Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Tarmat Ltd

Basic Stock Data

Last Updated: June 21, 2024, 3:26 pm

Market Cap 159 Cr.
Current Price 75.0
High / Low154/57.4
Stock P/E108
Book Value 60.8
Dividend Yield0.00 %
ROCE1.45 %
ROE1.14 %
Face Value 10.0
PEG Ratio-3.25

Competitors of Tarmat Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Tantia Constructions Ltd 633 Cr. 40.849.2/13.0 16.00.00 %1.19 %5.84 % 1.00
Poddar Housing & Development Ltd 65.2 Cr. 90.4161/82.0 1390.00 %3.95 %34.9 % 10.0
Hindustan Construction Company Ltd 8,387 Cr. 49.951.9/17.4 1.000.00 %21.6 %% 1.00
RPP Infra Projects Ltd 485 Cr. 128161/51.48.49 1120.00 %21.2 %14.5 % 10.0
AMJ Land Holdings Ltd 164 Cr. 40.045.8/25.014.8 43.60.50 %9.38 %6.84 % 2.00
Industry Average7,390.16 Cr305.9034.00141.970.10%13.53%51.23%6.50

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales61.6652.6534.5233.6841.1040.6028.9332.1641.9621.2724.7022.7020.68
Expenses58.2750.5632.7332.1739.8938.6427.8833.3741.7320.1124.0422.3220.48
Operating Profit3.392.091.791.511.211.961.05-1.210.231.160.660.380.20
OPM %5.50%3.97%5.19%4.48%2.94%4.83%3.63%-3.76%0.55%5.45%2.67%1.67%0.97%
Other Income0.260.090.040.100.890.040.256.200.190.010.020.00-2.20
Interest2.430.560.610.470.360.070.190.030.090.190.220.080.16
Depreciation0.470.260.260.220.320.230.230.290.290.210.210.210.21
Profit before tax0.751.360.960.921.421.700.884.670.040.770.250.09-2.37
Tax %-169.33%-2.94%4.17%5.43%2.11%2.35%4.55%0.64%-575.00%-3.90%-12.00%-33.33%1.27%
Net Profit2.011.400.920.861.391.660.854.640.260.800.280.12-2.34
EPS in Rs1.511.050.690.650.880.840.402.180.120.380.130.06-1.10

Last Updated: June 9, 2024, 3:08 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: May 27, 2024, 1:28 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales1871521036451596195233171162144111
Expenses17115010767515877114222163155142108
Operating Profit161-5-4-01-17-19117722
OPM %9%1%-5%-6%-0%1%-27%-20%5%4%4%2%2%
Other Income-2-82111192211170
Interest1081616501123211
Depreciation5544211111111
Profit before tax-1-20-23-21-600194571
Tax %-470%-33%2%2%114%86%-1,150%20%22%-27%2%-2%
Net Profit-4-26-22-21101175571
EPS in Rs-3.49-23.97-20.45-19.110.750.031.140.525.193.822.903.480.69
Dividend Payout %-0%-0%-0%-0%-0%-0%-0%-0%-0%-0%-0%-0%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-550.00%15.38%4.55%104.76%-100.00%0.00%600.00%-28.57%0.00%40.00%
Change in YoY Net Profit Growth (%)0.00%565.38%-10.84%100.22%-204.76%100.00%600.00%-628.57%28.57%40.00%

Growth

Compounded Sales Growth
10 Years:-1%
5 Years:19%
3 Years:-15%
TTM:-23%
Compounded Profit Growth
10 Years:9%
5 Years:31%
3 Years:-11%
TTM:-76%
Stock Price CAGR
10 Years:30%
5 Years:19%
3 Years:30%
1 Year:43%
Return on Equity
10 Years:-7%
5 Years:0%
3 Years:6%
Last Year:5%

Last Updated: April 13, 2024, 9:19 am

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital11111111111111111313162121
Reserves9670472627272829434868109110
Borrowings567311011711912211397110894366
Other Liabilities31272427242225316358655770
Total Liabilities193181192182181181177168229209192194207
Fixed Assets30252117141312111617161616
CWIP0000000000000
Investments4024191919272727279100
Other Assets159156147146147149138131186164167168191
Total Assets193181192182181181177168229209192194207

Reserves and Borrowings Chart

Tarmat Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 10-1172-0-11417-1426-710
Cash from Investing Activity 00-24600-71-5-218-1
Cash from Financing Activity -9917-8-0-0-7-1720-24-21-8
Net Cash Flow1-2-0-00-10121-101

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow16.00-72.05-114.70-121.36-118.81-120.50-129.52-116.30-99.28-82.47-36.36-3.96

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 Days4164561181491411277427283657
Inventory Days3903421,5851,6753,475476232421340236
Days Payable1121438881,2652,254321148374253251
Cash Conversion Cycle3192637535281,37029621174277512242
Working Capital Days192230271414555509451247114162217232
ROCE %9%-1%-5%-4%-1%0%1%-13%7%4%5%4%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters39.90%39.90%39.90%39.90%33.67%36.15%35.84%33.25%33.25%33.25%33.25%33.25%
FIIs0.00%0.00%0.01%0.00%0.00%0.00%0.00%0.02%0.01%0.00%0.00%0.07%
Public60.10%60.09%60.08%60.10%66.33%63.85%64.17%66.74%66.75%66.75%66.76%66.69%
No. of Shareholders8,91511,08310,52910,69810,53610,45410,4229,9099,81311,14012,52314,153

