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Last Updated on: 11 October, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo
Stock Ticker - BSE: 532953 | NSE: VGUARD

V-Guard Industries Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: October 10, 2024, 11:27 pm

Market Cap 19,212 Cr.
Current Price 442
High / Low577/282
Stock P/E74.0
Book Value 40.7
Dividend Yield0.32 %
ROCE16.1 %
ROE13.8 %
Face Value 1.00
PEG Ratio14.19

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

View Share Price Target for V-Guard Industries Ltd

Competitors of V-Guard Industries Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Hawkins Cookers Ltd 4,653 Cr. 8,7969,099/5,81040.8 6311.36 %44.5 %36.0 % 10.0
Harsha Engineers International Ltd 4,525 Cr. 497614/36033.4 1370.20 %13.4 %10.6 % 10.0
Gorani Industries Ltd 57.6 Cr. 108209/86.838.2 23.30.00 %12.2 %11.5 % 10.0
Eureka Forbes Ltd 11,176 Cr. 578600/397100 2170.00 %3.46 %2.45 % 10.0
V-Guard Industries Ltd 19,212 Cr. 442577/28274.0 40.70.32 %16.1 %13.8 % 1.00
Industry Average11,288.40 Cr1,646.7369.39188.900.38%14.59%11.60%6.09

All Competitor Stocks of V-Guard Industries Ltd

Quarterly Result

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Sales5619039611,0501,0109819791,0811,1481,0721,0781,2621,415
Expenses5178098769399289109189941,0599929931,1621,287
Operating Profit43948511182716186888085100128
OPM %8%10%9%11%8%7%6%8%8%7%8%8%9%
Other Income4333536211142257
Interest131222210119998
Depreciation11111312131416161716171717
Profit before tax3582721007258496272686299110
Tax %29%28%28%10%25%26%26%25%26%24%24%20%26%
Net Profit25595291544336465352477982
EPS in Rs0.571.371.222.101.251.000.831.071.231.201.071.821.88

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales1,3511,5061,7311,8452,0862,3122,5662,4822,6993,4774,0514,5594,826
Expenses1,2411,3831,5981,6671,8762,1242,3472,2282,3923,1423,7504,2054,433
Operating Profit110123133178210188220254307335301354393
OPM %8%8%8%10%10%8%9%10%11%10%7%8%8%
Other Income4547121018232110155147
Interest2021219221468163734
Depreciation11121515161922283748586767
Profit before tax8294101161204177215245285290241301339
Tax %23%26%30%31%29%25%23%25%30%22%26%23%
Net Profit637071112145133166185199227179231260
EPS in Rs1.511.681.682.653.413.133.884.324.635.264.155.325.97
Dividend Payout %17%19%19%19%21%22%21%21%26%25%31%26%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)11.11%1.43%57.75%29.46%-8.28%24.81%11.45%7.57%14.07%-21.15%29.05%
Change in YoY Net Profit Growth (%)0.00%-9.68%56.32%-28.28%-37.74%33.09%-13.37%-3.88%6.50%-35.22%50.20%

V-Guard Industries Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 11 years from 2013-2014 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:12%
5 Years:12%
3 Years:19%
TTM:15%
Compounded Profit Growth
10 Years:13%
5 Years:7%
3 Years:5%
TTM:46%
Stock Price CAGR
10 Years:21%
5 Years:14%
3 Years:18%
1 Year:51%
Return on Equity
10 Years:18%
5 Years:16%
3 Years:14%
Last Year:14%

Last Updated: Unknown

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital303030304243434343434343
Reserves2312893484415927098579511,1651,3591,5451,725
Borrowings16510868106210106666501356
Other Liabilities228252279235294401447437586613626762
Total Liabilities6556797257179341,1551,3561,4401,8602,0822,7152,886
Fixed Assets138166162161169201214268354400447435
CWIP931010786720161636
Investments000198984924542102851919
Other Assets5085095615366668621,0431,0611,4441,5641,4011,496
Total Assets6556797257179341,1551,3561,4401,8602,0822,7152,886

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 111118913113054153139222-33416350
Cash from Investing Activity -25-28-17-32-106-27-50-11041-133-774-107
Cash from Financing Activity 25-93-72-94-16-37-24-90-6-61328-232
Net Cash Flow10-10-158-1080-61257-227-3011

