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Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: | NSE:

Fundamental Analysis of Sakar Healthcare Ltd

Basic Stock Data

Last Updated: June 17, 2024, 8:15 pm

Market Cap 720 Cr.
Current Price 331
High / Low479/236
Stock P/E61.7
Book Value 121
Dividend Yield0.00 %
ROCE7.53 %
ROE5.36 %
Face Value 10.0
PEG Ratio-17.44

Competitors of Sakar Healthcare Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Max Healthcare Institute Ltd 90,184 Cr. 928936/50885.3 86.50.11 %16.0 %13.4 % 10.0
Chennai Meenakshi Multispeciality Hospital Ltd 25.9 Cr. 34.654.6/21.0 0.440.00 %9.34 %% 10.0
Artemis Medicare Services Ltd 2,462 Cr. 180200/10150.1 33.20.25 %13.6 %11.5 % 1.00
Aster DM Healthcare Ltd 18,027 Cr. 361558/275144 91.30.00 %4.28 %2.90 % 10.0
Shalby Ltd 3,018 Cr. 280340/16236.2 92.60.43 %11.8 %8.66 % 10.0
Industry Average18,607.13 Cr921.1054.36103.630.40%12.02%11.23%8.31

Max Healthcare Institute Ltd Quarterly Results

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales21.6830.2631.6429.7436.5928.5330.7133.4740.6538.9934.0837.2343.06
Expenses14.6123.7724.5523.0927.4120.5722.1224.6732.8729.9624.7228.2232.09
Operating Profit7.076.497.096.659.187.968.598.807.789.039.369.0110.97
OPM %32.61%21.45%22.41%22.36%25.09%27.90%27.97%26.29%19.14%23.16%27.46%24.20%25.48%
Other Income0.410.270.750.270.880.410.601.851.811.520.660.230.77
Interest0.430.490.790.940.680.860.991.942.152.081.651.792.08
Depreciation4.822.181.682.623.193.573.774.103.554.524.224.444.87
Profit before tax2.234.095.373.366.193.944.434.613.893.954.153.014.79
Tax %22.42%10.51%54.19%96.43%-45.56%26.90%56.21%13.02%-0.77%28.10%12.53%30.90%34.86%
Net Profit1.743.652.460.119.012.881.944.013.922.843.642.073.12
EPS in Rs1.112.131.440.065.261.681.042.152.061.491.700.951.43

Last Updated: June 9, 2024, 2:34 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: May 26, 2024, 11:45 am

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales223035414453688395128133153
Expenses14222733344051637299100115
Operating Profit88881013172023293338
OPM %34%26%22%20%23%24%25%24%24%23%25%25%
Other Income000010121243
Interest443333222368
Depreciation222334678101518
Profit before tax22235691213191716
Tax %19%13%24%22%30%38%28%21%19%20%24%27%
Net Profit12223471011151312
EPS in Rs1.812.192.302.783.083.124.476.436.848.906.705.37
Dividend Payout %0%0%0%0%0%0%0%0%0%0%0%0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)100.00%0.00%0.00%50.00%33.33%75.00%42.86%10.00%36.36%-13.33%-7.69%
Change in YoY Net Profit Growth (%)0.00%-100.00%0.00%50.00%-16.67%41.67%-32.14%-32.86%26.36%-49.70%5.64%

Growth

Compounded Sales Growth
10 Years:20%
5 Years:20%
3 Years:17%
TTM:17%
Compounded Profit Growth
10 Years:24%
5 Years:27%
3 Years:10%
TTM:-30%
Stock Price CAGR
10 Years:%
5 Years:40%
3 Years:36%
1 Year:56%
Return on Equity
10 Years:11%
5 Years:11%
3 Years:11%
Last Year:8%

Last Updated: May 2, 2024, 6:06 pm

Sakar Healthcare Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital888881112151516171921
Reserves3467112535576683110154216
Borrowings322724252224111117439311968
Other Liabilities8111411101123151737474452
Total Liabilities5150525051718197115178268336357
Fixed Assets37373836374953646669205267275
CWIP000000091349168
Investments0000000000730
Other Assets14131414142228253660556075
Total Assets5150525051718197115178268336357

Reserves and Borrowings Chart

Sakar Healthcare Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 117949251619153633
Cash from Investing Activity -4-3-3-1-4-14-8-25-22-47-90-74
Cash from Financing Activity -4-7-6-3-613-1393325541
Net Cash Flow3-4-01-10-160-0-0-00

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-19.00-16.00-17.00-14.00-14.002.006.003.00-20.00-64.00-86.00-31.00

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 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days252228212644745136484060
Inventory Days3982811901421071145170921126976
Days Payable11810997206651574146141149129
Cash Conversion Cycle3051941201436710768808319-397
Working Capital Days19415575894511010846418230
ROCE %12%14%15%14%14%15%15%16%16%13%12%9%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters67.54%67.54%67.54%67.54%67.54%62.10%62.10%60.72%60.72%54.15%53.15%53.15%
FIIs0.00%0.00%0.00%0.00%0.00%16.12%16.12%15.74%15.74%14.03%13.76%13.52%
DIIs8.76%8.76%8.76%8.76%8.76%0.55%0.33%0.00%0.00%10.82%10.62%10.62%
Public23.70%23.70%23.70%23.70%23.70%21.24%21.45%23.54%23.54%21.00%22.47%22.71%
No. of Shareholders4,6046,4816,5426,7026,0915,6786,2106,3226,0567,2997,0017,386

