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Last Updated on: 23 June, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Orient Cement Ltd

About the Company - Orient Cement Ltd

Orient Cement Ltd. is a Public Limited Listed company incorporated on 22/07/2011 and has its registered office in the State of Orissa, India. Company’s Corporate Identification Number(CIN) is L26940OR2011PLC013933 and registration number is 013933. Currently Company is involved in the business activities of Manufacture of cement, lime and plaster. Company’s Total Operating Revenue is Rs. 2725.42 Cr. and Equity Capital is Rs. 20.49 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
CementUnit VIII, Plot No.7, Bhubaneshwar Orissa 751012investors@orientcement.com
http://www.orientcement.com
Management
NamePosition Held
Mr. Chandrakant BirlaChairman
Mr. Desh Deepak KhetrapalManaging Director & CEO
Mr. Rabindranath JhunjhunwalaDirector
Mrs. Amita BirlaDirector
Mr. Rajeev JhawarDirector
Mr. Janat ShahDirector
Mr. Swapan DasguptaDirector
Mr. I Y R Krishna RaoDirector
Mrs. Varsha Vasant PurandareDirector

Basic Stock Data of Orient Cement Ltd

Last Updated: June 17, 2024, 8:19 pm

Market Cap 4,904 Cr.
Current Price 239
High / Low294/125
Stock P/E28.0
Book Value 85.1
Dividend Yield0.94 %
ROCE16.1 %
ROE10.4 %
Face Value 1.00
PEG Ratio1.87

Competitors of Orient Cement Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Burnpur Cement Ltd 55.6 Cr. 6.468.87/4.11 52.50.00 %44.0 %% 10.0
ACC Ltd 49,983 Cr. 2,6622,760/1,75423.2 8700.28 %17.3 %14.2 % 10.0
Birla Corporation Ltd 12,123 Cr. 1,5741,802/1,06129.2 8670.16 %8.99 %6.57 % 10.0
Kakatiya Cement Sugar & Industries Ltd 175 Cr. 225278/185 2901.33 %1.14 %0.59 % 10.0
Bheema Cements Ltd 75.2 Cr. 23.144.0/21.0 13.20.00 %%56.4 % 10.0
Industry Average28,024.36 Cr1,957.6016.44491.440.46%12.27%15.94%7.74

Orient Cement Ltd Quarterly Results

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales832691613618804714615732876825721751888
Expenses629505479500651612583642737726634636740
Operating Profit20318613411815310233901399987115148
OPM %24%27%22%19%19%14%5%12%16%12%12%15%17%
Other Income3232215154228
Interest161615165811101010988
Depreciation36353637373637373637373838
Profit before tax153137866711459-104598574272110
Tax %35%35%34%35%36%37%6%38%31%35%42%37%38%
Net Profit1008957447337-10286737254568
EPS in Rs4.884.372.782.133.571.83-0.461.343.291.811.202.203.33

Last Updated: June 11, 2024, 3:10 am

Orient Cement Ltd Quarterly Chart

Orient Cement Ltd Profit & Loss

Last Updated: May 27, 2024, 5:52 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales01,5001,4371,5451,4621,8752,2222,5222,4222,3242,7252,9383,173
Expenses21,1811,2221,2391,2771,6961,9162,2102,0391,7732,1342,5732,733
Operating Profit-2319215307186179306312383551591365441
OPM %21%15%20%13%10%14%12%16%24%22%12%14%
Other Income049681119141818101213
Interest01914145413512911812294513836
Depreciation056564778122126133141142145147148
Profit before tax-224915325161-667075137334404192270
Tax %33%35%34%22%-2%52%37%36%37%36%35%36%
Net Profit-116210119562-32444887214263123174
EPS in Rs-21.407.894.939.513.04-1.572.162.324.2310.4512.856.008.50
Dividend Payout %0%25%30%18%33%-32%35%32%18%19%19%25%

Orient Cement Ltd Profit & Loss Yearly Chart

Orient Cement Ltd Growth

Compounded Sales Growth
10 Years:8%
5 Years:5%
3 Years:11%
TTM:8%
Compounded Profit Growth
10 Years:6%
5 Years:30%
3 Years:-6%
TTM:42%
Stock Price CAGR
10 Years:10%
5 Years:17%
3 Years:21%
1 Year:75%
Return on Equity
10 Years:10%
5 Years:12%
3 Years:12%
Last Year:10%

