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Last Updated on: 05 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Tata Metaliks Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 3, 2024, 10:01 pm

Market Cap 3,507 Cr.
Current Price 1,111
High / Low1,131/892
Stock P/E30.8
Book Value 510
Dividend Yield0.00 %
ROCE7.91 %
ROE5.18 %
Face Value 10.0
PEG Ratio-3.27

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

View Share Price Target for Tata Metaliks Ltd

Competitors of Tata Metaliks Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Industry Average0 Cr0000%0.59%0.49%0

All Competitor Stocks of Tata Metaliks Ltd

Quarterly Result

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales520526661603645690808666877790926650755
Expenses410400518450545622751642836751833615665
Operating Profit1091261431531006857244139933590
OPM %21%24%22%25%15%10%7%4%5%5%10%5%12%
Other Income22333338352433
Interest5466667771091110
Depreciation16151616161515181919222122
Profit before tax901091241358150732201267662
Tax %9%31%39%30%32%29%28%29%29%23%17%26%28%
Net Profit82757595553652114956544
EPS in Rs25.9523.7923.7329.9717.2811.2816.600.394.523.0017.581.4413.97

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales1,1338641,1611,0981,3901,4101,8952,1552,0511,9172,7463,2603,121
Expenses1,2388761,0679441,1731,1841,6171,8491,7651,5272,3663,0612,864
Operating Profit-105-1294154217226277306285390379198257
OPM %-9%-1%8%14%16%16%15%14%14%20%14%6%8%
Other Income27-6-20-011208168471413
Interest31202734473948443525263440
Depreciation16161613333649586567627784
Profit before tax-125-5532107138152200212201306339101147
Tax %28%-0%-21%22%19%23%21%14%18%28%30%20%
Net Profit-91-55398411211615918216622023781114
EPS in Rs-35.83-21.5715.2633.0844.4045.8962.9564.7659.0969.6175.2025.5136.02
Dividend Payout %-0%-0%-0%-0%5%5%5%5%4%6%11%20%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)39.56%170.91%115.38%33.33%3.57%37.07%14.47%-8.79%32.53%7.73%-65.82%
Change in YoY Net Profit Growth (%)0.00%131.35%-55.52%-82.05%-29.76%33.50%-22.60%-23.26%41.32%-24.80%-73.55%

Tata Metaliks Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2012-2013 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:14%
5 Years:11%
3 Years:17%
TTM:3%
Compounded Profit Growth
10 Years:15%
5 Years:-13%
3 Years:-21%
TTM:39%
Stock Price CAGR
10 Years:22%
5 Years:13%
3 Years:4%
1 Year:22%
Return on Equity
10 Years:%
5 Years:16%
3 Years:13%
Last Year:5%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital25252525252525282832323232
Reserves-4-58-2063741823336838351,2681,4941,5481,580
Borrowings54245534531441054047542302160148145142
Other Liabilities107310332302350319291629529402676781734
Total Liabilities6717326837048591,0661,1251,3821,6951,8622,3492,5062,487
Fixed Assets1881522262003535905866306687931,0051,1821,247
CWIP26114308834243198134233164190
Investments1029913413400100100601000
Other Assets3553673203704194425057219189361,0511,0601,051
Total Assets6717326837048591,0661,1251,3821,6951,8622,3492,5062,487

Reserves and Borrowings Chart

Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -271541827991771963757028147092
Cash from Investing Activity -72-100-15-21-79-125-70-87-146-279-3815
Cash from Financing Activity 170-125-152-72-1349-125-262156-70-56-68
Net Cash Flow70-7016-15-1012580-683328

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-647.00-467.00-251.00-160.00-193.00-314.00-198.00264.00-17.00230.00231.0053.00

