BSE:540673

Stock Analysis Report

Security and Intelligence Services (India)

Executive Summary

Security and Intelligence Services (India) Limited, together with its subsidiaries, operates as a security services company in India and internationally.


Snowflake Analysis

Outstanding track record with adequate balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 540673 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.8%

540673

1.8%

IN Commercial Services

-0.1%

IN Market


1 Year Return

35.9%

540673

3.2%

IN Commercial Services

10.4%

IN Market

Return vs Industry: 540673 exceeded the Indian Commercial Services industry which returned -28.8% over the past year.

Return vs Market: 540673 exceeded the Indian Market which returned 6.7% over the past year.


Shareholder returns

540673IndustryMarket
7 Day3.8%1.8%-0.1%
30 Day7.5%12.9%1.8%
90 Day12.8%15.2%3.7%
1 Year36.4%35.9%3.6%3.2%12.4%10.4%
3 Yearn/a24.5%20.7%28.8%21.7%
5 Yearn/a107.4%101.9%35.7%23.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

26.91x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 540673 (₹508.75) is trading above our estimate of fair value (₹122.32)

Significantly Below Fair Value: 540673 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 540673 is poor value based on its PE Ratio (26.3x) compared to the Commercial Services industry average (13.8x).

PE vs Market: 540673 is poor value based on its PE Ratio (26.3x) compared to the Indian market (13.8x).


Price to Earnings Growth Ratio

PEG Ratio: 540673 is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: 540673 is overvalued based on its PB Ratio (5.5x) compared to the IN Commercial Services industry average (1.2x).


Next Steps

Future Growth

How is Security and Intelligence Services (India) forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

17.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 540673's forecast earnings growth (17.2% per year) is above the savings rate (6.5%).

Earnings vs Market: 540673's earnings (17.2% per year) are forecast to grow slower than the Indian market (19.8% per year).

High Growth Earnings: 540673's earnings are forecast to grow, but not significantly.

Revenue vs Market: 540673's revenue (12.7% per year) is forecast to grow faster than the Indian market (11.3% per year).

High Growth Revenue: 540673's revenue (12.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 540673's Return on Equity is forecast to be high in 3 years time (20%)


Next Steps

Past Performance

How has Security and Intelligence Services (India) performed over the past 5 years?

31.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 540673 has high quality earnings.

Growing Profit Margin: 540673's current net profit margins (3.6%) are higher than last year (2.6%).


Past Earnings Growth Analysis

Earnings Trend: 540673's earnings have grown significantly by 31.3% per year over the past 5 years.

Accelerating Growth: 540673's earnings growth over the past year (72%) exceeds its 5-year average (31.3% per year).

Earnings vs Industry: 540673 earnings growth over the past year (72%) exceeded the Commercial Services industry 12%.


Return on Equity

High ROE: 540673's Return on Equity (20.8%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Security and Intelligence Services (India)'s financial position?


Financial Position Analysis

Short Term Liabilities: 540673's short term assets (₹22.8B) exceed its short term liabilities (₹15.8B).

Long Term Liabilities: 540673's short term assets (₹22.8B) exceed its long term liabilities (₹16.5B).


Debt to Equity History and Analysis

Debt Level: 540673's debt to equity ratio (82.2%) is considered high.

Reducing Debt: 540673's debt to equity ratio has increased from 68.1% to 82.2% over the past 5 years.

Debt Coverage: 540673's debt is well covered by operating cash flow (29.8%).

Interest Coverage: 540673's interest payments on its debt are well covered by EBIT (3.3x coverage).


Balance Sheet

Inventory Level: 540673 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 540673's debt is covered by short term assets (assets are 2x debt).


Next Steps

Dividend

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

0.34%

Current Dividend Yield


Dividend Yield vs Market

company0.3%marketbottom25%0.5%markettop25%2.3%industryaverage0.7%forecastin3Years0.6%

Current dividend yield vs market & industry

Notable Dividend: 540673's dividend (0.34%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.56%).

High Dividend: 540673's dividend (0.34%) is low compared to the top 25% of dividend payers in the Indian market (2.31%).


Stability and Growth of Payments

Stable Dividend: 540673 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 540673 has only been paying a dividend for 2 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9%), 540673's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 540673's dividends in 3 years are forecast to be thoroughly covered by earnings (13.4% payout ratio).


Next Steps

Management

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

2.8yrs

Average management tenure


CEO

Rituraj Sinha (39yo)

2.8yrs

Tenure

₹8,955,392

Compensation

Mr. Rituraj Kishore Sinha has been the Group Managing Director and Director of Security and Intelligence Services (India) Limited since April 24, 2017. Mr. Sinha served as Group Chief Operating Officer of  ...


CEO Compensation Analysis

Compensation vs Market: Rituraj's total compensation ($USD126.37K) is below average for companies of similar size in the Indian market ($USD390.22K).

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


Management Age and Tenure

2.8yrs

Average Tenure

50yo

Average Age

Experienced Management: 540673's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

3.5yrs

Average Tenure

66.5yo

Average Age

Experienced Board: 540673's board of directors are considered experienced (3.5 years average tenure).


