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Last Updated on: 24 February, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Parshwanath Corporation Ltd

About the Company - Parshwanath Corporation Ltd

Parshwanath Corporation Ltd. is a Public Limited Listed company incorporated on 31/12/1985 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L45201GJ1985PLC008361 and registration number is 008361. Currently company belongs to the Industry of Construction & Contracting. Company’s Total Operating Revenue is Rs. 0.41 Cr. and Equity Capital is Rs. 3.13 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Construction & Contracting50, 3rd Floor, Harsiddha Chambers, Ahmedabad Gujarat 380014ltd@parshwanath.co.in
http://www.parshwanath.co.in
Management
NamePosition Held
Mr. Rushabh N PatelManaging Director
Mrs. Riddhiben R PatelJoint Managing Director & CFO
Mr. Asit A VyasIndependent Director

Parshwanath Corporation Ltd. Share Price Update

Share PriceValue
Today₹84.00
Previous Day₹84.00

Basic Stock Data of Parshwanath Corporation Ltd

Market Cap 23.3 Cr.
Current Price 74.4
High / Low85.0/26.0
Stock P/E44.8
Book Value 36.0
Dividend Yield0.00 %
ROCE2.50 %
ROE2.20 %
Face Value 10.0

Data Source: screener.in

Competitors of Parshwanath Corporation Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Puravankara Ltd 6,009 Cr. 253269/58.279.7 82.62.49 %7.30 %2.92 % 5.00
PSP Projects Ltd 2,519 Cr. 700846/65216.3 2410.36 %24.8 %18.1 % 10.0
AMJ Land Holdings Ltd 167 Cr. 40.845.8/18.820.9 40.00.50 %6.86 %4.22 % 2.00
Vipul Ltd 278 Cr. 23.223.2/10.011.5 6.850.00 %3.82 %17.1 % 1.00
Prestige Estates Projects Ltd 50,170 Cr. 1,2521,440/39129.6 2750.12 %10.3 %7.56 % 10.0
Industry Average100.6 Cr203.631.6129.090.69%10.62%9.98%5.6

Parshwanath Corporation Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales0.060.230.150.100.070.080.170.070.110.090.250.190.13
Expenses0.150.160.200.130.140.140.180.160.160.190.230.200.20
Operating Profit-0.090.07-0.05-0.03-0.07-0.06-0.01-0.09-0.05-0.100.02-0.01-0.07
OPM %-150.00%30.43%-33.33%-30.00%-100.00%-75.00%-5.88%-128.57%-45.45%-111.11%8.00%-5.26%-53.85%
Other Income0.170.260.140.130.130.130.140.130.130.130.170.150.20
Interest0.000.000.000.000.000.000.000.000.000.000.000.000.00
Depreciation0.000.000.000.000.000.000.000.000.000.000.000.000.00
Profit before tax0.080.330.090.100.060.070.130.040.080.030.190.140.13
Tax %12.50%15.15%11.11%20.00%16.67%14.29%23.08%25.00%12.50%33.33%15.79%7.14%7.69%
Net Profit0.070.280.070.090.050.060.110.030.070.030.160.120.12
EPS in Rs0.220.890.220.290.160.190.350.100.220.100.510.380.38

Parshwanath Corporation Ltd Quarterly Chart

Parshwanath Corporation Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales12.711.800.741.320.890.240.310.650.980.440.410.520.66
Expenses9.571.030.760.670.550.620.830.680.740.650.580.750.82
Operating Profit3.140.77-0.020.650.34-0.38-0.52-0.030.24-0.21-0.17-0.23-0.16
OPM %24.70%42.78%-2.70%49.24%38.20%-158.33%-167.74%-4.62%24.49%-47.73%-41.46%-44.23%-24.24%
Other Income1.360.060.010.020.050.650.590.700.730.760.530.570.65
Interest0.000.030.040.000.000.000.000.000.000.000.000.000.00
Depreciation0.020.090.090.150.100.100.100.100.100.000.000.000.00
Profit before tax4.480.71-0.140.520.290.17-0.030.570.870.550.360.340.49
Tax %14.06%15.49%0.00%-15.38%-3.45%23.53%0.00%19.30%16.09%16.36%16.67%17.65%
Net Profit3.860.60-0.140.610.290.13-0.030.460.730.450.300.290.43
EPS in Rs10.721.67-0.391.950.930.42-0.101.472.331.440.960.931.37
Dividend Payout %0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Parshwanath Corporation Ltd Profit & Loss Yearly Chart

Parshwanath Corporation Ltd Growth

Compounded Sales Growth
10 Years:-12%
5 Years:11%
3 Years:-19%
TTM:53%
Compounded Profit Growth
10 Years:-9%
5 Years:40%
3 Years:-28%
TTM:61%
Stock Price CAGR
10 Years:24%
5 Years:39%
3 Years:61%
1 Year:167%
Return on Equity
10 Years:3%
5 Years:4%
3 Years:2%
Last Year:2%

Parshwanath Corporation Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital3.003.003.003.133.133.133.133.133.133.133.133.133.13
Reserves4.384.984.835.315.605.725.696.156.887.347.637.928.16
Borrowings0.980.000.000.000.000.000.010.000.000.000.240.310.40
Other Liabilities1.270.590.120.090.090.080.110.070.150.120.110.190.11
Total Liabilities9.638.577.958.538.828.938.949.3510.1610.5911.1111.5511.80
Fixed Assets0.120.780.690.550.440.340.240.140.040.000.000.010.01
CWIP0.000.000.000.000.000.000.000.000.000.000.000.000.00
Investments1.920.150.140.070.070.060.010.000.000.000.010.010.01
Other Assets7.597.647.127.918.318.538.699.2110.1210.5911.1011.5311.78
Total Assets9.638.577.958.538.828.938.949.3510.1610.5911.1111.5511.80

