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Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Suprajit Engineering Ltd

Basic Stock Data

Last Updated: June 20, 2024, 10:23 pm

Market Cap 7,053 Cr.
Current Price 509
High / Low527/353
Stock P/E42.2
Book Value 98.4
Dividend Yield0.45 %
ROCE13.9 %
ROE12.9 %
Face Value 1.00
PEG Ratio5.48

Competitors of Suprajit Engineering Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Industry Average0 Cr0000%0%0%0

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales513362494479506645716692699680709724783
Expenses431312414425429591637611612608639637689
Operating Profit82498054775479818771708794
OPM %16%14%16%11%15%8%11%12%12%11%10%12%12%
Other Income122311871822561319919
Interest3543368101112141313
Depreciation14141514152424252325262628
Profit before tax77537345654269515848495773
Tax %25%18%32%29%25%35%34%25%29%31%29%30%19%
Net Profit58435032492746384133354059
EPS in Rs4.113.123.582.293.511.973.312.752.962.392.512.914.27

Last Updated: June 10, 2024, 6:10 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: May 27, 2024, 6:10 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales4214585406059401,2031,4311,5901,5631,6411,8402,7522,812
Expenses3533804475087849991,1941,3571,3441,4041,5802,4392,496
Operating Profit68789397156204237233219237260313316
OPM %16%17%17%16%17%17%17%15%14%14%14%11%11%
Other Income484410182138-534483846
Interest10111417263027252319153650
Depreciation7889162737415857599599
Profit before tax55677475123164193205133194235220212
Tax %27%29%32%33%35%31%28%35%22%27%26%31%
Net Profit4047515080114138134104143173152149
EPS in Rs3.323.934.234.195.488.669.909.577.4310.2012.5110.9910.77
Dividend Payout %20%19%22%23%19%17%14%16%24%17%16%21%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)17.50%8.51%-1.96%60.00%42.50%21.05%-2.90%-22.39%37.50%20.98%-12.14%
Change in YoY Net Profit Growth (%)0.00%-8.99%-10.47%61.96%-17.50%-21.45%-23.95%-19.49%59.89%-16.52%-33.12%

Growth

Compounded Sales Growth
10 Years:20%
5 Years:14%
3 Years:21%
TTM:10%
Compounded Profit Growth
10 Years:14%
5 Years:2%
3 Years:8%
TTM:-7%
Stock Price CAGR
10 Years:19%
5 Years:14%
3 Years:17%
1 Year:22%
Return on Equity
10 Years:18%
5 Years:15%
3 Years:15%
Last Year:13%

Last Updated: April 13, 2024, 9:21 am

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital12121212131414141414141414
Reserves1171551932294345106417618409761,0701,2111,258
Borrowings83112156194298378345362391346337718722
Other Liabilities70739594216236306321350391336529547
Total Liabilities2823524565299621,1381,3061,4581,5941,7271,7572,4712,540
Fixed Assets101119152168330556544553613598588807831
CWIP1318117182327155102817
Investments18457511214923130172276320262445517
Other Assets1501702282324655576297066898048971,1911,175
Total Assets2823524565299621,1381,3061,4581,5941,7271,7572,4712,540

Reserves and Borrowings Chart

Suprajit Engineering Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 2646386793126217145232161182239
Cash from Investing Activity -39-51-53-76-240-169-123-89-154-5939-548
Cash from Financing Activity 13914715147-85-42-61-86-111223
Net Cash Flow14-1-14310141716109-86

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow68.00-34.00-63.00-97.00-142.00-174.00-108.00-129.00-172.00-109.00-77.00-405.00

