BSE:512599

Stock Analysis Report

Executive Summary

Adani Enterprises Limited, together with its subsidiaries, engages in the coal trading, coal mining, oil and gas exploration, ports, multi-modal logistics, power generation and transmission, gas distribution, and edible oil and agro commodities businesses in India and internationally.

Snowflake

Fundamentals

Adequate balance sheet with proven track record.

Share Price & News

How has Adani Enterprises's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

15.2%

512599

11.2%

IN Trade Distributors

3.3%

IN Market


1 Year Return

5.5%

512599

-5.8%

IN Trade Distributors

7.1%

IN Market

Return vs Industry: 512599 exceeded the Indian Trade Distributors industry which returned -5.8% over the past year.

Return vs Market: 512599 underperformed the Indian Market which returned 7.1% over the past year.


Shareholder returns

512599IndustryMarket
7 Day15.2%11.2%3.3%
30 Day19.7%13.3%2.9%
90 Day37.4%22.6%3.1%
1 Year5.8%5.5%-5.3%-5.8%9.4%7.1%
3 Year362.6%164.1%31.0%11.4%22.7%16.4%
5 Year229.1%-61.5%48.6%-57.7%44.0%30.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Adani Enterprises undervalued compared to its fair value and its price relative to the market?

43.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 512599 (₹178.55) is trading below our estimate of fair value (₹315.94)

Significantly Below Fair Value: 512599 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 512599 is poor value based on its PE Ratio (17.6x) compared to the Trade Distributors industry average (16.9x).

PE vs Market: 512599 is poor value based on its PE Ratio (17.6x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

PEG Ratio: 512599 is poor value based on its PEG Ratio (5.5x)


Price to Book Ratio

PB vs Industry: 512599 is overvalued based on its PB Ratio (1.3x) compared to the IN Trade Distributors industry average (0.8x).


Next Steps

Future Growth

How is Adani Enterprises forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

3.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 512599's forecast earnings growth (3.2% per year) is below the savings rate (7.6%).

Earnings vs Market: 512599's earnings (3.2% per year) are forecast to grow slower than the Indian market (18.3% per year).

High Growth Earnings: 512599's earnings are forecast to grow, but not significantly.

Revenue vs Market: 512599's revenue (3% per year) is forecast to grow slower than the Indian market (11.3% per year).

High Growth Revenue: 512599's revenue (3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 512599's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Adani Enterprises performed over the past 5 years?

-35.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: 512599's earnings have declined by -35% per year over the past 5 years.

Accelerating Growth: 512599's earnings growth over the past year (28.7%) exceeds its 5-year average (-35% per year).

Earnings vs Industry: 512599 earnings growth over the past year (28.7%) exceeded the Trade Distributors industry 4.8%.


Return on Equity

High ROE: 512599's Return on Equity (6.3%) is considered low.


Return on Assets

ROA vs Industry: 512599 has a higher Return on Assets than the Trade Distributors industry average last year.


Return on Capital Employed

ROCE Improving: 512599 has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Adani Enterprises's financial position?


Financial Position Analysis

Short Term Liabilities: 512599's short term assets (₹230.0B) exceeds its short term liabilities (₹223.8B)

Long Term Liabilities: 512599's short term assets (230.0B) exceeds its long term liabilities (48.8B)


Debt to Equity History and Analysis

Debt Level: 512599's debt to equity ratio (74.2%) is considered high

Reducing Debt: 512599's debt to equity ratio has reduced from 254.8% to 74.2% over the past 5 years.

Debt Coverage: 512599's debt is well covered by operating cash flow (29.6%).

Interest Coverage: 512599's interest payments on its debt are not well covered by EBIT (2.4x coverage).


Balance Sheet

Inventory Level: 512599 has a high level of physical assets or inventory.

Debt Coverage by Assets: 512599's debt is covered by short term assets (assets are 2.045620x debt).


Next Steps

Dividend

What is Adani Enterprises's current dividend yield, its reliability and sustainability?

0.22%

Current Dividend Yield


Dividend Yield vs Market

company0.2%marketbottom25%0.6%markettop25%2.4%industryaverage0.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: 512599's dividend (0.22%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: 512599's dividend (0.22%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).

