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Last Updated on: 06 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 538685 | NSE: SHEMAROO

Shemaroo Entertainment Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 6, 2024, 10:03 pm

Market Cap 447 Cr.
Current Price 164
High / Low240/129
Stock P/E
Book Value 188
Dividend Yield0.00 %
ROCE0.10 %
ROE6.97 %
Face Value 10.0
PEG Ratio0.00

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

View Share Price Target for Shemaroo Entertainment Ltd

Competitors of Shemaroo Entertainment Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Sun TV Network Ltd 29,237 Cr. 742922/56815.4 2672.27 %26.2 %19.3 % 5.00
Shemaroo Entertainment Ltd 447 Cr. 164240/129 1880.00 %0.10 %6.97 % 10.0
Industry Average14,842.00 Cr453.0015.40227.501.14%13.15%13.14%7.50

All Competitor Stocks of Shemaroo Entertainment Ltd

Quarterly Result

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Sales123909496147150164154199156199154162
Expenses113808588134140148146182174206168189
Operating Profit10109813917817-18-8-13-26
OPM %8%11%9%8%9%6%10%5%9%-11%-4%-9%-16%
Other Income0012110112111
Interest6667788999998
Depreciation2221111111122
Profit before tax2222517-27-26-17-23-36
Tax %-30%8%26%74%28%-11%38%-32%27%15%-18%-25%-28%
Net Profit3220315-15-30-14-17-26
EPS in Rs1.000.680.750.091.240.321.78-0.491.80-11.01-5.24-6.33-9.61

Last Updated: October 19, 2024, 12:27 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 19, 2024, 12:27 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales215265323375426489568513311381557707671
Expenses157200236267298346410436299344509707736
Operating Profit57658810812814215877133747-0-65
OPM %27%25%27%29%30%29%28%15%4%10%9%-0%-10%
Other Income1112312-311355
Interest18192223323126242826313636
Depreciation3344456877566
Profit before tax374363839410812842-22515-37-102
Tax %34%38%35%37%36%34%36%27%-1%2%36%7%
Net Profit2327415159718230-22510-40-87
EPS in Rs11.8113.6815.0519.1922.7226.1830.5211.09-7.901.943.44-14.94-32.19
Dividend Payout %4%4%8%7%6%6%5%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 (%)17.39%51.85%24.39%15.69%20.34%15.49%-63.41%-173.33%122.73%100.00%-500.00%
Change in YoY Net Profit Growth (%)0.00%34.46%-27.46%-8.70%4.65%-4.85%-78.91%-109.92%296.06%-22.73%-600.00%

Shemaroo Entertainment Ltd 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:4%
3 Years:31%
TTM:1%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:-48%
TTM:-1026%
Stock Price CAGR
10 Years:0%
5 Years:-1%
3 Years:5%
1 Year:13%
Return on Equity
10 Years:6%
5 Years:0%
3 Years:-1%
Last Year:-7%

Last Updated: Unknown

Balance Sheet

Last Updated: October 19, 2024, 12:27 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital20202727272727272727272727
Reserves129155290338399466545570549555565526486
Borrowings122183137212296201202251269254321340337
Other Liabilities25553435583756543153126128122
Total Liabilities2954124886137807318309028778891,0381,022972
Fixed Assets35343030353332342722364443
CWIP0001000000100
Investments99178776333333
Other Assets251369442574738691792865847864999975927
Total Assets2954124886137807318309028778891,0381,022972

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity -1-19-30-49-5813332-81044-1726
Cash from Investing Activity -1-1-9-4-4-14-3-6-1-2-19-7
Cash from Financing Activity -320415362-119-2913-9-4136-19
Net Cash Flow-5-02-1-0-1-0-001-1-1

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-65.00-118.00-49.00-104.00-168.00-59.00-44.00-174.00-256.00-217.00-274.00-340.00

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 Days1211941431041631051027564548375
Inventory Days4635687477491,058698479
Days Payable71322029738975
Cash Conversion Cycle12158667983188410510275641,040692479
Working Capital Days365393423485552476469567937757563426
ROCE %22%20%21%20%20%20%21%9%1%4%5%-0%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters65.88%65.88%65.88%65.88%65.88%65.88%65.88%65.88%65.88%65.78%65.68%65.61%
FIIs3.32%0.25%0.23%0.21%0.18%0.18%0.09%0.09%0.00%0.03%0.00%0.00%
DIIs0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.14%0.00%0.00%0.00%
Public30.80%33.87%33.89%33.91%33.93%33.93%34.03%34.03%33.98%34.18%34.33%34.38%
No. of Shareholders13,94914,03213,72614,17914,72614,36813,82813,85914,24818,12817,12216,454

