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Last Updated on: 23 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Ujjivan Financial Services Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: August 8, 2024, 10:42 pm

Market Cap 7,179 Cr.
Current Price 590
High / Low615/463
Stock P/E8.75
Book Value 299
Dividend Yield0.59 %
ROCE10.3 %
ROE32.1 %
Face Value 10.0
PEG Ratio0.37

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

View Share Price Target for Ujjivan Financial Services Ltd

Competitors of Ujjivan Financial Services Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Nam Securities Ltd 85.7 Cr. 159198/59.3238 21.20.00 %4.16 %3.05 % 10.0
Naperol Investments Ltd 828 Cr. 1,4412,041/801845 3,2040.00 %0.08 %0.05 % 10.0
Inani Securities Ltd 14.1 Cr. 31.042.0/20.59.75 42.20.00 %10.6 %6.92 % 10.0
HCKK Ventures Ltd 43.5 Cr. 117154/77.4241 11.50.00 %8.17 %6.44 % 10.0
HB Portfolio Ltd 108 Cr. 101177/54.314.6 2790.99 %3.34 %2.90 % 10.0
Industry Average7,266.37 Cr2,238.6976.495,594.830.28%15.23%17.14%7.45

All Competitor Stocks of Ujjivan Financial Services Ltd

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales7727177007367088501,0081,0401,1441,2311,3751,4961,576
Expenses1,156281564521677409327285365516510530600
Operating Profit-38543613721532441680754779716865966976
OPM %-50%61%20%29%4%52%68%73%68%58%63%65%62%
Other Income201636-4244150605097816259
Interest262275266262261282313337391453499572617
Depreciation36624040383839404342394249
Profit before tax-663114-133-91-243163380437396318408414370
Tax %-26%26%-25%-25%-25%27%22%28%25%27%27%25%24%
Net Profit-49184-99-68-182119295315298232298309281
EPS in Rs-33.595.76-6.79-4.66-12.438.1320.2221.1218.1113.7418.0718.5617.07

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales1,3931,5161,9572,8643,0722,9954,5565,678
Expenses5218571,0221,2732,2092,1701,4922,155
Operating Profit8726599351,5918638253,0643,523
OPM %63%43%48%56%28%28%67%62%
Other Income5285710510997122299
Interest5436027271,1151,1211,0711,4932,141
Depreciation134161166170155163172
Profit before tax32245204416-319-3041,5311,509
Tax %35%42%26%28%-25%-24%26%
Net Profit20826150299-239-2301,1401,120
EPS in Rs17.392.1512.4123.21-16.33-15.7573.1967.44
Dividend Payout %5%23%10%3%0%0%7%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-87.50%476.92%99.33%-179.93%3.77%595.65%
Change in YoY Net Profit Growth (%)0.00%564.42%-377.59%-279.27%183.70%591.89%

Ujjivan Financial Services Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 6 years from 2017-2018 to 2022-2023.

Growth

Compounded Sales Growth
10 Years:%
5 Years:25%
3 Years:17%
TTM:40%
Compounded Profit Growth
10 Years:%
5 Years:103%
3 Years:47%
TTM:0%
Stock Price CAGR
10 Years:%
5 Years:14%
3 Years:60%
1 Year:8%
Return on Equity
10 Years:%
5 Years:8%
3 Years:6%
Last Year:32%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital119121121122122122122122
Reserves1,6361,6111,7572,7182,3912,2013,1023,515
Borrowings6,3927,62511,84215,20416,79921,07330,77634,774
Other Liabilities3311653066688951,0271,4871,918
Total Liabilities8,4799,52214,02618,71120,20724,42335,48640,329
Fixed Assets137194282799718666684760
CWIP34221561831
Investments1,4471,2441,5482,4292,5524,2158,60411,037
Other Assets6,8928,08012,19415,46216,93219,53626,18128,502
Total Assets8,4799,52214,02618,71120,20724,42335,48640,329

Reserves and Borrowings Chart

Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity +-5832,190-3,248-2,4641,6122,8262,073
Cash from Investing Activity +-1,559113-448-1,087-215-1,785-4,554
Cash from Financing Activity +2,409-2,4414,1983,812-803-8192,640
Net Cash Flow267-137503261594222159

