS in Rs0.150.360.390.11-0.070.550.270.540.350.470.520.570.48

Last Updated: September 14, 2024, 10:59 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: September 14, 2024, 10:59 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales3,2294,0404,3965,8126,2795,9057,2455,2104,9475,5476,7368,0518,200
Expenses3,0353,8154,1085,5045,8755,5046,8695,1944,8615,3886,4317,6077,729
Operating Profit1942252883094044013761787159305444471
OPM %6%6%7%5%6%7%5%0%2%3%5%6%6%
Other Income1101331471018910618723517388151819
Interest1244132228128530
Depreciation1122333322222
Profit before tax302334391404488503558241244237312456488
Tax %31%26%29%29%28%34%31%67%17%23%26%25%
Net Profit20824727728735133438480202183231344368
EPS in Rs1.151.371.541.591.951.852.130.441.121.021.281.912.04
Dividend Payout %22%24%24%42%42%45%30%30%42%49%42%33%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)18.75%12.15%3.61%22.30%-4.84%14.97%-79.17%152.50%-9.41%26.23%48.92%
Change in YoY Net Profit Growth (%)0.00%-6.60%-8.54%18.69%-27.14%19.81%-94.14%231.67%-161.91%35.64%22.69%

NBCC (India) 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:7%
5 Years:2%
3 Years:18%
TTM:22%
Compounded Profit Growth
10 Years:7%
5 Years:4%
3 Years:32%
TTM:30%
Stock Price CAGR
10 Years:10%
5 Years:30%
3 Years:47%
1 Year:104%
Return on Equity
10 Years:18%
5 Years:15%
3 Years:19%
Last Year:23%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 7:59 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital120120120120180180180180180180180180180
Reserves8311,0071,2041,4051,4941,6411,3851,3441,5121,5951,7351,9592,055
Borrowings00012600000000
Other Liabilities2,7783,0643,4203,8984,8435,8296,7406,2656,6676,7616,3206,3305,942
Total Liabilities3,7294,1914,7445,4356,5237,6508,3057,7898,3588,5368,2348,4698,178
Fixed Assets24232662656474605857656870
CWIP0000000000189
Investments16211415223110559359344334332332586557
Other Assets3,5434,0554,5665,1426,3537,5287,8727,3857,9668,1477,8377,8077,541
Total Assets3,7294,1914,7445,4356,5237,6508,3057,7898,3588,5368,2348,4698,178

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +90-439-1541684392121205186270-148367
Cash from Investing Activity +99818-5-30145174153319245-44-229-486
Cash from Financing Activity +-49-53-70-85-208-184-127-131-31-90-88-97
Net Cash Flow141327-22953376203146239299135-466-217

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow194.00225.00288.00297.00398.00401.00376.0017.0087.00159.00305.00444.00

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 Days941191411151271401069612110685100
Inventory Days1,393
Days Payable1,807
Cash Conversion Cycle-3201191411151271401069612110685100
Working Capital Days-86-206-0-11-9-38-139-153-146-107-51
ROCE %35%34%35%28%30%29%33%16%16%20%26%31%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters61.75%61.75%61.75%61.75%61.75%61.75%61.75%61.75%61.75%61.75%61.75%61.75%
FIIs2.86%3.09%3.31%3.43%3.31%3.36%3.43%3.84%4.14%4.46%4.33%4.43%
DIIs10.40%10.19%11.08%10.78%10.46%10.90%10.61%10.33%10.21%10.41%9.94%9.47%
Public24.99%24.96%23.86%24.04%24.49%24.00%24.21%24.09%23.89%23.37%23.98%24.35%
No. of Shareholders5,30,6125,30,6075,49,6705,45,7835,39,9085,29,5505,28,2985,09,8795,56,0806,42,05313,19,44612,84,151