Last Updated: June 17, 2024, 2:49 pm

Orient Cement Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital0202020202020202020202020
Reserves-17368089551,0209671,0021,0331,0981,2851,5051,5831,624
Borrowings01493291,1061,2851,3361,3141,2901,226798316398259
Other Liabilities2353404484571560601584555708809875896
Total Liabilities11,2581,5612,5662,8962,8832,9372,9272,9002,8122,6502,8772,800
Fixed Assets08548267982,2072,2962,2512,3552,2722,2072,1152,0102,047
CWIP0403281,319239981584867414014068
Investments0000000001151444
Other Assets1365408448450489528525562448481723681
Total Assets11,2581,5612,5662,8962,8832,9372,9272,9002,8122,6502,8772,800

Orient Cement Ltd Reserves and Borrowings Chart

Orient Cement Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 0263192156268259279281292714524111
Cash from Investing Activity 0-52-279-922-371-124-149-120-73-16270-120
Cash from Financing Activity 0-1349272798-108-161-171-206-552-58635
Net Cash Flow0765-40-527-31-10130826

Orient Cement Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days1916192321252624171721
Inventory Days140114213236196230269269192192331
Days Payable124137214340268280270201207238203
Cash Conversion Cycle35-719-81-52-2525932-29150
Working Capital Days-6-313-5-22-16-11-5-21-1711
ROCE %59%16%16%5%3%9%8%11%19%23%12%

Orient Cement Ltd Financial Efficiency Indicators Chart

Orient Cement Ltd Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters37.37%37.37%37.37%37.37%37.90%37.90%37.90%37.90%37.90%37.90%37.90%37.90%
FIIs4.43%5.97%6.64%6.54%5.83%6.43%6.02%7.72%5.87%6.30%6.71%8.24%
DIIs20.64%15.92%15.41%14.83%13.32%11.30%11.02%9.53%10.64%12.89%13.14%14.65%
Government0.00%0.00%0.00%0.00%0.00%0.00%0.03%0.03%0.03%0.00%0.00%0.00%
Public37.56%40.74%40.59%41.26%42.95%44.38%45.04%44.81%45.54%42.90%42.26%39.19%
No. of Shareholders64,83289,30899,9781,08,2211,12,3481,11,8051,11,8341,12,0721,02,50690,23886,86484,940

Orient Cement Ltd Shareholding Pattern Chart

No. of Orient Cement Ltd Shareholders

Orient Cement Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Small Cap Fund5,865,2680.37152.531,110,0002024-06-16428.4%
Aditya Birla Sun Life Pure Value Fund3,773,5531.998.131,110,0002024-06-16239.96%
ICICI Prudential Commodities Fund1,815,0492.8747.21,110,0002024-06-1663.52%
Mahindra Manulife Multi Cap Fund1,650,0001.7442.911,110,0002024-06-1648.65%
Aditya Birla Sun Life Small Cap Fund1,334,1410.6934.691,110,0002024-06-1620.19%
Quant Value Fund1,312,5493.8534.131,110,0002024-06-1618.25%
HDFC Multi Cap Fund1,110,0000.2928.871,110,0002024-06-160%
Mahindra Manulife Small Cap Fund954,7430.9724.831,110,0002024-06-16-13.99%
ICICI Prudential Infrastructure Fund876,4460.6222.791,110,0002024-06-16-21.04%
Bandhan Small Cap Fund537,1320.4313.971,110,0002024-06-16-51.61%

