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Last Updated on: 25 December, 2024
Author: Getaka|Social: Getaka Financial Technology X (Earlier Twitter) Profile Getaka Financial Technology LinkedIn Logo

S H Kelkar & Company Ltd (SHK): Fundamental Analysis, Share Price Insights & Intrinsic Value (2024)

Share Price and Basic Stock Data

Last Updated: December 24, 2024, 8:00 pm

Market Cap 3,520 Cr.
Current Price 255
High / Low 336/143
Stock P/E28.5
Book Value 84.1
Dividend Yield0.29 %
ROCE12.5 %
ROE10.8 %
Face Value 10.0
PEG Ratio1.00

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

View Share Price Target for S H Kelkar & Company Ltd (SHK)

Competitors of

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Diamines & Chemicals Ltd 493 Cr. 503 693/44685.5 1660.50 %15.8 %10.9 % 10.0
Deco-Mica Ltd 34.9 Cr. 83.0 122/57.419.5 59.80.00 %13.5 %9.75 % 10.0
Andhra Sugars Ltd 1,281 Cr. 94.5 129/90.622.6 1161.05 %5.34 %4.70 % 2.00
Tamil Nadu Petro Products Ltd 728 Cr. 80.9 114/75.516.4 96.61.47 %9.14 %6.79 % 10.0
SRF Ltd 68,003 Cr. 2,294 2,697/2,08960.2 4050.31 %12.7 %12.2 % 10.0
Industry Average10,692.11 Cr868.8444.12174.790.49%13.05%11.04%7.60

All Competitor Stocks of

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales397356359399451415414385472445455496533
Expenses330314305340391360363341405375384419445
Operating Profit67415459605552436770727788
OPM %17%12%15%15%13%13%12%11%14%16%16%15%17%
Other Income83-543192-201222
Interest43445556710101110
Depreciation18171717202020202122222323
Profit before tax53242743373135191939414657
Tax %25%-233%19%25%64%26%28%29%94%29%27%29%41%
Net Profit4081223214232513128303233
EPS in Rs2.845.761.572.290.901.561.750.940.171.972.122.322.44

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
Sales6667618349259811,0211,0481,1141,3221,5641,6871,930
Expenses5466287167748148629089551,0831,3501,4691,623
Operating Profit119132119151167159141160239215217307
OPM %18%17%14%16%17%16%13%14%18%14%13%16%
Other Income-1122510121321-28366-86
Interest2318192265162620162441
Depreciation171929301924315262728089
Profit before tax791099411015314311554194132104182
Tax %31%27%26%34%31%35%24%34%26%-13%40%32%
Net Profit6279707310594883614414963124
EPS in Rs5,134.665,980.355.325.057.256.496.122.5310.2410.734.428.84
Dividend Payout %13%19%28%30%24%27%0%38%17%7%45%8%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)27.42%-11.39%4.29%43.84%-10.48%-6.38%-59.09%300.00%3.47%-57.72%96.83%
Change in YoY Net Profit Growth (%)0.00%-38.81%15.68%39.55%-54.31%4.09%-52.71%359.09%-296.53%-61.19%154.54%

S H Kelkar & Company Ltd (SHK) has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:10%
5 Years:13%
3 Years:13%
TTM:17%
Compounded Profit Growth
10 Years:5%
5 Years:7%
3 Years:-2%
TTM:68%
Stock Price CAGR
10 Years:%
5 Years:18%
3 Years:20%
1 Year:75%
Return on Equity
10 Years:11%
5 Years:11%
3 Years:11%
Last Year:11%

Last Updated: Unknown

Balance Sheet

Last Updated: December 14, 2024, 2:51 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital1213132145145145145141141138138138138
Reserves4604673685716677127196838108759261,0741,026
Borrowings1522122528574172342365518698620666774
Other Liabilities147169187201187246222277405568518502736
Total Liabilities7708619391,0031,0731,2751,4271,4661,8742,2792,2022,3812,674
Fixed Assets210251274227296352462472741959914933919
CWIP435010187603818289261326
Investments4100355096979711231012
Other Assets4765596557227207678308791,1031,3091,2391,4251,718
Total Assets7708619391,0031,0731,2751,4271,4661,8742,2792,2022,3812,674