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India CPSE ETF40,329,0761.63751.61740,0002024-11-165349.88%
ICICI Prudential Bharat 22 ETF6,824,1220.62127.17740,0002024-11-16822.18%
Mahindra Manulife Small Cap Fund3,000,0001.0655.91740,0002024-11-16305.41%
HDFC Large and Mid Cap Fund - Regular Plan1,288,0000.123.34740,0002024-11-1674.05%
Aditya Birla Sun Life Bal Bhavishya Yojna750,0001.2413.98740,0002024-11-161.35%
Mahindra Manulife Flexi Cap Fund740,0000.9213.79740,0002024-11-160%
Nippon India Nifty Smallcap 250 Index Fund655,2400.6812.21740,0002024-11-16-11.45%
Motilal Oswal Nifty Smallcap 250 Index Fund299,1600.685.58740,0002024-11-16-59.57%
Motilal Oswal Nifty 500 Index Fund71,7120.071.34740,0002024-11-16-90.31%
ICICI Prudential BSE 500 ETF10,4610.070.19740,0002024-11-16-98.59%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)2.231.481.251.230.43
Diluted EPS (Rs.)2.231.481.251.230.43
Cash EPS (Rs.)2.551.821.451.490.61
Book Value[Excl.RevalReserv]/Share (Rs.)13.4011.8010.779.988.92
Book Value[Incl.RevalReserv]/Share (Rs.)13.4011.8010.779.988.92
Revenue From Operations / Share (Rs.)57.9648.6442.7337.9644.93
PBDIT / Share (Rs.)4.153.042.211.661.72
PBIT / Share (Rs.)4.123.012.191.631.68
PBT / Share (Rs.)3.102.062.151.601.65
Net Profit / Share (Rs.)2.301.541.321.310.55
NP After MI And SOA / Share (Rs.)2.231.481.251.230.43
PBDIT Margin (%)7.166.255.174.383.82
PBIT Margin (%)7.116.195.114.303.74
PBT Margin (%)5.354.235.044.203.66
Net Profit Margin (%)3.973.163.093.461.22
NP After MI And SOA Margin (%)3.843.042.913.240.96
Return on Networth / Equity (%)18.0413.7112.6813.545.39
Return on Capital Employeed (%)27.5721.1216.5113.1814.87
Return On Assets (%)3.142.071.661.680.62
Asset Turnover Ratio (%)0.810.660.570.470.49
Current Ratio (X)1.171.041.051.021.11
Quick Ratio (X)1.050.900.900.860.93
Dividend Payout Ratio (NP) (%)24.2033.7537.7110.95177.33
Dividend Payout Ratio (CP) (%)21.8028.3034.119.61153.06
Earning Retention Ratio (%)75.8066.2562.2989.05-77.33
Cash Earning Retention Ratio (%)78.2071.7065.8990.39-53.06
Interest Coverage Ratio (X)14740.65371.0070.0845.2246.28
Interest Coverage Ratio (Post Tax) (X)11792.54303.8155.7536.7015.81
Enterprise Value (Cr.)16424.741631.611057.532844.98-2107.70
EV / Net Operating Revenue (X)1.570.180.130.41-0.26
EV / EBITDA (X)21.982.982.669.50-6.81
MarketCap / Net Operating Revenue (X)2.050.720.841.230.36
Retention Ratios (%)75.7966.2462.2889.04-77.33
Price / BV (X)9.633.283.705.122.03
Price / Net Operating Revenue (X)2.050.720.841.230.36
EarningsYield0.010.040.030.020.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of NBCC (India) Ltd as of November 21, 2024 is: 95.09

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, NBCC (India) Ltd is Undervalued by 5.89% compared to the current share price 89.80

Intrinsic Value of NBCC (India) Ltd as of November 21, 2024 is: 107.21

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, NBCC (India) Ltd is Undervalued by 19.39% compared to the current share price 89.80

Last 5 Year EPS CAGR: 12.74%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 27.75%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -62.83, which is a positive sign.
  3. The company has higher reserves (1,474.38 cr) compared to borrowings (1.38 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (5.38 cr) and profit (381.38 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 78.00, 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 NBCC (India) Ltd:
    1. Net Profit Margin: 3.97%
      • 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: 27.57% (Industry Average ROCE: 24.93%)
      • 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%: 18.04% (Industry Average ROE: 17.75%)
      • 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): 11792.54
      • 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: 1.05
      • 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: 49.7 (Industry average Stock P/E: 32.13)
      • 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
      • 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

NBCC (India) Ltd. is a Public Limited Listed company incorporated on 15/11/1960 and has its registered office in the State of Delhi, India. Company’s Corporate Identification Number(CIN) is L74899DL1960GOI003335 and registration number is 003335. Currently company belongs to the Industry of Construction & Contracting. Company’s Total Operating Revenue is Rs. 5546.62 Cr. and Equity Capital is Rs. 180.00 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Construction, Contracting & EngineeringNBCC Bhawan, New Delhi Delhi 110003co.sectt@nbccindia.com
http://www.nbccindia.in
Management
NamePosition Held
Mr. K P MahadevaswamyChairman & Managing Director
Mr. Saleem AhmadDirector - Projects
Dr. Sumar KumarDirector - Commercial
Mr. Rajeev KumarIndependent Director
Prof. Bhimrao Panda BhosaleIndependent Director
Mr. Asim MisraIndependent Director
Mr. SanjeetGovernment Nominee Director
Mr. Ravi Kumar AroraGovernment Nominee Director

FAQ

What is the latest intrinsic value of NBCC (India) Ltd?

The latest intrinsic value of NBCC (India) Ltd as on 21 November 2024 is ₹95.09, which is 5.89% higher than the current market price of ₹89.80.

What is the Market Cap of NBCC (India) Ltd?

The Market Cap of NBCC (India) Ltd is 24,251 Cr..

What is the current Stock Price of NBCC (India) Ltd as on 21 November 2024?

The current stock price of NBCC (India) Ltd as on 21 November 2024 is ₹89.8.

What is the High / Low of NBCC (India) Ltd stocks in FY 2024?

In FY 2024, the High / Low of NBCC (India) Ltd stocks is 140/42.5.

What is the Stock P/E of NBCC (India) Ltd?

The Stock P/E of NBCC (India) Ltd is 49.7.

What is the Book Value of NBCC (India) Ltd?

The Book Value of NBCC (India) Ltd is 8.28.

What is the Dividend Yield of NBCC (India) Ltd?

The Dividend Yield of NBCC (India) Ltd is 0.47 %.

What is the ROCE of NBCC (India) Ltd?

The ROCE of NBCC (India) Ltd is 30.7 %.

What is the ROE of NBCC (India) Ltd?

The ROE of NBCC (India) Ltd is 23.0 %.

What is the Face Value of NBCC (India) Ltd?

The Face Value of NBCC (India) Ltd is 1.00.

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 NBCC (India) 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