Stable Dividend: 512599 is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: 512599 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: 512599 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 512599's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

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

1.7yrs

Average management tenure


CEO

Rajeshbhai Adani (55yo)

0yrs

Tenure

₹41,900,000

Compensation

Mr. Rajeshbhai Shantilal Adani, B.Com., serves as the Managing Director at Adani Wilmar Limited. Mr. Adani has been the Managing Director of Adani Power Limited since April 01, 2008 and served as its Chief ...


CEO Compensation Analysis

Compensation vs. Market: Rajeshbhai's total compensation ($USD591.05K) is about average for companies of similar size in the Indian market ($USD808.61K).

Compensation vs Earnings: Rajeshbhai's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.7yrs

Average Tenure

57yo

Average Age

Experienced Management: 512599's management team is not considered experienced ( 1.7 years average tenure), which suggests a new team.


Board Age and Tenure

3.0yrs

Average Tenure

59yo

Average Age

Experienced Board: 512599's board of directors are considered experienced (3 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Gautam Adani (57yo)

    Executive Chairman

    • Tenure: 0yrs
    • Compensation: ₹21.10m
  • Rajeshbhai Adani (55yo)

    MD & Director

    • Tenure: 0yrs
    • Compensation: ₹41.90m
  • Paresh Chaudhry (63yo)

    Group President of Corporate Communication

    • Tenure: 1.7yrs
  • Jatin Jalundhwala (59yo)

    Joint President of Legal

    • Tenure: 0yrs
    • Compensation: ₹14.50m
  • Sudipta Bhattacharya (52yo)

    Group CTO & CEO of Adani Group North America

    • Tenure: 0yrs
  • Pranav Adani (41yo)

    Executive Director

    • Tenure: 4.5yrs
    • Compensation: ₹29.90m
  • Vinay Goel (46yo)

    CEO of Coal & Mining and Executive Director

    • Tenure: 2.2yrs
    • Compensation: ₹154.00m
  • Pradeep Bhargava (60yo)

    Head of Management Assurance & Audit Services

    • Tenure: 0yrs
  • Panda Kishore (64yo)

    Group President of Human Resources

    • Tenure: 11.7yrs
  • Jugeshinder Singh

    Chief Financial Officer

    • Tenure: 0.4yrs

Board Members

  • Hemant Nerurkar (71yo)

    Independent Non-Executive Director

    • Tenure: 4.2yrs
    • Compensation: ₹1.76m
  • Gautam Adani (57yo)

    Executive Chairman

    • Tenure: 0yrs
    • Compensation: ₹21.10m
  • Rajeshbhai Adani (55yo)

    MD & Director

    • Tenure: 0yrs
    • Compensation: ₹41.90m
  • Pranav Adani (41yo)

    Executive Director

    • Tenure: 4.5yrs
    • Compensation: ₹29.90m
  • Vinay Goel (46yo)

    CEO of Coal & Mining and Executive Director

    • Tenure: 2.2yrs
    • Compensation: ₹154.00m
  • Vijaylaxmi Joshi (61yo)

    Independent Non-Executive Director

    • Tenure: 2.8yrs
    • Compensation: ₹1.61m
  • Narendra Mairpady (65yo)

    Additional Non Executive Independent Director

    • Tenure: 1.8yrs
    • Compensation: ₹1.42m
  • Venkataraman Subramanian (71yo)

    Independent Non-Executive Director

    • Tenure: 3.2yrs
    • Compensation: ₹1.81m

Company Information

Adani Enterprises Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Adani Enterprises Limited
  • Ticker: 512599
  • Exchange: BSE
  • Founded: 1988
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: ₹196.371b
  • Shares outstanding: 1.10b
  • Website: https://www.adanienterprises.com

Location

  • Adani Enterprises Limited
  • Adani House
  • Near Mithakhali Six Roads
  • Ahmedabad
  • Gujarat
  • 380009
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
512599BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 2001
ADANIENTNSEI (National Stock Exchange of India)YesEquity SharesININRJul 2001

Biography

Adani Enterprises Limited, together with its subsidiaries, engages in the coal trading, coal mining, oil and gas exploration, ports, multi-modal logistics, power generation and transmission, gas distributi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:31
End of Day Share Price2019/10/22 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.