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Last Updated on: 22 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 523598 | NSE: SCI

Shipping Corporation of India Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 21, 2024, 9:29 pm

Market Cap 9,611 Cr.
Current Price 206
High / Low385/132
Stock P/E9.38
Book Value 173
Dividend Yield0.24 %
ROCE7.68 %
ROE8.75 %
Face Value 10.0
PEG Ratio3.35

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

View Share Price Target for Shipping Corporation of India Ltd

Competitors of Shipping Corporation of India Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Chowgule Steamships Ltd 96.5 Cr. 26.636.5/13.5276 15.70.00 %3.05 %% 10.0
Great Eastern Shipping Company Ltd (GESHIP) 15,365 Cr. 1,0751,544/8025.43 9452.68 %18.5 %21.0 % 10.0
Shreyas Shipping & Logistics Ltd 782 Cr. 356440/230 3490.00 %3.91 %11.3 % 10.0
Shipping Corporation of India Ltd 9,611 Cr. 206385/1329.38 1730.24 %7.68 %8.75 % 10.0
SEAMEC Ltd 2,772 Cr. 1,1011,670/88218.4 3790.09 %12.5 %13.8 % 10.0
Industry Average5,871.80 Cr467.4377.30329.620.50%42.27%13.71%10.00

All Competitor Stocks of Shipping Corporation of India Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales1,0281,2211,4311,3091,4621,4171,4961,4181,2001,0931,3411,4131,514
Expenses6928229669821,1631,0941,0279548378589241,0051,005
Operating Profit335399465327299324469465363236417407510
OPM %33%33%32%25%20%23%31%33%30%22%31%29%34%
Other Income342446684439465551942511349
Interest52131776504738503556404040
Depreciation155161159160172190195196197200251241220
Profit before tax16224833615912112628227418274151239298
Tax %2%2%7%7%10%9%6%-39%5%11%11%-29%2%
Net Profit15924331214810911426738017266134307291
EPS in Rs3.405.226.693.182.342.465.728.163.681.412.886.606.26

Last Updated: October 25, 2024, 12:16 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: October 25, 2024, 12:16 pm

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales4,3114,0503,4473,4693,8734,4253,7034,9885,7945,0475,361
Expenses3,3962,6882,6672,7933,1603,2832,5443,4574,2373,6243,791
Operating Profit9161,3627806777131,1431,1591,5311,5571,4231,569
OPM %21%34%23%20%18%26%31%31%27%28%29%
Other Income395193185196292277204170184283281
Interest23919517418036236722161185171176
Depreciation801542566610658671628635753889912
Profit before tax27081822682-16382713904803645762
Tax %28%4%19%-273%304%12%2%5%-8%-5%
Net Profit195782182306-63336696861870679799
EPS in Rs4.1916.783.926.58-1.357.2214.9418.4718.6814.5817.15
Dividend Payout %0%0%0%0%0%10%2%2%2%3%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)301.03%-76.73%68.13%-120.59%633.33%107.14%23.71%1.05%-21.95%
Change in YoY Net Profit Growth (%)0.00%-377.75%144.86%-188.72%753.92%-526.19%-83.44%-22.66%-23.00%

Shipping Corporation of India Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 9 years from 2015-2016 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:%
5 Years:5%
3 Years:11%
TTM:10%
Compounded Profit Growth
10 Years:%
5 Years:51%
3 Years:-3%
TTM:16%
Stock Price CAGR
10 Years:16%
5 Years:34%
3 Years:25%
1 Year:55%
Return on Equity
10 Years:%
5 Years:9%
3 Years:11%
Last Year:9%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 7:41 pm

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital466466466466466466466466466466466
Reserves6,0536,2726,4286,7696,7177,0187,7025,5086,4377,0747,595
Borrowings7,7395,8455,4925,5855,2774,7673,6793,2002,6052,9142,368
Other Liabilities1,5802,1482,1621,6861,8961,6681,5561,6841,9361,6461,267
Total Liabilities15,83914,73114,54914,50614,35713,91913,40310,85911,44312,10011,695
Fixed Assets12,28011,82711,41111,34811,11910,65310,1747,6247,4037,0047,097
CWIP567027883335834429
Investments7780136269279298354476611657631
Other Assets2,9152,8242,9752,8822,9512,9642,8412,7013,3954,3973,958
Total Assets15,83914,73114,54914,50614,35713,91913,40310,85911,44312,10011,695

