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Last Updated on: 08 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

The Anup Engineering Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 8, 2024, 12:45 pm

Market Cap 7,254 Cr.
Current Price 3,626
High / Low3,681/1,226
Stock P/E141
Book Value 275
Dividend Yield0.43 %
ROCE16.8 %
ROE12.4 %
Face Value 10.0
PEG Ratio11.71

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

View Share Price Target for The Anup Engineering Ltd

Competitors of The Anup Engineering Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
HLE Glascoat Ltd 2,592 Cr. 381582/35091.4 61.00.29 %13.1 %8.62 % 2.00
Harish Textile Engineers Ltd 32.4 Cr. 97.097.3/42.7 27.80.00 %10.8 %2.98 % 10.0
Disa India Ltd 2,705 Cr. 18,60020,900/12,60061.2 1,6911.08 %25.9 %19.2 % 10.0
Cranex Ltd 98.4 Cr. 164190/37.262.7 18.00.00 %10.1 %14.9 % 10.0
Concord Control Systems Ltd 1,011 Cr. 1,6902,062/53878.9 77.20.00 %72.8 %60.3 % 10.0
Industry Average13,694.13 Cr2,077.1998.41267.800.25%20.32%16.23%5.59

All Competitor Stocks of The Anup Engineering Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Jun 2024
Sales2913352894710052101114144125140146
Expenses23973966367642809211497108113
Operating Profit735132311249202330283133
OPM %23%27%24%25%23%24%18%20%20%21%22%22%23%
Other Income1101020000023
Interest0000010010001
Depreciation3333333334345
Profit before tax53310208237181927252929
Tax %-85%17%20%23%26%-42%21%26%27%27%26%26%17%
Net Profit9288166325131419192224
EPS in Rs4.4713.984.017.953.0616.342.616.537.019.839.3710.9712.07

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2020Mar 2021Mar 2022Mar 2023TTM
Sales245279288411524
Expenses176209217327411
Operating Profit70707184112
OPM %28%25%25%20%21%
Other Income43413
Interest22231
Depreciation911121314
Profit before tax63616170100
Tax %32%13%-2%27%
Net Profit4354625174
EPS in Rs21.0627.1731.3425.9737.18
Dividend Payout %17%13%13%29%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2020-20212021-20222022-2023
YoY Net Profit Growth (%)25.58%14.81%-17.74%
Change in YoY Net Profit Growth (%)0.00%-10.77%-32.56%

The Anup Engineering Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 3 years from 2020-2021 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:%
5 Years:%
3 Years:19%
TTM:43%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:7%
TTM:-17%
Stock Price CAGR
10 Years:%
5 Years:69%
3 Years:88%
1 Year:191%
Return on Equity
10 Years:%
5 Years:%
3 Years:15%
Last Year:12%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital1010101010
Reserves313327384428454
Borrowings0003445
Other Liabilities9994132171179
Total Liabilities422431525643688
Fixed Assets171212203217309
CWIP12231878
Investments4400089
Other Assets194217292338282
Total Assets422431525643688

Reserves and Borrowings Chart

Cash Flow

MonthMar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 32537430
Cash from Investing Activity -15-12-61-33
Cash from Financing Activity -16-38-725
Net Cash Flow13622

Free Cash Flow

MonthMar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow70.0070.0071.0050.00

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 2020Mar 2021Mar 2022Mar 2023
Debtor Days96144158132
Inventory Days351165235209
Days Payable7766113108
Cash Conversion Cycle370242280232
Working Capital Days158146137127
ROCE %19%17%17%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters43.04%43.04%43.04%43.04%43.05%42.98%42.98%42.93%42.91%42.91%42.74%41.24%
FIIs2.13%2.13%1.76%1.78%1.78%1.76%2.52%2.35%1.14%0.75%0.86%1.18%
DIIs12.12%13.16%13.25%11.64%10.68%10.35%10.36%11.53%11.42%11.09%10.74%11.06%
Public42.70%41.67%41.94%43.53%44.47%44.89%44.12%43.17%44.53%45.25%45.66%46.53%
No. of Shareholders93,59590,64491,95291,14789,76288,24485,49283,01284,15983,75585,43892,381

