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Last Updated on: 22 April, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 533339 | NSE: ZENTEC

Fundamental Analysis of Zen Technologies Ltd

Basic Stock Data

Last Updated: April 20, 2024, 9:45 pm

Market Cap 8,268 Cr.
Current Price 984
High / Low1,059/280
Stock P/E72.9
Book Value 45.9
Dividend Yield0.02 %
ROCE17.3 %
ROE12.0 %
Face Value 1.00

Data Source: screener.in

Competitors of Zen Technologies Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Paras Defence and Space Technologies Ltd 2,701 Cr. 693848/49182.5 1100.00 %13.2 %9.10 % 10.0
Mishra Dhatu Nigam Ltd 7,705 Cr. 411548/19069.4 70.40.81 %14.6 %12.6 % 10.0
Hindustan Aeronautics Ltd 2,50,878 Cr. 3,7513,768/1,38540.8 3750.73 %30.6 %27.2 % 5.00
Industry Average87,094.67 Cr1,618.3364.23185.130.51%19.47%16.30%8.33

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales16199161216332133741326498
Expenses1217915111622162548664254
Operating Profit42-011-0115826662244
OPM %26%12%-1%7%8%-1%34%26%25%35%50%34%45%
Other Income1111122340354
Interest0000011100000
Depreciation1111111111122
Profit before tax42-01111271125672446
Tax %26%31%23%11%80%-97%31%30%29%30%30%29%31%
Net Profit31-010185817471732
EPS in Rs0.340.17-0.040.110.020.181.030.580.952.175.612.063.77

Last Updated: April 10, 2024, 5:24 am

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: April 6, 2024, 1:32 pm

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales102374679536239921475054161369
Expenses6533465848504170834252110210
Operating Profit375121412-223648251158
OPM %36%12%1%27%8%19%-5%24%43%16%4%32%43%
Other Income55435443235912
Interest2222232531122
Depreciation1222443444447
Profit before tax39602039-317596254162
Tax %20%15%18%21%21%20%86%-13%-3%28%-9%30%
Net Profit32501627-019614238113
EPS in Rs3.550.530.012.040.300.96-0.052.497.840.520.254.7313.61
Dividend Payout %18%19%858%2%33%16%-198%12%5%19%39%4%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2012-20132013-20142015-20162016-20172017-20182019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)-84.38%-100.00%-87.50%250.00%-100.00%221.05%-93.44%-50.00%1800.00%
Change in YoY Net Profit Growth (%)0.00%-15.62%12.50%337.50%-350.00%321.05%-314.50%43.44%1850.00%

Growth

Compounded Sales Growth
10 Years:16%
5 Years:33%
3 Years:3%
TTM:257%
Compounded Profit Growth
10 Years:23%
5 Years:150%
3 Years:-16%
TTM:451%
Stock Price CAGR
10 Years:59%
5 Years:68%
3 Years:137%
1 Year:222%
Return on Equity
10 Years:9%
5 Years:12%
3 Years:6%
Last Year:12%

Last Updated: April 16, 2024, 6:12 pm

Balance Sheet

Last Updated: April 22, 2024, 1:03 am

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital9988888888888
Reserves959891103105112111129187205281309377
Borrowings251318404191042111260
Other Liabilities255122714163645181056124239
Total Liabilities153126128178167144165224213224358446625
Fixed Assets28294947444565636462596773
CWIP131015170000320
Investments0000002131624242424
Other Assets12494781301088298147133137272353527
Total Assets153126128178167144165224213224358446625

Reserves and Borrowings Chart

Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -43910043519-446413-4499
Cash from Investing Activity 1-3-80-930-127-11-18-43-3
Cash from Financing Activity 7-21-70-3-8-55-211087-18
Net Cash Flow515-5030263-32325078

Free Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow12.00-8.00-17.00-19.00-37.003.00-12.00-19.0063.007.00-10.0045.00

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 Days2551279027656120212290110128133150
Inventory Days592122952252422371,18149697396625368
Days Payable7553634752893551064811414733
Cash Conversion Cycle2402863224552462671,038681159410612484
Working Capital Days18923614328113815080295180548830157
ROCE %37%6%2%16%3%9%-0%14%33%3%1%17%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters60.19%60.19%60.19%60.19%60.19%60.19%60.19%60.19%60.14%57.45%57.45%55.07%
FIIs0.01%0.00%0.01%0.35%0.29%0.32%0.33%0.30%1.29%3.47%4.84%4.65%
DIIs0.00%0.00%0.00%0.00%0.00%0.01%0.11%0.11%0.15%0.21%0.15%3.09%
Public39.80%39.81%39.80%39.46%39.52%39.13%39.03%39.05%37.82%38.11%36.80%36.42%
Others0.00%0.00%0.00%0.00%0.00%0.35%0.35%0.35%0.61%0.76%0.76%0.76%
No. of Shareholders34,23337,3201,00,47796,2751,14,7051,18,8061,16,6101,22,3391,08,4201,27,2081,59,7661,61,995

