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Last Updated on: 23 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Shree Renuka Sugars Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 22, 2024, 9:33 pm

Market Cap 8,350 Cr.
Current Price 39.3
High / Low56.5/36.6
Stock P/E
Book Value 7.44
Dividend Yield0.00 %
ROCE10.2 %
ROE%
Face Value 1.00
PEG Ratio0.00

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

View Share Price Target for Shree Renuka Sugars Ltd

Competitors of Shree Renuka Sugars Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Gayatri Sugars Ltd 114 Cr. 17.529.4/15.1 20.00.00 %102 %% 10.0
Dhampure Speciality Sugars Ltd 73.5 Cr. 92.6116/68.450.0 35.60.00 %3.15 %3.78 % 10.0
Dhampur Bio Organics Ltd 812 Cr. 122171/11277.2 1462.05 %5.02 %3.67 % 10.0
DCM Shriram Industries Ltd 1,569 Cr. 181242/14812.9 1001.11 %16.1 %14.9 % 2.00
Davangere Sugar Company Ltd 571 Cr. 6.0811.5/5.6246.1 3.640.00 %6.86 %3.75 % 1.00
Industry Average2,092.61 Cr293.2429.41224.520.66%13.29%13.21%6.37

All Competitor Stocks of Shree Renuka Sugars Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales1,3208311,4142,0142,1731,9532,1882,5522,3282,2842,5553,0143,466
Expenses1,0709191,3801,8431,8981,9012,1422,3442,0702,2132,4912,8223,209
Operating Profit250-883517127452462072597164192258
OPM %19%-11%2%9%13%3%2%8%11%3%2%6%7%
Other Income-13353411181716124271104810
Interest1001059791100124134144190214217244243
Depreciation52545448525860606064646969
Profit before tax-35-241-8244141-113-1321550-137-207-74-44
Tax %-28%0%-20%0%-13%-1%-7%4%12%-1%1%-133%-152%
Net Profit-45-241-9843159-114-1421445-139-206-172-111
EPS in Rs-0.21-1.13-0.460.200.73-0.53-0.660.070.20-0.65-0.96-0.81-0.52

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
Sales10,35811,54610,0889,84911,8446,2504,5044,8765,6456,4319,01711,319
Expenses8,83610,62210,29010,13211,4748,8655,8794,8165,0746,0308,42710,645
Operating Profit1,522925-202-284370-2,614-1,37660571401590674
OPM %15%8%-2%-3%3%-42%-31%1%10%6%7%6%
Other Income-257-56827803775281112,82374615948
Interest868959922976958519560511384393591918
Depreciation8871,076991776955240221211209208238266
Profit before tax-490-1,679-2,089-1,956-1,166-2,846-2,0462,16152-139-180-462
Tax %-24%-12%-13%-8%-1%-23%-0%10%325%-1%10%36%
Net Profit-374-1,479-1,814-1,809-1,152-2,204-2,0371,950-117-137-197-627
EPS in Rs-5.57-22.02-19.52-19.48-12.19-8.89-7.5610.95-0.54-0.65-0.93-2.95
Dividend Payout %-9%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 (%)-295.45%-22.65%0.28%36.32%-91.32%7.58%195.73%-106.00%-17.09%-43.80%-218.27%
Change in YoY Net Profit Growth (%)0.00%272.80%22.93%36.04%-127.64%98.90%188.15%-301.73%88.91%-26.70%-174.48%

Shree Renuka Sugars 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:0%
5 Years:20%
3 Years:26%
TTM:25%
Compounded Profit Growth
10 Years:2%
5 Years:9%
3 Years:%
TTM:-64%
Stock Price CAGR
10 Years:9%
5 Years:35%
3 Years:12%
1 Year:-22%
Return on Equity
10 Years:%
5 Years:%
3 Years:%
Last Year:%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 7:40 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Sep 2024
Equity Capital6767939395192192192213213213213213
Reserves1,393-564-2,435-1,856-3,437-1,899-3,199-1,074-875-821-1,094-1,651-1,796
Borrowings8,4779,5608,8979,1049,8757,8512,9023,0934,4475,2345,5695,7945,610
Other Liabilities5,6743,8874,4126,1746,0603,8549,7304,4603,1222,4772,9175,8073,506
Total Liabilities15,61012,95110,96713,51512,5929,9989,6246,6706,9077,1037,60410,1637,534
Fixed Assets8,4717,9706,0087,7027,5876,1924,0233,8863,7764,0044,2964,5614,442
CWIP2253233373529100142721711450125
Investments235167858612110819196043423434
Other Assets6,6784,7824,8415,6904,8493,6695,4822,6233,0632,8393,1515,5172,932
Total Assets15,61012,95110,96713,51512,5929,9989,6246,6706,9077,1037,60410,1637,534

