Kalpataru Power Transmission (NSEI:KALPATPOWR) - Share price, News & Analysis

KALPATPOWR fundamental analysis
Snowflake Score
Valuation	6/6
Future Growth	1/6
Past Performance	2/6
Financial Health	3/6
Dividends	4/6

KALPATPOWR Stock Overview

Rewards

Trading at 55.2% below our estimate of its fair value

Earnings are forecast to grow 16.78% per year

Risk Analysis

Interest payments are not well covered by earnings

Unstable dividend track record

Kalpataru Power Transmission Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Kalpataru Power Transmission
Historical stock prices
Current Share Price	₹367.05
52 Week High	₹496.00
52 Week Low	₹331.80
Beta	0.95
1 Month Change	3.39%
3 Month Change	-3.93%
1 Year Change	-13.82%
3 Year Change	-30.07%
5 Year Change	12.87%
Change since IPO	6,478.00%

Shareholder Returns

	KALPATPOWR	IN Construction	IN Market
7D	1.6%	1.2%	2.3%
1Y	-13.8%	-5.5%	-0.9%

Return vs Industry: KALPATPOWR underperformed the Indian Construction industry which returned -5.4% over the past year.

Return vs Market: KALPATPOWR underperformed the Indian Market which returned -1.7% over the past year.

Price Volatility

Is KALPATPOWR's price volatile compared to industry and market?
KALPATPOWR volatility
KALPATPOWR Average Weekly Movement	4.2%
Construction Industry Average Movement	7.1%
Market Average Movement	6.9%
10% most volatile stocks in IN Market	9.9%
10% least volatile stocks in IN Market	4.5%

Stable Share Price: KALPATPOWR is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: KALPATPOWR's weekly volatility (4%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1981	3,296	Manish Mohnot	https://www.kalpatarupower.com

Kalpataru Power Transmission Limited provides engineering, procurement, and construction (EPC) services relating to power transmission and distribution, civil construction, railway track laying and electrification, and oil and gas pipelines laying in India and internationally. It designs, tests, manufactures, fabricates, erects, and constructs transmission lines, oil and gas infrastructure, and railways projects on a turnkey basis. The company also provides EPC contracting services for cross-country pipelines, terminals, and gas gathering stations across various territories; and EPC services for executing civil infrastructure, bridges, new track laying, track rehabilitation, gauge conversion, signaling and telecommunication, and over-head electrification projects for railways.

Kalpataru Power Transmission Fundamentals Summary

How do Kalpataru Power Transmission's earnings and revenue compare to its market cap?
KALPATPOWR fundamental statistics
Market Cap	₹54.33b
Earnings (TTM)	₹5.40b
Revenue (TTM)	₹147.77b

10.1x

P/E Ratio

0.4x

P/S Ratio

Is KALPATPOWR overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
KALPATPOWR income statement (TTM)
Revenue	₹147.77b
Cost of Revenue	₹111.39b
Gross Profit	₹36.38b
Other Expenses	₹30.98b
Earnings	₹5.40b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	36.26
Gross Margin	24.62%
Net Profit Margin	3.65%
Debt/Equity Ratio	83.9%

How did KALPATPOWR perform over the long term?

See historical performance and comparison

Dividends

1.8%

Current Dividend Yield

18%

Payout Ratio

Does KALPATPOWR pay a reliable dividends?

See KALPATPOWR dividend history and benchmarks

When do you need to buy KALPATPOWR by to receive an upcoming dividend?
Kalpataru Power Transmission dividend dates
Ex Dividend Date	Jul 27 2022
Dividend Pay Date	Sep 02 2022
Days until Ex dividend	32 days
Days until Dividend pay date	69 days

Does KALPATPOWR pay a reliable dividends?

See KALPATPOWR dividend history and benchmarks

We’ve recently updated our valuation analysis.

Valuation

Is KALPATPOWR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

6/6

Valuation Score 6/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for KALPATPOWR?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for KALPATPOWR. This is calculated by dividing KALPATPOWR's market cap by their current preferred multiple.
What is KALPATPOWR's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹54.33b

KALPATPOWR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.6x
Enterprise Value/EBITDA	6.4x
PEG Ratio	0.6x

Price to Earnings Ratio vs Peers

How does KALPATPOWR's PE Ratio compare to its peers?