Insider Trading

Insider Buying: 540673 insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sell₹23,502,10523 Nov 19
Dhiraj Singh
EntityIndividual
Role
Senior Key Executive
Chief Executive Officer of Facility Management & Emerging Businesses
Shares50,000
Max Price₹470.04
Sell₹3,048,60620 Nov 19
Dhiraj Singh
EntityIndividual
Role
Senior Key Executive
Chief Executive Officer of Facility Management & Emerging Businesses
Shares6,484
Max Price₹475.19
Sell₹29,768,13020 Nov 19
Uday Singh
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares63,966
Max Price₹465.37
Sell₹893,68618 Nov 19
Uday Singh
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares1,934
Max Price₹462.50
Sell₹15,771,42015 Nov 19
Uday Singh
EntityIndividual
Role
Member of the Board of Directors
Non Executive Director
Shares34,100
Max Price₹462.50
Sell₹2,190,49413 Nov 19
Dhiraj Singh
EntityIndividual
Role
Senior Key Executive
Chief Executive Officer of Facility Management & Emerging Businesses
Shares4,592
Max Price₹477.04
Sell₹46,757,35326 Sep 19
Mike McKinnon
EntityIndividual
Shares110,000
Max Price₹425.97
Sell₹489,699,99529 Mar 19
Vocational Skills Council India Private Limited
EntityCompany
Shares1,180,000
Max Price₹415.00

Ownership Breakdown

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


Management Team

  • Arvind Prasad (63yo)

    Director of Finance & Director

    • Tenure: 2.8yrs
    • Compensation: ₹4.96m
  • Rituraj Sinha (39yo)

    Group MD & Director

    • Tenure: 2.8yrs
    • Compensation: ₹8.96m
  • Ravindra Sinha (68yo)

    Founder & Chairman

    • Tenure: 5.7yrs
    • Compensation: ₹21.32m
  • Devesh Desai (50yo)

    Group Chief Financial Officer

    • PushpaLatha Katkuri (39yo)

      Company Secretary & Compliance Officer

      • Tenure: 3.4yrs
    • Brajesh Kumar (50yo)

      Chief Financial Officer of India Security & Facility Management

      • Tenure: 2.7yrs
    • Dhiraj Singh (50yo)

      Chief Executive Officer of Facility Management & Emerging Businesses

      • Tapash Chaudhuri (59yo)

        Chief Operating Officer of India Security Solutions

        • Vamshidhar Guthikonda (44yo)

          President of M&A and Investor Relations

          • Vinod Advani (49yo)

            Executive Vice President


            Board Members

            • Rita Sinha (66yo)

              Non-Executive Director

              • Compensation: ₹75.00k
            • Arvind Prasad (63yo)

              Director of Finance & Director

              • Tenure: 2.8yrs
              • Compensation: ₹4.96m
            • Rituraj Sinha (39yo)

              Group MD & Director

              • Tenure: 2.8yrs
              • Compensation: ₹8.96m
            • Ravindra Sinha (68yo)

              Founder & Chairman

              • Tenure: 5.7yrs
              • Compensation: ₹21.32m
            • Uday Singh (70yo)

              Non Executive Director

              • Tenure: 7.4yrs
              • Compensation: ₹4.45m
            • Amrendra Verma (66yo)

              Independent Director

              • Tenure: 6.3yrs
              • Compensation: ₹1.05m
            • Tirumalai Cunnavakaum Ranganathan (66yo)

              Independent Director

              • Tenure: 3.5yrs
              • Compensation: ₹900.00k
            • Devdas Apte (85yo)

              Independent Director

              • Tenure: 20.9yrs
              • Compensation: ₹825.00k
            • Renu Mattoo (74yo)

              Independent Director

              • Tenure: 2yrs
            • Rajan Medhekar (67yo)

              Independent Director

              • Tenure: 2.3yrs
              • Compensation: ₹1.13m

            Company Information

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


            Key Information

            • Name: Security and Intelligence Services (India) Limited
            • Ticker: 540673
            • Exchange: BSE
            • Founded: 1985
            • Industry: Security and Alarm Services
            • Sector: Commercial Services
            • Market Cap: ₹76.237b
            • Shares outstanding: 146.64m
            • Website: https://sisindia.com

            Number of Employees


            Location

            • Security and Intelligence Services (India) Limited
            • A - 28 & 29
            • Okhla Industrial Area Phase – I
            • New Delhi
            • Delhi
            • 110020
            • India

            Listings

            TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
            540673BSE (Mumbai Stock Exchange)YesEquity SharesININRAug 2017
            SISNSEI (National Stock Exchange of India)YesEquity SharesININRAug 2017

            Biography

            Security and Intelligence Services (India) Limited, together with its subsidiaries, operates as a security services company in India and internationally. The company operates through three business groups: Security Services (India), Security Services (International), and Facility Management. It offers security and related services, including manned guarding, training, physical security, and paramedic and emergency response services; loss prevention, asset protection, and mobile patrolling services; cash logistics services comprising cash-in-transit, ATM cash replenishment, and precious items and bullion transportation services; and alarm monitoring and response services, such as trading and installation of electronic security devices and systems. The company also provides facility management services, such as cleaning, house-keeping, pest control management, catering, office support, guest house and service apartment management, mechanical and electrical maintenance, plumbing, preventive maintenance, and repairing, as well as heating, ventilation, and air-conditioning services. It serves power, telecom, transportation, aviation, ports and logistics, real estate, healthcare, steel and heavy, food and beverage, automobiles, construction, engineering, chemical and industrial gases, paper, cement, banking, media, information technology, insurance, retail and entertainment, and hospitality industries, as well as townships, educational institutions, sporting events, heritage monuments, and households. The company was founded in 1985 and is based in New Delhi, India. 


            Company Analysis and Financial Data Status

            All financial data provided by Standard & Poor's Capital IQ.
            DataLast Updated (UTC time)
            Company Analysis2020/01/28 13:16
            End of Day Share Price2020/01/28 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.