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 Days748075817474676474596165
Inventory Days61857811010911011311612612212096
Days Payable586556615683708595666671
Cash Conversion Cycle77101981301271001109510511611590
Working Capital Days6278679493687466878786139
ROCE %29%27%23%24%23%23%22%15%17%17%15%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters44.57%44.62%44.62%44.61%44.64%44.64%44.64%44.64%44.64%44.64%44.63%44.63%
FIIs4.33%4.40%4.68%5.92%5.01%4.95%5.42%5.10%5.07%5.11%4.76%4.56%
DIIs12.26%13.12%13.29%14.11%14.90%14.81%15.20%15.62%15.95%15.90%15.86%16.21%
Public38.85%37.86%37.42%35.36%35.45%35.60%34.72%34.65%34.31%34.34%34.75%34.62%
No. of Shareholders52,94358,64663,88568,64069,02770,15379,14882,13075,59474,91075,39677,545

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
DSP Small Cap Fund9,323,9352.8379.06856,1062024-06-19989.11%
HDFC Small Cap Fund - Regular Plan8,884,0171.35361.18856,1062024-06-19937.72%
ICICI Prudential Large & Mid Cap Fund856,1060.3434.81856,1062024-06-190%
ICICI Prudential Multi Asset Fund505,7380.0720.56856,1062024-06-19-40.93%
HDFC Multi Cap Fund400,0000.1516.26856,1062024-06-19-53.28%
HDFC Retirement Savings Fund - Hybrid Equity - Regular Plan238,6000.769.7856,1062024-06-19-72.13%
Kotak Small Cap Fund - Regular Plan225,2800.079.16856,1062024-06-19-73.69%
HDFC Transportation and Logistics Fund200,0001.228.13856,1062024-06-19-76.64%
ICICI Prudential Transportation and Logistics Fund196,4160.317.99856,1062024-06-19-77.06%
ICICI Prudential Regular Savings Fund194,6570.237.89856,1062024-06-19-77.26%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)12.0810.9912.4910.207.43
Diluted EPS (Rs.)12.0610.9812.4810.207.43
Cash EPS (Rs.)19.5717.8916.7314.2611.59
Book Value[Excl.RevalReserv]/Share (Rs.)98.3888.4878.3370.7661.04
Book Value[Incl.RevalReserv]/Share (Rs.)98.3888.4878.3370.7661.04
Revenue From Operations / Share (Rs.)209.15198.88132.99117.31111.73
PBDIT / Share (Rs.)27.6525.3821.4319.3317.24
PBIT / Share (Rs.)20.1618.4817.2015.2713.08
PBT / Share (Rs.)16.4515.9116.9913.899.50
Net Profit / Share (Rs.)12.0810.9912.5110.207.43
NP After MI And SOA / Share (Rs.)12.0810.9912.5110.207.43
PBDIT Margin (%)13.2212.7616.1116.4715.42
PBIT Margin (%)9.639.2912.9313.0111.70
PBT Margin (%)7.868.0012.7711.848.50
Net Profit Margin (%)5.775.529.408.696.65
NP After MI And SOA Margin (%)5.775.529.408.696.65
Return on Networth / Equity (%)12.2712.4215.9614.4112.17
Return on Capital Employeed (%)16.5415.7920.0919.2218.26
Return On Assets (%)6.486.249.958.326.57
Long Term Debt / Equity (X)0.140.210.010.030.07
Total Debt / Equity (X)0.450.520.280.270.36
Asset Turnover Ratio (%)1.160.860.820.760.80
Current Ratio (X)1.871.922.021.761.47
Quick Ratio (X)1.371.321.401.240.98
Inventory Turnover Ratio (X)3.543.363.233.123.18
Dividend Payout Ratio (NP) (%)0.0019.5615.197.3534.97
Dividend Payout Ratio (CP) (%)0.0012.0111.355.2522.43
Earning Retention Ratio (%)0.0080.4484.8192.6565.03
Cash Earning Retention Ratio (%)0.0087.9988.6594.7577.57
Interest Coverage Ratio (X)7.459.8820.4214.0710.64
Interest Coverage Ratio (Post Tax) (X)4.265.2812.128.436.80
Enterprise Value (Cr.)6205.705308.654856.524028.381797.48
EV / Net Operating Revenue (X)2.141.932.642.461.15
EV / EBITDA (X)16.2115.1116.3814.907.46
MarketCap / Net Operating Revenue (X)1.971.732.572.350.99
Retention Ratios (%)0.0080.4384.8092.6465.02
Price / BV (X)4.183.904.373.891.82
Price / Net Operating Revenue (X)1.971.732.572.350.99
EarningsYield0.020.030.030.030.06