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 20
FaceValue10.0010.0010.0010.00
Basic EPS (Rs.)6.758.736.846.43
Diluted EPS (Rs.)6.758.736.846.43
Cash EPS (Rs.)14.5714.5212.0011.16
Book Value[Excl.RevalReserv]/Share (Rs.)91.0474.4663.0454.35
Book Value[Incl.RevalReserv]/Share (Rs.)91.0474.4663.0454.35
Revenue From Operations / Share (Rs.)70.0474.9160.6655.46
PBDIT / Share (Rs.)19.8618.4015.2214.41
PBIT / Share (Rs.)11.9912.7510.069.68
PBT / Share (Rs.)8.8711.068.478.17
Net Profit / Share (Rs.)6.708.876.846.43
NP After MI And SOA / Share (Rs.)6.708.876.846.43
PBDIT Margin (%)28.3524.5625.0925.98
PBIT Margin (%)17.1117.0216.5817.44
PBT Margin (%)12.6514.7613.9614.73
Net Profit Margin (%)9.5611.8311.2711.59
NP After MI And SOA Margin (%)9.5611.8311.2711.59
Return on Networth / Equity (%)7.3611.9010.8511.83
Return on Capital Employeed (%)8.109.8710.8714.35
Return On Assets (%)3.795.666.008.36
Long Term Debt / Equity (X)0.560.660.390.15
Total Debt / Equity (X)0.640.700.400.18
Asset Turnover Ratio (%)0.440.570.640.00
Current Ratio (X)1.031.071.011.52
Quick Ratio (X)0.740.760.540.75
Interest Coverage Ratio (X)6.3610.879.589.57
Interest Coverage Ratio (Post Tax) (X)3.156.245.305.27
Enterprise Value (Cr.)493.09320.85216.7089.08
EV / Net Operating Revenue (X)3.702.502.291.07
EV / EBITDA (X)13.0410.199.124.13
MarketCap / Net Operating Revenue (X)2.861.801.860.90
Price / BV (X)2.201.811.790.91
Price / Net Operating Revenue (X)2.861.801.860.90
EarningsYield0.030.060.060.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 408.16

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: 23.31% compared to the current price 331

Intrinsic Value: 393.72

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: 18.95% compared to the current price ₹331

Last 5 Year EPS CAGR: -3.54%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (66.58 cr) compared to borrowings (40.42 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (73.75 cr) and profit (8.83 cr) over the years.
  1. The stock has a low average ROCE of 13.75%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 75.25, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 96.17, 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 Sakar Healthcare Ltd:
    1. Net Profit Margin: 9.56%
      • 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: 8.10% (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%: 7.36% (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): 3.15
      • 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: 0.74
      • 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: 61.7 (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: 0.64
      • 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

Sakar Healthcare Ltd. is a Public Limited Listed company incorporated on 26/03/2004 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L24231GJ2004PLC043861 and registration number is 043861. Currently Company is involved in the business activities of Manufacture of pharmaceuticals, medicinal chemical and botanical products. Company’s Total Operating Revenue is Rs. 128.23 Cr. and Equity Capital is Rs. 17.12 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Hospitals & Medical ServicesBlock No. 10/13, Village: Changodar, Ahmedabad District Gujarat 382213cs@sakarhealthcare.com
http://www.sakarhealthcare.com
Management
NamePosition Held
Mr. Sanjay S ShahChairman & Managing Director
Mr. Aarsh S ShahJoint Managing Director
Ms. Rita S ShahWhole Time Director
Mr. Shailesh B PatelIndependent Director
Mr. Prashant C SrivastavIndependent Director
Mr. Hemendra C ShahIndependent Director

FAQ

What is the latest fair value of Sakar Healthcare Ltd?

The latest fair value of Sakar Healthcare Ltd is ₹408.16.

What is the Market Cap of Sakar Healthcare Ltd?

The Market Cap of Sakar Healthcare Ltd is 720 Cr..

What is the current Stock Price of Sakar Healthcare Ltd as on 21 June 2024?

The current stock price of Sakar Healthcare Ltd as on 21 June 2024 is ₹331.

What is the High / Low of Sakar Healthcare Ltd stocks in FY 2024?

In FY 2024, the High / Low of Sakar Healthcare Ltd stocks is 479/236.

What is the Stock P/E of Sakar Healthcare Ltd?

The Stock P/E of Sakar Healthcare Ltd is 61.7.

What is the Book Value of Sakar Healthcare Ltd?

The Book Value of Sakar Healthcare Ltd is 121.

What is the Dividend Yield of Sakar Healthcare Ltd?

The Dividend Yield of Sakar Healthcare Ltd is 0.00 %.

What is the ROCE of Sakar Healthcare Ltd?

The ROCE of Sakar Healthcare Ltd is 7.53 %.

What is the ROE of Sakar Healthcare Ltd?

The ROE of Sakar Healthcare Ltd is 5.36 %.

What is the Face Value of Sakar Healthcare Ltd?

The Face Value of Sakar Healthcare Ltd 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 Sakar Healthcare 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