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Last Updated on: 14 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Network 18 Media & Investments Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 10, 2024, 6:09 pm

Market Cap 8,623 Cr.
Current Price 82.4
High / Low136/72.0
Stock P/E
Book Value 143
Dividend Yield0.00 %
ROCE0.28 %
ROE2.59 %
Face Value 5.00
PEG Ratio0.00

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

View Share Price Target for Network 18 Media & Investments Ltd

Competitors of Network 18 Media & Investments Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hathway Bhawani Cabletel & Datacom Ltd 15.0 Cr. 18.623.7/16.2 1.990.00 %2.26 %2.26 % 10.0
G V Films Ltd 138 Cr. 0.741.20/0.46 0.220.00 %2.27 %2.08 % 1.00
Encash Entertainment Ltd 11.3 Cr. 29.029.0/29.0 21.80.00 %3.81 %3.93 % 10.0
Diksat Transworld Ltd 256 Cr. 146149/126246 14.40.00 %3.36 %4.21 % 10.0
Cyber Media (India) Ltd 41.4 Cr. 26.644.0/17.216.8 0.650.00 %45.5 %% 10.0
Industry Average3,465.47 Cr152.62179.5152.940.16%37.18%10.95%5.86

All Competitor Stocks of Network 18 Media & Investments Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales1,4221,4151,2141,3871,6571,6211,3401,5491,8501,4843,2391,8661,774
Expenses1,1041,1451,0321,1361,2841,3551,2941,5171,8491,4273,3232,0841,945
Operating Profit3192691822513732664632257-84-218-172
OPM %22%19%15%18%23%16%3%2%0%4%-3%-12%-10%
Other Income419165342749158435221224187
Interest33272423232628465679686674
Depreciation37333131302828303436415743
Profit before tax25322814420235423940-28-5-2327-118-102
Tax %-32%10%16%2%13%12%0%-3%289%-54%-6%6%-6%
Net Profit33320612219930721039-299-3529-111-108
EPS in Rs0.620.370.090.370.930.59-0.03-0.35-0.07-0.35-0.37-0.58-0.55

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
Sales1,9682,3832,6923,1271,5271,4911,8395,1165,3574,7055,8806,2238,362
Expenses2,2622,7472,8033,2941,4741,6471,8765,0494,7863,9334,7996,0868,779
Operating Profit-294-364-111-16753-156-37685717721,081137-417
OPM %-15%-15%-4%-5%3%-10%-2%1%11%16%18%2%-5%
Other Income129543332-735985511042-174474183666
Interest27127212211367809619823615797209287
Depreciation61718375588089142175147120128177
Profit before tax-497-16416-1,09026-261-111-231143512939-16-215
Tax %-1%8%150%-4%63%-4%-56%23%61%-7%11%1%
Net Profit-504-152-4-1,11796-271-173-17856547838-16-225
EPS in Rs-3.85-1.01-0.35-10.120.92-2.23-1.47-2.89-2.260.311.98-0.80-1.85
Dividend Payout %0%0%0%0%0%0%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 (%)69.84%97.37%-27825.00%108.59%-382.29%36.16%-2.89%131.46%876.79%53.20%-101.91%
Change in YoY Net Profit Growth (%)0.00%27.53%-27922.37%27933.59%-490.89%418.45%-39.05%134.35%745.33%-823.59%-155.11%

Network 18 Media & Investments 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:13%
5 Years:13%
3 Years:25%
TTM:9%
Compounded Profit Growth
10 Years:%
5 Years:-3%
3 Years:%
TTM:-367%
Stock Price CAGR
10 Years:4%
5 Years:29%
3 Years:1%
1 Year:1%
Return on Equity
10 Years:-4%
5 Years:1%
3 Years:0%
Last Year:-3%

Last Updated: Unknown

Balance Sheet

Last Updated: October 15, 2024, 3:13 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital523523523518518518518518518518518518518
Reserves2,1572,1621,0971,359765616293-12923715714,71014,505
Borrowings1,1111,0471,0017821,3072,2033,0453,2652,5542,2846,0698,1569,292
Other Liabilities2,7132,9133,0802,9292,4574,1724,5944,8345,1566,1017,23616,49816,513
Total Liabilities6,5046,6465,7015,5885,0467,5098,4508,6168,2579,14013,98039,88140,827
Fixed Assets1,4273,0182,6271,6801,7662,9072,8682,9732,9292,8763,05515,20415,774
CWIP81019165254787126259916104202
Investments6438447392,6812,1826699237967718699584,1883,194
Other Assets4,4262,7742,3161,2101,0943,9084,6124,7604,4305,1379,05120,38521,657
Total Assets6,5046,6465,7015,5885,0467,5098,4508,6168,2579,14013,98039,88140,827

