BSE:512229

Stock Analysis Report

Executive Summary

Veritas (India) Limited imports, exports, trades in, and distributes chemicals, metals, and rubber products in India and internationally.


Snowflake Analysis

Adequate balance sheet and fair value.

Share Price & News

How has Veritas (India)'s share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 512229 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

1.9%

512229

0.3%

IN Trade Distributors

-1.4%

IN Market


1 Year Return

-41.1%

512229

47.7%

IN Trade Distributors

6.4%

IN Market

Return vs Industry: 512229 underperformed the Indian Trade Distributors industry which returned 53.3% over the past year.

Return vs Market: 512229 underperformed the Indian Market which returned 9.5% over the past year.


Shareholder returns

512229IndustryMarket
7 Day1.9%0.3%-1.4%
30 Day7.9%6.9%-3.3%
90 Day0.2%17.8%0.4%
1 Year-41.0%-41.1%48.5%47.7%8.4%6.4%
3 Year-74.4%-74.4%95.1%54.8%20.9%14.1%
5 Year-42.6%-42.8%81.5%-60.0%30.7%18.5%

Price Volatility Vs. Market

How volatile is Veritas (India)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Veritas (India) undervalued compared to its fair value and its price relative to the market?

1.63x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 512229 (₹31.45) is trading above our estimate of fair value (₹0.4)

Significantly Below Fair Value: 512229 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 512229 is good value based on its PE Ratio (1.6x) compared to the Trade Distributors industry average (15.7x).

PE vs Market: 512229 is good value based on its PE Ratio (1.6x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 512229's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 512229 is good value based on its PB Ratio (0x) compared to the IN Trade Distributors industry average (0.7x).


Next Steps

Future Growth

How is Veritas (India) forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

-1.2%

Forecasted Capital Goods industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Veritas (India) has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Veritas (India) performed over the past 5 years?

2.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 512229 has high quality earnings.

Growing Profit Margin: 512229's current net profit margins (2.5%) are lower than last year (3.1%).


Past Earnings Growth Analysis

Earnings Trend: 512229's earnings have grown by 2.7% per year over the past 5 years.

Accelerating Growth: 512229's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 512229 had negative earnings growth (-7.2%) over the past year, making it difficult to compare to the Trade Distributors industry average (30.2%).


Return on Equity

High ROE: 512229's Return on Equity (3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Veritas (India)'s financial position?


Financial Position Analysis

Short Term Liabilities: 512229's short term assets (₹8.7B) exceed its short term liabilities (₹6.9B).

Long Term Liabilities: 512229's short term assets (₹8.7B) exceed its long term liabilities (₹7.0B).


Debt to Equity History and Analysis

Debt Level: 512229's debt to equity ratio (25.7%) is considered satisfactory.

Reducing Debt: 512229's debt to equity ratio has increased from 12.9% to 25.7% over the past 5 years.

Debt Coverage: 512229's debt is well covered by operating cash flow (59.3%).

Interest Coverage: 512229's interest payments on its debt are not well covered by EBIT (2x coverage).


Balance Sheet

Inventory Level: 512229 has a high level of physical assets or inventory.

Debt Coverage by Assets: 512229's debt is covered by short term assets (assets are 1.9x debt).


Next Steps

Dividend

What is Veritas (India)'s current dividend yield, its reliability and sustainability?

0.16%

Current Dividend Yield


Dividend Yield vs Market

company0.2%marketbottom25%0.6%markettop25%2.6%industryaverage0.3%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 512229's dividend (0.16%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.59%).

High Dividend: 512229's dividend (0.16%) is low compared to the top 25% of dividend payers in the Indian market (2.59%).


Stability and Growth of Payments

Stable Dividend: 512229 is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: 512229 is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: 512229 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 512229's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.1yrs

Average board tenure


CEO

Praveen Bhatnagar (60yo)

1.7yrs

Tenure

0

Mr. Praveen Bhatnagar has been Whole-time Director of Veritas (India) Ltd since June 12, 2018. 


Board Members

NamePositionTenureCompensationOwnership
Praveen Bhatnagar
Whole-time Director1.7yrsno datano data
NitinKumar Didwania
Non Executive Chairman0yrsno data34.5% 290.9m
Kamala Aithal
Additional Independent Director2.8yrs₹24.00kno data
Purvi Matani
Independent Director0.5yrsno datano data
Vijay Shah
Independent Director0.5yrsno datano data

1.1yrs

Average Tenure

52yo

Average Age

Experienced Board: 512229's board of directors are not considered experienced ( 1.1 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Veritas (India) Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Veritas (India) Limited
  • Ticker: 512229
  • Exchange: BSE
  • Founded: 1985
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: ₹843.175m
  • Shares outstanding: 26.81m
  • Website: https://www.veritasindia.net

Location

  • Veritas (India) Limited
  • Veritas House
  • 3rd Floor
  • Mumbai
  • Maharashtra
  • 400001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
512229BSE (Mumbai Stock Exchange)YesEquity SharesININROct 2009

Biography

Veritas (India) Limited imports, exports, trades in, and distributes chemicals, metals, and rubber products in India and internationally. It distributes petrochemicals, polymers, paper and paper boards, and heavy distillates. The company also develops software; manufactures ceramic products, etc.; and generates wind energy. In addition, it is involved in agricultural activities. The company was formerly known as Duroflex Engineering Limited and changed its name to Veritas (India) Limited in April 2009. Veritas (India) Limited was incorporated in 1985 and is headquartered in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/24 13:19
End of Day Share Price2020/02/19 00:00
Earnings2019/09/30
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.