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue1.001.001.001.001.00
Basic EPS (Rs.)5.390.250.397.621.73
Diluted EPS (Rs.)5.200.250.397.621.73
Cash EPS (Rs.)7.050.930.978.192.22
Book Value[Excl.RevalReserv]/Share (Rs.)32.1327.0526.4925.6317.51
Book Value[Incl.RevalReserv]/Share (Rs.)32.1327.0526.4925.6317.51
Revenue From Operations / Share (Rs.)27.528.776.8719.3511.95
PBDIT / Share (Rs.)10.041.251.318.382.56
PBIT / Share (Rs.)9.280.640.687.792.07
PBT / Share (Rs.)9.020.410.547.351.45
Net Profit / Share (Rs.)6.280.320.347.601.73
NP After MI And SOA / Share (Rs.)5.380.240.397.621.73
PBDIT Margin (%)36.4914.2619.0443.3021.44
PBIT Margin (%)33.727.339.9740.2417.33
PBT Margin (%)32.774.737.9838.0012.11
Net Profit Margin (%)22.833.745.0739.2814.43
NP After MI And SOA Margin (%)19.522.845.6939.3614.44
Return on Networth / Equity (%)17.700.951.5230.749.85
Return on Capital Employeed (%)22.121.722.5529.9210.99
Return On Assets (%)9.020.531.3927.456.09
Long Term Debt / Equity (X)0.000.020.010.010.06
Total Debt / Equity (X)0.020.060.010.010.25
Asset Turnover Ratio (%)0.390.180.220.680.00
Current Ratio (X)2.693.8413.358.761.83
Quick Ratio (X)2.343.4911.847.711.35
Inventory Turnover Ratio (X)1.931.000.641.100.00
Dividend Payout Ratio (NP) (%)1.8540.05102.213.935.79
Dividend Payout Ratio (CP) (%)1.6211.6639.443.654.50
Earning Retention Ratio (%)98.1559.95-2.2196.0794.21
Cash Earning Retention Ratio (%)98.3888.3460.5696.3595.50
Interest Coverage Ratio (X)19.596.509.5319.304.11
Interest Coverage Ratio (Post Tax) (X)12.772.893.5418.513.77
Enterprise Value (Cr.)2457.391565.48585.38159.51592.09
EV / Net Operating Revenue (X)11.2322.4410.711.076.42
EV / EBITDA (X)30.77157.3956.262.4729.93
MarketCap / Net Operating Revenue (X)11.9023.3411.321.186.17
Retention Ratios (%)98.1459.94-2.2196.0694.20
Price / BV (X)10.797.823.030.914.21
Price / Net Operating Revenue (X)11.9023.3411.321.186.17
EarningsYield0.010.000.010.330.02

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: 401.61

The stock is overvalued by 59.19% compared to the current price ₹984

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 company has higher reserves (169.46 cr) compared to borrowings (16.77 cr), indicating strong financial stability.
  2. The company has shown consistent growth in sales (99.31 cr) and profit (28.77 cr) over the years.
  1. The stock has a low average ROCE of 11.75%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 268.92, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 346.92, 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 Zen Technologies Ltd:
    1. Net Profit Margin: 22.83%
      • 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: 22.12% (Industry Average ROCE: 19.47%)
      • 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%: 17.70% (Industry Average ROE: 16.3%)
      • 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): 12.77
      • 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: 2.34
      • 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: 72.9 (Industry average Stock P/E: 64.13)
      • 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: 0.02
      • 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

Zen Technologies Ltd. is a Public Limited Listed company incorporated on 29/06/1993 and has its registered office in the State of Telangana, India. Company’s Corporate Identification Number(CIN) is L72200TG1993PLC015939 and registration number is 015939. Currently Company is involved in the business activities of Manufacture of optical instruments and equipment. Company’s Total Operating Revenue is Rs. 53.71 Cr. and Equity Capital is Rs. 7.95 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Aerospace & DefenseB-42, Industrial Estate, Sanathnagar, Hyderabad Telangana 500018info@zentechnologies.com
http://www.zentechnologies.com
Management
NamePosition Held
Mr. Ashok AtluriChairman & Managing Director
Mr. Kishore Dutt AtluriJoint Managing Director
Mr. Midathala Ravi KumarWhole Time Director
Ms. Shilpa ChoudariWhole Time Director
Ms. Sirisha ChintapalliIndependent Director
Mr. Amreek Singh SandhuIndependent Director
Dr. Ravindra Kumar TyagiIndependent Director
Dr. Ajay Kumar SinghIndependent Director

Zen Technologies Ltd. Share Price Update

Share PriceValue
Today₹982.05
Previous Day₹987.00

FAQ

What is the latest fair value of Zen Technologies Ltd?

The latest fair value of Zen Technologies Ltd is 401.61.

What is the Market Cap of Zen Technologies Ltd?

The Market Cap of Zen Technologies Ltd is 8,268 Cr..

What is the current Stock Price of Zen Technologies Ltd as on 22 April 2024?

The current stock price of Zen Technologies Ltd as on 22 April 2024 is 984.

What is the High / Low of Zen Technologies Ltd stocks in FY 2024?

In FY 2024, the High / Low of Zen Technologies Ltd stocks is ₹1,059/280.

What is the Stock P/E of Zen Technologies Ltd?

The Stock P/E of Zen Technologies Ltd is 72.9.

What is the Book Value of Zen Technologies Ltd?

The Book Value of Zen Technologies Ltd is 45.9.

What is the Dividend Yield of Zen Technologies Ltd?

The Dividend Yield of Zen Technologies Ltd is 0.02 %.

What is the ROCE of Zen Technologies Ltd?

The ROCE of Zen Technologies Ltd is 17.3 %.

What is the ROE of Zen Technologies Ltd?

The ROE of Zen Technologies Ltd is 12.0 %.

What is the Face Value of Zen Technologies Ltd?

The Face Value of Zen Technologies 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 Zen Technologies 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