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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

Responsive Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 16, 2024, 5:21 pm

Market Cap 6,925 Cr.
Current Price 260
High / Low351/250
Stock P/E36.8
Book Value 46.3
Dividend Yield0.04 %
ROCE15.2 %
ROE15.4 %
Face Value 1.00
PEG Ratio0.80

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

View Share Price Target for Responsive Industries Ltd

Competitors of Responsive Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
IIRM Holdings India Ltd 883 Cr. 130172/21.839.0 18.70.00 %%% 5.00
Fiberweb (India) Ltd 142 Cr. 49.266.6/29.012.3 58.30.00 %5.17 %4.61 % 10.0
Deep Polymers Ltd 170 Cr. 70.2120/68.022.9 34.10.00 %9.48 %9.69 % 10.0
DDev Plastiks Industries Ltd 2,865 Cr. 277458/16015.2 71.20.54 %41.9 %31.5 % 1.00
Bright Brothers Ltd 172 Cr. 302333/13439.0 1280.33 %0.72 %8.44 % 10.0
Industry Average5,093.50 Cr714.2850.95195.400.26%15.95%13.41%7.63

All Competitor Stocks of Responsive Industries Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales207176293312325227245264237263268267288
Expenses178153261280300210231228195215207201221
Operating Profit30233232251814364248616667
OPM %14%13%11%10%8%8%6%14%18%18%23%25%23%
Other Income3562955332519
Interest2533788765855
Depreciation15252528272416151514151621
Profit before tax15-2103-0-9-5182432434750
Tax %23%-10%34%108%-764%-8%-29%6%4%6%6%5%8%
Net Profit12-36-0-3-9-6172330414546
EPS in Rs0.44-0.100.23-0.01-0.12-0.32-0.220.630.851.111.521.681.72

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales2,1862,5152,1062,2472,0061,2477755337561,1039741,087
Expenses1,9362,2571,8592,0411,8461,135659436628994863844
Operating Profit25125824820616011211698128110110243
OPM %11%10%12%9%8%9%15%18%17%10%11%22%
Other Income1027322418132428-44241618
Interest31312626231713214182823
Depreciation121145166173132878278641056966
Profit before tax108108873122214526151028172
Tax %20%24%29%39%66%56%35%8%-64%98%14%6%
Net Profit8782621989292424024161
EPS in Rs3.042.721.850.680.400.401.080.911.510.000.906.05
Dividend Payout %3%4%5%14%25%24%11%11%7%3,750%11%2%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222023-2024
YoY Net Profit Growth (%)-5.75%-24.39%-69.35%-57.89%12.50%222.22%-17.24%0.00%-100.00%570.83%
Change in YoY Net Profit Growth (%)0.00%-18.64%-44.96%11.46%70.39%209.72%-239.46%17.24%-100.00%670.83%

Responsive Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 10 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:-8%
5 Years:7%
3 Years:13%
TTM:19%
Compounded Profit Growth
10 Years:10%
5 Years:41%
3 Years:36%
TTM:72%
Stock Price CAGR
10 Years:11%
5 Years:23%
3 Years:31%
1 Year:-24%
Return on Equity
10 Years:4%
5 Years:6%
3 Years:6%
Last Year:15%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 7:46 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital26262626262626262626272727
Reserves6057398178558638718969179419429461,1101,208
Borrowings753799550420382223109167198236260215208
Other Liabilities148279261402263268220232102174102194347
Total Liabilities1,5321,8431,6541,7031,5351,3891,2511,3421,2681,3781,3341,5461,790
Fixed Assets1,0261,1501,063919801765692617915820691815815
CWIP0007000000000
Investments12310814153819131012131111
Other Assets382683583763718586540712343546630720963
Total Assets1,5321,8431,6541,7031,5351,3891,2511,3421,2681,3781,3341,5461,790

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +25510522016410714230690145-207225
Cash from Investing Activity +-211-48-8032-36-29-253-94-166-5-5-156
Cash from Financing Activity +-6590-263-160-58-177-62322518-10-77
Net Cash Flow-21146-1233713-64-9284-7-7-8

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-502.00-541.00-302.00-214.00-222.00-111.007.00-69.00-70.00-126.00-150.0028.00

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 Days3147539674115761507991127186
Inventory Days151013826415159718111466
Days Payable654366944232483783
Cash Conversion Cycle4152626894148123167118124204169
Working Capital Days4051625667118102166110123182176
ROCE %10%8%7%4%3%3%5%4%6%2%5%15%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters49.58%49.58%49.58%49.58%58.94%58.94%58.94%58.94%58.94%58.94%58.58%58.58%
FIIs5.37%5.34%5.36%5.36%35.69%35.60%35.67%35.67%35.45%35.12%35.08%35.12%
DIIs3.59%3.59%3.59%3.56%3.56%3.56%3.56%3.56%3.56%3.57%3.59%3.59%
Public41.47%41.49%41.47%41.50%1.82%1.89%1.82%1.83%2.06%2.36%2.76%2.72%
No. of Shareholders6,6817,0085,9315,4786,5597,8637,0096,47310,23712,78114,27714,974