Orient Cement Ltd ROCE Trend

Orient Cement Ltd EPS Trend

Orient Cement Ltd Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)8.535.9912.8510.454.23
Diluted EPS (Rs.)8.535.9912.8510.454.23
Cash EPS (Rs.)15.8213.1619.9417.3811.10
Book Value[Excl.RevalReserv]/Share (Rs.)85.0978.2874.4663.7454.59
Book Value[Incl.RevalReserv]/Share (Rs.)85.0978.2874.4663.7454.59
Dividend / Share (Rs.)2.251.502.502.000.75
Revenue From Operations / Share (Rs.)155.47143.39133.03113.44118.21
PBDIT / Share (Rs.)22.6918.3829.3227.7819.55
PBIT / Share (Rs.)15.4011.2122.2320.8512.68
PBT / Share (Rs.)13.749.3719.7216.286.71
Net Profit / Share (Rs.)8.535.9912.8510.454.23
PBDIT Margin (%)14.5912.8122.0324.4816.54
PBIT Margin (%)9.907.8216.7118.3810.72
PBT Margin (%)8.836.5314.8214.355.67
Net Profit Margin (%)5.484.189.659.213.57
Return on Networth / Equity (%)10.037.6517.2516.407.74
Return on Capital Employeed (%)13.9311.0823.0318.3410.74
Return On Assets (%)6.124.269.937.612.98
Long Term Debt / Equity (X)0.040.060.090.601.02
Total Debt / Equity (X)0.070.240.200.601.02
Asset Turnover Ratio (%)1.111.060.990.810.83
Current Ratio (X)1.160.830.641.001.00
Quick Ratio (X)0.580.390.360.650.51
Inventory Turnover Ratio (X)1.324.959.546.701.13
Dividend Payout Ratio (NP) (%)0.0037.5317.5111.9517.74
Dividend Payout Ratio (CP) (%)0.0017.0911.287.196.75
Earning Retention Ratio (%)0.0062.4782.4988.0582.26
Cash Earning Retention Ratio (%)0.0082.9188.7292.8193.25
Interest Coverage Ratio (X)13.619.9711.686.083.27
Interest Coverage Ratio (Post Tax) (X)6.124.256.123.291.71
Enterprise Value (Cr.)4073.032570.803183.212755.392014.37
EV / Net Operating Revenue (X)1.280.871.171.190.83
EV / EBITDA (X)8.766.835.304.845.03
MarketCap / Net Operating Revenue (X)1.260.761.070.860.37
Retention Ratios (%)0.0062.4682.4888.0482.25
Price / BV (X)2.311.401.911.540.81
Price / Net Operating Revenue (X)1.260.761.070.860.37
EarningsYield0.040.050.090.100.09

Orient Cement Ltd Profitability Ratios (%)

Orient Cement Ltd Liquidity Ratios

Orient Cement Ltd Liquidity Ratios (%)

Orient Cement Ltd Interest Coverage Ratios (%)

Orient Cement Ltd Valuation Ratios

Fair Value

Fair Value: 250.14

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: 4.66% compared to the current price 239

Intrinsic Value: 287.61

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: 20.34% compared to the current price ₹239

Last 5 Year EPS CAGR: 14.98%

*Investments are subject to market risks

Strength and Weakness of Orient Cement Ltd

StrengthWeakness
  1. The stock has a high average ROCE of 15.08%, which is a positive sign.
  2. The stock has a low average Working Capital Days of -6.83, which is a positive sign.
  3. The company has higher reserves (1,047.31 cr) compared to borrowings (754.31 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (1.54 cr) and profit (163.69 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 10.83, which may not be favorable.

Should I Buy Orient Cement Ltd 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 Orient Cement Ltd:
    1. Net Profit Margin: 5.48%
      • 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: 13.93% (Industry Average ROCE: %)
      • 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%: 10.03% (Industry Average ROE: %)
      • 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): 6.12
      • 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: 0.58
      • 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: 28.0 (Industry average Stock P/E: )
      • 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: 0.07
      • 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:

FAQ

What is the latest fair value of Orient Cement Ltd?

The latest fair value of Orient Cement Ltd is ₹250.14.

What is the Market Cap of Orient Cement Ltd?

The Market Cap of Orient Cement Ltd is 4,904 Cr..

What is the current Stock Price of Orient Cement Ltd as on 23 June 2024?

The current stock price of Orient Cement Ltd as on 23 June 2024 is ₹239.

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

In FY 2024, the High / Low of Orient Cement Ltd stocks is 294/125.

What is the Stock P/E of Orient Cement Ltd?

The Stock P/E of Orient Cement Ltd is 28.0.

What is the Book Value of Orient Cement Ltd?

The Book Value of Orient Cement Ltd is 85.1.

What is the Dividend Yield of Orient Cement Ltd?

The Dividend Yield of Orient Cement Ltd is 0.94 %.

What is the ROCE of Orient Cement Ltd?

The ROCE of Orient Cement Ltd is 16.1 %.

What is the ROE of Orient Cement Ltd?

The ROE of Orient Cement Ltd is 10.4 %.

What is the Face Value of Orient Cement Ltd?

The Face Value of Orient Cement 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 Orient Cement 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