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Last Updated on: 23 April, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 505412 | NSE: WENDT

Fundamental Analysis of Wendt India Ltd

Basic Stock Data

Last Updated: April 23, 2024, 11:33 am

Market Cap 2,550 Cr.
Current Price 12,682
High / Low15,990/8,237
Stock P/E63.2
Book Value 977
Dividend Yield0.63 %
ROCE28.8 %
ROE21.6 %
Face Value 10.0

Data Source: screener.in

Competitors of Wendt India Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Carborundum Universal Ltd 23,581 Cr. 1,2391,360/97563.6 1510.28 %19.7 %15.4 % 1.00
Industry Average23,581.00 Cr1,239.0063.60151.000.28%19.70%15.40%1.00

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales35.7745.6242.3747.4741.2247.7547.7352.4551.1358.9351.2651.0054.50
Expenses28.9536.9632.9435.5132.3436.3536.4938.0837.5042.0138.8638.5541.24
Operating Profit6.828.669.4311.968.8811.4011.2414.3713.6316.9212.4012.4513.26
OPM %19.07%18.98%22.26%25.19%21.54%23.87%23.55%27.40%26.66%28.71%24.19%24.41%24.33%
Other Income1.090.591.010.911.010.940.510.971.781.731.811.671.82
Interest0.000.010.000.010.010.000.020.000.000.000.000.000.00
Depreciation2.222.242.302.152.102.062.031.941.962.182.062.132.10
Profit before tax5.697.008.1410.717.7810.289.7013.4013.4516.4712.1511.9912.98
Tax %24.96%24.29%26.29%24.93%28.53%27.33%25.46%25.37%25.13%22.34%25.76%25.35%26.04%
Net Profit4.275.306.008.045.567.477.2310.0010.0712.799.028.959.60
EPS in Rs21.3526.5030.0040.2027.8037.3536.1550.0050.3563.9545.1044.7548.00

Last Updated: April 10, 2024, 5:22 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: April 6, 2024, 1:31 pm

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales111101110124135146147165143137179210216
Expenses807989100112120120134124114136154161
Operating Profit31222124232627301923425755
OPM %28%22%19%19%17%18%18%18%13%17%24%27%26%
Other Income2222223254457
Interest0000111011100
Depreciation4558910101099988
Profit before tax28191717161718221417375354
Tax %32%31%30%20%32%27%27%30%26%25%27%24%
Net Profit19131214111213151013274040
EPS in Rs97.3064.3058.3067.7053.9060.2565.6077.0550.1563.85135.35200.45201.80
Dividend Payout %26%23%43%37%46%41%38%39%50%47%48%40%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-31.58%-7.69%16.67%-21.43%9.09%8.33%15.38%-33.33%30.00%107.69%48.15%
Change in YoY Net Profit Growth (%)0.00%23.89%24.36%-38.10%30.52%-0.76%7.05%-48.72%63.33%77.69%-59.54%

Growth

Compounded Sales Growth
10 Years:8%
5 Years:7%
3 Years:14%
TTM:8%
Compounded Profit Growth
10 Years:11%
5 Years:24%
3 Years:62%
TTM:16%
Stock Price CAGR
10 Years:25%
5 Years:31%
3 Years:54%
1 Year:36%
Return on Equity
10 Years:13%
5 Years:14%
3 Years:16%
Last Year:22%

Last Updated: April 16, 2024, 6:13 pm

Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital2222222222222
Reserves74849098105110120128136141160187193
Borrowings-00-0-0-0-0-0-0-011-0-0
Other Liabilities33303535373338504541414039
Total Liabilities109117127135144145160180183185204229234
Fixed Assets42505557586157555456545657
CWIP5332622541121
Investments12151921141522363637647169
Other Assets5049515566677984899085100107
Total Assets109117127135144145160180183185204229234

Reserves and Borrowings Chart

Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity 16151717111824331683733
Cash from Investing Activity -7-11-13-12-5-13-13-22-10-2-30-17
Cash from Financing Activity -7-6-6-6-6-6-6-7-3-6-8-16
Net Cash Flow3-1-2-20-04331-1-0

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow31.0022.0021.0024.0023.0026.0027.0030.0019.0022.0041.0057.00

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 Days677372688577916866977070
Inventory Days149150156154152145153165207181165175
Days Payable18915616614415497139163162181135121
Cash Conversion Cycle27686177831241057011197100124
Working Capital Days314849567479713544785479
ROCE %42%24%19%18%16%16%16%18%10%11%23%29%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%75.00%
FIIs0.00%0.00%0.00%0.04%0.00%0.02%0.04%0.01%0.01%0.03%0.01%0.02%
DIIs3.18%3.18%6.68%6.68%6.68%6.89%6.71%6.72%6.79%6.86%6.82%6.82%
Public21.82%21.82%18.32%18.28%18.32%18.09%18.25%18.26%18.20%18.10%18.17%18.15%
No. of Shareholders6,4986,3227,2266,9926,9287,7828,0637,9937,9497,9678,8159,216

Shareholding Pattern Chart

No. of Shareholders

Wendt India Ltd Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)
SBI Contra Fund1163630.65152.09
LIC MF Flexi Cap Fund53190.746.95

