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Last Updated on: 17 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Pressman Advertising Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 4, 2024, 5:09 pm

Market Cap 626 Cr.
Current Price 266
High / Low/
Stock P/E116
Book Value 20.0
Dividend Yield0.00 %
ROCE12.2 %
ROE9.46 %
Face Value 2.00
PEG Ratio330.01

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

View Share Price Target for Pressman Advertising Ltd

Competitors of Pressman Advertising Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hathway Bhawani Cabletel & Datacom Ltd 14.3 Cr. 17.723.7/16.2 1.990.00 %2.26 %2.26 % 10.0
G V Films Ltd 136 Cr. 0.731.20/0.46 0.610.00 %2.27 %2.08 % 1.00
Encash Entertainment Ltd 11.3 Cr. 29.029.0/29.0 21.30.00 %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 42.1 Cr. 26.944.0/17.217.1 0.650.00 %45.5 %% 10.0
Industry Average3,444.60 Cr151.65203.7852.890.16%37.18%10.95%5.86

All Competitor Stocks of Pressman Advertising Ltd

Quarterly Result

MonthJun 2020Sep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023
Sales2.144.054.556.253.033.444.872.743.183.693.053.922.95
Expenses1.492.983.125.092.522.763.522.153.122.312.332.812.64
Operating Profit0.651.071.431.160.510.681.350.590.061.380.721.110.31
OPM %30.37%26.42%31.43%18.56%16.83%19.77%27.72%21.53%1.89%37.40%23.61%28.32%10.51%
Other Income1.400.800.880.270.640.720.410.510.530.550.970.431.53
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 tax2.051.872.311.431.151.401.761.100.591.931.691.541.84
Tax %19.51%26.74%21.65%41.26%-11.30%18.57%25.00%30.00%-8.47%24.87%25.44%28.57%14.13%
Net Profit1.651.371.810.841.281.131.320.770.641.451.261.101.58
EPS in Rs0.700.580.770.360.540.480.560.330.270.620.540.470.67

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
Sales0.0044.8338.9840.1746.7150.1246.1042.0332.6917.0014.0813.8413.61
Expenses0.1538.9537.0235.5041.1941.6138.3135.5327.2912.6810.9410.5710.09
Operating Profit-0.155.881.964.675.528.517.796.505.404.323.143.273.52
OPM %13.12%5.03%11.63%11.82%16.98%16.90%15.47%16.52%25.41%22.30%23.63%25.86%
Other Income0.120.004.141.150.621.603.292.011.583.342.262.493.48
Interest0.000.000.000.000.000.000.000.000.000.000.000.000.00
Depreciation0.000.150.150.110.060.020.020.010.000.010.010.010.00
Profit before tax-0.035.735.955.716.0810.0911.068.506.987.655.395.757.00
Tax %-33.33%-9.60%-9.58%30.47%33.06%31.91%24.77%22.94%23.78%26.01%16.51%22.61%
Net Profit-0.046.296.523.974.076.878.326.555.325.674.514.455.39
EPS in Rs-0.034.802.771.691.732.923.542.792.262.411.921.892.30
Dividend Payout %0.00%29.69%36.04%65.11%69.29%44.47%39.54%50.23%44.17%41.45%52.11%52.81%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)15825.00%3.66%-39.11%2.52%68.80%21.11%-21.27%-18.78%6.58%-20.46%-1.33%
Change in YoY Net Profit Growth (%)0.00%-15821.34%-42.77%41.63%66.28%-47.69%-42.38%2.50%25.36%-27.04%19.13%

