Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 04 March, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Tata Chemicals Ltd

About the Company - Tata Chemicals Ltd

Tata Chemicals Ltd. is a Public Limited Listed company incorporated on 23/01/1939 and has its registered office in the State of Maharashtra, India. Company’s Corporate Identification Number(CIN) is L24239MH1939PLC002893 and registration number is 002893. Currently Company is involved in the business activities of Manufacture of basic chemicals, fertilizer and nitrogen compounds, plastics and synthetic rubber in primary forms. Company’s Total Operating Revenue is Rs. 3720.93 Cr. and Equity Capital is Rs. 254.82 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Chemicals - Inorganic - Caustic Soda/Soda AshBombay House, 24, Homi Mody Street, Mumbai Maharashtra 400001investors@tatachemicals.com
http://www.tatachemicals.com
Management
NamePosition Held
Mr. Ratan N TataChairman Emeritus
Mr. N ChandrasekaranChairman
Mr. R MukundanManaging Director & CEO
Mr. Zarir LangranaExecutive Director
Mr. S PadmanabhanNon Executive Director
Mr. Rajiv DubeIndependent Director
Dr. C V NatrajIndependent Director
Mr. K B S AnandIndependent Director
Ms. Vibha Paul RishiIndependent Director
Mrs. Padmini Khare KaickerIndependent Director

Tata Chemicals Ltd. Share Price Update

Share PriceValue
Today₹973.05
Previous Day₹976.45

Basic Stock Data of Tata Chemicals Ltd

Market Cap 24,877 Cr.
Current Price 976
High / Low1,141/922
Stock P/E14.4
Book Value 840
Dividend Yield1.79 %
ROCE11.6 %
ROE12.0 %
Face Value 10.0

Data Source: screener.in

Competitors of Tata Chemicals Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Standard Industries Ltd 151 Cr. 23.532.6/21.0 20.74.47 %13.2 %10.1 % 5.00
Gujarat Alkalies & Chemicals Ltd 5,920 Cr. 806870/556 8172.92 %10.8 %6.81 % 10.0
Industry Average3,035.50 Cr414.750.00418.853.70%12.00%8.46%7.50

Tata Chemicals Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales2,6092,6062,6362,9783,0233,1413,4813,9954,2394,1484,4074,2183,998
Expenses2,2232,1342,3532,3772,5222,5952,8242,9803,3193,3173,4423,1753,179
Operating Profit3864722836015015466571,0159208319651,043819
OPM %15%18%11%20%17%17%19%25%22%20%22%25%20%
Other Income79497410512314310571102308667175
Interest848185818469698086107133123145
Depreciation192185192197200204205213218227234229234
Profit before tax18925580428340416488793718527684758615
Tax %30%21%64%20%21%16%9%20%5%19%-1%23%20%
Net Profit13220129342268350445637680425692587495
EPS in Rs2.776.310.4611.308.6812.2117.1923.1224.6515.3527.8320.8816.80

Tata Chemicals Ltd Quarterly Chart

Tata Chemicals Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales13,81514,71115,88517,20414,87310,34610,27010,33710,35710,20012,62216,78916,771
Expenses11,51413,09615,20015,30512,7778,2496,9268,5388,4118,69310,31712,96913,113
Operating Profit2,3011,6156861,9002,0962,0973,3441,7991,9451,5062,3053,8203,658
OPM %17%11%4%11%14%20%33%17%19%15%18%23%22%
Other Income18296-1541832102932627856,480254486218358
Interest427464579461525297326354342367303406508
Depreciation509534471463526512518568666759806892924
Profit before tax1,383913-5191,1591,2551,5802,7631,6617,4166341,6822,7402,584
Tax %25%33%-56%30%20%22%2%17%3%31%16%11%
Net Profit1,037607-8118021,0061,2342,7021,3877,2284361,4052,4342,199
EPS in Rs32.8715.71-40.5023.4130.2438.9895.4945.37274.9710.0649.3790.9380.86
Dividend Payout %30%64%-25%53%33%28%23%28%4%99%25%19%

