BSE:500233

Stock Analysis Report

Executive Summary

Kajaria Ceramics Limited manufactures and sells ceramic and vitrified tiles under the Kajaria Eternity brand in India.

Snowflake

Fundamentals

Flawless balance sheet average dividend payer.

Risks

  • Kajaria Ceramics has significant price volatility in the past 3 months.

Share Price & News

How has Kajaria Ceramics's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

1.0%

BSE:500233

-1.3%

IN Building

-0.7%

IN Market


1 Year Return

17.0%

BSE:500233

-12.8%

IN Building

-12.1%

IN Market

500233 outperformed the Building industry which returned -13% over the past year.

500233 outperformed the Market in India which returned -12.1% over the past year.


Share holder returns

500233IndustryMarket
7 Day1.0%-1.3%-0.7%
30 Day-10.3%-8.3%-4.6%
90 Day-19.0%-10.8%-4.3%
1 Year17.7%17.0%-12.3%-12.8%-10.3%-12.1%
3 Year-22.8%-24.2%16.3%14.2%18.9%12.8%
5 Year54.6%50.3%84.7%78.5%37.6%24.7%

Price Volatility Vs. Market

How volatile is Kajaria Ceramics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kajaria Ceramics undervalued based on future cash flows and its price relative to the stock market?

33x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Kajaria Ceramics's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Kajaria Ceramics's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Kajaria Ceramics is overvalued based on earnings compared to the IN Building industry average.

Kajaria Ceramics is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

Kajaria Ceramics is poor value based on expected growth next year.


Price Based on Value of Assets

Kajaria Ceramics is overvalued based on assets compared to the IN Building industry average.


Next Steps

Future Growth

How is Kajaria Ceramics expected to perform in the next 1 to 3 years based on estimates from 20 analysts?

19.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Kajaria Ceramics's revenue is expected to grow by 12.6% yearly, however this is not considered high growth (20% yearly).

Kajaria Ceramics's earnings are expected to grow by 19.3% yearly, however this is not considered high growth (20% yearly).

Kajaria Ceramics's revenue growth is expected to exceed the India market average.

Kajaria Ceramics's earnings growth is expected to exceed the India market average.

Kajaria Ceramics's earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Kajaria Ceramics is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Kajaria Ceramics performed over the past 5 years?

7.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Kajaria Ceramics's year on year earnings growth rate has been positive over the past 5 years.

Kajaria Ceramics's 1-year earnings growth is less than its 5-year average (1.1% vs 7.1%)

Kajaria Ceramics's earnings growth has exceeded the IN Building industry average in the past year (1.1% vs 0.9%).


Return on Equity

Kajaria Ceramics has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Kajaria Ceramics used its assets more efficiently than the IN Building industry average last year based on Return on Assets.


Return on Capital Employed

Kajaria Ceramics's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Kajaria Ceramics's financial position?


Financial Position Analysis

Kajaria Ceramics is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Kajaria Ceramics's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Kajaria Ceramics's level of debt (5.8%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (41.3% vs 5.8% today).

Debt is well covered by operating cash flow (334.3%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 23x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 12.3x debt.


Next Steps

Dividend

What is Kajaria Ceramics's current dividend yield, its reliability and sustainability?

0.94%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Kajaria Ceramics's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.63%).

Kajaria Ceramics's dividend is below the markets top 25% of dividend payers in India (2.52%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (4.9x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (4.3x coverage).


Next Steps

Management

What is the CEO of Kajaria Ceramics's salary, the management and board of directors tenure and is there insider trading?

9.2yrs

Average board tenure


CEO

Ashok Kajaria (72yo)

8.3yrs

Tenure

₹45,154,000

Compensation

Mr. Ashok K. Kajaria, B.Sc., BSME, has been the Chairman and Joint Managing Director of Kajaria Ceramics Limited since April 1, 2011. Mr. Kajaria served as Managing Director of Kajaria Ceramics Limited. He ...


CEO Compensation Analysis

Ashok's remuneration is higher than average for companies of similar size in India.

Ashok's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

9.2yrs

Average Tenure

69yo

Average Age

The tenure for the Kajaria Ceramics board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Ram Rawat (63yo)

    COO of A&T

    • Compensation: 16.95m
  • Gyan Nirmal (58yo)

    Senior Vice President of Import & Export

  • Bhupendra Vyas (62yo)

    Chief Operating Officer of Marketing

  • Rajveer Choudhary (65yo)

    Chief Operating Officer of Works & Gailpur Plant

  • Chetan Kajaria (45yo)

    Joint MD & Executive Director

    • Compensation: 49.47m
  • Rajeev Gupta

    Vice President of Human Resources

  • Sanjeev Agarwal (55yo)

    Chief Financial Officer

    • Tenure: 4.3yrs
    • Compensation: 17.08m
  • Ashok Kajaria (72yo)

    Chairman & MD

    • Tenure: 8.3yrs
    • Compensation: 45.15m
  • Rishi Kajaria (41yo)

    Joint MD & Executive Director

    • Compensation: 49.47m
  • Pankaj Sethi (48yo)

    Chief Operating Officer of Marketing


Board Members

  • Chetan Kajaria (45yo)

    Joint MD & Executive Director

    • Tenure: 12.1yrs
    • Compensation: 49.47m
  • Ashok Kajaria (72yo)

    Chairman & MD

    • Tenure: 8.3yrs
    • Compensation: 45.15m
  • Debi Bagchi (77yo)

    Independent Non-Executive Director

    • Tenure: 12.2yrs
    • Compensation: 400.00k
  • Raj Bhargava (84yo)

    Independent Non-Executive Director

    • Tenure: 20.8yrs
    • Compensation: 360.00k
  • Dev Rishi (70yo)

    Non-Executive Director

    • Tenure: 4.6yrs
    • Compensation: 180.00k
  • Rishi Kajaria (41yo)

    Joint MD & Executive Director

    • Tenure: 10.1yrs
    • Compensation: 49.47m
  • Harady Hegde (68yo)

    Independent Non-Executive Director

    • Tenure: 7.6yrs
    • Compensation: 200.00k
  • Sushmita Singha (55yo)

    Independent Non-Executive Director

    • Tenure: 4.4yrs
    • Compensation: 240.00k

Company Information

Kajaria Ceramics Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kajaria Ceramics Limited
  • Ticker: 500233
  • Exchange: BSE
  • Founded: 1985
  • Industry: building products
  • Sector: capital goods
  • Market Cap: ₹76.535b
  • Shares outstanding: 158.95m
  • Website: Click here

Location

  • Kajaria Ceramics Limited
  • Mohan Co-operative Industrial Estate
  • J-1/B-1 (Extn.)
  • New Delhi
  • Delhi
  • 110044
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500233BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 1995
KAJARIACERNSEI (National Stock Exchange of India)YesEquity SharesININRFeb 1995
500233BSE (Mumbai Stock Exchange)INR1ININRInvalid date

Biography

Kajaria Ceramics Limited manufactures and sells ceramic and vitrified tiles under the Kajaria Eternity brand in India. Its products include ceramic wall and floor tiles, polished vitrified tiles, glazed vi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:46
End of Day Share Price2019/08/16 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.