Ambuja Cements Ltd.

SECTOR: Cement & Construction Materials

186.8
₹ -0.95 (-0.51%)
Today's High: 189.15 Today's Low : 182.1
52 Week High: 227.70 52 Week Low : 136.65
 FinStar
FinStar Indicates the overall health and quality of a stock based on Finology Research.
Ownership Stable
Ownership strength is slightly missing the benchmark.
ValuationFair
The stock’s market price justifies its intrinsic value.
EfficiencyPoor
The company seems highly inefficient in case of asset management.
FinancialsVery Stable
The company possesses stable growth history and manageable debt.

 Company Essentials

Market Cap

37091.85287772 Cr.

P/E

24.72

P/B

1.64

Face Value

₹2

Div. Yield

0.83%

Book Value (TTM)

113.8385

Enterprise Value

32433.42287772 Cr.

CASH

4699.49 Cr.

DEBT

41.06 Cr.

Promoter Holding

63.28%

EPS (TTM)

7.5575

Sales Growth

2.74 %

ROE

7.07 %

ROCE

9.38 %

Profit Growth

2.79 %

No. of Shares

198.5645229 Cr.

Add your own Ratio
* Total debt includes long term borrowing, short term borrowing plus current maturities of long-term borrowing
* Ratios are based on latest Audited Financial Result.

 Price Chart 1w1m3m6m1Yr3Yr5Yr

* Prices are based on daily market changes.

 Valuation Chart 1w1m3m6m1Yr3Yr5Yr

* The chart is based on the standalone earnings of the company.

 Peer Comparison

View Full Peer Comparison
* The Peers list includes companies operating in the same industry and having comparable market cap.

 Sales Growth

1 Year2.74%
3 Year8.12%
5 Year3.23%

 Profit Growth

1 Year2.82%
3 Year17.94%
5 Year0.44%

 ROE

1 Year7.07%
3 Year6.89%
5 Year6.98%

 ROCE

1 Year9.38%
3 Year8.63%
5 Year9.54%

 Debt Equity

0

 Price to Cash Flow

14.93

  Interest Cover Ratio

24.32

 CFO/PAT (5 Yr Avg.)

1.38385465366728

 Share Holding Pattern

 Promoter Pledging %

Date Promoter % Pledge %
Mar 2020 63.28 0
Dec 2019 63.39 0
Sep 2019 63.42 0
Jun 2019 63.45 0
Mar 2019 63.45 0
* Figures given above are % of equity capital

 Strengths

  • The company has shown a good profit growth of 17.940742532554% for the Past 3 years.
  • Company is virtually debt free.
  • Company has a healthy Interest coverage ratio of 24.32.
  • The company has an efficient Cash Conversion Cycle of 10.26 days.
  • The company has a good cash flow management; CFO/PAT stands at 1.6246173969915.
  • The company has a high promoter holding of 63.28%.
  • The company has a strong degree of Operating leverage, Average Operating leverage stands at 3.65683083201529.

 Limitations

  • The company has shown a poor revenue growth of 8.12245293678595% for the Past 3 years.
  • Company has a poor ROE of 6.89333333333333% over the past 3 years.

 Quarterly Result (All Figures are in Crores.)

Particulars Mar 2019 Jun 2019 Sep 2019 Dec 2019 Mar 2020
Net Sales 2927.62 2978.27 2626.11 3135.88 2827.54
Other Income 240.2 57.95 62.76 65.61 88.14
Total Expenditure 2464.37 2279.88 2186.29 2588.49 2224.31
Operating Profit 703.45 756.34 502.58 613 691.37
Interest 17.47 20.81 21.57 23.67 23.05
Depreciation 131.4 130.85 132.92 148.66 137.91
Exceptional Items 0 0 0 0 0
Profit Before Tax 554.58 604.68 348.09 440.67 530.41
Tax 127.6 192.63 113.48 -14.23 131.31
Profit After Tax 426.98 412.05 234.61 454.9 399.1

 Profit & Loss (All Figures are in Crores except Adjusted EPS in Rs.)

Particulars Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019
Net Sales 9431 9231 10457 11357 11668
Other Income 358 562 359 375 427
Total Expenditure 7900 7538 8517 9465 9519
Operating Profit 1890 2254 2299 2266 2575
Interest 92 126 107 82 84
Depreciation 626 849 573 548 544
Exceptional Items 0 0 0 -130 0
Profit Before Tax 1172 1279 1619 1506 1948
Tax 365 347 370 19 419
Net Profit 808 932 1250 1487 1529
Adjusted EPS 5 5 6 7 8

 Balance Sheet (All Figures are in Crores.)