Tata Chemicals Ltd Profit & Loss Yearly Chart

Tata Chemicals Ltd Growth

Compounded Sales Growth
10 Years:1%
5 Years:10%
3 Years:17%
TTM:3%
Compounded Profit Growth
10 Years:17%
5 Years:-1%
3 Years:-31%
TTM:-17%
Stock Price CAGR
10 Years:23%
5 Years:30%
3 Years:8%
1 Year:-5%
Return on Equity
10 Years:14%
5 Years:16%
3 Years:8%
Last Year:12%

Tata Chemicals Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital255255255255255255255255255255255255255
Reserves6,0816,1595,3115,2976,6007,65310,84712,08612,64314,03517,99819,46621,148
Borrowings7,0618,3848,3938,3799,0907,0726,1086,1307,7026,9337,0246,2966,048
Other Liabilities5,5365,2886,1276,8728,4028,6078,6488,3987,0737,1158,5668,9238,456
Total Liabilities18,93320,08620,08620,80224,34623,58725,85826,86927,67328,33733,84334,94035,907
Fixed Assets10,75310,70611,00711,35913,28012,64412,78713,55115,35615,26116,04417,09218,172
CWIP5495924681893503334097748351,0941,6682,4102,071
Investments6106004414432,1882,7872,8405,6154,2855,8167,6837,4487,920
Other Assets7,0218,1898,1718,8118,5287,8229,8226,9297,1986,1678,4487,9907,744
Total Assets18,93320,08620,08620,80224,34623,58725,85826,86927,67328,33733,84334,94035,907

Tata Chemicals Ltd Reserves and Borrowings Chart

Tata Chemicals Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 1,2152212,3381,2742,3323,5311,8701,5811,7802,0371,6452,971
Cash from Investing Activity -688-177-563-663-463-9852,714-1,927-2,285-1,147-817-1,149
Cash from Financing Activity -195129-1,865-1,087-1,802-2,341-2,089-1,712-129-1,456-755-2,076
Net Cash Flow333173-91-477682052,494-2,058-634-56573-254

Tata Chemicals Ltd Financial Efficiency Indicators

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days618574738874465156505657
Inventory Days12010196137119244304315347257318282
Days Payable16913311913899232307269302256338289
Cash Conversion Cycle12535272107864397100513550
Working Capital Days-023452375213211-35276342
ROCE %15%10%3%11%11%10%16%9%36%4%8%12%

Tata Chemicals Ltd Financial Efficiency Indicators Chart

Tata Chemicals Ltd Share Holding Pattern

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Promoters37.98%37.98%37.98%37.98%37.98%37.98%37.98%37.98%37.98%37.98%37.98%37.98%
FIIs12.28%14.03%13.02%14.45%13.96%13.62%14.99%14.92%14.43%14.59%14.47%14.16%
DIIs24.63%20.77%19.66%20.02%18.32%19.89%19.14%19.42%18.97%19.77%19.91%20.91%
Government0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%0.03%
Public25.08%27.19%29.31%27.53%29.71%28.48%27.86%27.64%28.60%27.64%27.63%26.92%
No. of Shareholders2,96,2583,98,6935,10,2665,06,3566,34,3586,22,7916,22,1246,14,0166,33,3596,21,4836,55,1666,51,274

Tata Chemicals Ltd Shareholding Pattern Chart

No. of Tata Chemicals Ltd Shareholders

Tata Chemicals Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
HDFC Mid-Cap Opportunities Fund - Regular Plan42600000.79413.41
Kotak Flexicap Fund - Regular Plan37016000.87359.22
Kotak Equity Opportunities Fund - Regular Plan20071341.18194.78
Nippon India Growth Fund15614270.71151.53
DSP Mid Cap Fund13820530.84134.12
Kotak Small Cap Fund - Regular Plan11574520.84112.32
DSP Equity Opportunities Fund8832120.8985.71
HDFC Large and Mid Cap Fund - Regular Plan5080000.3749.3
Kotak ELSS Tax Saver Fund2000000.4419.41
Kotak Multicap Fund1435000.213.93

