Shriram Transport Finance Company Ltd.

SECTOR: Finance - NBFC

612.75
₹ -3.55 (-0.58%)
Today's High: 636.9 Today's Low : 606.75
52 Week High: 1366.90 52 Week Low : 440.00
 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.
EfficiencyOptimal
The company could improve upon its asset employment.
FinancialsVery Stable
The company possesses stable growth history and sound margins.

 Company Essentials

Market Cap

13902.2396484 Cr.

P/E

4.6

P/B

0.78

Face Value

₹10

Div. Yield

2.09%

Book Value (TTM)

789.7843

Advances

0 Cr.

Operating Revenue

3981.467 Cr.

Net Profit

1401.507 Cr.

Promoter Holding

26.25%

EPS (TTM)

133.3067

Sales Growth

16.67 %

ROE

17.44 %

ROCE

12.57 %

Profit Growth

4.20 %

No. of Shares

22.6882736 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.

 Income Growth

1 Year16.67%
3 Year14.69%
5 Year14.52%

 Profit Growth

1 Year4.2%
3 Year29.59%
5 Year15.19%

 ROE

1 Year17.44%
3 Year16.32%
5 Year15.06%

 ROCE

1 Year12.57%
3 Year12.52%
5 Year12.5%

 ROA%

2.42

 PEG Ratio

1.09

  PAT Margin (%)

16.52

 EPS Growth(%)

4.2

 Share Holding Pattern

 Promoter Pledging %

Date Promoter % Pledge %
Mar 2020 26.25 0
Dec 2019 26.25 0
Sep 2019 26.25 0
Jun 2019 26.08 0
Mar 2019 26.08 0
* Figures given above are % of equity capital

 Strengths

  • The company is trading at 1.82 times the book value
  • Operating Income has grown well for the company over past 3 years: 3 years CAGR 14.6879966925091%.

 Limitations

  • The company has delivered poor profit growth of -10.6544077879935% over past 3 years
  • Provision and contingencies have increased by 37.0818426991029%.

 Quarterly Result (All Figures are in Crores.)

Particulars Dec 2018 Mar 2019 Jun 2019 Sep 2019 Dec 2019
Operating Revenue 3991.06 3871.33 4053.85 4217.54 4286.04
Other Income 2.34 9.1 7.8 2.28 2.16
Interest Expended 1918.69 1888.47 2043.14 2113.4 2119.29
Operating Expenses 1079.88 1008.21 1003.49 1143.95 946.29
Total Provisions 0 0 0 0 0
Depreciation 10.89 11.51 33.44 35.6 36.3
Profit Before Tax 983.94 972.24 981.58 926.87 1186.32
Tax 348.49 226.2 347.33 161.82 307.16
Net Profit 635.45 746.04 634.25 765.05 879.16

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

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Operating Income 8636.95 10289.78 10828.75 13304.39 15522.44
Other Income 7.78 3.7 1.86 62.98 23.26
Interest 4420.48 5087.41 5220.15 6416.76 7563.8
Adjusted EPS 55 52 55 108 113
Total Provisions 1389.17 2240.18 2489.85 1816.9 2490.64
PBT & Exceptionals 1842.39 1781.43 1923.93 3662.06 3778.28
Exceptional Items 0 0 0 139.75 0
Profit Before Tax 1842.39 1781.43 1923.93 3801.8 3778.28
Operating Expenses 992.69 1184.46 1196.68 1471.65 1712.98
Profit After Tax 1237.81 1178.2 1257.34 2460.54 2563.99

 Balance Sheet (All Figures are in Crores.)

Particulars Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019
Equity and Liabilities
Share Capital 226.91 226.91 226.91 226.91 226.91
Total Reserves 9011.06 9927.21 11075.32 13348.58 15609.38
Borrowings 31570.77 30269.67 33700.18 0 0
Other N/C liabilities 4658.24 6055.4 7293.9 7447.98 3360.21
Current liabilities 18207.21 26467.57 27713.84 83005.98 88932.74
Total Liabilities 63674.18 72946.75 80010.15 104029.44 108129.23
Assets
Loans 30681.79 42850 47130.71 0 0
Net Block 100.72 101.06 83.78 119.96 145.42
Capital WIP 0 0 0 0 0
Investments 1114.27 1252.17 1497.14 2.1 2.06
Other Loans 2497.18 2516.07 2533.94 6943.19 3022.08
Other N/C Assets 93.89 14.88 76.25 137.17 135.74
Current Assets 29186.34 26212.58 28688.34 96827.03 104823.93
Total Assets 63674.18 72946.75 80010.15 104029.44 108129.23
* Other Non-current Liabilities include Net deferred Liabilities

 Corporate Actions

 Ratings & Research Reports

 Company Presentations

 Shriram Trans. Fin Stock Price Analysis and Quick Research Report

Is Shriram Trans. Fin an attractive stock to invest in?

 

Around 2% of India's total population invests in financial assets. The penetration of the mutual fund industry in India is close to 7% (Based on the number of PAN cardholders). This under penetration of the mutual fund industry offers a huge opportunity for the industry to grow.

Migration to financial savings, wider distribution and sustainable performance are expected to enable growth in the industry.

Also, increasing financial literacy among investors, digitization and the number of mediums available tend to attract more investors to invest in the financial markets.

To understand the functions of the Shriram Trans. Fin better, you must go through the following points:

Key Financials –

  • Profitability: Profit margin (PAT margin) of the company shows how well a company controls its cost. It is one of the important indicators to show the financial health of the company. Net profit of the company is Rs 16.52 Cr and the compounded growth of profit in the past 3 years is -10.6544077879935 %. The PAT margin of Shriram Trans. Fin is 16.517932244366 %.

  • EPS growth: Investors should ensure the EPS figure is growing faster than revenue numbers because it indicates company management is increasing the efficiency with which it runs the company. In Shriram Trans. Fin , the EPS grew by 4.2 % YOY. 

 Financial Ratios –

  •  Return on Equity (ROE): The Company has a average ROE track record. The ROE of Shriram Trans. Fin is at 17.435138195471 % for the latest year.

  • P/E Ratio: Relative valuation metrics like the P/E ratio can be used to see if the stock of Shriram Trans. Fin is worth at the current levels at Rs 574.6. The stock is trading at a current P/E ratio of 11.27 and the average historical P/E for the last 5 years was 16.558.

  • P/B ratio can be one of the best metrics to value such companies. Currently, Shriram Trans. Fin is trading at a P/B of 1.82437311787132 . The average historical P/B for the last 5 years was 2.252. This can be compared with the Market price per share in order to know if the stock is undervalued or overvalued.

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