Particulars Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019
Equity and Liabilities
Share Capital 310.38 397.13 397.13 397.13 397.13
Total Reserves 9996.49 18959.74 19576.08 20615.4 21808.05
Borrowings 22.68 15.73 24.12 39.68 35.28
Other N/C liabilities 606.29 548.48 502.53 419.04 302.85
Current liabilities 3226.09 3431.69 4126.98 3715.43 4447.42
Total Liabilities 14161.93 23352.77 24626.84 25186.68 26990.73
Assets
Net Block 6092.03 5941.61 5721.99 5663.6 5812.45
Capital WIP 414.12 320.02 348.48 610.02 1108.7
Investments 106.9 11844.7 11844.7 11813.76 11789.01
Loans & Advances 688.87 675.58 785.3 829.47 765.04
Other N/C Assets 311.41 357.17 416.19 529.53 667.43
Current Assets 6548.6 4213.69 5510.18 5740.3 6848.1
Total Assets 14161.93 23352.77 24626.84 25186.68 26990.73
* Other Non-current Liabilities include Net deferred Liabilities

 Cash Flows (All Figures are in Crores.)

Particulars Dec 2015 Dec 2016 Dec 2017 Dec 2018 Dec 2019
Profit Before Tax 1172.21 1279.47 1619.12 1506.07 1948.02
Adjustment 400 422.62 313.81 307.45 229.09
Working Capital Changes 22.79 32.45 213.57 -616.61 387.68
Tax Paid -42.19 -318.71 -310.07 -625.03 -80.75
Operating Cash Flow 1552.81 1415.83 1836.43 571.88 2484.04
Investing Cash Flow -82.92 -3469.06 -195.89 -254.33 -738.03
Financing Cash Flow -896.89 -683.26 -748.66 -478.37 -386.79
Net Cash Flow 573 -2736.49 891.88 -160.82 1359.22

 Corporate Actions

 Annual Reports

 Ratings & Research Reports

 Company Presentations

 Ambuja Cement Stock Price Analysis and Quick Research Report

Is Ambuja Cement an attractive stock to invest in?

 

Stock investing requires careful analysis of financial data to find out the company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement. This can be time-consuming and cumbersome. An easier way to find out about a company's performance is to look at its financial ratios, which can help to make sense of the overwhelming amount of information that can be found in a company's financial statements.

Here are the few indispensable tools that should be a part of every investor’s research process.

  • PE ratio: - Price to Earnings' ratio, which indicates for every rupee of earnings how much an investor is willing to pay for a share. A general rule of thumb is that shares trading at a LOW P/E are undervalued (it depends on other factors too). Ambuja Cement has a PE ratio of 25.5004611647332 which is high and comparatively overvalued .

  • Return on Assets (ROA): - Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Ambuja Cement has ROA of 5.85901063314565 % which is a bad sign for future performance. (higher values are always desirable)

  • Current ratio: - The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Ambuja Cement has a Current ratio of 1.53979160951743 .

  • Return on equity: - ROE measures the ability of a firm to generate profits from its shareholders investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Ambuja Cement has a ROE of 7.07367419513898 % .(higher is better)

  • Debt to equity ratio: - It is a good metric to check out the capital structure along with its performance. Ambuja Cement has a D/E ratio of 0.0018491180886622 which means that the company has low proportion of debt in its capital.

  • Inventory turnover ratio: - Inventory Turnover ratio is an activity ratio and is a tool to evaluate the liquidity of a company's inventory. It measures how many times a company has sold and replaced its inventory during a certain period of time. Ambuja Cement has an Inventory turnover ratio of 10.4558859769785 which shows that the management is inefficient in relation to its Inventory and working capital management.

  • Sales growth: - Ambuja Cement has reported revenue growth of 2.74 % which is poor in relation to its growth and performance.

  • Operating Margin: - This will tell you about the operational efficiency of the company. The operating margin of Ambuja Cement for the current financial year is 18.4167989386247 %.

  • Dividend Yield: - It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Ambuja Cement is Rs 1.5 and the yield is 0.8287 %.

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