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow-55.0015.0065.00168.00204.00186.00210.00244.00241.00269.00-200.00-2.00

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 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days545151555570654752504744
Inventory Days908274576870751051241298782
Days Payable595755425474726693685556
Cash Conversion Cycle8576707068666886831117971
Working Capital Days706359585869687673906551
ROCE %27%27%28%37%37%26%26%26%26%22%14%16%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters56.05%55.96%55.88%55.88%55.86%55.85%55.80%55.63%55.63%54.56%54.48%54.42%
FIIs14.29%14.32%12.67%12.39%12.92%12.91%12.84%12.83%13.16%13.01%13.34%13.90%
DIIs15.64%15.99%17.31%18.10%18.06%18.94%19.10%19.38%19.37%20.45%20.18%20.16%
Public14.01%13.73%14.14%13.63%13.14%12.31%12.27%12.18%11.84%11.96%11.99%11.51%
No. of Shareholders1,35,6211,27,9721,45,1641,36,9861,37,0081,25,4311,23,1311,17,0611,18,1521,18,2761,19,5621,15,823

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
SBI Small Cap Fund17,000,0002497.0817,000,0002024-10-090%
SBI Multicap Fund9,099,7751.81266.0817,000,0002024-10-09-46.47%
SBI Flexi Cap Fund7,000,0001.02204.6817,000,0002024-10-09-58.82%
Canara Robeco Small Cap Fund4,432,4581.35129.6117,000,0002024-10-09-73.93%
SBI Contra Fund2,706,4700.3479.1417,000,0002024-10-09-84.08%
SBI Conservative Hybrid Fund1,400,0000.4340.9417,000,0002024-10-09-91.76%
SBI Conservative Hybrid Fund - Div (Annual)1,400,0000.4340.9417,000,0002024-10-09-91.76%
SBI Conservative Hybrid Fund - Div (Monthly)1,400,0000.4340.9417,000,0002024-10-09-91.76%
SBI Consumption Opportunities Fund700,0001.0220.4717,000,0002024-10-09-95.88%
SBI Retirement Benefit Fund - Aggressive Plan681,4000.9419.9217,000,0002024-10-09-95.99%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)5.894.385.294.684.38
Diluted EPS (Rs.)5.884.355.254.654.32
Cash EPS (Rs.)7.795.876.435.595.08
Book Value[Excl.RevalReserv]/Share (Rs.)41.7637.2032.7328.2723.33
Book Value[Incl.RevalReserv]/Share (Rs.)41.7637.2032.7328.2723.33
Revenue From Operations / Share (Rs.)111.8095.4781.0663.2658.44
PBDIT / Share (Rs.)10.617.788.137.746.61
PBIT / Share (Rs.)8.746.296.996.845.92
PBT / Share (Rs.)7.835.926.816.705.83
Net Profit / Share (Rs.)5.934.375.294.694.40
NP After MI And SOA / Share (Rs.)5.934.385.284.674.37
PBDIT Margin (%)9.488.1510.0312.2311.31
PBIT Margin (%)7.826.598.6210.8110.13
PBT Margin (%)7.006.198.4010.589.97
Net Profit Margin (%)5.304.586.537.417.52
NP After MI And SOA Margin (%)5.304.586.507.377.47
Return on Networth / Equity (%)14.1911.7616.1816.5718.79
Return on Capital Employeed (%)17.5913.0020.3922.9424.25
Return On Assets (%)8.146.5010.8510.7112.86
Long Term Debt / Equity (X)0.070.160.000.000.00
Total Debt / Equity (X)0.160.260.010.010.01
Asset Turnover Ratio (%)1.601.651.761.631.77
Current Ratio (X)1.631.842.472.362.59
Quick Ratio (X)0.820.901.071.301.42
Inventory Turnover Ratio (X)2.151.671.861.581.76
Dividend Payout Ratio (NP) (%)21.8829.6622.670.0038.85
Dividend Payout Ratio (CP) (%)16.6522.1218.640.0033.57
Earning Retention Ratio (%)78.1270.3477.330.0061.15
Cash Earning Retention Ratio (%)83.3577.8881.360.0066.43
Interest Coverage Ratio (X)11.6520.7744.5454.5768.04
Interest Coverage Ratio (Post Tax) (X)7.5112.6829.9934.1046.24
Enterprise Value (Cr.)14631.8511161.419279.4610581.586536.89
EV / Net Operating Revenue (X)3.012.712.653.892.61
EV / EBITDA (X)31.7633.1826.4431.7923.09
MarketCap / Net Operating Revenue (X)2.962.622.673.992.65
Retention Ratios (%)78.1170.3377.320.0061.14
Price / BV (X)7.946.726.638.956.66
Price / Net Operating Revenue (X)2.962.622.673.992.65
EarningsYield0.010.010.020.010.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of V-Guard Industries Ltd as of October 11, 2024 is: ₹416.96