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
HDFC Retirement Savings Fund - Equity - Regular Plan169,0671.0545.99130,3342024-10-2729.72%
HDFC Defence Fund130,3341.9235.45130,3342024-10-270%
HDFC Retirement Savings Fund - Hybrid Equity - Regular Plan30,3010.658.24130,3342024-10-27-76.75%
HDFC Retirement Savings Fund - Hybrid Debt - Regular Plan2,0000.370.56130,3342024-10-27-98.47%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.00
Basic EPS (Rs.)52.0162.8352.5142.13
Diluted EPS (Rs.)51.6862.8352.1141.97
Cash EPS (Rs.)64.6474.5365.1350.87
Book Value[Excl.RevalReserv]/Share (Rs.)442.27398.14342.94316.60
Book Value[Incl.RevalReserv]/Share (Rs.)442.27398.14342.94316.60
Revenue From Operations / Share (Rs.)415.65291.71283.92240.66
PBDIT / Share (Rs.)84.8374.6373.5671.26
PBIT / Share (Rs.)72.1662.9062.8762.51
PBT / Share (Rs.)70.7361.8662.5261.77
Net Profit / Share (Rs.)51.9762.8054.4442.13
NP After MI And SOA / Share (Rs.)51.9762.8054.4442.13
PBDIT Margin (%)20.4025.5825.9029.60
PBIT Margin (%)17.3521.5622.1425.97
PBT Margin (%)17.0121.2022.0225.66
Net Profit Margin (%)12.5021.5219.1717.50
NP After MI And SOA Margin (%)12.5021.5219.1717.50
Return on Networth / Equity (%)11.7515.7715.8713.30
Return on Capital Employeed (%)14.8815.3317.6718.86
Return On Assets (%)7.9911.8112.4210.18
Long Term Debt / Equity (X)0.060.000.000.00
Total Debt / Equity (X)0.070.000.000.00
Asset Turnover Ratio (%)0.720.600.650.00
Current Ratio (X)2.052.342.672.57
Quick Ratio (X)1.271.591.841.31
Inventory Turnover Ratio (X)2.152.071.620.00
Dividend Payout Ratio (NP) (%)15.3711.1113.3516.61
Dividend Payout Ratio (CP) (%)12.359.3611.1613.76
Earning Retention Ratio (%)84.6388.8986.6583.39
Cash Earning Retention Ratio (%)87.6590.6488.8486.24
Interest Coverage Ratio (X)59.6171.49209.9795.77
Interest Coverage Ratio (Post Tax) (X)37.5261.16156.4157.62
Enterprise Value (Cr.)996.51732.96536.67315.63
EV / Net Operating Revenue (X)2.422.541.921.29
EV / EBITDA (X)11.879.947.424.34
MarketCap / Net Operating Revenue (X)2.422.732.011.29
Retention Ratios (%)84.6288.8886.6483.38
Price / BV (X)2.272.001.660.98
Price / Net Operating Revenue (X)2.422.732.011.29
EarningsYield0.050.070.090.13

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of The Anup Engineering Ltd as of November 8, 2024 is: 4,828.77

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 8, 2024, The Anup Engineering Ltd is Undervalued by 33.17% compared to the current share price ₹3,626.00

Intrinsic Value of The Anup Engineering Ltd as of November 8, 2024 is: 5,410.12

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 8, 2024, The Anup Engineering Ltd is Undervalued by 49.20% compared to the current share price ₹3,626.00

Last 5 Year EPS CAGR: 12.04%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The company has higher reserves (381.20 cr) compared to borrowings (15.80 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (349.40 cr) and profit (71.00 cr) over the years.
  1. The stock has a low average ROCE of 13.25%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 142.00, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 281.00, 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 The Anup Engineering Ltd:
    1. Net Profit Margin: 12.5%
      • 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: 14.88% (Industry Average ROCE: 20.32%)
      • 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%: 11.75% (Industry Average ROE: 16.23%)
      • 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): 37.52
      • 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: 1.27
      • 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: 141 (Industry average Stock P/E: 98.41)
      • 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: 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 - Qualitative Analysis

The Anup Engineering Ltd. is a Public Limited Listed company incorporated on 14/09/2017 and has its registered office in the State of Gujarat, India. Company’s Corporate Identification Number(CIN) is L29306GJ2017PLC099085 and registration number is 099085. Currently Company is involved in the business activities of Manufacture of machinery for metallurgy. Company’s Total Operating Revenue is Rs. 288.24 Cr. and Equity Capital is Rs. 9.88 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Engineering - HeavyBehind 66 KV Electric Sub Station, Odhav Road, Ahmedabad Gujarat 382415investorconnect@anupengg.com
http://www.anupengg.com
Management
NamePosition Held
Mr. Sanjay S LalbhaiChairman & Non-Exe.Director
Mr. Punit S LalbhaiVice Chairman & Non Exe.Dire
Mr. Samvegbhai LalbhaiNon Executive Director
Mr. Arpit PatelIndependent Director
Ms. Reena BhagwatiIndependent Director
Mr. Ganpatraj ChowdharyIndependent Director
Mr. Dhinal ShahIndependent Director
Mr. Gokul JaykrishnaIndependent Director

FAQ

What is the latest fair value of The Anup Engineering Ltd?

The latest fair value of The Anup Engineering Ltd is ₹4828.77.

What is the Market Cap of The Anup Engineering Ltd?

The Market Cap of The Anup Engineering Ltd is 7,254 Cr..

What is the current Stock Price of The Anup Engineering Ltd as on 08 November 2024?

The current stock price of The Anup Engineering Ltd as on 08 November 2024 is 3,626.

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

In FY 2024, the High / Low of The Anup Engineering Ltd stocks is 3,681/1,226.

What is the Stock P/E of The Anup Engineering Ltd?

The Stock P/E of The Anup Engineering Ltd is 141.

What is the Book Value of The Anup Engineering Ltd?

The Book Value of The Anup Engineering Ltd is 275.

What is the Dividend Yield of The Anup Engineering Ltd?

The Dividend Yield of The Anup Engineering Ltd is 0.43 %.

What is the ROCE of The Anup Engineering Ltd?

The ROCE of The Anup Engineering Ltd is 16.8 %.

What is the ROE of The Anup Engineering Ltd?

The ROE of The Anup Engineering Ltd is 12.4 %.

What is the Face Value of The Anup Engineering Ltd?

The Face Value of The Anup Engineering 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 The Anup 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