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +1033262861021037720519550197107
Cash from Investing Activity +-33-62-17-77-103-162-138-42-148-134-110-84
Cash from Financing Activity +-6136-7-24-162849-1968812-1758
Net Cash Flow9637-14-17-31-12-33135-71-8832

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-33.00-80.00-133.0066.0093.00-13.00-201.00-205.00-279.00-483.00-403.00-359.00

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 Days948685908199991041031089593
Inventory Days234255252239247233239201216225228231
Days Payable7780761167810486103125143138125
Cash Conversion Cycle252261261213250228252202195190185199
Working Capital Days156157146152148152178149143157145147
ROCE %17%18%14%17%19%17%12%10%15%10%8%12%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters58.57%58.57%58.46%58.46%57.66%58.47%58.65%58.95%58.95%58.95%58.95%58.75%
FIIs7.38%7.60%9.33%9.77%9.54%9.27%9.30%9.68%8.33%8.24%8.86%8.71%
DIIs5.00%4.70%3.85%3.82%3.81%3.74%2.78%1.37%1.42%1.27%0.27%0.27%
Public26.71%26.80%26.01%25.61%26.65%26.19%26.92%27.66%31.28%31.52%31.92%32.27%
Others2.34%2.34%2.34%2.34%2.34%2.34%2.34%2.34%0.00%0.00%0.00%0.00%
No. of Shareholders54,07854,93750,75948,41247,14445,60245,15544,88042,08641,94646,37946,912

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Tata Small Cap Fund1,663,2480.4125.911,663,2482024-12-220%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)8.934.5310.8110.482.56
Diluted EPS (Rs.)8.934.5310.8110.482.56
Cash EPS (Rs.)15.3810.3715.9814.526.10
Book Value[Excl.RevalReserv]/Share (Rs.)87.7279.6679.0167.5559.05
Book Value[Incl.RevalReserv]/Share (Rs.)87.7279.6679.0167.5559.05
Revenue From Operations / Share (Rs.)139.43121.84113.0093.5478.84
PBDIT / Share (Rs.)22.6016.5516.7718.3511.74
PBIT / Share (Rs.)16.1510.7411.5914.008.10
PBT / Share (Rs.)13.177.559.5513.683.77
Net Profit / Share (Rs.)8.934.5610.7910.172.46
NP After MI And SOA / Share (Rs.)8.844.4210.7310.242.52
PBDIT Margin (%)16.2113.5814.8419.6114.89
PBIT Margin (%)11.588.8110.2514.9610.27
PBT Margin (%)9.446.198.4514.624.78
Net Profit Margin (%)6.403.749.5510.873.11
NP After MI And SOA Margin (%)6.343.629.4910.943.20
Return on Networth / Equity (%)10.095.7414.6615.204.33
Return on Capital Employeed (%)15.229.8210.2014.9312.51
Return On Assets (%)5.092.756.467.622.39
Long Term Debt / Equity (X)0.140.290.350.340.06
Total Debt / Equity (X)0.500.530.620.510.41
Asset Turnover Ratio (%)0.830.740.550.600.59
Current Ratio (X)1.461.701.701.821.40
Quick Ratio (X)0.750.850.931.070.81
Inventory Turnover Ratio (X)1.651.721.581.821.59
Dividend Payout Ratio (NP) (%)22.6116.967.139.7637.62
Dividend Payout Ratio (CP) (%)13.077.324.816.8515.40
Earning Retention Ratio (%)77.3983.0492.8790.2462.38
Cash Earning Retention Ratio (%)86.9392.6895.1993.1584.60
Interest Coverage Ratio (X)7.589.5914.3515.196.72
Interest Coverage Ratio (Post Tax) (X)3.994.4910.978.693.88
Enterprise Value (Cr.)3356.301912.252576.781935.941384.16
EV / Net Operating Revenue (X)1.741.131.651.461.24
EV / EBITDA (X)10.738.3511.107.468.34
MarketCap / Net Operating Revenue (X)1.470.811.271.190.98
Retention Ratios (%)77.3883.0392.8690.2362.37
Price / BV (X)2.341.291.961.661.33
Price / Net Operating Revenue (X)1.470.811.271.190.98
EarningsYield0.040.040.070.090.03