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Motilal Oswal Nifty Microcap 250 Index Fund32,4970.181.0432,4972024-11-080%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)6.050.920.011.540.92
Diluted EPS (Rs.)6.050.920.011.540.92
Cash EPS (Rs.)8.533.564.023.383.90
Book Value[Excl.RevalReserv]/Share (Rs.)42.6539.5638.2138.1642.04
Book Value[Incl.RevalReserv]/Share (Rs.)42.6539.5638.2138.1642.04
Revenue From Operations / Share (Rs.)40.7737.0942.0328.7920.31
PBDIT / Share (Rs.)9.804.805.095.154.79
PBIT / Share (Rs.)7.312.171.082.691.82
PBT / Share (Rs.)6.451.080.390.561.01
Net Profit / Share (Rs.)6.050.930.010.920.92
NP After MI And SOA / Share (Rs.)6.050.910.001.540.92
PBDIT Margin (%)24.0312.9412.0917.8723.57
PBIT Margin (%)17.945.842.559.358.96
PBT Margin (%)15.832.920.931.974.97
Net Profit Margin (%)14.832.500.013.224.57
NP After MI And SOA Margin (%)14.832.460.005.334.53
Return on Networth / Equity (%)14.182.390.004.162.56
Return on Capital Employeed (%)16.595.282.686.754.22
Return On Assets (%)10.431.710.003.181.80
Long Term Debt / Equity (X)0.010.010.030.030.00
Total Debt / Equity (X)0.180.250.240.200.17
Asset Turnover Ratio (%)0.730.430.400.300.40
Current Ratio (X)1.961.961.691.561.65
Quick Ratio (X)1.621.301.121.101.40
Inventory Turnover Ratio (X)2.222.272.923.964.15
Dividend Payout Ratio (NP) (%)0.0011.103759.154.0016.85
Dividend Payout Ratio (CP) (%)0.002.862.531.543.99
Earning Retention Ratio (%)0.0088.90-3659.1596.0083.15
Cash Earning Retention Ratio (%)0.0097.1497.4798.4696.01
Interest Coverage Ratio (X)11.404.437.4735.395.91
Interest Coverage Ratio (Post Tax) (X)8.041.861.0121.012.15
Enterprise Value (Cr.)7589.273502.145014.454588.102408.81
EV / Net Operating Revenue (X)6.983.604.546.074.52
EV / EBITDA (X)29.0527.7937.5633.9719.16
MarketCap / Net Operating Revenue (X)6.813.354.345.844.00
Retention Ratios (%)0.0088.89-3659.1595.9983.14
Price / BV (X)6.513.254.954.562.26
Price / Net Operating Revenue (X)6.813.354.345.844.00
EarningsYield0.020.010.000.010.01

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Responsive Industries Ltd as of November 17, 2024 is: 262.50

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, Responsive Industries Ltd is Undervalued by 0.96% compared to the current share price 260.00

Intrinsic Value of Responsive Industries Ltd as of November 17, 2024 is: 383.42

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, Responsive Industries Ltd is Undervalued by 47.47% compared to the current share price 260.00

Last 5 Year EPS CAGR: 46.06%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (900.77 cr) compared to borrowings (347.69 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (254.25 cr) and profit (56.08 cr) over the years.
  1. The stock has a low average ROCE of 6.00%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 104.42, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 114.17, 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 Responsive Industries Ltd:
    1. Net Profit Margin: 14.83%
      • 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: 16.59% (Industry Average ROCE: 15.95%)
      • 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%: 14.18% (Industry Average ROE: 13.41%)
      • 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): 8.04
      • 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: 1.62
      • 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: 36.8 (Industry average Stock P/E: 50.95)
      • 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: 0.18
      • 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

Responsive Industries Ltd. is a Public Limited Listed company incorporated on 13/07/1982 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L65100MH1982PLC027797 and registration number is 027797. Currently Company is involved in the business activities of Manufacture of other plastics products. Company’s Total Operating Revenue is Rs. 490.53 Cr. and Equity Capital is Rs. 26.69 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Furniture, Furnishing & FlooringVillage Betegaon, Mahagaon Road, Thane District Maharashtra 401501investor@responsiveindustries.com
http://www.responsiveindustries.com
Management
NamePosition Held
Mr. Rishabh AgarwalChairman & Non-Exe.Director
Mr. Mehul ValaWholeTime Director & CEO
Ms. Mita JhaInd. Non-Executive Director
Mr. Sadanand MorabInd. Non-Executive Director
Mr. Sanjiv SwarupInd. Non-Executive Director
Mr. Arun Vikram GoelInd. Non-Executive Director

FAQ

What is the latest intrinsic value of Responsive Industries Ltd?

The latest intrinsic value of Responsive Industries Ltd as on 17 November 2024 is ₹262.50, which is 0.96% higher than the current market price of ₹260.00.

What is the Market Cap of Responsive Industries Ltd?

The Market Cap of Responsive Industries Ltd is 6,925 Cr..

What is the current Stock Price of Responsive Industries Ltd as on 17 November 2024?

The current stock price of Responsive Industries Ltd as on 17 November 2024 is ₹260.

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

In FY 2024, the High / Low of Responsive Industries Ltd stocks is 351/250.

What is the Stock P/E of Responsive Industries Ltd?

The Stock P/E of Responsive Industries Ltd is 36.8.

What is the Book Value of Responsive Industries Ltd?

The Book Value of Responsive Industries Ltd is 46.3.

What is the Dividend Yield of Responsive Industries Ltd?

The Dividend Yield of Responsive Industries Ltd is 0.04 %.

What is the ROCE of Responsive Industries Ltd?

The ROCE of Responsive Industries Ltd is 15.2 %.

What is the ROE of Responsive Industries Ltd?

The ROE of Responsive Industries Ltd is 15.4 %.

What is the Face Value of Responsive Industries Ltd?

The Face Value of Responsive Industries 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 Responsive Industries 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