KALPATPOWR PE Ratio vs Peers

The above table shows the PE ratio for KALPATPOWR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	13.7x

Forward PE

Price-To-Earnings vs Peers: KALPATPOWR is good value based on its Price-To-Earnings Ratio (10.1x) compared to the peer average (13.7x).

Price to Earnings Ratio vs Industry

How does KALPATPOWR's PE Ratio compare vs other companies in the Indian Construction Industry?

Price-To-Earnings vs Industry: KALPATPOWR is good value based on its Price-To-Earnings Ratio (10.1x) compared to the Indian Construction industry average (16.1x)

Price to Earnings Ratio vs Fair Ratio

What is KALPATPOWR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

KALPATPOWR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	10.1x
Fair PE Ratio	22.1x

Price-To-Earnings vs Fair Ratio: KALPATPOWR is good value based on its Price-To-Earnings Ratio (10.1x) compared to the estimated Fair Price-To-Earnings Ratio (22.1x).

Share Price vs Fair Value

What is the Fair Price of KALPATPOWR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: KALPATPOWR (₹367.05) is trading below our estimate of fair value (₹818.8)

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

Price to Earnings Growth Ratio

PEG Ratio: KALPATPOWR is good value based on its PEG Ratio (0.6x)

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Future Growth

How is Kalpataru Power Transmission forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

16.8%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: KALPATPOWR's forecast earnings growth (16.8% per year) is above the savings rate (6.7%).

Earnings vs Market: KALPATPOWR's earnings (16.8% per year) are forecast to grow slower than the Indian market (17.5% per year).

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

Revenue vs Market: KALPATPOWR's revenue (10.4% per year) is forecast to grow slower than the Indian market (11.5% per year).

High Growth Revenue: KALPATPOWR's revenue (10.4% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: KALPATPOWR's Return on Equity is forecast to be low in 3 years time (14.8%).

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Past Performance

How has Kalpataru Power Transmission performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

17.2%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: KALPATPOWR has high quality earnings.

Growing Profit Margin: KALPATPOWR's current net profit margins (3.7%) are lower than last year (5.2%).

Past Earnings Growth Analysis

Earnings Trend: KALPATPOWR's earnings have grown by 17.2% per year over the past 5 years.

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

Earnings vs Industry: KALPATPOWR had negative earnings growth (-19.5%) over the past year, making it difficult to compare to the Construction industry average (33.4%).

Return on Equity

High ROE: KALPATPOWR's Return on Equity (12.1%) is considered low.

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Financial Health

How is Kalpataru Power Transmission's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: KALPATPOWR's short term assets (₹129.1B) exceed its short term liabilities (₹95.3B).

Long Term Liabilities: KALPATPOWR's short term assets (₹129.1B) exceed its long term liabilities (₹32.6B).

Debt to Equity History and Analysis

Debt Level: KALPATPOWR's net debt to equity ratio (56.8%) is considered high.

Reducing Debt: KALPATPOWR's debt to equity ratio has reduced from 110.7% to 83.9% over the past 5 years.

Debt Coverage: KALPATPOWR's debt is not well covered by operating cash flow (19.3%).

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

Balance Sheet

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Dividend

What is Kalpataru Power Transmission current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.78%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: KALPATPOWR's dividend (1.78%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: KALPATPOWR's dividend (1.78%) is low compared to the top 25% of dividend payers in the Indian market (1.9%).

Stability and Growth of Payments

Stable Dividend: KALPATPOWR's dividend payments have been volatile in the past 10 years.

Growing Dividend: KALPATPOWR's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (17.9%), KALPATPOWR's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (23.9%), KALPATPOWR's dividend payments are well covered by cash flows.

Discover strong dividend paying companies

Management

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

2.9yrs

Average management tenure

CEO

Manish Mohnot (49 yo)

5.17yrs

Tenure

₹147,100,000

Compensation

Mr. Manish Dashrathmal Mohnot, CA, ICWA, has been Managing Director of Kalpataru Power Transmission Limited since June 1, 2015 and its Chief Executive Officer since April 1, 2017. Mr. Mohnot has been an Ex...

CEO Compensation Analysis

Compensation vs Market: Manish's total compensation ($USD1.88M) is above average for companies of similar size in the Indian market ($USD339.37K).

Compensation vs Earnings: Manish's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.

Leadership Team

Experienced Management: KALPATPOWR's management team is considered experienced (2.9 years average tenure).

Board Members

Experienced Board: KALPATPOWR's board of directors are seasoned and experienced ( 15.6 years average tenure).

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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/24 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31