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 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days145148724549414750472834
Inventory Days468735366889678611715410294
Days Payable2512710612614295661321181029688
Cash Conversion Cycle3512-24-18-284341248993440
Working Capital Days30-21-37-19-21-24281549933924
ROCE %-18%-4%21%38%41%30%31%32%25%25%21%8%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters60.03%60.03%60.03%60.03%60.03%60.03%60.03%60.03%60.03%60.03%60.03%60.03%
FIIs0.95%1.94%1.12%1.02%0.92%0.91%1.49%1.45%4.19%3.53%3.44%3.83%
DIIs13.21%11.57%10.48%10.51%9.45%8.96%8.81%8.63%6.81%6.72%6.75%6.37%
Government0.79%0.79%0.79%0.79%0.79%0.79%0.79%0.79%0.79%0.79%0.79%0.79%
Public25.02%25.67%27.58%27.64%28.80%29.31%28.86%29.08%28.18%28.93%28.98%28.98%
No. of Shareholders64,13177,9651,01,9381,10,0431,16,2081,19,9341,22,8551,17,0281,09,3741,06,0621,19,7511,12,035

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Small Cap Fund - Regular Plan1,954,8640.76175.7212,5252024-11-0215507.7%
Bandhan Emerging Businesses Fund103,2920.429.2812,5252024-11-02724.69%
Motilal Oswal Nifty Microcap 250 Index Fund12,5250.241.1312,5252024-11-020%
Groww Nifty Total Market Index Fund280.01012,5252024-11-02-99.78%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 16Mar 15Mar 14Mar 13Mar 12
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)44.5143.163.75-34.45-44.87
Diluted EPS (Rs.)44.5143.163.75-34.45-44.87
Cash EPS (Rs.)61.6055.3916.04-33.88-42.82
Book Value[Excl.RevalReserv]/Share (Rs.)36.79-4.97-47.36-51.10-6.06
Book Value[Incl.RevalReserv]/Share (Rs.)36.79-4.97-47.36-51.10-6.06
Revenue From Operations / Share (Rs.)514.50560.97563.31393.31484.90
PBDIT / Share (Rs.)87.0381.5938.513.46-40.93
PBIT / Share (Rs.)73.9969.3626.22-7.71-51.59
PBT / Share (Rs.)59.0552.321.12-45.04-67.27
Net Profit / Share (Rs.)48.5643.163.75-45.04-53.48
NP After MI And SOA / Share (Rs.)48.5643.163.75-34.45-44.87
PBDIT Margin (%)16.9114.546.830.87-8.44
PBIT Margin (%)14.3812.364.65-1.95-10.63
PBT Margin (%)11.479.320.19-11.45-13.87
Net Profit Margin (%)9.437.690.66-11.45-11.02
NP After MI And SOA Margin (%)9.437.690.66-8.75-9.25
Return on Networth / Equity (%)131.99-868.55-7.910.000.00
Return on Capital Employeed (%)67.3779.8257.64-12.08-57.13
Return On Assets (%)14.2414.981.28-10.20-13.85
Long Term Debt / Equity (X)0.78-9.73-1.04-1.38-3.10
Total Debt / Equity (X)2.23-13.85-2.22-3.34-12.57
Asset Turnover Ratio (%)1.241.531.501.121.53
Current Ratio (X)0.620.540.450.510.59
Quick Ratio (X)0.410.340.260.200.28
Inventory Turnover Ratio (X)6.737.665.404.245.22
Dividend Payout Ratio (NP) (%)6.920.000.000.000.00
Dividend Payout Ratio (CP) (%)5.450.000.000.000.00
Earning Retention Ratio (%)93.080.000.000.000.00
Cash Earning Retention Ratio (%)94.550.000.000.000.00
Interest Coverage Ratio (X)5.824.992.280.22-2.61
Interest Coverage Ratio (Post Tax) (X)4.263.681.71-0.50-2.41
Enterprise Value (Cr.)550.80572.99475.84631.78742.26
EV / Net Operating Revenue (X)0.420.400.330.630.60
EV / EBITDA (X)2.502.784.8972.30-7.17
MarketCap / Net Operating Revenue (X)0.180.210.090.100.13
Retention Ratios (%)93.070.000.000.000.00
Price / BV (X)2.64-24.07-1.10-0.84-3.96
Price / Net Operating Revenue (X)0.180.210.090.100.13
EarningsYield0.500.360.07-0.80-0.68