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 538.08

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: 5.71% compared to the current price 509

Intrinsic Value: 579.55

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: 13.86% compared to the current price ₹509

Last 5 Year EPS CAGR: 7.71%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 19.58%, which is a positive sign.
  2. The company has higher reserves (697.33 cr) compared to borrowings (362.08 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (228.77 cr) and profit (150.00 cr) over the years.
  1. The stock has a high average Working Capital Days of 83.42, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 105.33, 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 Suprajit Engineering Ltd:
    1. Net Profit Margin: 5.77%
      • 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: 16.54% (Industry Average ROCE: 0%)
      • 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%: 12.27% (Industry Average ROE: 0%)
      • 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): 4.26
      • 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: 1.37
      • 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: 42.2 (Industry average Stock P/E: 0)
      • 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: 0.45
      • 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

Suprajit Engineering Ltd. is a Public Limited Listed company incorporated on 24/05/1985 and has its registered office in the State of Karnataka, India. Company’s Corporate Identification Number(CIN) is L29199KA1985PLC006934 and registration number is 006934. Currently Company is involved in the business activities of Manufacture of diverse parts and accessories for motor vehecles sucs as brakes, gearboxes, axles, road wheels, suspension shock absorbers, radiators, silencers, exhaust pipes, catalysers, clutches, steering wheels, steering columns and steering boxes etc.. Company’s Total Operating Revenue is Rs. 1271.28 Cr. and Equity Capital is Rs. 13.84 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Auto Ancl - Equipment OthersPlot No. 100 & 101, Bommasandra Indl. Area, Bengaluru Karnataka 560099info@suprajit.com
http://www.suprajit.com
Management
NamePosition Held
Mr. K Ajith Kumar RaiExecutive Chairman
Mr. N S MohanManaging Director & CEO
Dr.(Ms.) Supriya A RaiDirector
Mr. M LakshminarayanDirector
Mrs. Bharati RaoDirector
Mr. Harish Hassan VisweswaraDirector
Mr. Akhilesh RaiDirector
Ms. Bhagya Chandra RaoDirector

FAQ

What is the latest fair value of Suprajit Engineering Ltd?

The latest fair value of Suprajit Engineering Ltd is ₹538.08.

What is the Market Cap of Suprajit Engineering Ltd?

The Market Cap of Suprajit Engineering Ltd is 7,053 Cr..

What is the current Stock Price of Suprajit Engineering Ltd as on 21 June 2024?

The current stock price of Suprajit Engineering Ltd as on 21 June 2024 is ₹509.

What is the High / Low of Suprajit Engineering Ltd stocks in FY 2024?

In FY 2024, the High / Low of Suprajit Engineering Ltd stocks is 527/353.

What is the Stock P/E of Suprajit Engineering Ltd?

The Stock P/E of Suprajit Engineering Ltd is 42.2.

What is the Book Value of Suprajit Engineering Ltd?

The Book Value of Suprajit Engineering Ltd is 98.4.

What is the Dividend Yield of Suprajit Engineering Ltd?

The Dividend Yield of Suprajit Engineering Ltd is 0.45 %.

What is the ROCE of Suprajit Engineering Ltd?

The ROCE of Suprajit Engineering Ltd is 13.9 %.

What is the ROE of Suprajit Engineering Ltd?

The ROE of Suprajit Engineering Ltd is 12.9 %.

What is the Face Value of Suprajit Engineering Ltd?

The Face Value of Suprajit Engineering 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 Suprajit Engineering 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