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of S H Kelkar & Company Ltd (SHK) as of December 25, 2024 is: 259.61

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 December 25, 2024, S H Kelkar & Company Ltd (SHK) is Undervalued by 1.81% compared to the current share price 255.00

Intrinsic Value of S H Kelkar & Company Ltd (SHK) as of December 25, 2024 is: 333.42

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 December 25, 2024, S H Kelkar & Company Ltd (SHK) is Undervalued by 30.75% compared to the current share price 255.00

Last 5 Year EPS CAGR: 28.43%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (719.85 cr) compared to borrowings (379.23 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (347.83 cr) and profit (122.42 cr) over the years.
  1. The stock has a low average ROCE of 14.08%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 152.50, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 224.00, 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 S H Kelkar & Company Ltd (SHK):
    1. Net Profit Margin: 6.4%
      • 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: 15.22% (Industry Average ROCE: 13.05%)
      • 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%: 10.09% (Industry Average ROE: 11.04%)
      • 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): 3.99
      • 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: 0.75
      • 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: 28.5 (Industry average Stock P/E: 44.12)
      • 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: 0.5
      • 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

S H Kelkar & Company Ltd. is a Public Limited Listed company incorporated on 01/07/1955 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L74999MH1955PLC009593 and registration number is 009593. Currently Company is involved in the business activities of Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics and synthetic rubber in primary forms. Company’s Total Operating Revenue is Rs. 806.89 Cr. and Equity Capital is Rs. 138.42 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Personal CareDevkaran Mansion, 36, Mangaldas Road, Mumbai Maharashtra 400002investors@keva.co.in
https://www.keva.co.in
Management
NamePosition Held
Mr. Ramesh VazeChairman & Non-Exe.Director
Mr. Kedar VazeWholeTime Director & Group CEO
Mrs. Prabha VazeNon Executive Director
Mr. Deepak Raj BindraIndependent Director
Mr. Shrikant OkaIndependent Director
Mr. Vasant GujarathiIndependent Director
Mr. Mark ElliottIndependent Director
Ms. Neela BhattacherjeeIndependent Director

FAQ

What is the latest intrinsic value of S H Kelkar & Company Ltd (SHK)?

The latest intrinsic value of S H Kelkar & Company Ltd (SHK) as on 25 December 2024 is ₹259.61, which is 1.81% higher than the current market price of ₹255.00. The stock has a market capitalization of 3,520 Cr. and recorded a high/low of 336/143 during the current fiscal year 2024-2025. As of Sep 2024, the company has reserves of ₹1,026 Cr and total liabilities of ₹2,674 Cr.

What is the Market Cap of S H Kelkar & Company Ltd (SHK)?

The Market Cap of S H Kelkar & Company Ltd (SHK) is 3,520 Cr..

What is the current Stock Price of S H Kelkar & Company Ltd (SHK) as on 25 December 2024?

The current stock price of S H Kelkar & Company Ltd (SHK) as on 25 December 2024 is 255.

What is the High / Low of S H Kelkar & Company Ltd (SHK) stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of S H Kelkar & Company Ltd (SHK) stocks is 336/143.

What is the Stock P/E of S H Kelkar & Company Ltd (SHK)?

The Stock P/E of S H Kelkar & Company Ltd (SHK) is 28.5.

What is the Book Value of S H Kelkar & Company Ltd (SHK)?

The Book Value of S H Kelkar & Company Ltd (SHK) is 84.1.

What is the Dividend Yield of S H Kelkar & Company Ltd (SHK)?

The Dividend Yield of S H Kelkar & Company Ltd (SHK) is 0.29 %.

What is the ROCE of S H Kelkar & Company Ltd (SHK)?

The ROCE of S H Kelkar & Company Ltd (SHK) is 12.5 %.

What is the ROE of S H Kelkar & Company Ltd (SHK)?

The ROE of S H Kelkar & Company Ltd (SHK) is 10.8 %.

What is the Face Value of S H Kelkar & Company Ltd (SHK)?

The Face Value of S H Kelkar & Company Ltd (SHK) is 10.0.

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 S H Kelkar & Company Ltd (SHK). 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