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Tata Metaliks Ltd as of November 5, 2024 is: 829.95

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 5, 2024, Tata Metaliks Ltd is Overvalued by 25.30% compared to the current share price ₹1,111.00

Intrinsic Value of Tata Metaliks Ltd as of November 5, 2024 is: 751.72

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 5, 2024, Tata Metaliks Ltd is Overvalued by 32.34% compared to the current share price ₹1,111.00

Last 5 Year EPS CAGR: -9.43%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 20.83%, which is a positive sign.
  2. The stock has a low average Working Capital Days of 13.00, which is a positive sign.
  3. The company has higher reserves (613.69 cr) compared to borrowings (309.23 cr), indicating strong financial stability.
  4. The company has shown consistent growth in sales (67.92 cr) and profit (135.00 cr) over the years.
  1. The stock has a high average Cash Conversion Cycle of 23.67, 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 Tata Metaliks Ltd:
    1. Net Profit Margin: 9.43%
      • 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: 67.37% (Industry Average ROCE: 0.59%)
      • 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%: 131.99% (Industry Average ROE: 0.49%)
      • 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: 0.41
      • 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: 30.8 (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: 2.23
      • 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

Tata Metaliks Ltd. is a Public Limited Listed company incorporated on 10/10/1990 and has its registered office in the State of West Bengal, India. Company’s Corporate Identification Number(CIN) is L27310WB1990PLC050000 and registration number is 050000. Currently Company is involved in the business activities of Manufacture of pig iron and spiegeleisen in pigs, blocks or other primary forms. Company’s Total Operating Revenue is Rs. 2745.53 Cr. and Equity Capital is Rs. 31.58 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Steel - Pig IronTata Centre, 10th Floor Kolkata West Bengal 700071investors@tatametaliks.co.in
http://www.tatametaliks.com
Management
NamePosition Held
Mr. Koushik ChatterjeeNon Executive Chairman
Mr. Alok KrishnaManaging Director
Ms. Samita ShahNon Exe.Non Ind.Director
Mr. Sanjiv PaulNon Exe.Non Ind.Director
Mr. Krishnava Satyaki DuttIndependent Director
Dr. Pingali VenugopalIndependent Director
Dr. Rupali BasuIndependent Director
Mr. Ravindra PandeyIndependent Director

FAQ

What is the latest fair value of Tata Metaliks Ltd?

The latest fair value of Tata Metaliks Ltd is ₹829.95.

What is the Market Cap of Tata Metaliks Ltd?

The Market Cap of Tata Metaliks Ltd is 3,507 Cr..

What is the current Stock Price of Tata Metaliks Ltd as on 04 November 2024?

The current stock price of Tata Metaliks Ltd as on 04 November 2024 is 1,111.

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

In FY 2024, the High / Low of Tata Metaliks Ltd stocks is 1,131/892.

What is the Stock P/E of Tata Metaliks Ltd?

The Stock P/E of Tata Metaliks Ltd is 30.8.

What is the Book Value of Tata Metaliks Ltd?

The Book Value of Tata Metaliks Ltd is 510.

What is the Dividend Yield of Tata Metaliks Ltd?

The Dividend Yield of Tata Metaliks Ltd is 0.00 %.

What is the ROCE of Tata Metaliks Ltd?

The ROCE of Tata Metaliks Ltd is 7.91 %.

What is the ROE of Tata Metaliks Ltd?

The ROE of Tata Metaliks Ltd is 5.18 %.

What is the Face Value of Tata Metaliks Ltd?

The Face Value of Tata Metaliks 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 Tata Metaliks 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