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Last Updated on: 06 November, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

VST Tillers Tractors Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: November 6, 2024, 6:27 pm

Market Cap 4,048 Cr.
Current Price 4,681
High / Low4,851/2,961
Stock P/E33.8
Book Value 1,129
Dividend Yield0.43 %
ROCE17.6 %
ROE13.5 %
Face Value 10.0
PEG Ratio8.10

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

View Share Price Target for VST Tillers Tractors Ltd

Competitors of VST Tillers Tractors Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
VST Tillers Tractors Ltd 4,048 Cr. 4,6814,851/2,96133.8 1,1290.43 %17.6 %13.5 % 10.0
HMT Ltd 2,436 Cr. 68.5105/41.0 49.30.00 %%% 10.0
Escorts Kubota Ltd 39,181 Cr. 3,5024,422/2,64737.2 8300.51 %16.1 %12.0 % 10.0
Industry Average15,221.67 Cr2,750.5035.50669.430.31%16.85%12.75%10.00

All Competitor Stocks of VST Tillers Tractors Ltd

Quarterly Result

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Sales195194233208218236234214323246279170273
Expenses187168195178188219202190268214235160234
Operating Profit8253830301732235532431040
OPM %4%13%16%15%14%7%14%11%17%13%15%6%15%
Other Income14121156289518141810
Interest0000000001011
Depreciation4666767777777
Profit before tax18314329291334255343502043
Tax %26%23%25%27%24%21%33%22%24%23%27%17%18%
Net Profit13243221221023194033361735
EPS in Rs14.9727.7937.2124.3625.5811.6326.3222.4946.4738.1942.1919.6240.65

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: September 23, 2024, 3:18 pm

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024TTM
Sales4826245526476757636155447648541,006968912
Expenses409505451534574644560514670729878843807
Operating Profit72119100113101120553095125128125106
OPM %15%19%18%17%15%16%9%6%12%15%13%13%12%
Other Income291212294535114634256064
Interest1223322242232
Depreciation34913121116161725272727
Profit before tax701221011101161527223119132124156141
Tax %30%32%31%33%29%26%36%22%24%25%25%22%
Net Profit49837074831124618919992122111
EPS in Rs56.2296.0080.4785.8095.73129.6153.3120.85105.08114.95106.90140.64128.91
Dividend Payout %16%16%19%17%16%39%28%72%19%17%23%14%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-20232023-2024
YoY Net Profit Growth (%)69.39%-15.66%5.71%12.16%34.94%-58.93%-60.87%405.56%8.79%-7.07%32.61%
Change in YoY Net Profit Growth (%)0.00%-85.05%21.38%6.45%22.78%-93.87%-1.94%466.43%-396.76%-15.86%39.68%

VST Tillers Tractors 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:4%
5 Years:10%
3 Years:8%
TTM:-14%
Compounded Profit Growth
10 Years:4%
5 Years:18%
3 Years:9%
TTM:-7%
Stock Price CAGR
10 Years:12%
5 Years:30%
3 Years:18%
1 Year:29%
Return on Equity
10 Years:14%
5 Years:12%
3 Years:13%
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 Capital999999999999
Reserves236304355411491588581568659741816915
Borrowings000000000021
Other Liabilities91158109113131189158152218217264242
Total Liabilities3364704725336317867487298859661,0911,167
Fixed Assets77124135127147158206206248266261250
CWIP14023105735482512145
Investments410695136188204165156312414430484
Other Assets240239240267286367343318300275385428
Total Assets3364704725336317867487298859661,0911,167

Reserves and Borrowings Chart

Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Cash from Operating Activity 501312685863343721551253649
Cash from Investing Activity -11-131-13-43-75-3611-33-148-110-329
Cash from Financing Activity -26-11-17-34-3-17-54-33-2-19-19-24
Net Cash Flow13-10-499-19076-4-1433

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Free Cash Flow72.00119.00100.00113.00101.00120.0055.0030.0095.00125.00126.00124.00

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 Days746062707189576539295458
Inventory Days927710270585811110077645665
Days Payable256017283046315760526855
Cash Conversion Cycle1407714811210010113710856414269
Working Capital Days102529589869412411341275072
ROCE %31%45%30%29%24%26%14%6%20%19%16%18%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthSep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024
Promoters54.77%54.82%54.82%54.82%55.58%55.58%55.58%55.58%55.58%55.58%55.64%55.64%
FIIs5.15%5.67%5.54%5.43%3.98%1.26%1.26%1.76%2.07%2.02%1.88%2.79%
DIIs14.97%15.20%15.85%16.40%16.39%19.73%19.79%18.97%17.24%16.61%16.87%17.97%
Public25.11%24.30%23.79%23.35%24.03%23.42%23.37%23.69%25.12%25.79%25.62%23.60%
Others0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.01%0.00%0.00%0.00%0.00%
No. of Shareholders21,10622,20520,68220,87721,70721,60423,73023,92325,45626,12126,85525,190