Reserves and Borrowings Chart

Cash Flow

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +2,1971,4906832287129451,3401,4401,465994
Cash from Investing Activity +-308-11-86-4717324-206-729-501-573
Cash from Financing Activity +-1,675-1,095-522-87-866-1,120-1,154-653-930103
Net Cash Flow21438474-329-146149-205834524

Free Cash Flow

MonthMar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow909.00-4.00775.00672.00708.00-3.00-2.00-2.00-1.00-1.00

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 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days686170705650624764102
Inventory Days
Days Payable
Cash Conversion Cycle686170705650624764102
Working Capital Days-157-143-187-102-114-91-17101754
ROCE %7%3%2%2%5%6%10%11%8%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthDec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024
Promoters63.75%63.75%63.75%63.75%63.75%63.75%63.75%63.75%63.75%63.75%63.75%63.75%
FIIs2.21%2.35%3.13%3.28%3.30%3.23%2.89%3.23%3.27%4.66%4.56%5.61%
DIIs9.50%8.35%7.87%7.81%7.47%7.01%7.01%6.97%7.99%7.87%8.69%3.64%
Public24.54%25.55%25.25%25.17%25.50%26.01%26.36%26.05%24.98%23.74%23.01%27.00%
No. of Shareholders1,81,9101,90,4401,86,2121,80,9931,76,2491,75,1431,83,3392,09,1992,19,4633,04,5273,24,1564,41,535

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Quant Small Cap Fund14,976,3591.88243.9614,976,3592024-11-200%
Bandhan Transportation and Logistics Fund250,0001.054.0714,976,3592024-11-20-98.33%
Motilal Oswal Nifty Microcap 250 Index Fund188,9470.493.0814,976,3592024-11-20-98.74%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)14.5818.6818.5814.947.22
Diluted EPS (Rs.)14.5818.6818.5814.947.22
Cash EPS (Rs.)32.2133.3330.6826.7520.90
Book Value[Excl.RevalReserv]/Share (Rs.)161.86148.18195.29175.34160.66
Book Value[Incl.RevalReserv]/Share (Rs.)161.86148.18195.29175.34160.66
Revenue From Operations / Share (Rs.)108.34124.39107.2379.5095.01
PBDIT / Share (Rs.)35.1735.8435.0027.5629.69
PBIT / Share (Rs.)16.0719.6821.3614.0715.28
PBT / Share (Rs.)12.4015.7217.9813.627.46
Net Profit / Share (Rs.)13.1217.1617.0413.266.49
NP After MI And SOA / Share (Rs.)14.5818.6818.5714.947.22
PBDIT Margin (%)32.4628.8132.6434.6631.24
PBIT Margin (%)14.8315.8119.9117.7016.08
PBT Margin (%)11.4412.6316.7617.137.85
Net Profit Margin (%)12.1113.7915.8916.686.83
NP After MI And SOA Margin (%)13.4515.0117.3218.797.60
Return on Networth / Equity (%)9.0012.609.518.524.49
Return on Capital Employeed (%)8.1510.598.775.977.63
Return On Assets (%)5.617.606.075.192.41
Long Term Debt / Equity (X)0.200.240.230.320.22
Total Debt / Equity (X)0.380.370.340.370.49
Asset Turnover Ratio (%)0.420.460.360.270.31
Current Ratio (X)1.250.961.830.940.53
Quick Ratio (X)1.190.901.770.910.50
Dividend Payout Ratio (NP) (%)3.011.761.340.000.00
Dividend Payout Ratio (CP) (%)1.300.940.770.000.00
Earning Retention Ratio (%)96.9998.2498.660.000.00
Cash Earning Retention Ratio (%)98.7099.0699.230.000.00
Interest Coverage Ratio (X)9.569.0610.3460.803.80
Interest Coverage Ratio (Post Tax) (X)4.575.346.0330.271.83
Enterprise Value (Cr.)11302.636407.867134.057209.274501.10
EV / Net Operating Revenue (X)2.241.111.431.951.02
EV / EBITDA (X)6.903.844.385.623.25
MarketCap / Net Operating Revenue (X)1.930.751.071.390.39
Retention Ratios (%)96.9898.2398.650.000.00
Price / BV (X)1.290.630.580.630.23
Price / Net Operating Revenue (X)1.930.751.071.390.39
EarningsYield0.060.190.160.130.19