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)200.45135.3463.8350.1377.07
Diluted EPS (Rs.)200.45135.3463.8350.1377.07
Cash EPS (Rs.)241.00178.38108.4897.59128.46
Book Value[Excl.RevalReserv]/Share (Rs.)943.54809.78716.91688.38651.29
Book Value[Incl.RevalReserv]/Share (Rs.)943.54809.78716.91688.38651.29
Revenue From Operations / Share (Rs.)1051.18894.06683.11716.16822.76
PBDIT / Share (Rs.)305.74227.69129.81115.67161.05
PBIT / Share (Rs.)265.18184.6485.1568.21109.66
PBT / Share (Rs.)265.09184.5485.0268.06109.63
Net Profit / Share (Rs.)200.44135.3363.8350.1377.07
NP After MI And SOA / Share (Rs.)200.44135.3363.8350.1377.07
PBDIT Margin (%)29.0825.4619.0016.1519.57
PBIT Margin (%)25.2220.6512.469.5213.32
PBT Margin (%)25.2120.6412.449.5013.32
Net Profit Margin (%)19.0615.139.346.999.36
NP After MI And SOA Margin (%)19.0615.139.346.999.36
Return on Networth / Equity (%)21.2416.718.907.2811.83
Return on Capital Employeed (%)27.8522.6011.759.7816.45
Return On Assets (%)17.5313.276.905.488.57
Total Debt / Equity (X)0.000.010.010.000.00
Asset Turnover Ratio (%)0.940.860.690.710.88
Current Ratio (X)4.403.563.002.732.51
Quick Ratio (X)3.512.862.382.091.97
Inventory Turnover Ratio (X)1.811.851.391.601.93
Dividend Payout Ratio (NP) (%)14.9614.7739.1629.9238.92
Dividend Payout Ratio (CP) (%)12.4411.2123.0415.3723.35
Earning Retention Ratio (%)85.0485.2360.8470.0861.08
Cash Earning Retention Ratio (%)87.5688.7976.9684.6376.65
Interest Coverage Ratio (X)3168.312178.81976.00794.986442.12
Interest Coverage Ratio (Post Tax) (X)2078.081296.06480.91345.513083.68
Enterprise Value (Cr.)1676.35986.44618.80327.88594.19
EV / Net Operating Revenue (X)7.975.524.532.293.61
EV / EBITDA (X)27.4121.6623.8414.1718.45
MarketCap / Net Operating Revenue (X)8.045.594.632.443.72
Retention Ratios (%)85.0385.2260.8370.0761.07
Price / BV (X)8.956.174.412.544.70
Price / Net Operating Revenue (X)8.045.594.632.443.72
EarningsYield0.020.020.020.020.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 13421.25

The stock is undervalued by 5.83% compared to the current price ₹12682

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.

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a high average ROCE of 20.17%, which is a positive sign.
  2. The company has higher reserves (125.08 cr) compared to borrowings (0.15 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (148.00 cr) and profit (25.31 cr) over the years.
  1. The stock has a high average Working Capital Days of 58.17, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 87.25, which may not be favorable.

Stock Analysis

  • Based on the analysis of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Wendt India Ltd:
    1. Net Profit Margin: 19.06% (Higher values are generally favorable)
      • 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: 27.85% (Industry Average ROCE: 19.7%)
      • 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%: 21.24% (Industry Average ROE: 15.4%)
      • 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): 2078.08 (Higher values, preferably > 2, are recommended)
      • 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: 3.51 (Higher values, preferably > 1, are recommended)
      • 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: 63.2 (Industry average Stock P/E: 63.6)
      • 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: 0.00 (Lower values, preferably < 1, are preferred)
      • 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.
    While these metrics suggest potential opportunity, it's essential to conduct thorough research or seek advice from financial experts before making any investment decisions.
    Stock Rating: ★★★★★

About the Company

Wendt India Ltd. is a Public Limited Listed company incorporated on 21/08/1980 and has its registered office in the State of Karnataka, India. Company’s Corporate Identification Number(CIN) is L85110KA1980PLC003913 and registration number is 003913. Currently Company is involved in the business activities of Manufacture of millstones, sharpening or polishing stones and natural or artificial abrasive products, including abrasive powder or grain on a base of textile material, paper, paper board or other material. Company’s Total Operating Revenue is Rs. 160.03 Cr. and Equity Capital is Rs. 2.00 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Abrasives And Grinding WheelsNo.105, 1st Floor, Cauvery Block, Bengaluru Karnataka 560047wil@wendtindia.com
http://www.wendtindia.com
Management
NamePosition Held
Mr. Shrinivas G ShirgurkarChairman(NonExe.&Ind.Director)
Mr. N AnanthaseshanNon Exe.Non Ind.Director
Mr. Bhagya Chandra RaoNon Exe. & Ind. Director
Ms. Hima SrinivasNon Exe. & Ind. Director
Mr. M LakshminarayanNon Exe. & Ind. Director
Mr. Muthiah VenkatachalamNon Exe.Non Ind.Director

Wendt (India) Ltd. Share Price Update

Share PriceValue
Today₹12,418.00
Previous Day₹12,014.15

FAQ

What is the latest fair value of Wendt India Ltd?

The latest fair value of Wendt India Ltd is ₹13421.25.

What is the Market Cap of Wendt India Ltd?

The Market Cap of Wendt India Ltd is 2,550 Cr..

What is the current Stock Price of Wendt India Ltd as on 23 April 2024?

The current stock price of Wendt India Ltd as on 23 April 2024 is 12,682.

What is the High / Low of Wendt India Ltd stocks in FY 2024?

In FY 2024, the High / Low of Wendt India Ltd stocks is ₹15,990/8,237.

What is the Stock P/E of Wendt India Ltd?

The Stock P/E of Wendt India Ltd is 63.2.

What is the Book Value of Wendt India Ltd?

The Book Value of Wendt India Ltd is 977.

What is the Dividend Yield of Wendt India Ltd?

The Dividend Yield of Wendt India Ltd is 0.63 %.

What is the ROCE of Wendt India Ltd?

The ROCE of Wendt India Ltd is 28.8 %.

What is the ROE of Wendt India Ltd?

The ROE of Wendt India Ltd is 21.6 %.

What is the Face Value of Wendt India Ltd?

The Face Value of Wendt India 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 Wendt India 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