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Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 509243 | NSE: TVSSRICHAK

Fundamental Analysis of TVS Srichakra Ltd

Basic Stock Data

Last Updated: June 12, 2024, 11:18 am

Market Cap 3,302 Cr.
Current Price 4,311
High / Low5,097/2,755
Stock P/E28.9
Book Value 1,452
Dividend Yield0.74 %
ROCE10.9 %
ROE10.7 %
Face Value 10.0
PEG Ratio5.19

Competitors of TVS Srichakra Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Balkrishna Industries Ltd 62,956 Cr. 3,2573,378/2,19442.8 4580.48 %18.0 %17.9 % 2.00
Innovative Tyres & Tubes Ltd 10.7 Cr. 5.9510.2/2.10 0.130.00 %%% 10.0
Birla Tyres Ltd 75.6 Cr. 5.306.01/4.22 88.20.00 %%% 10.0
MRF Ltd 53,108 Cr. 1,25,2541,51,445/98,88025.5 39,3840.14 %16.9 %13.2 % 10.0
JK Tyre & Industries Ltd 10,396 Cr. 399554/18812.9 1720.50 %19.2 %20.4 % 2.00
Industry Average23,845.90 Cr18,842.6116.165,902.900.41%12.94%11.83%6.43

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales602498691677670737834731683702740719765
Expenses523472628636636706751671628642649650688
Operating Profit79266340353183605561916877
OPM %13%5%9%6%5%4%10%8%8%9%12%10%10%
Other Income33102-31063-12-6
Interest6788999101112101013
Depreciation30212220172223242324262728
Profit before tax462341211-352262728543331
Tax %24%32%26%26%30%24%26%24%16%25%28%28%22%
Net Profit3512598-238202221392424
EPS in Rs45.751.4533.0511.7910.47-2.8649.9125.5629.2127.3651.0931.4731.06

Last Updated: June 9, 2024, 9:00 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: May 26, 2024, 1:32 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Sales1,6521,9382,1762,1851,9612,1522,4312,1041,9392,5432,9852,926
Expenses1,5511,7871,9581,8581,6761,8992,1681,8871,7092,3732,7512,629
Operating Profit101150219326284253263217230170234297
OPM %6%8%10%15%14%12%11%10%12%7%8%10%
Other Income332-7235151210544-2
Interest625033222231373933344445
Depreciation252642445669851001048092104
Profit before tax4777137284211169153879859101146
Tax %30%15%29%33%29%31%33%6%24%27%23%26%
Net Profit33659819014811610382744378108
EPS in Rs35.5173.89130.11243.09192.79151.68134.44107.5396.5456.77101.85140.98
Dividend Payout %21%22%26%25%26%26%30%19%31%29%32%34%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)96.97%50.77%93.88%-22.11%-21.62%-11.21%-20.39%-9.76%-41.89%81.40%38.46%
Change in YoY Net Profit Growth (%)0.00%-46.20%43.11%-115.98%0.48%10.41%-9.18%10.63%-32.14%123.29%-42.93%

Growth

Compounded Sales Growth
10 Years:4%
5 Years:4%
3 Years:15%
TTM:-2%
Compounded Profit Growth
10 Years:7%
5 Years:2%
3 Years:16%
TTM:40%
Stock Price CAGR
10 Years:23%
5 Years:18%
3 Years:31%
1 Year:53%
Return on Equity
10 Years:15%
5 Years:9%
3 Years:8%
Last Year:11%

Last Updated: June 13, 2024, 6:55 am

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital8888888888888
Reserves1331542062754045536317217378179631,0271,067
Borrowings402297383274145315312426351208610662703
Other Liabilities367484428414412515475655520590779757596
Total Liabilities9119421,0259709691,3911,4261,8091,6161,6222,3592,4532,373
Fixed Assets248278344382384532620662687666708905981
CWIP22312018446326344863226145152
Investments11014949689797101254255255
Other Assets6406326615694937487111,0167857931,1711,149985
Total Assets9119421,0259709691,3911,4261,8091,6161,6222,3592,4532,373

Reserves and Borrowings Chart

TVS Srichakra Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 80187142444006418564299307-62206
Cash from Investing Activity -1548-89-84-120-215-102-120-136-92-282-202
Cash from Financing Activity 78-15938-158-271149-7952-169-2153480
Net Cash Flow535-3729-35-4-5144

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-196.00-233.00-55.00181.00-31.00-59.00-163.00-134.0022.00-440.00-428.00-545.00

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 Days575062382938415136463427
Inventory Days1249474746313895123135149198161
Days Payable1041157752346750837010210285
Cash Conversion Cycle7728585958109869110193131102
Working Capital Days563042261951476052477247
ROCE %24%16%23%30%50%32%22%18%11%12%7%9%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters45.36%45.36%45.36%45.36%45.36%45.37%45.58%45.70%45.70%45.70%45.70%45.70%
FIIs1.97%2.32%2.31%2.10%1.88%1.41%1.20%1.08%1.01%1.11%1.16%1.02%
DIIs2.97%0.65%0.30%0.03%0.03%0.02%0.05%0.36%0.49%2.77%5.04%5.04%
Public49.70%51.67%52.03%52.51%52.72%53.21%53.17%52.85%52.80%50.41%48.07%48.22%
No. of Shareholders29,99529,74129,52029,26529,25828,05427,05126,68627,24926,66625,38324,964