Parshwanath Corporation Ltd Reserves and Borrowings Chart

Parshwanath Corporation Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 1.310.08-0.630.98-0.27-0.42-0.70-0.010.30-0.31-0.25-0.15
Cash from Investing Activity 4.511.020.000.000.610.600.550.630.610.690.470.51
Cash from Financing Activity 0.98-1.000.000.000.000.000.01-0.010.000.000.240.07
Net Cash Flow6.800.10-0.630.980.340.18-0.150.610.910.380.460.43

Parshwanath Corporation Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days1.156.0814.808.3012.3045.6223.550.000.000.000.000.00
Inventory Days9.620.00
Days Payable18.36
Cash Conversion Cycle-7.596.0814.808.3012.3045.6223.550.000.000.000.000.00
Working Capital Days-5.74-8.11118.3813.8349.21243.33529.84202.15108.01331.82409.51273.75
ROCE %75.42%9.06%-1.27%6.39%2.91%1.48%-0.79%5.19%7.98%3.32%2.89%2.50%

Parshwanath Corporation Ltd Financial Efficiency Indicators Chart

Parshwanath Corporation Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters74.69%74.69%74.69%74.69%74.69%74.69%74.69%74.69%74.69%74.69%74.69%74.69%
Public25.31%25.31%25.31%25.31%25.31%25.31%25.31%25.31%25.31%25.31%25.31%25.31%
No. of Shareholders2,4322,4452,4442,4272,4372,4372,4402,4382,4292,4342,4392,435

Parshwanath Corporation Ltd Shareholding Pattern Chart

No. of Parshwanath Corporation Ltd Shareholders

This stock is not held by any mutual fund

Parshwanath Corporation Ltd ROCE Trend

Parshwanath Corporation Ltd EPS Trend

Parshwanath Corporation Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)0.920.951.452.341.47
Diluted EPS (Rs.)0.920.951.452.341.47
Cash EPS (Rs.)0.920.941.452.651.77
Book Value[Excl.RevalReserv]/Share (Rs.)35.3034.3733.4231.9729.63
Book Value[Incl.RevalReserv]/Share (Rs.)35.3034.3733.4231.9729.63
Revenue From Operations / Share (Rs.)1.661.321.423.122.06
PBDIT / Share (Rs.)0.910.981.092.791.83
PBIT / Share (Rs.)0.910.981.092.481.53
PBT / Share (Rs.)1.101.151.752.801.83
Net Profit / Share (Rs.)0.920.941.452.341.47
PBDIT Margin (%)55.3574.7476.6689.4988.72
PBIT Margin (%)55.3174.7476.6679.7273.99
PBT Margin (%)66.2886.99123.4289.8688.48
Net Profit Margin (%)55.5871.67102.2975.1671.01
Return on Networth / Equity (%)2.612.764.337.324.94
Return on Capital Employeed (%)2.592.863.247.755.14
Return On Assets (%)2.502.674.287.224.91
Total Debt / Equity (X)0.020.020.000.000.00
Asset Turnover Ratio (%)0.040.030.040.100.07
Current Ratio (X)23.8934.61101.4581.94184.74
Quick Ratio (X)23.1433.4897.9879.47182.35
Inventory Turnover Ratio (X)0.010.000.000.000.00
Enterprise Value (Cr.)-1.31-0.42-1.77-4.45-3.30
EV / Net Operating Revenue (X)-2.52-1.01-3.98-4.56-5.10
EV / EBITDA (X)-4.56-1.36-5.19-5.10-5.75
MarketCap / Net Operating Revenue (X)17.0522.6717.644.887.75
Price / BV (X)0.800.870.740.470.53
Price / Net Operating Revenue (X)17.0522.6817.644.887.75
EarningsYield0.030.030.050.150.09

Parshwanath Corporation Ltd Profitability Ratios (%)

Parshwanath Corporation Ltd Liquidity Ratios

Parshwanath Corporation Ltd Liquidity Ratios (%)

Parshwanath Corporation Ltd Interest Coverage Ratios (%)

Parshwanath Corporation Ltd Valuation Ratios

Fair Value / Intrinsic Value of Parshwanath Corporation Ltd

Fair Value: ₹36.19

The stock is overvalued by 51.36% compared to the current price ₹74.4

*Investments are subject to market risks

Strength and Weakness of Parshwanath Corporation Ltd

StrengthWeakness
  1. The stock is trading at a low valuation with an average P/B ratio of 1.40 and average Dividend Yield of 91.01%.
  2. The company has higher reserves (6.20 cr) compared to borrowings (0.15 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (1.67 cr) and profit (0.71 cr) over the years.
  1. The stock has a low average ROCE of 9.59%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 188.83, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 8.59, which may not be favorable.

Should I Buy Parshwanath Corporation Ltd Share Now?

  • Considering various financial indicators, investors might exercise caution regarding investment in Parshwanath Corporation Ltd:
    1. Net Profit Margin: 55.58%
      • 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: 2.59% (Industry Average ROCE: 8.8%)
      • 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. Interest Coverage Ratio (Post Tax): N/A
      • 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.
    4. Quick Ratio: 23.14
      • 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.
    5. ✗ Stock P/E: 44.8 (Industry average Stock P/E: 37.02)
      • 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.
    6. ✓ Total Debt / Equity: 0.02
      • 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 suggests exercising caution. It's advisable to conduct further research or consult with financial experts before considering any investment.

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 Parshwanath Corporation 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