Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 19 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 505355 | NSE: NESCO

Fundamental Analysis of NESCO Ltd

Basic Stock Data of NESCO Ltd

Last Updated: June 19, 2024, 2:31 pm

Market Cap 6,691 Cr.
Current Price 950
High / Low1,003/601
Stock P/E18.4
Book Value 326
Dividend Yield0.63 %
ROCE22.4 %
ROE17.0 %
Face Value 2.00
PEG Ratio2.32

Competitors of NESCO Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
3M India Ltd 41,123 Cr. 36,48939,876/26,51270.5 1,9060.44 %40.6 %30.5 % 10.0
Balmer Lawrie & Company Ltd 4,576 Cr. 268320/12917.8 1062.77 %15.6 %14.7 % 10.0
Industry Average22,849.50 Cr18,378.5044.151,006.001.61%28.10%22.60%10.00

NESCO Ltd Quarterly Results

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales827573819391103143143157137175178
Expenses30282730322837426158506664
Operating Profit53484650616367101829986109114
OPM %64%63%63%62%65%69%65%71%57%63%63%62%64%
Other Income1810131010128161920252327
Interest2322233532356
Depreciation6667788889141414
Profit before tax634950516164631049010994112121
Tax %22%19%16%13%20%16%15%22%22%22%19%22%23%
Net Profit49404244495454827085768894
EPS in Rs6.945.646.006.257.017.607.6311.639.9512.0510.8012.4613.31

Last Updated: June 9, 2024, 10:34 am

NESCO Ltd Quarterly Chart

NESCO Ltd Profit & Loss

Last Updated: June 1, 2024, 10:50 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales128143161194261306304360432291337546646
Expenses43435156739288128153105117178238
Operating Profit85101110138189214216233278186221368408
OPM %66%70%68%71%72%70%71%65%64%64%65%67%63%
Other Income17191828334336324265434494
Interest110045656891215
Depreciation361177811122226283352
Profit before tax97114117160211244235248292216227367436
Tax %30%28%31%30%32%30%25%27%20%20%16%21%
Net Profit678281112144169177180234172189291343
EPS in Rs9.5511.5911.4915.8320.4524.0325.0825.5733.1824.4826.8541.2548.62
Dividend Payout %6%6%9%8%8%9%9%10%9%12%11%11%

NESCO Ltd Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)22.39%-1.22%38.27%28.57%17.36%4.73%1.69%30.00%-26.50%9.88%53.97%
Change in YoY Net Profit Growth (%)0.00%-23.61%39.49%-9.70%-11.21%-12.63%-3.04%28.31%-56.50%36.38%44.08%

NESCO Ltd Growth

Compounded Sales Growth
10 Years:15%
5 Years:13%
3 Years:33%
TTM:24%
Compounded Profit Growth
10 Years:18%
5 Years:15%
3 Years:28%
TTM:18%
Stock Price CAGR
10 Years:16%
5 Years:12%
3 Years:20%
1 Year:51%
Return on Equity
10 Years:17%
5 Years:15%
3 Years:15%
Last Year:17%

Last Updated: June 13, 2024, 7:18 am

NESCO Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital14141414141414141414141414
Reserves2763524255266678379951,1541,3411,5121,6811,9502,083
Borrowings0000000000100
Other Liabilities9181122137159181170178252293273298356
Total Liabilities3814475616768401,0321,1791,3461,6071,8191,9692,2632,453
Fixed Assets44158160159165188229213776759846804780
CWIP10445100143262357509251828696
Investments2102583683844424824995316728108471,1611,354
Other Assets2326283390999493157199194212223
Total Assets3814475616768401,0321,1791,3461,6071,8191,9692,2632,453

NESCO Ltd Reserves and Borrowings Chart

Ace Integrated Solutions Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 7355117103137152143171208139164297
Cash from Investing Activity -78-51-107-91-110-153-123-155-157-142-142-265
Cash from Financing Activity 0-6-8-11-25-0-19-20-47-0-21-24
Net Cash Flow-6-2201-12-34-318

NESCO Ltd Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow85.00101.00110.00138.00189.00214.00216.00233.00278.00186.00220.00368.00

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.

NESCO Ltd Free Cash Flow Chart

NESCO Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days232525202013161814372015
Inventory Days131158184313139158107119
Days Payable235253312519166227125147
Cash Conversion Cycle-81-70-1022020-19316-814-322-12
Working Capital Days-103-48-55-39-18-23-112-53-37-5523
ROCE %36%35%25%29%35%32%26%23%24%16%15%22%

NESCO Ltd Financial Efficiency Indicators Chart

NESCO Ltd Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters68.54%68.54%68.54%68.54%68.54%68.54%68.54%68.54%68.54%68.54%68.54%68.54%
FIIs2.14%2.18%2.18%1.99%1.98%2.10%2.37%2.30%2.09%2.79%3.02%3.50%
DIIs5.31%4.99%4.80%4.83%4.73%4.30%3.95%3.91%3.81%4.07%4.14%3.99%
Public24.02%24.30%24.49%24.64%24.76%25.07%25.14%25.24%25.55%24.60%24.29%23.97%
No. of Shareholders43,01440,72237,54536,63036,71136,12735,98737,63137,52536,25145,87146,796

NESCO Ltd Shareholding Pattern Chart

No. of NESCO Ltd Shareholders

NESCO Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Franklin India Smaller Companies Fund1,229,1640.89105.684,3502024-06-1728156.64%
UTI Small Cap Fund364,2850.8431.324,3502024-06-178274.37%
Bandhan Core Equity Fund185,0990.4315.914,3502024-06-174155.15%
WhiteOak Capital Flexi Cap Fund50,0000.144.34,3502024-06-171049.43%
WhiteOak Capital Mid Cap Fund43,5160.243.744,3502024-06-17900.37%
WhiteOak Capital ELSS Tax Saver Fund4,3500.260.374,3502024-06-170%
ICICI Prudential S&P BSE 500 ETF2520.010.024,3502024-06-17-94.21%