Pressman Advertising 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:-11%
5 Years:-21%
3 Years:-25%
TTM:-4%
Compounded Profit Growth
10 Years:-4%
5 Years:-8%
3 Years:-5%
TTM:40%
Stock Price CAGR
10 Years:29%
5 Years:68%
3 Years:112%
1 Year:0%
Return on Equity
10 Years:15%
5 Years:12%
3 Years:11%
Last Year:9%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Equity Capital2.812.634.704.704.704.704.704.704.704.704.704.70
Reserves1.1416.0017.7018.5019.1827.8430.8333.4034.7538.0840.2442.33
Borrowings0.000.000.000.000.000.000.000.000.000.000.000.00
Other Liabilities0.608.035.737.974.134.815.496.204.324.772.512.83
Total Liabilities4.5526.6628.1331.1728.0137.3541.0244.3043.7747.5547.4549.86
Fixed Assets0.000.620.470.230.200.150.150.050.040.050.020.01
CWIP0.000.000.000.000.000.000.000.000.000.000.000.00
Investments4.509.3812.8415.2714.8624.9427.2230.7927.9033.0441.6143.34
Other Assets0.0516.6614.8215.6712.9512.2613.6513.4615.8314.465.826.51
Total Assets4.5526.6628.1331.1728.0137.3541.0244.3043.7747.5547.4549.86

Reserves and Borrowings Chart

Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity +-0.383.594.643.695.326.143.065.413.806.571.411.66
Cash from Investing Activity +0.36-0.40-2.44-1.181.18-6.130.84-1.670.05-1.23-2.060.59
Cash from Financing Activity +0.00-3.66-2.20-2.75-6.500.00-3.67-3.96-3.96-2.35-2.35-2.35
Net Cash Flow-0.02-0.470.00-0.23-0.010.010.23-0.22-0.122.99-3.00-0.10

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-0.155.881.964.675.528.517.796.505.404.323.143.27

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 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days93.7968.5484.0556.1160.2380.9284.0686.3166.7741.4863.03
Inventory Days
Days Payable
Cash Conversion Cycle93.7968.5484.0556.1160.2380.9284.0686.3166.7741.4863.03
Working Capital Days30.1216.6714.4524.7739.1843.9438.5647.5713.9637.0748.00
ROCE %-3.52%50.75%18.91%21.40%23.70%33.36%25.24%22.79%17.28%17.63%11.81%12.24%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023
Promoters47.19%47.19%47.19%47.19%47.19%47.19%43.09%43.09%43.09%43.09%43.09%43.09%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.15%0.28%
DIIs0.04%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%0.01%
Public52.77%52.81%52.81%52.81%52.81%52.81%56.90%56.90%56.91%56.89%56.75%56.63%
No. of Shareholders28,48521,28021,41123,16023,06222,69724,96923,83123,10521,42920,18319,252

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)1.891.922.422.272.79
Diluted EPS (Rs.)1.891.922.422.272.79
Cash EPS (Rs.)1.901.922.422.272.79
Book Value[Excl.RevalReserv]/Share (Rs.)20.0319.1418.2216.8016.22
Book Value[Incl.RevalReserv]/Share (Rs.)20.0319.1418.2216.8016.22
Dividend / Share (Rs.)1.001.001.001.001.40
Revenue From Operations / Share (Rs.)5.896.007.2413.9217.90
PBDIT / Share (Rs.)2.452.303.262.973.62
PBIT / Share (Rs.)2.452.303.262.973.62
PBT / Share (Rs.)2.452.303.262.973.62
Net Profit / Share (Rs.)1.891.922.422.272.79
PBDIT Margin (%)41.5938.3745.0821.3620.24
PBIT Margin (%)41.5138.3245.0521.3520.22
PBT Margin (%)41.5138.3245.0521.3520.22
Net Profit Margin (%)32.1232.0133.3616.2815.58
Return on Networth / Equity (%)9.4510.0313.2513.4917.19
Return on Capital Employeed (%)12.1611.9517.6817.6922.31
Return On Assets (%)8.929.5011.9212.1614.78
Asset Turnover Ratio (%)0.280.290.370.740.98
Current Ratio (X)11.4911.549.608.446.69
Quick Ratio (X)11.4911.549.608.446.69
Dividend Payout Ratio (NP) (%)52.8052.0941.4061.7650.19
Dividend Payout Ratio (CP) (%)52.6752.0141.3661.7250.10
Earning Retention Ratio (%)47.2047.9158.6038.2449.81
Cash Earning Retention Ratio (%)47.3347.9958.6438.2849.90
Enterprise Value (Cr.)150.1894.3841.6128.8067.95
EV / Net Operating Revenue (X)10.856.702.450.881.62
EV / EBITDA (X)26.0817.475.434.127.98
MarketCap / Net Operating Revenue (X)10.986.852.990.941.67
Retention Ratios (%)47.1947.9058.5938.2349.80
Price / BV (X)3.232.151.190.781.84
Price / Net Operating Revenue (X)10.986.852.990.941.67
EarningsYield0.020.040.110.170.09