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity +3,6722247344881,118-22255561-1,564-134926913
Cash from Investing Activity +-377-091-224-864-8201138-108-337-450-373
Cash from Financing Activity +-3,051-408-898-272-24626-473-6651,641454-332-669
Net Cash Flow244-185-73-97-4-1834-32-16145-129

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-7.00916.00-210.00-293.00361.00-9.00-3.0057.00567.00396.00585.00669.00

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 Days9202227314423101016820
Inventory Days1918693865157172151208148118176
Days Payable21399137176139215280243229145120197
Cash Conversion Cycle-147-22-63-57-114-85-82-12196-1
Working Capital Days-59-48-102-215-178-419-604-219-11217-3
ROCE %6%-1%-15%-14%-3%-53%-182%16%6%9%10%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters62.48%62.48%62.48%62.48%62.48%62.48%62.48%62.48%62.48%62.48%62.48%62.48%
FIIs1.61%2.06%2.12%2.66%4.08%4.19%4.34%2.93%3.16%3.22%3.36%3.43%
DIIs11.05%10.98%10.53%9.68%10.50%10.44%10.10%10.10%10.12%10.10%10.08%10.08%
Public24.86%24.48%24.87%25.18%22.94%22.88%23.07%24.49%24.23%24.20%24.06%23.98%
No. of Shareholders3,21,0813,41,8493,71,7994,73,8954,57,2124,79,4955,00,8585,15,8236,03,7076,78,1537,14,8117,80,011

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Nifty Smallcap 250 Index Fund535,3390.262.52124,9962024-11-20328.28%
Motilal Oswal Nifty Smallcap 250 Index Fund334,5420.261.58124,9962024-11-20167.64%
Axis Nifty Smallcap 50 Index Fund332,8870.781.57124,9962024-11-20166.32%
SBI Nifty Smallcap 250 Index Fund262,5900.261.24124,9962024-11-20110.08%
Aditya Birla Sun Life Nifty Smallcap 50 Index Fund224,5600.791.06124,9962024-11-2079.65%
ICICI Prudential Nifty Smallcap 250 Index Fund124,9960.260.59124,9962024-11-200%
HDFC NIFTY Smallcap 250 ETF72,5360.260.34124,9962024-11-20-41.97%
Kotak Nifty Smallcap 50 Index69,5620.780.33124,9962024-11-20-44.35%
HDFC Nifty Smallcap 250 Index Fund58,4880.260.28124,9962024-11-20-53.21%
Motilal Oswal Nifty 500 Index Fund33,7660.020.16124,9962024-11-20-72.99%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)-2.95-0.93-0.65-0.572.96
Diluted EPS (Rs.)-2.95-0.93-0.65-0.572.96
Cash EPS (Rs.)-1.700.190.330.4311.27
Book Value[Excl.RevalReserv]/Share (Rs.)-6.75-4.14-2.85-3.12-4.60
Book Value[Incl.RevalReserv]/Share (Rs.)-6.75-4.14-2.85-3.12-4.60
Revenue From Operations / Share (Rs.)53.1842.3830.2226.5425.47
PBDIT / Share (Rs.)3.393.052.173.010.40
PBIT / Share (Rs.)2.141.931.192.03-0.69
PBT / Share (Rs.)-2.17-0.84-0.650.24-1.85
Net Profit / Share (Rs.)-2.95-0.92-0.64-0.5410.17
NP After MI And SOA / Share (Rs.)-2.95-0.92-0.65-0.5310.95
PBDIT Margin (%)6.387.197.1811.341.60
PBIT Margin (%)4.034.563.947.65-2.71
PBT Margin (%)-4.07-1.99-2.150.91-7.27
Net Profit Margin (%)-5.54-2.18-2.12-2.0639.94
NP After MI And SOA Margin (%)-5.54-2.18-2.15-2.0343.00
Return on Networth / Equity (%)0.000.000.000.00-237.83
Return on Capital Employeed (%)20.8917.1210.8021.91-12.61
Return On Assets (%)-6.16-2.59-1.95-1.6631.44
Long Term Debt / Equity (X)-2.25-3.47-4.54-3.87-2.14
Total Debt / Equity (X)-4.01-6.30-8.58-6.54-2.57
Asset Turnover Ratio (%)1.271.230.870.800.56
Current Ratio (X)0.670.580.570.600.42
Quick Ratio (X)0.110.140.130.110.12
Inventory Turnover Ratio (X)2.943.342.132.282.17
Interest Coverage Ratio (X)0.781.101.181.670.15
Interest Coverage Ratio (Post Tax) (X)0.310.660.650.68-0.67
Enterprise Value (Cr.)14173.8214752.8212705.746200.383108.42
EV / Net Operating Revenue (X)1.251.641.981.100.63
EV / EBITDA (X)19.6222.7127.509.6739.73
MarketCap / Net Operating Revenue (X)0.741.041.180.340.18
Price / BV (X)-5.88-10.65-12.45-2.95-1.04
Price / Net Operating Revenue (X)0.741.041.180.340.18
EarningsYield-0.07-0.02-0.01-0.052.30