NESCO Ltd ROCE Trend

NESCO Ltd EPS Trend

NESCO Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)41.2526.8524.4833.1925.61
Diluted EPS (Rs.)41.2526.8524.4833.1925.61
Cash EPS (Rs.)45.9030.8728.1336.3827.29
Book Value[Excl.RevalReserv]/Share (Rs.)278.82240.95217.04192.66166.12
Book Value[Incl.RevalReserv]/Share (Rs.)278.82240.95217.04192.66166.12
Revenue From Operations / Share (Rs.)77.4947.8841.3161.2751.23
PBDIT / Share (Rs.)58.4737.4735.5245.5237.54
PBIT / Share (Rs.)53.8133.4531.8742.3435.85
PBT / Share (Rs.)52.0832.1430.7041.4835.18
Net Profit / Share (Rs.)41.2526.8524.4833.1925.61
NP After MI And SOA / Share (Rs.)41.2526.8524.4833.1925.61
PBDIT Margin (%)75.4578.2485.9674.2973.27
PBIT Margin (%)69.4469.8577.1369.0969.98
PBT Margin (%)67.2167.1174.3067.7068.68
Net Profit Margin (%)53.2256.0659.2454.1749.98
NP After MI And SOA Margin (%)53.2256.0659.2454.1749.98
Return on Networth / Equity (%)14.7911.1411.2717.2215.41
Return on Capital Employeed (%)17.6312.4313.2119.7720.07
Return On Assets (%)12.849.599.4614.5213.37
Asset Turnover Ratio (%)0.250.170.160.290.28
Current Ratio (X)4.703.731.731.100.77
Quick Ratio (X)4.593.631.671.010.67
Inventory Turnover Ratio (X)3.893.401.952.002.10
Dividend Payout Ratio (NP) (%)7.2711.170.0016.568.98
Dividend Payout Ratio (CP) (%)6.539.710.0015.118.42
Earning Retention Ratio (%)92.7388.830.0083.4491.02
Cash Earning Retention Ratio (%)93.4790.290.0084.8991.58
Interest Coverage Ratio (X)33.7428.6330.4553.2456.11
Interest Coverage Ratio (Post Tax) (X)24.8021.5221.9839.8339.27
Enterprise Value (Cr.)3626.033885.863706.853428.553388.83
EV / Net Operating Revenue (X)6.6411.5212.737.949.39
EV / EBITDA (X)8.8014.7214.8110.6912.81
MarketCap / Net Operating Revenue (X)6.6711.5512.777.979.41
Retention Ratios (%)92.7288.820.0083.4391.01
Price / BV (X)1.852.292.432.542.90
Price / Net Operating Revenue (X)6.6711.5512.777.979.41
EarningsYield0.070.040.040.060.05

NESCO Ltd Profitability Ratios (%)

NESCO Ltd Liquidity Ratios

NESCO Ltd Liquidity Ratios (%)

NESCO Ltd Interest Coverage Ratios (%)

NESCO Ltd Valuation Ratios

Fair Value

Fair Value: 1,026.15

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.

Undervalued: 8.02% compared to the current price 950

Intrinsic Value: 1,107.64

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: 16.59% compared to the current price ₹950

Last 5 Year EPS CAGR: 7.94%

*Investments are subject to market risks

Strength and Weakness of NESCO Ltd Stock

StrengthWeakness
  1. The stock has a high average ROCE of 26.50%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -44.83, which is a positive sign.
  3. The stock has a low average Cash Conversion Cycle of -35.50, which is a positive sign.
  4. The company has higher reserves (1,061.46 cr) compared to borrowings (0.08 cr), indicating strong financial stability.
  5. The company has shown consistent growth in sales (316.08 cr) and profit (228.00 cr) over the years.

    Should I Buy NESCO Ltd Share Now?

    • 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 NESCO Ltd:
      1. Net Profit Margin: 53.22%
        • 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: 17.63% (Industry Average ROCE: 19%)
        • 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%: 14.79% (Industry Average ROE: 15.85%)
        • 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): 24.80
        • 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: 4.59
        • 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: 18.4 (Industry average Stock P/E: 17.9)
        • 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: N/A
        • 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 - NESCO Ltd

    No data availabale for About the Company
    INDUSTRYADDRESSCONTACT
    Industry not foundAddress not foundContact not found
    Management Data not Available

    FAQ

    What is the latest fair value of NESCO Ltd?

    The latest fair value of NESCO Ltd is ₹1026.15.

    What is the Market Cap of NESCO Ltd?

    The Market Cap of NESCO Ltd is 6,691 Cr..

    What is the current Stock Price of NESCO Ltd as on 19 June 2024?

    The current stock price of NESCO Ltd as on 19 June 2024 is ₹950.

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

    In FY 2024, the High / Low of NESCO Ltd stocks is 1,003/601.

    What is the Stock P/E of NESCO Ltd?

    The Stock P/E of NESCO Ltd is 18.4.

    What is the Book Value of NESCO Ltd?

    The Book Value of NESCO Ltd is 326.

    What is the Dividend Yield of NESCO Ltd?

    The Dividend Yield of NESCO Ltd is 0.63 %.

    What is the ROCE of NESCO Ltd?

    The ROCE of NESCO Ltd is 22.4 %.

    What is the ROE of NESCO Ltd?

    The ROE of NESCO Ltd is 17.0 %.

    What is the Face Value of NESCO Ltd?

    The Face Value of NESCO 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 NESCO 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