NSEI:VINYLINDIA

Stock Analysis Report

Vinyl Chemicals (India)

Executive Summary

Vinyl Chemicals (India) Limited engages in the trading of various chemicals in India and internationally.

Snowflake

Fundamentals

Excellent balance sheet second-rate dividend payer.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.1%

VINYLINDIA

14.8%

IN Trade Distributors

3.2%

IN Market


1 Year Return

-23.2%

VINYLINDIA

-6.4%

IN Trade Distributors

5.6%

IN Market

Return vs Industry: VINYLINDIA underperformed the Indian Trade Distributors industry which returned -6.4% over the past year.

Return vs Market: VINYLINDIA underperformed the Indian Market which returned 5.6% over the past year.


Shareholder returns

VINYLINDIAIndustryMarket
7 Day1.1%14.8%3.2%
30 Day-7.9%14.5%6.0%
90 Day-8.7%23.4%2.0%
1 Year-20.5%-23.2%-5.9%-6.4%7.8%5.6%
3 Year-4.0%-11.5%31.9%12.2%22.6%16.3%
5 Year69.0%48.7%50.9%-58.1%43.1%29.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

13.51x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Undervalued: VINYLINDIA (₹61.65) is trading above our estimate of fair value (₹19.51)

Significantly Undervalued: VINYLINDIA is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: VINYLINDIA is good value based on its PE Ratio (13.5x) compared to the Trade Distributors industry average (16.9x).

PE vs Market: VINYLINDIA is poor value based on its PE Ratio (13.5x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: VINYLINDIA is overvalued based on its PB Ratio (1.9x) compared to the IN Trade Distributors industry average (0.8x).


Next Steps

Future Growth

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

-14.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VINYLINDIA's earnings are forecast to decline over the next 3 years (-14.7% per year).

Earnings vs Market: VINYLINDIA's earnings are forecast to decline over the next 3 years (-14.7% per year).

High Growth Earnings: VINYLINDIA's earnings are forecast to decline over the next 3 years.

Revenue vs Market: Insufficient data to determine if VINYLINDIA's revenue is forecast to grow faster than the Indian market.

High Growth Revenue: Insufficient data to determine if VINYLINDIA's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

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

-3.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: VINYLINDIA's earnings have declined by -3.4% per year over the past 5 years.

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

Earnings vs Industry: VINYLINDIA had negative earnings growth (-27.9%) over the past year, making it difficult to compare to the Trade Distributors industry average (4.9%).


Return on Equity

High ROE: VINYLINDIA's Return on Equity (14.3%) is considered low.


Return on Assets

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


Return on Capital Employed

ROCE Improving: VINYLINDIA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Vinyl Chemicals (India)'s financial position?


Financial Position Analysis

Short Term Liabilities: VINYLINDIA's short term assets (₹1.4B) exceeds its short term liabilities (₹840.9M)

Long Term Liabilities: VINYLINDIA's short term assets (1.4B) exceeds its long term liabilities (5.9M)


Debt to Equity History and Analysis

Debt Level: VINYLINDIA's debt to equity ratio (0.8%) is considered satisfactory

Reducing Debt: VINYLINDIA's debt to equity ratio has reduced from 1.9% to 0.8% over the past 5 years.

Debt Coverage: VINYLINDIA's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: VINYLINDIA earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: VINYLINDIA's debt is covered by short term assets (assets are 288.761060x debt).


Next Steps

Dividend

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

3.86%

Current Dividend Yield


Dividend Yield vs Market

company3.9%marketbottom25%0.6%markettop25%2.4%industryaverage0.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: VINYLINDIA's dividend (3.86%) is higher than the bottom 25% of dividend payers in the Indian market (0.59%).

High Dividend: VINYLINDIA's dividend (3.86%) is in the top 25% of dividend payers in the Indian market (2.43%)

Stable Dividend: Whilst dividend payments have been stable, VINYLINDIA has been paying a dividend for less than 10 years.

Growing Dividend: VINYLINDIA's dividend payments have increased, but the company has only paid a dividend for 9 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (52.1%), VINYLINDIA's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Vinyl Chemicals (India)'s salary, the management and board of directors tenure and is there insider trading?

21.3yrs

Average board tenure


CEO

Madhukar Parekh (73yo)

0yrs

Tenure

₹7,400,000

Compensation

Mr. Madhukar Balvantray Parekh has been an Executive Chairman of Pidilite Industries Ltd since April 10, 2015. Mr. Parekh serves as the Managing Director of Vinyl Chemicals India Ltd. and has been its Chai ...


Board Age and Tenure

21.3yrs

Average Tenure

73yo

Average Age

Experienced Board: VINYLINDIA's board of directors are seasoned and experienced ( 21.3 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

  • Madhukar Parekh (73yo)

    Chairman & MD

    • Tenure: 0yrs
    • Compensation: ₹7.40m
  • Priykant Patel

    President

    • Tenure: 0yrs
  • Mahendra Gayatonde

    Chief Financial Officer

    • Tenure: 5.2yrs
    • Compensation: ₹2.71m

Board Members

  • Narendrakumar Parekh (81yo)

    Non Executive Director

    • Tenure: 33.4yrs
    • Compensation: ₹321.00k
  • Yasmin Mogrelia (69yo)

    Independent Non Executive Director

    • Tenure: 21.3yrs
    • Compensation: ₹339.00k
  • Ramdas Gandhi (86yo)

    Independent Non Executive Director

    • Tenure: 31.2yrs
    • Compensation: ₹340.50k
  • Madhukar Parekh (73yo)

    Chairman & MD

    • Tenure: 0yrs
    • Compensation: ₹7.40m
  • Arun Mavinkurve (69yo)

    Non Executive & Independent Director

    • Tenure: 10.8yrs
    • Compensation: ₹345.00k

Company Information

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


Key Information

  • Name: Vinyl Chemicals (India) Limited
  • Ticker: VINYLINDIA
  • Exchange: NSEI
  • Founded: 1986
  • Industry: Trading Companies and Distributors
  • Sector: Capital Goods
  • Market Cap: ₹1.129b
  • Shares outstanding: 18.34m
  • Website: https://www.vinylchemicals.com

Number of Employees


Location

  • Vinyl Chemicals (India) Limited
  • Ramkrishna Mandir Road
  • Off Mathuradas Vasanji Road
  • Mumbai
  • Maharashtra
  • 400059
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
524129BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 1995
VINYLINDIANSEI (National Stock Exchange of India)YesEquity SharesININRJul 1995

Biography

Vinyl Chemicals (India) Limited engages in the trading of various chemicals in India and internationally. It primarily sells vinyl acetate monomer. The company was incorporated in 1986 and is based in Mumb ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/18 12:43
End of Day Share Price2019/10/17 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.