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Shree Renuka Sugars Ltd as of November 23, 2024 is: 17.07

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 23, 2024, Shree Renuka Sugars Ltd is Overvalued by 56.56% compared to the current share price 39.30

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

Intrinsic Value of Shree Renuka Sugars Ltd as of November 23, 2024 is: 9.94

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 23, 2024, Shree Renuka Sugars Ltd is Overvalued by 74.71% compared to the current share price 39.30

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

Last 5 Year EPS CAGR: -41.74%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock is trading at a low valuation with an average P/B ratio of 1.32 and average Dividend Yield of 3.49%.
  2. The stock has a low average Working Capital Days of -152.50, which is a positive sign.
  3. The stock has a low average Cash Conversion Cycle of -34.83, which is a positive sign.
  1. The stock has a low average ROCE of -18.42%, which may not be favorable.
  2. The company has higher borrowings (6,647.15) compared to reserves (-1,485.23), which may suggest financial risk.
  3. The company has not shown consistent growth in sales (8.00) and profit (-102.17).

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 Shree Renuka Sugars Ltd:
    1. Net Profit Margin: -5.54%
      • 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: 20.89% (Industry Average ROCE: 13.29%)
      • 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%: 0% (Industry Average ROE: 13.21%)
      • 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): 0.31
      • 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: 0.11
      • 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: 29.41)
      • 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: -4.01
      • 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

Shree Renuka Sugars Ltd. is a Public Limited Listed company incorporated on 25/10/1995 and has its registered office in the State of Karnataka, India. Company’s Corporate Identification Number(CIN) is L01542KA1995PLC019046 and registration number is 019046. Currently Company is involved in the business activities of Electric power generation using other non conventional sources. Company’s Total Operating Revenue is Rs. 6125.94 Cr. and Equity Capital is Rs. 212.85 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Sugar2nd & 3rd Floor, Kanakashree Arcade, Belagavi Karnataka 590010groupcs@renukasugars.com
http://www.renukasugars.com
Management
NamePosition Held
Mr. Atul ChaturvediExecutive Chairman
Mr. Vijendra SinghExecutive Director & Deputy CEO
Mr. Ravi GuptaExecutive Director
Mr. Kuok Khoon HongNon Executive Director
Mr. Charles Cheau Leong LooNon Executive Director
Mr. Jean-Luc BohbotNon Executive Director
Mr. Madhu RaoIndependent Director
Dr. Bharat Kumar MehtaIndependent Director
Ms. Priyanka MallickIndependent Director
Mr. Arun Chandra VermaIndependent Director
Mr. S SridharanIndependent Director
Mr. Siraj HussainIndependent Director
Mr. Tinniyan Kalyansundaram KananAlternate Director

FAQ

What is the latest intrinsic value of Shree Renuka Sugars Ltd?

The latest intrinsic value of Shree Renuka Sugars Ltd as on 23 November 2024 is ₹17.07, which is 56.56% lower than the current market price of ₹39.30.

What is the Market Cap of Shree Renuka Sugars Ltd?

The Market Cap of Shree Renuka Sugars Ltd is 8,350 Cr..

What is the current Stock Price of Shree Renuka Sugars Ltd as on 23 November 2024?

The current stock price of Shree Renuka Sugars Ltd as on 23 November 2024 is 39.3.

What is the High / Low of Shree Renuka Sugars Ltd stocks in FY 2024?

In FY 2024, the High / Low of Shree Renuka Sugars Ltd stocks is 56.5/36.6.

What is the Stock P/E of Shree Renuka Sugars Ltd?

The Stock P/E of Shree Renuka Sugars Ltd is .

What is the Book Value of Shree Renuka Sugars Ltd?

The Book Value of Shree Renuka Sugars Ltd is 7.44.

What is the Dividend Yield of Shree Renuka Sugars Ltd?

The Dividend Yield of Shree Renuka Sugars Ltd is 0.00 %.

What is the ROCE of Shree Renuka Sugars Ltd?

The ROCE of Shree Renuka Sugars Ltd is 10.2 %.

What is the ROE of Shree Renuka Sugars Ltd?

The ROE of Shree Renuka Sugars Ltd is %.

What is the Face Value of Shree Renuka Sugars Ltd?

The Face Value of Shree Renuka Sugars 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 Shree Renuka Sugars 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