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +-615-9987-17890-204781,346641-2,804-6,465
Cash from Investing Activity +-2,06639135-140-362-57-445-86-85-249-718-5,169
Cash from Financing Activity +2,316-129-81-6518131645-62-1,049-3813,4111,139
Net Cash Flow243-75-45-59-22164-3-7121212-111-10,495

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-294.00-365.00-112.00-168.00-729.00-157.00-39.0065.00568.00770.00-1.00131.00

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 Days84747285782559310599727669
Inventory Days
Days Payable
Cash Conversion Cycle84747285782559310599727669
Working Capital Days142717-77-63220100134127137312590
ROCE %-4%1%-4%2%-4%-0%-1%7%10%16%2%-0%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%
FIIs4.27%4.82%4.80%5.15%5.41%5.56%5.62%5.62%5.64%3.48%3.54%3.49%
DIIs0.23%0.44%0.46%0.66%0.63%0.58%0.58%0.59%0.04%0.53%0.05%0.06%
Public20.50%19.74%19.74%19.19%18.95%18.86%18.80%18.80%19.34%20.99%21.42%21.43%
No. of Shareholders94,1471,26,7801,29,0041,38,5751,37,3431,33,3681,32,3571,29,1701,30,9091,35,1911,45,3021,56,009

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Nifty Smallcap 250 Index Fund159,7060.171.38159,7062024-11-130%
Motilal Oswal Nifty Smallcap 250 Index Fund97,5880.160.84159,7062024-11-13-38.9%
SBI Nifty Smallcap 250 Index Fund76,2430.170.66159,7062024-11-13-52.26%
ICICI Prudential Nifty Smallcap 250 Index Fund40,2380.170.35159,7062024-11-13-74.8%
HDFC NIFTY Smallcap 250 ETF20,5510.160.18159,7062024-11-13-87.13%
HDFC Nifty Smallcap 250 Index Fund16,8670.170.15159,7062024-11-13-89.44%
Motilal Oswal Nifty 500 Index Fund10,6490.020.09159,7062024-11-13-93.33%
Edelweiss Nifty Smallcap 250 Index Fund3,9580.160.03159,7062024-11-13-97.52%
ICICI Prudential S&P BSE 500 ETF2,0250.010.02159,7062024-11-13-98.73%
Groww Nifty Total Market Index Fund7130.010.01159,7062024-11-13-99.55%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue5.005.005.005.005.00
Basic EPS (Rs.)-2.45-0.812.000.31-2.29
Diluted EPS (Rs.)-2.45-0.812.000.31-2.29
Cash EPS (Rs.)-2.870.258.996.932.69
Book Value[Excl.RevalReserv]/Share (Rs.)274.2344.3844.5036.3731.08
Book Value[Incl.RevalReserv]/Share (Rs.)274.2344.3844.5036.3731.08
Revenue From Operations / Share (Rs.)89.8060.1056.7945.4451.74
PBDIT / Share (Rs.)0.312.2710.918.116.30
PBIT / Share (Rs.)-1.711.049.756.694.61
PBT / Share (Rs.)-4.83-0.978.825.171.85
Net Profit / Share (Rs.)-4.90-0.977.845.511.01
NP After MI And SOA / Share (Rs.)-2.45-0.812.000.31-2.29
PBDIT Margin (%)0.353.7819.2017.8412.16
PBIT Margin (%)-1.901.7217.1714.728.90
PBT Margin (%)-5.37-1.6215.5311.383.57
Net Profit Margin (%)-5.45-1.6213.8012.121.94
NP After MI And SOA Margin (%)-2.72-1.353.520.68-4.41
Return on Networth / Equity (%)-3.81-12.4827.495.90-45.83
Return on Capital Employeed (%)-0.602.1520.7717.4314.08
Return On Assets (%)-0.63-0.602.260.39-2.74
Total Debt / Equity (X)1.108.612.864.416.32
Asset Turnover Ratio (%)0.340.020.020.010.01
Current Ratio (X)2.160.971.110.900.78
Quick Ratio (X)1.210.320.500.460.39
Interest Coverage Ratio (X)0.101.1311.695.342.76
Interest Coverage Ratio (Post Tax) (X)-0.570.519.404.631.65
Enterprise Value (Cr.)33117.1115118.3614481.439076.317752.46
EV / Net Operating Revenue (X)3.562.432.461.931.45
EV / EBITDA (X)1009.6764.2612.8210.8111.89
MarketCap / Net Operating Revenue (X)0.950.901.500.800.35
Price / BV (X)1.348.3211.676.903.69
Price / Net Operating Revenue (X)0.950.901.500.800.35
EarningsYield-0.02-0.010.020.01-0.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Network 18 Media & Investments Ltd as of November 14, 2024 is: 56.67