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Pressman Advertising Ltd as of November 17, 2024 is: 223.86

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 17, 2024, Pressman Advertising Ltd is Overvalued by 15.84% compared to the current share price 266.00

Intrinsic Value of Pressman Advertising Ltd as of November 17, 2024 is: 224.65

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 17, 2024, Pressman Advertising Ltd is Overvalued by 15.55% compared to the current share price 266.00

Last 5 Year EPS CAGR: 0.35%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 20.97%, which is a positive sign.
  2. The stock has a low average Working Capital Days of 29.52, which is a positive sign.
  3. The company has higher reserves (26.67 cr) compared to borrowings (0.00 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (30.78 cr) and profit (6.60 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 65.44, 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 Pressman Advertising Ltd:
    1. Net Profit Margin: 32.12%
      • 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: 12.16% (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%: 9.45% (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
      • 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: 11.49
      • 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: 116 (Industry average Stock P/E: 203.78)
      • 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

Pressman Advertising Ltd. is a Public Limited Listed company incorporated on 04/07/1983 and has its registered office in the State of West Bengal, India. Company’s Corporate Identification Number(CIN) is L74140WB1983PLC036495 and registration number is 036495. Currently Company is involved in the business activities of Advertising. Company’s Total Operating Revenue is Rs. 14.08 Cr. and Equity Capital is Rs. 4.70 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Advertising & Media Agency147, Block G, New Alipre, Kolkata West Bengal 700053ir@pressmanindia.com
http://www.pressmanadvertising.in
Management
NamePosition Held
Dr. Niren SuchantiChairman & Managing Director
Mr. Navin SuchantiDirector
Mr. Ajit KhandelwalIndependent Director
Mr. Sushil Kumar MorIndependent Director
Mrs. Sujata SuchantiDirector
Mr. Kalyan BoseIndependent Director

FAQ

What is the latest intrinsic value of Pressman Advertising Ltd?

The latest intrinsic value of Pressman Advertising Ltd as on 17 November 2024 is ₹223.86, which is 15.84% lower than the current market price of ₹266.00.

What is the Market Cap of Pressman Advertising Ltd?

The Market Cap of Pressman Advertising Ltd is 626 Cr..

What is the current Stock Price of Pressman Advertising Ltd as on 17 November 2024?

The current stock price of Pressman Advertising Ltd as on 17 November 2024 is ₹266.

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

In FY 2024, the High / Low of Pressman Advertising Ltd stocks is /.

What is the Stock P/E of Pressman Advertising Ltd?

The Stock P/E of Pressman Advertising Ltd is 116.

What is the Book Value of Pressman Advertising Ltd?

The Book Value of Pressman Advertising Ltd is 20.0.

What is the Dividend Yield of Pressman Advertising Ltd?

The Dividend Yield of Pressman Advertising Ltd is 0.00 %.

What is the ROCE of Pressman Advertising Ltd?

The ROCE of Pressman Advertising Ltd is 12.2 %.

What is the ROE of Pressman Advertising Ltd?

The ROE of Pressman Advertising Ltd is 9.46 %.

What is the Face Value of Pressman Advertising Ltd?

The Face Value of Pressman Advertising 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 Pressman Advertising 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