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 October 11, 2024, V-Guard Industries Ltd is Overvalued by 5.67% compared to the current share price ₹442.00

Intrinsic Value of V-Guard Industries Ltd as of October 11, 2024 is: ₹438.71

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 October 11, 2024, V-Guard Industries Ltd is Overvalued by 0.74% compared to the current share price ₹442.00

Last 5 Year EPS CAGR: 5.22%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 26.00%, which is a positive sign.
  2. The company has higher reserves (851.00 cr) compared to borrowings (114.00 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (2.23 cr) and profit (210.38 cr) over the years.
  1. The stock has a high average Working Capital Days of 66.67, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 77.75, 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 V-Guard Industries Ltd:
    1. Net Profit Margin: 5.3%
      • 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: 17.59% (Industry Average ROCE: 14.59%)
      • 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%: 14.19% (Industry Average ROE: 11.6%)
      • 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): 7.51
      • 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: 0.82
      • 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: 74 (Industry average Stock P/E: 69.39)
      • 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: 0.16
      • 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

V-Guard Industries Ltd. is a Public Limited Listed company incorporated on 12/02/1996 and has its registered office in the State of Kerala, India. Company’s Corporate Identification Number(CIN) is L31200KL1996PLC010010 and registration number is 010010. Currently company belongs to the Industry of Electric Equipment - General. Company’s Total Operating Revenue is Rs. 3474.66 Cr. and Equity Capital is Rs. 43.15 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Domestic Appliances42/962, Vennala High School Road, Vennala, Kochi Kerala 682028mail@vguard.in
http://www.vguard.in
Management
NamePosition Held
Mr. Kochouseph ChittilappillyChairman Emeritus
Mr. Cherian N PunnooseChairman
Mr. Mithun K ChittilappillyManaging Director
Mr. K Antony SebastianWhole Time Director
Mr. V RamachandranDirector & COO
Prof. Biju VarkkeyIndependent Director
Mr. George Muthoot JacobIndependent Director
Ms. Radha UnniIndependent Director
Mr. C J GeorgeIndependent Director
Mr. Ullas K KamathIndependent Director
Mr. Ishwar SubramanianIndependent Director

FAQ

What is the latest fair value of V-Guard Industries Ltd?

The latest fair value of V-Guard Industries Ltd is ₹416.96.

What is the Market Cap of V-Guard Industries Ltd?

The Market Cap of V-Guard Industries Ltd is 19,212 Cr..

What is the current Stock Price of V-Guard Industries Ltd as on 11 October 2024?

The current stock price of V-Guard Industries Ltd as on 11 October 2024 is ₹442.

What is the High / Low of V-Guard Industries Ltd stocks in FY 2024?

In FY 2024, the High / Low of V-Guard Industries Ltd stocks is 577/282.

What is the Stock P/E of V-Guard Industries Ltd?

The Stock P/E of V-Guard Industries Ltd is 74.0.

What is the Book Value of V-Guard Industries Ltd?

The Book Value of V-Guard Industries Ltd is 40.7.

What is the Dividend Yield of V-Guard Industries Ltd?

The Dividend Yield of V-Guard Industries Ltd is 0.32 %.

What is the ROCE of V-Guard Industries Ltd?

The ROCE of V-Guard Industries Ltd is 16.1 %.

What is the ROE of V-Guard Industries Ltd?

The ROE of V-Guard Industries Ltd is 13.8 %.

What is the Face Value of V-Guard Industries Ltd?

The Face Value of V-Guard Industries Ltd is 1.00.

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 V-Guard Industries 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