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Shipping Corporation of India Ltd as of November 22, 2024 is: 142.33

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 22, 2024, Shipping Corporation of India Ltd is Overvalued by 30.91% compared to the current share price 206.00

Intrinsic Value of Shipping Corporation of India Ltd as of November 22, 2024 is: 146.31

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 22, 2024, Shipping Corporation of India Ltd is Overvalued by 28.98% compared to the current share price 206.00

Last 5 Year EPS CAGR: 2.80%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -73.00, which is a positive sign.
  2. The company has higher reserves (6,688.45 cr) compared to borrowings (4,497.36 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (3.91 cr) and profit (508.09 cr) over the years.
  1. The stock has a low average ROCE of 5.40%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 65.00, 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 Shipping Corporation of India Ltd:
    1. Net Profit Margin: 12.11%
      • 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: 8.15% (Industry Average ROCE: 42.27%)
      • 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% (Industry Average ROE: 9.14%)
      • 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): 4.57
      • 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: 1.19
      • 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: 9.38 (Industry average Stock P/E: 51.54)
      • 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: 0.38
      • 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

Shipping Corporation of India Ltd. is a Public Limited Listed company incorporated on 24/03/1950 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L63030MH1950GOI008033 and registration number is 008033. Currently Company is involved in the business activities of Sea and coastal freight water transport. Company’s Total Operating Revenue is Rs. 4994.55 Cr. and Equity Capital is Rs. 465.80 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
ShippingShipping House, Mumbai Maharashtra 400021hr@sci.co.in
http://www.shipindia.com
Management
NamePosition Held
Capt. B K TyagiChairman & Managing Director
Mr. C I AcharyaWhole Time Director
Mr. Vikram DingleyDirector
Mr. Atul UbaleDirector - Finance
Mr. M S SainiDirector
Rear Adm. Jaswinder SinghDirector
Ms. Arunima DwivediIndependent Director
Dr. Anil Kumar MisraIndependent Director
Mr. KNP ChakravarthyIndependent Director
Mr. Shreekant PattarIndependent Director
Mr. Gulabbhai RohitIndependent Director
Mr. Raju LakshmananGovernment Nominee Director
Mr. Rajesh Kumar SinhaGovernment Nominee Director

FAQ

What is the latest intrinsic value of Shipping Corporation of India Ltd?

The latest intrinsic value of Shipping Corporation of India Ltd as on 22 November 2024 is ₹142.33, which is 30.91% lower than the current market price of ₹206.00.

What is the Market Cap of Shipping Corporation of India Ltd?

The Market Cap of Shipping Corporation of India Ltd is 9,611 Cr..

What is the current Stock Price of Shipping Corporation of India Ltd as on 22 November 2024?

The current stock price of Shipping Corporation of India Ltd as on 22 November 2024 is ₹206.

What is the High / Low of Shipping Corporation of India Ltd stocks in FY 2024?

In FY 2024, the High / Low of Shipping Corporation of India Ltd stocks is 385/132.

What is the Stock P/E of Shipping Corporation of India Ltd?

The Stock P/E of Shipping Corporation of India Ltd is 9.38.

What is the Book Value of Shipping Corporation of India Ltd?

The Book Value of Shipping Corporation of India Ltd is 173.

What is the Dividend Yield of Shipping Corporation of India Ltd?

The Dividend Yield of Shipping Corporation of India Ltd is 0.24 %.

What is the ROCE of Shipping Corporation of India Ltd?

The ROCE of Shipping Corporation of India Ltd is 7.68 %.

What is the ROE of Shipping Corporation of India Ltd?

The ROE of Shipping Corporation of India Ltd is 8.75 %.

What is the Face Value of Shipping Corporation of India Ltd?

The Face Value of Shipping Corporation of India 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 Shipping Corporation of India 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