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Nippon India Small Cap Fund543,6910.39181.12543,6912024-10-240%
Nippon India Multi Cap Fund176,3920.2358.76543,6912024-10-24-67.56%
Bank of India Mid & Small Cap Equity & Debt Fund7,0000.372.33543,6912024-10-24-98.71%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24
FaceValue10.00
Basic EPS (Rs.)140.13
Diluted EPS (Rs.)140.10
Cash EPS (Rs.)171.91
Book Value[Excl.RevalReserv]/Share (Rs.)1069.07
Book Value[Incl.RevalReserv]/Share (Rs.)1069.07
Revenue From Operations / Share (Rs.)1120.49
PBDIT / Share (Rs.)213.87
PBIT / Share (Rs.)182.60
PBT / Share (Rs.)180.11
Net Profit / Share (Rs.)140.64
NP After MI And SOA / Share (Rs.)140.12
PBDIT Margin (%)19.08
PBIT Margin (%)16.29
PBT Margin (%)16.07
Net Profit Margin (%)12.55
NP After MI And SOA Margin (%)12.50
Return on Networth / Equity (%)13.10
Return on Capital Employeed (%)16.10
Return On Assets (%)10.37
Current Ratio (X)4.60
Quick Ratio (X)3.97
Interest Coverage Ratio (X)85.94
Interest Coverage Ratio (Post Tax) (X)57.52
Enterprise Value (Cr.)2760.15
EV / Net Operating Revenue (X)2.85
EV / EBITDA (X)14.94
MarketCap / Net Operating Revenue (X)2.90
Price / BV (X)3.04
Price / Net Operating Revenue (X)2.90
EarningsYield0.04

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of VST Tillers Tractors Ltd as of November 6, 2024 is: 5,173.78

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 6, 2024, VST Tillers Tractors Ltd is Undervalued by 10.53% compared to the current share price ₹4,681.00

Intrinsic Value of VST Tillers Tractors Ltd as of November 6, 2024 is: 5,389.66

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 6, 2024, VST Tillers Tractors Ltd is Undervalued by 15.14% compared to the current share price ₹4,681.00

Last 5 Year EPS CAGR: 4.17%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 23.17%, which is a positive sign.
  2. The company has higher reserves (555.42 cr) compared to borrowings (0.25 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (646.23 cr) and profit (110.62 cr) over the years.
  1. The stock has a high average Working Capital Days of 78.75, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 94.25, 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 VST Tillers Tractors Ltd:
    1. Net Profit Margin: 12.55%
      • 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: 16.1% (Industry Average ROCE: 11.23%)
      • 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%: 13.1% (Industry Average ROE: 8.5%)
      • 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): 57.52
      • 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: 3.97
      • 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: 33.8 (Industry average Stock P/E: 23.67)
      • 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
      • 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

VST Tillers Tractors Ltd. is a Public Limited Listed company incorporated on 18/12/1967 and has its registered office in the State of Karnataka, India. Company’s Corporate Identification Number(CIN) is L34101KA1967PLC001706 and registration number is 001706. Currently Company is involved in the business activities of Manufacture of general purpose machinery. Company’s Total Operating Revenue is Rs. 853.86 Cr. and Equity Capital is Rs. 8.64 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Auto - TractorsPlot No.1, Dyavasandra Industrial Layout, Bengaluru Karnataka 560048vstgen@vsttillers.com
http://www.vsttillers.com
Management
NamePosition Held
Mr. Arun V SurendraChairman
Mr. V T RavindraManaging Director
Mr. V V PravindraNon Executive Director
Dr. Nandakumar JairamIndependent Director
Mr. Rajen Krishnanand PadukoneIndependent Director
Mr. M K BannerjeeIndependent Director
Mr. K M PaiIndependent Director
Ms. Siva Kameswari VissaIndependent Director
Mr. Kula Ajith Kumar RaiIndependent Director

FAQ

What is the latest fair value of VST Tillers Tractors Ltd?

The latest fair value of VST Tillers Tractors Ltd is ₹5173.78.

What is the Market Cap of VST Tillers Tractors Ltd?

The Market Cap of VST Tillers Tractors Ltd is 4,048 Cr..

What is the current Stock Price of VST Tillers Tractors Ltd as on 06 November 2024?

The current stock price of VST Tillers Tractors Ltd as on 06 November 2024 is 4,681.

What is the High / Low of VST Tillers Tractors Ltd stocks in FY 2024?

In FY 2024, the High / Low of VST Tillers Tractors Ltd stocks is 4,851/2,961.

What is the Stock P/E of VST Tillers Tractors Ltd?

The Stock P/E of VST Tillers Tractors Ltd is 33.8.

What is the Book Value of VST Tillers Tractors Ltd?

The Book Value of VST Tillers Tractors Ltd is 1,129.

What is the Dividend Yield of VST Tillers Tractors Ltd?

The Dividend Yield of VST Tillers Tractors Ltd is 0.43 %.

What is the ROCE of VST Tillers Tractors Ltd?

The ROCE of VST Tillers Tractors Ltd is 17.6 %.

What is the ROE of VST Tillers Tractors Ltd?

The ROE of VST Tillers Tractors Ltd is 13.5 %.

What is the Face Value of VST Tillers Tractors Ltd?

The Face Value of VST Tillers Tractors 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 VST Tillers Tractors 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