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 14, 2024, Network 18 Media & Investments Ltd is Overvalued by 31.23% compared to the current share price 82.40

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of Network 18 Media & Investments Ltd as of November 14, 2024 is: 60.70

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 14, 2024, Network 18 Media & Investments Ltd is Overvalued by 26.33% compared to the current share price 82.40

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: 7.11%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has shown consistent growth in sales (3.38 cr) and profit (10.77 cr) over the years.
  1. The stock has a low average ROCE of 2.08%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 128.17, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 96.83, which may not be favorable.
  4. The company has higher borrowings (3,239.69) compared to reserves (2,929.69), 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 Network 18 Media & Investments Ltd:
    1. Net Profit Margin: -5.45%
      • 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: -0.6% (Industry Average ROCE: 37.18%)
      • 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%: -3.81% (Industry Average ROE: 10.95%)
      • 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): -0.57
      • 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: 1.21
      • 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: 0 (Industry average Stock P/E: 179.51)
      • 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: 1.1
      • 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

Network 18 Media & Investments Ltd. is a Public Limited Listed company incorporated on 16/02/1996 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L65910MH1996PLC280969 and registration number is 280969. Currently Company is involved in the business activities of Operation of other websites that act as portals to the internet, such as media sites providing periodically updated content. Company’s Total Operating Revenue is Rs. 167.33 Cr. and Equity Capital is Rs. 523.47 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Entertainment & MediaFirst Floor, Empire Complex, Mumbai Maharashtra 400013investors.n18@nw18.com
http://www.nw18.com
Management
NamePosition Held
Mr. Adil ZainulbhaiChairman & Ind.Director
Mr. Rahul JoshiManaging Director
Ms. Jyoti DeshpandeNon Executive Director
Mr. P M S PrasadNon Executive Director
Ms. Bhama KrishnamurthyIndependent Director
Mr. Dhruv Subodh KajiIndependent Director

FAQ

What is the latest intrinsic value of Network 18 Media & Investments Ltd?

The latest intrinsic value of Network 18 Media & Investments Ltd as on 14 November 2024 is ₹56.67, which is 31.23% lower than the current market price of ₹82.40.

What is the Market Cap of Network 18 Media & Investments Ltd?

The Market Cap of Network 18 Media & Investments Ltd is 8,623 Cr..

What is the current Stock Price of Network 18 Media & Investments Ltd as on 14 November 2024?

The current stock price of Network 18 Media & Investments Ltd as on 14 November 2024 is ₹82.4.

What is the High / Low of Network 18 Media & Investments Ltd stocks in FY 2024?

In FY 2024, the High / Low of Network 18 Media & Investments Ltd stocks is 136/72.0.

What is the Stock P/E of Network 18 Media & Investments Ltd?

The Stock P/E of Network 18 Media & Investments Ltd is .

What is the Book Value of Network 18 Media & Investments Ltd?

The Book Value of Network 18 Media & Investments Ltd is 143.

What is the Dividend Yield of Network 18 Media & Investments Ltd?

The Dividend Yield of Network 18 Media & Investments Ltd is 0.00 %.

What is the ROCE of Network 18 Media & Investments Ltd?

The ROCE of Network 18 Media & Investments Ltd is 0.28 %.

What is the ROE of Network 18 Media & Investments Ltd?

The ROE of Network 18 Media & Investments Ltd is 2.59 %.

What is the Face Value of Network 18 Media & Investments Ltd?

The Face Value of Network 18 Media & Investments Ltd is 5.00.

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 Network 18 Media & Investments 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