Free Cash Flow

MonthMar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow866.00652.00924.00-14.00847.00804.00-27.00

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 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days1,122000000
Inventory Days
Days Payable
Cash Conversion Cycle1,122000000
Working Capital Days162-39-40-31-38-58-21
ROCE %7%8%10%4%4%10%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
FIIs22.94%26.17%26.65%28.22%30.71%30.65%31.91%31.15%40.48%36.47%34.98%35.34%
DIIs18.19%13.74%12.69%12.43%10.67%1.27%1.09%2.13%3.86%6.03%7.44%7.36%
Public58.87%60.09%60.66%59.35%58.62%68.10%66.98%66.71%55.64%57.50%57.58%57.30%
No. of Shareholders1,10,8181,19,6851,20,5431,14,9951,05,91694,69084,83583,66680,74381,70196,17096,524

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Sundaram Services Fund1,244,7122.270.92823,2942024-11-2151.19%
Sundaram Small Cap Fund1,219,0752.2769.46823,2942024-11-2148.07%
Sundaram Financial Services Opportunities Fund840,4774.1947.89823,2942024-11-212.09%
Sundaram Financial Services Opportunities Fund - Institutional Plan840,4774.1947.89823,2942024-11-212.09%
Mahindra Manulife Small Cap Fund823,2941.3446.91823,2942024-11-210%
Sundaram Long Term Micro Cap Tax Advantage Fund - Series III21,9591.51.25823,2942024-11-21-97.33%
Groww ELSS Tax Saver Fund17,3862.290.99823,2942024-11-21-97.89%
Sundaram Long Term Micro Cap Tax Advantage Fund - Series VI10,8681.490.62823,2942024-11-21-98.68%
Sundaram Long Term Micro Cap Tax Advantage Fund - Series IV10,6541.520.61823,2942024-11-21-98.71%
Sundaram Long Term Tax Advantage Fund - Series III9,7291.490.55823,2942024-11-21-98.82%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)73.20-15.76-16.3423.2512.43
Diluted EPS (Rs.)73.20-15.76-16.3423.212.38
Cash EPS (Rs.)107.09-6.20-5.6938.2117.42
Book Value[Excl.RevalReserv]/Share (Rs.)348.64223.73242.51260.74154.97
Book Value[Incl.RevalReserv]/Share (Rs.)348.64223.73242.51260.74154.97
Revenue From Operations / Share (Rs.)363.36246.15252.02235.17160.46
PBDIT / Share (Rs.)261.8975.7979.86139.5481.85
PBIT / Share (Rs.)248.5263.0465.89125.8976.85
PBT / Share (Rs.)125.81-24.98-26.2534.2016.84
Net Profit / Share (Rs.)93.71-18.94-19.6524.5612.42
NP After MI And SOA / Share (Rs.)73.20-15.75-16.3423.2112.42
PBDIT Margin (%)72.0730.7831.6859.3351.00
PBIT Margin (%)68.3925.6126.1453.5247.89
PBT Margin (%)34.62-10.14-10.4114.5410.49
Net Profit Margin (%)25.79-7.69-7.7910.447.73
NP After MI And SOA Margin (%)20.14-6.40-6.489.877.73
Return on Networth / Equity (%)27.63-8.25-7.479.948.01
Return on Capital Employeed (%)10.043.654.9811.009.96
Return On Assets (%)2.51-0.78-0.981.501.07
Long Term Debt / Equity (X)7.967.814.913.753.95
Total Debt / Equity (X)9.398.866.135.146.31
Asset Turnover Ratio (%)0.010.000.000.000.00
Current Ratio (X)6.396.714.623.692.91
Quick Ratio (X)6.396.714.623.692.91
Dividend Payout Ratio (NP) (%)6.500.00-4.891.9310.86
Dividend Payout Ratio (CP) (%)5.490.00-33.711.217.74
Earning Retention Ratio (%)93.500.00104.8998.0789.14
Cash Earning Retention Ratio (%)94.510.00133.7198.7992.26
Interest Coverage Ratio (X)2.130.860.861.521.36
Interest Coverage Ratio (Post Tax) (X)1.760.780.781.271.21
Enterprise Value (Cr.)31933.3420025.6316530.6815401.3914960.93
EV / Net Operating Revenue (X)7.226.695.395.397.69
EV / EBITDA (X)10.0221.7217.029.0815.09
MarketCap / Net Operating Revenue (X)0.700.410.830.632.17
Retention Ratios (%)93.490.00104.8998.0689.13
Price / BV (X)0.960.530.960.632.25
Price / Net Operating Revenue (X)0.700.410.830.632.17
EarningsYield0.28-0.15-0.070.150.03