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Quant Small Cap Fund237,4710.67105.23112,0732024-06-19111.89%
Quant Value Fund112,0734.4549.66112,0732024-06-190%
ITI ELSS Tax Saver Fund7,2891.213.23112,0732024-06-19-93.5%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)140.98101.8556.7796.54107.53
Diluted EPS (Rs.)140.98101.8556.7796.54107.53
Cash EPS (Rs.)276.23221.10160.74231.89238.17
Book Value[Excl.RevalReserv]/Share (Rs.)1450.991349.481266.961076.45972.41
Book Value[Incl.RevalReserv]/Share (Rs.)1450.991349.481266.961076.45972.41
Revenue From Operations / Share (Rs.)3819.843896.833300.522531.612746.40
PBDIT / Share (Rs.)396.13310.83226.24305.30294.36
PBIT / Share (Rs.)260.59191.33122.05169.78163.59
PBT / Share (Rs.)190.61132.4377.18127.64114.14
Net Profit / Share (Rs.)140.68101.5956.5596.37107.40
NP After MI And SOA / Share (Rs.)140.93101.8156.7596.50107.49
PBDIT Margin (%)10.377.976.8512.0510.71
PBIT Margin (%)6.824.903.696.705.95
PBT Margin (%)4.993.392.335.044.15
Net Profit Margin (%)3.682.601.713.803.91
NP After MI And SOA Margin (%)3.682.611.713.813.91
Return on Networth / Equity (%)9.707.544.478.9611.05
Return on Capital Employeed (%)12.0410.076.2212.3612.51
Return On Assets (%)4.003.171.844.555.09
Long Term Debt / Equity (X)0.380.310.370.120.17
Total Debt / Equity (X)0.750.640.620.170.44
Asset Turnover Ratio (%)1.141.241.231.161.20
Current Ratio (X)1.061.061.311.271.19
Quick Ratio (X)0.380.280.360.520.50
Inventory Turnover Ratio (X)2.102.252.562.352.61
Dividend Payout Ratio (NP) (%)0.0016.0052.840.0055.87
Dividend Payout Ratio (CP) (%)0.007.3618.630.0025.20
Earning Retention Ratio (%)0.0084.0047.160.0044.13
Cash Earning Retention Ratio (%)0.0092.6481.370.0074.80
Interest Coverage Ratio (X)6.806.015.487.305.95
Interest Coverage Ratio (Post Tax) (X)3.613.102.463.313.17
Enterprise Value (Cr.)3806.932600.441817.221498.35998.86
EV / Net Operating Revenue (X)1.300.870.710.770.47
EV / EBITDA (X)12.5510.9210.496.414.43
MarketCap / Net Operating Revenue (X)1.020.650.480.700.32
Retention Ratios (%)0.0083.9947.150.0044.12
Price / BV (X)2.691.891.261.650.91
Price / Net Operating Revenue (X)1.020.650.480.700.32
EarningsYield0.030.030.030.050.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 4,523.25

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: 4.92% compared to the current price 4311

Intrinsic Value: 4,775.03

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: 10.76% compared to the current price ₹4311

Last 5 Year EPS CAGR: 5.57%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 21.17%, which is a positive sign.
  2. The company has higher reserves (632.67 cr) compared to borrowings (402.08 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (1.67 cr) and profit (130.75 cr) over the years.
  1. The stock has a high average Working Capital Days of 45.75, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 82.75, 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 TVS Srichakra Ltd:
    1. Net Profit Margin: 3.68%
      • 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: 12.04% (Industry Average ROCE: 12.44%)
      • 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%: 9.70% (Industry Average ROE: 11%)
      • 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): 3.61
      • 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: 0.38
      • 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: 28.9 (Industry average Stock P/E: 22.78)
      • 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: 0.75
      • 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

TVS Srichakra Ltd. is a Public Limited Listed company incorporated on 02/06/1982 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L25111TN1982PLC009414 and registration number is 009414. Currently Company is involved in the business activities of Manufacture of rubber tyres and tubes; retreading and rebuilding of rubber tyres. Company’s Total Operating Revenue is Rs. 2447.36 Cr. and Equity Capital is Rs. 7.66 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Tyres & TubesTVS Building, Madurai Tamil Nadu 625001sec.investorgrievances@eurogriptyres.com
http://www.tvseurogrip.com
Management
NamePosition Held
Mr. R NareshExecutive Vice Chairman
Ms. Shobhana RamachandhranManaging Director
Ms. S V MathangiDirector
Mr. P SrinivasavaradhanDirector
Mr. V RamakrishnanDirector
Mr. H Janardana IyerDirector
Mr. M S ViraraghavanDirector
Mr. Rasesh R DoshiDirector
Mr. S RavichandranDirector

FAQ

What is the latest fair value of TVS Srichakra Ltd?

The latest fair value of TVS Srichakra Ltd is ₹4523.25.

What is the Market Cap of TVS Srichakra Ltd?

The Market Cap of TVS Srichakra Ltd is 3,302 Cr..

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

The current stock price of TVS Srichakra Ltd as on 21 June 2024 is ₹4,311.

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

In FY 2024, the High / Low of TVS Srichakra Ltd stocks is 5,097/2,755.

What is the Stock P/E of TVS Srichakra Ltd?

The Stock P/E of TVS Srichakra Ltd is 28.9.

What is the Book Value of TVS Srichakra Ltd?

The Book Value of TVS Srichakra Ltd is 1,452.

What is the Dividend Yield of TVS Srichakra Ltd?

The Dividend Yield of TVS Srichakra Ltd is 0.74 %.

What is the ROCE of TVS Srichakra Ltd?

The ROCE of TVS Srichakra Ltd is 10.9 %.

What is the ROE of TVS Srichakra Ltd?

The ROE of TVS Srichakra Ltd is 10.7 %.

What is the Face Value of TVS Srichakra Ltd?

The Face Value of TVS Srichakra 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 TVS Srichakra 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