BSE:531548

Stock Analysis Report

Executive Summary

Somany Ceramics Limited manufactures and sells ceramic tiles and related products in India.

Snowflake

Fundamentals

Reasonable growth potential average dividend payer.

Risks

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

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-7.7%

BSE:531548

-1.3%

IN Building

-0.7%

IN Market


1 Year Return

-36.1%

BSE:531548

-12.8%

IN Building

-12.1%

IN Market

531548 underperformed the Building industry which returned -13% over the past year.

531548 underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

531548IndustryMarket
7 Day-7.7%-1.3%-0.7%
30 Day-29.9%-8.3%-4.6%
90 Day-19.0%-10.8%-4.3%
1 Year-35.7%-36.1%-12.3%-12.8%-10.3%-12.1%
3 Year-49.0%-49.8%16.3%14.2%18.9%12.8%
5 Year8.8%6.2%84.7%78.5%37.6%24.7%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

27.91x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

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

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


Price Based on Expected Growth

Somany Ceramics is good value based on expected growth next year.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is Somany Ceramics expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

33.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Somany Ceramics's revenue is expected to grow by 11.8% yearly, however this is not considered high growth (20% yearly).

Somany Ceramics's earnings are expected to grow significantly at over 20% yearly.

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

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

Somany 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

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


Next Steps

Past Performance

How has Somany Ceramics performed over the past 5 years?

-4.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Somany Ceramics's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Somany Ceramics's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Somany Ceramics's 1-year earnings growth is negative, it can't be compared to the IN Building industry average.


Return on Equity

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


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Somany Ceramics's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Somany Ceramics's level of debt (82.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (74.3% vs 82.1% today).

Debt is not well covered by operating cash flow (15%, less than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 4x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.6x debt.


Next Steps

Dividend

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

1.08%

Expected Dividend Yield


Dividend Yield and Payments Analysis

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

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

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (5.3x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (6.3x coverage).


Next Steps

Management

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

4.4yrs

Average board tenure


CEO

Shreekant Somany (71yo)

₹44,241,685

Compensation

Mr. Shreekant K. Somany, BSc, serves as the Chairman and Managing Director of Somany Ceramics Limited. Mr. Somany has over 36 years experience of business and Ceramic Industry. He has been an Independent & ...


CEO Compensation Analysis

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

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


Board Age and Tenure

4.4yrs

Average Tenure

68.5yo

Average Age

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


Insider Trading

Somany Ceramics individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sell₹12,570,28304 Jun 19
Anushree Chopra
EntityIndividual
Shares28,593
Max Price₹439.63

Ownership Breakdown


Management Team

  • Shreekant Somany (71yo)

    Chairman & MD

    • Compensation: 44.24m
  • Abhishek Somany (47yo)

    Joint MD & Whole Time Director

    • Compensation: 53.93m
  • Biju Sebastian

    Vice President of Corporate Human Resources

    • Tenure: 10.3yrs
  • Shyam Maheshwari

    Vice President of Outsource Operation

  • Ambrish Julka

    GM of Legal

    • Compensation: 2.77m
  • Minal Somany

    Head of Showrooms

  • Anjana Somany (66yo)

    Whole Time Director

    • Compensation: 2.69m
  • Saikat Mukhopadhyay

    Chief Financial Officer

    • Tenure: 1.6yrs
    • Compensation: 10.26m

Board Members

  • Shreekant Somany (71yo)

    Chairman & MD

    • Compensation: 44.24m
  • Siddharath Bindra (44yo)

    Independent Director

    • Tenure: 5.3yrs
    • Compensation: 590.00k
  • Rumjhum Chatterjee (60yo)

    Additional Independent Director

    • Tenure: 0.9yrs
    • Compensation: 15.00k
  • Tuljaram Maheshwari (60yo)

    Non-Executive Non Independent Director

    • Tenure: 0.3yrs
    • Compensation: 11.52m
  • Anjana Somany (66yo)

    Whole Time Director

    • Tenure: 4.4yrs
    • Compensation: 2.69m
  • Ravinder Nath (73yo)

    Independent Director

    • Tenure: 15.9yrs
    • Compensation: 555.00k
  • Ghanshyambhai Trivedi (73yo)

    Non-Executive Non Independent Director

    • Tenure: 1.9yrs
    • Compensation: 390.41k
  • Rameshwar Thakur (71yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: 30.00k
  • Abhishek Somany (47yo)

    Joint MD & Whole Time Director

    • Tenure: 18.2yrs
    • Compensation: 53.93m
  • Salil Singhal (73yo)

    Independent Director

    • Tenure: 17.1yrs
    • Compensation: 575.00k

Company Information

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


Key Information

  • Name: Somany Ceramics Limited
  • Ticker: 531548
  • Exchange: BSE
  • Founded: 1968
  • Industry: building products
  • Sector: capital goods
  • Market Cap: ₹12.623b
  • Shares outstanding: 42.38m
  • Website: Click here

Location

  • Somany Ceramics Limited
  • F-36, Sector-6
  • Noida
  • Uttar Pradesh
  • 201301
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
531548BSE (Mumbai Stock Exchange)YesEquity SharesININRSep 1999
SOMANYCERANSEI (National Stock Exchange of India)YesEquity SharesININRSep 1999

Biography

Somany Ceramics Limited manufactures and sells ceramic tiles and related products in India. It offers ceramic wall and floor tiles, polished vitrified tiles, glazed vitrified tiles, sanitaryware, and bath  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:40
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.