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)-14.943.451.94-7.9011.09
Diluted EPS (Rs.)-14.943.451.94-7.9011.09
Cash EPS (Rs.)-12.625.434.31-5.3813.96
Book Value[Excl.RevalReserv]/Share (Rs.)201.82216.11212.31210.36218.11
Book Value[Incl.RevalReserv]/Share (Rs.)201.82216.11212.31210.36218.11
Revenue From Operations / Share (Rs.)259.75204.77140.30114.46188.78
PBDIT / Share (Rs.)1.7018.6513.875.0029.35
PBIT / Share (Rs.)-0.3416.7311.432.3326.59
PBT / Share (Rs.)-13.695.451.90-8.1415.35
Net Profit / Share (Rs.)-14.663.511.87-8.0511.20
NP After MI And SOA / Share (Rs.)-14.943.441.94-7.9011.09
PBDIT Margin (%)0.659.109.884.3615.54
PBIT Margin (%)-0.138.178.142.0314.08
PBT Margin (%)-5.272.661.35-7.108.13
Net Profit Margin (%)-5.641.711.33-7.035.93
NP After MI And SOA Margin (%)-5.751.681.38-6.905.87
Return on Networth / Equity (%)-7.351.580.90-3.725.04
Return on Capital Employeed (%)-0.167.525.261.0611.62
Return On Assets (%)-3.970.900.59-2.453.34
Long Term Debt / Equity (X)0.010.020.010.030.03
Total Debt / Equity (X)0.590.520.420.450.40
Asset Turnover Ratio (%)0.680.550.410.340.55
Current Ratio (X)2.092.292.882.973.08
Quick Ratio (X)0.600.590.490.400.53
Interest Coverage Ratio (X)0.121.651.460.473.27
Interest Coverage Ratio (Post Tax) (X)-0.091.311.200.232.50
Enterprise Value (Cr.)716.47595.09602.54428.47371.02
EV / Net Operating Revenue (X)1.011.071.581.380.72
EV / EBITDA (X)154.7911.7415.9831.524.65
MarketCap / Net Operating Revenue (X)0.540.510.960.570.26
Price / BV (X)0.700.480.630.300.22
Price / Net Operating Revenue (X)0.540.510.960.570.26
EarningsYield-0.100.030.01-0.120.21

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Shemaroo Entertainment Ltd as of November 6, 2024 is: 200.49

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 6, 2024, Shemaroo Entertainment Ltd is Undervalued by 22.25% compared to the current share price ₹164.00

Default values used*: Default value of 15 for Stock P/E is used

Intrinsic Value of Shemaroo Entertainment Ltd as of November 6, 2024 is: 105.08

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 6, 2024, Shemaroo Entertainment Ltd is Overvalued by 35.93% compared to the current share price ₹164.00

Default values used*: Default value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: -47.59%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (428.69 cr) compared to borrowings (240.38 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (446.23 cr) and profit (35.15 cr) over the years.
  1. The stock has a low average ROCE of 13.58%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 534.42, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 384.92, 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 Shemaroo Entertainment Ltd:
    1. Net Profit Margin: -5.64%
      • 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: -0.16% (Industry Average ROCE: 13.15%)
      • 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%: -7.35% (Industry Average ROE: 13.14%)
      • 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): -0.09
      • 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: 0.6
      • 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: 0 (Industry average Stock P/E: 15.4)
      • 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: 0.59
      • 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

Shemaroo Entertainment Ltd. is a Public Limited Listed company incorporated on 23/12/2005 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L67190MH2005PLC158288 and registration number is 158288. Currently Company is involved in the business activities of Motion picture, video and television programme distribution activities. Company’s Total Operating Revenue is Rs. 368.01 Cr. and Equity Capital is Rs. 27.18 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Entertainment & MediaShemaroo House, Plot No.18, Marol Co-op. Indl. Estate, Mumbai Maharashtra 400059shemaroo@shemaroo.com
http://www.shemarooent.com
Management
NamePosition Held
Mr. Raman MarooChairman & Managing Director
Mr. Atul MaruJoint Managing Director
Mr. Jai MarooExecutive Director
Mr. Hiren GadaDirector & CEO
Dr. Reeta Bharat ShahIndependent Director
Mr. Sunil Kumar BansalIndependent Director
Mr. Rajen GadaIndependent Director
Mr. Abbas ContractorIndependent Director

FAQ

What is the latest fair value of Shemaroo Entertainment Ltd?

The latest fair value of Shemaroo Entertainment Ltd is ₹200.49.

What is the Market Cap of Shemaroo Entertainment Ltd?

The Market Cap of Shemaroo Entertainment Ltd is 447 Cr..

What is the current Stock Price of Shemaroo Entertainment Ltd as on 06 November 2024?

The current stock price of Shemaroo Entertainment Ltd as on 06 November 2024 is 164.

What is the High / Low of Shemaroo Entertainment Ltd stocks in FY 2024?

In FY 2024, the High / Low of Shemaroo Entertainment Ltd stocks is 240/129.

What is the Stock P/E of Shemaroo Entertainment Ltd?

The Stock P/E of Shemaroo Entertainment Ltd is .

What is the Book Value of Shemaroo Entertainment Ltd?

The Book Value of Shemaroo Entertainment Ltd is 188.

What is the Dividend Yield of Shemaroo Entertainment Ltd?

The Dividend Yield of Shemaroo Entertainment Ltd is 0.00 %.

What is the ROCE of Shemaroo Entertainment Ltd?

The ROCE of Shemaroo Entertainment Ltd is 0.10 %.

What is the ROE of Shemaroo Entertainment Ltd?

The ROE of Shemaroo Entertainment Ltd is 6.97 %.

What is the Face Value of Shemaroo Entertainment Ltd?

The Face Value of Shemaroo Entertainment 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 Shemaroo Entertainment 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