Tata Chemicals Ltd ROCE Trend

Tata Chemicals Ltd EPS Trend

Tata Chemicals Ltd Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)90.9549.3710.06275.0245.38
Diluted EPS (Rs.)90.9549.3710.06275.0245.38
Cash EPS (Rs.)130.4377.9145.91309.9672.84
Book Value[Excl.RevalReserv]/Share (Rs.)809.49751.80594.25536.12598.69
Book Value[Incl.RevalReserv]/Share (Rs.)809.49751.80594.25536.12598.69
Revenue From Operations / Share (Rs.)658.39495.33400.27406.43405.65
PBDIT / Share (Rs.)158.43100.4968.0988.7085.94
PBIT / Share (Rs.)123.4568.8538.2962.5563.63
PBT / Share (Rs.)107.4556.5323.8749.1352.51
Net Profit / Share (Rs.)95.4546.2716.11283.8150.53
NP After MI And SOA / Share (Rs.)90.8649.3510.06274.9545.36
PBDIT Margin (%)24.0620.2817.0121.8221.18
PBIT Margin (%)18.7513.909.5615.3815.68
PBT Margin (%)16.3211.415.9612.0812.94
Net Profit Margin (%)14.499.344.0269.8212.45
NP After MI And SOA Margin (%)13.809.962.5167.6411.18
Return on Networth / Equity (%)11.746.881.7954.329.36
Return on Capital Employeed (%)10.436.554.087.717.06
Return On Assets (%)6.603.710.9025.304.29
Long Term Debt / Equity (X)0.280.200.360.260.38
Total Debt / Equity (X)0.300.370.380.410.41
Asset Turnover Ratio (%)0.190.160.140.140.15
Current Ratio (X)1.661.231.491.112.05
Quick Ratio (X)1.150.901.110.841.61
Inventory Turnover Ratio (X)0.650.630.500.440.54
Dividend Payout Ratio (NP) (%)13.7220.25109.305.4758.45
Dividend Payout Ratio (CP) (%)9.9012.3427.595.0039.18
Earning Retention Ratio (%)86.2879.75-9.3094.5341.55
Cash Earning Retention Ratio (%)90.1087.6672.4195.0060.82
Interest Coverage Ratio (X)9.958.464.726.616.19
Interest Coverage Ratio (Post Tax) (X)7.044.912.124.023.81
Enterprise Value (Cr.)31130.1031228.9624062.009753.0421068.53
EV / Net Operating Revenue (X)1.852.472.360.942.04
EV / EBITDA (X)7.7112.2013.874.319.62
MarketCap / Net Operating Revenue (X)1.481.971.880.541.45
Retention Ratios (%)86.2779.74-9.3094.5241.54
Price / BV (X)1.261.361.340.441.21
Price / Net Operating Revenue (X)1.481.971.880.541.45
EarningsYield0.090.050.011.230.07

Tata Chemicals Ltd Profitability Ratios (%)

Tata Chemicals Ltd Liquidity Ratios

Tata Chemicals Ltd Liquidity Ratios (%)

Tata Chemicals Ltd Interest Coverage Ratios (%)

Tata Chemicals Ltd Valuation Ratios

Fair Value of Tata Chemicals Ltd Stock

Fair Value: ₹1477.50

The stock is undervalued by 51.38% compared to the current price ₹976

*Investments are subject to market risks

Strength and Weakness of Tata Chemicals Ltd Stock

StrengthWeakness
  1. The stock has a low average Working Capital Days of 27.25, which is a positive sign.
  2. The company has higher reserves (11,178.77 cr) compared to borrowings (7,278.46 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (12.85 cr) and profit (80.54 cr) over the years.
  1. The stock is trading at a high valuation with an average P/B ratio of 71.35 and average Dividend Yield of 14.65%.
  2. The stock has a low average ROCE of 12.08%, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 63.17, which may not be favorable.

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 Tata Chemicals 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