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Ujjivan Financial Services Ltd as of November 23, 2024 is: 844.77

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 23, 2024, Ujjivan Financial Services Ltd is Undervalued by 43.18% compared to the current share price 590.00

Intrinsic Value of Ujjivan Financial Services Ltd as of November 23, 2024 is: 1,045.65

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 23, 2024, Ujjivan Financial Services Ltd is Undervalued by 77.23% compared to the current share price 590.00

Last 5 Year EPS CAGR: 23.78%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -9.29, which is a positive sign.
  2. The company has shown consistent growth in sales (2.38 cr) and profit (45.75 cr) over the years.
  1. The stock has a low average ROCE of 6.14%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 0.14, which may not be favorable.
  3. The company has higher borrowings (18,060.63) compared to reserves (2,366.38), which may suggest financial risk.

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 Ujjivan Financial Services Ltd:
    1. Net Profit Margin: 25.79%
      • 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: 10.04% (Industry Average ROCE: 15.23%)
      • 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%: 27.63% (Industry Average ROE: 17.14%)
      • 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): 1.76
      • 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: 6.39
      • 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: 8.75 (Industry average Stock P/E: 76.49)
      • 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: 9.39
      • 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

Ujjivan Financial Services Ltd. is a Public Limited Listed company incorporated on 28/12/2004 and has its registered office in the State of Karnataka, India. Company’s Corporate Identification Number(CIN) is L65999KA2004PLC035329 and registration number is 035329. Currently Company is involved in the business activities of Activities of holding companies. Company’s Total Operating Revenue is Rs. 0.00 Cr. and Equity Capital is Rs. 121.68 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Non-Banking Financial Company (NBFC)Grape Garden, No. 27, Bengaluru Karnataka 560095compliance@ujjivanfin.com
http://www.ujjivan.com
Management
NamePosition Held
Mr. Samit GhoshChairman & Non-Exe.Director
Mr. Anand NarayanNon Executive Director
Ms. Mona KachhwahaInd. Non-Executive Director
Mr. Sunil Vinayak PatelInd. Non-Executive Director
Mr. K R RamamoorthyInd. Non-Executive Director
Mr. Renzo Christopher ViegasInd. Non-Executive Director

FAQ

What is the latest intrinsic value of Ujjivan Financial Services Ltd?

The latest intrinsic value of Ujjivan Financial Services Ltd as on 23 November 2024 is ₹844.77, which is 43.18% higher than the current market price of ₹590.00.

What is the Market Cap of Ujjivan Financial Services Ltd?

The Market Cap of Ujjivan Financial Services Ltd is 7,179 Cr..

What is the current Stock Price of Ujjivan Financial Services Ltd as on 23 November 2024?

The current stock price of Ujjivan Financial Services Ltd as on 23 November 2024 is 590.

What is the High / Low of Ujjivan Financial Services Ltd stocks in FY 2024?

In FY 2024, the High / Low of Ujjivan Financial Services Ltd stocks is 615/463.

What is the Stock P/E of Ujjivan Financial Services Ltd?

The Stock P/E of Ujjivan Financial Services Ltd is 8.75.

What is the Book Value of Ujjivan Financial Services Ltd?

The Book Value of Ujjivan Financial Services Ltd is 299.

What is the Dividend Yield of Ujjivan Financial Services Ltd?

The Dividend Yield of Ujjivan Financial Services Ltd is 0.59 %.

What is the ROCE of Ujjivan Financial Services Ltd?

The ROCE of Ujjivan Financial Services Ltd is 10.3 %.

What is the ROE of Ujjivan Financial Services Ltd?

The ROE of Ujjivan Financial Services Ltd is 32.1 %.

What is the Face Value of Ujjivan Financial Services Ltd?

The Face Value of Ujjivan Financial Services 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 Ujjivan Financial Services 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