Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
It is not possible to calculate the future cash flow value for
Future Enterprises. This is due to cash flow or dividend data being
unavailable. The share price is
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Future Enterprises's earnings available for a low price, and how does
this compare to other companies in the same industry?
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Future Enterprises has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Luxury industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare Future Enterprises's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Future Enterprises's earnings growth to the India market average as no estimate data is available.
Unable to compare Future Enterprises's revenue growth to the India market average as no estimate data is available.
Unable to determine if Future Enterprises is high growth as no earnings estimate data is available.
Unable to determine if Future Enterprises is high growth as no revenue estimate data is available.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Future Enterprises's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Future Enterprises's finances.
The net worth of a company is the difference between its assets and liabilities.
Future Enterprises is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Future Enterprises's long term commitments exceed its cash and other short term assets.
This treemap shows a more detailed breakdown of
Future Enterprises's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is not covered by short term assets, assets are 0.5x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Vijay Laxminarayan Biyani has been Managing Director of Future Enterprises Limited since May 4, 2016. Mr. Biyani served as Managing Director of PIL Industries Limited (Pantaloon Industries Limited) from April 2006 to September 25, 2009. Mr. Biyani has 25 years of experience. Mr. Biyani has been Wholetime Director at Future Enterprises Limited (formerly, Pantaloon Retail (India) Ltd) since September 26, 2009. He has been a Director of PIL Industries Limited since November 1988. He serves as a Director at Future Group. He served as an Additional Director of IDream Film Infrastructure Company Ltd (formerly Softbpo Global Services Ltd) since November 2005. He holds a B.Com.
Vijay's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Vijay's remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Future Enterprises management team is about average.
MD & Director
CFO & Executive Director
Company Secretary & Compliance Officer
Joint MD & Director
Chief Operating Officer
Head of Legal & Corporate Governance
Chief Transformation Officer
Chief Financial Officer of Property Division
President of Strategy & Convergence
Chief Design Officer
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Future Enterprises board of directors is about average.
Future Enterprises Limited, together with its subsidiaries, engages in retail trade activities in India. It operates through Manufacturing and Trading; Leasing and Other; and Logistics segments. The company owns, invests in, operates, and maintains 862 retail stores under the Big Bazaar, easyday, fbb, Foodhall, and other retail brands in 26 states and union territories across the country. It designs, manufactures, and sells menswear, womenswear, and kidswear under the DJ&C, Shyla, and Pink N Blue brand names; and offers express, cold chain, and e-commerce logistics, as well as warehousing, distribution, and multi modal transportation services to food and beverages, lifestyle, consumer electronics and high tech, automotive and engineering, home and furniture, healthcare, general merchandise, and e-commerce corporates. Future Enterprises Limited also operates www.futurebazaar.com, a shopping portal; and provides furniture and home furnishing products under the Fabfurnish brand name. In addition, it offers media solution to advertisers. The company was formerly known as Future Retail Limited and changed its name to Future Enterprises Limited in May 2016. Future Enterprises Limited was incorporated in 1987 and is based in Mumbai, India.
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.