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.)-0.513.572.903.865.15
Diluted EPS (Rs.)-0.512.372.153.865.15
Cash EPS (Rs.)-0.133.963.574.905.77
Book Value[Excl.RevalReserv]/Share (Rs.)60.8261.2959.1745.9142.05
Book Value[Incl.RevalReserv]/Share (Rs.)60.8261.3359.2245.9842.12
Revenue From Operations / Share (Rs.)41.9267.40114.56146.90207.31
PBDIT / Share (Rs.)1.342.904.886.359.01
PBIT / Share (Rs.)0.942.424.215.318.40
PBT / Share (Rs.)-0.593.422.953.016.63
Net Profit / Share (Rs.)-0.533.482.903.865.15
NP After MI And SOA / Share (Rs.)-0.533.482.903.865.15
PBDIT Margin (%)3.194.304.264.324.34
PBIT Margin (%)2.253.583.673.614.05
PBT Margin (%)-1.415.072.572.053.19
Net Profit Margin (%)-1.265.162.522.622.48
NP After MI And SOA Margin (%)-1.265.162.522.622.48
Return on Networth / Equity (%)-0.875.674.898.4012.25
Return on Capital Employeed (%)1.543.886.924.706.68
Return On Assets (%)-0.573.482.082.212.54
Long Term Debt / Equity (X)0.000.010.011.431.97
Total Debt / Equity (X)0.070.040.461.461.97
Asset Turnover Ratio (%)0.430.690.760.711.10
Current Ratio (X)2.462.231.532.131.97
Quick Ratio (X)1.401.390.881.281.23
Inventory Turnover Ratio (X)0.451.050.930.621.25
Interest Coverage Ratio (X)4.3216.293.872.765.08
Interest Coverage Ratio (Post Tax) (X)3.2413.903.302.683.91
Enterprise Value (Cr.)198.22161.88133.70132.10120.49
EV / Net Operating Revenue (X)2.221.130.730.670.43
EV / EBITDA (X)69.3926.1717.3315.6110.03
MarketCap / Net Operating Revenue (X)2.171.120.520.290.13
Price / BV (X)1.491.231.010.930.67
Price / Net Operating Revenue (X)2.171.120.520.290.13
EarningsYield-0.010.040.040.080.18

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 76.35

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: 1.81% compared to the current price 75

Intrinsic Value: 51.00

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.

Overvalued: 32.00% compared to the current price ₹75

Last 5 Year EPS CAGR: -33.21%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
    1. The stock has a low average ROCE of 0.50%, which may not be favorable.
    2. The stock has a high average Working Capital Days of 299.50, which may not be favorable.
    3. The stock has a high average Cash Conversion Cycle of 225.92, which may not be favorable.
    4. The company has higher borrowings (84.15) compared to reserves (52.53), which may suggest financial risk.
    5. The company has not shown consistent growth in sales (122.54) and profit (-3.38).

    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 Tarmat Ltd:
      1. Net Profit Margin: -1.26%
        • 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: 1.54% (Industry Average ROCE: 11.94%)
        • 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%: -0.87% (Industry Average ROE: 9.7%)
        • 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): 3.24
        • 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: 1.40
        • 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: 108 (Industry average Stock P/E: 20.44)
        • 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: 0.07
        • 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

    Tarmat Ltd. is a Public Limited Listed company incorporated on 03/01/1986 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L45203MH1986PLC038535 and registration number is 038535. Currently Company is involved in the business activities of Construction roads and railways. Company’s Total Operating Revenue is Rs. 161.94 Cr. and Equity Capital is Rs. 15.80 Cr. for the Year ended 31/03/2022.
    INDUSTRYADDRESSCONTACT
    Construction, Contracting & EngineeringGen A.K.Vaidya Marg, Near Wageshwari Mandir, Mumbai Maharashtra 400097contact@tarmatlimited.com
    http://www.tarmatlimited.com
    Management
    NamePosition Held
    Mr. Jerry VargheseChairman
    Mr. Dilip VargheseManaging Director
    Mr. Amit Atmaram ShahExecutive Director
    Mr. Krishan Kumar KinraIndependent Director
    Mr. Ramesh Chander GuptaIndependent Director
    Mrs. Regina Manish SinhaIndependent Director

    FAQ

    What is the latest fair value of Tarmat Ltd?

    The latest fair value of Tarmat Ltd is ₹76.35.

    What is the Market Cap of Tarmat Ltd?

    The Market Cap of Tarmat Ltd is 159 Cr..

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

    The current stock price of Tarmat Ltd as on 21 June 2024 is ₹75.0.

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

    In FY 2024, the High / Low of Tarmat Ltd stocks is 154/57.4.

    What is the Stock P/E of Tarmat Ltd?

    The Stock P/E of Tarmat Ltd is 108.

    What is the Book Value of Tarmat Ltd?

    The Book Value of Tarmat Ltd is 60.8.

    What is the Dividend Yield of Tarmat Ltd?

    The Dividend Yield of Tarmat Ltd is 0.00 %.

    What is the ROCE of Tarmat Ltd?

    The ROCE of Tarmat Ltd is 1.45 %.

    What is the ROE of Tarmat Ltd?

    The ROE of Tarmat Ltd is 1.14 %.

    What is the Face Value of Tarmat Ltd?

    The Face Value of Tarmat 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 Tarmat 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