Loading...

Sheela Foam

BSE:540203
Snowflake Description

Flawless balance sheet with high growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
540203
BSE
₹66B
Market Cap
Add to portfolio
  1. Home
    2. ›
  2. IN
    3. ›
  3. Consumer Durables
Last updated 2019/04/24 13:02
Company description

Sheela Foam Limited manufactures and sells polyurethane foams and mattresses in India and Australia. The last earnings update was 82 days ago. More info.

Find similar companies

Add to Portfolio Compare Print
540203 Share Price and Events
7 Day Returns
-2.6%
BSE:540203
-1.1%
IN Consumer Durables
-1.9%
IN Market
1 Year Returns
-8.6%
BSE:540203
-13.6%
IN Consumer Durables
-2.8%
IN Market
540203 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Sheela Foam (540203) -2.6% 6.8% 7.4% -8.6% - -
IN Consumer Durables -1.1% 0.6% 3.3% -13.6% 54.8% 251.6%
IN Market -1.9% 1.2% 5.1% -2.8% 38.3% 71%
1 Year Return vs Industry and Market
  • 540203 outperformed the Consumer Durables industry which returned -13.6% over the past year.
  • 540203 underperformed the Market in India which returned -2.8% over the past year.
Price Volatility
540203
Industry
5yr Volatility vs Market

Value

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

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 undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Sheela Foam to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Sheela Foam.

BSE:540203 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 4 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 15.7%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for BSE:540203
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Consumer Durables Unlevered Beta Simply Wall St/ S&P Global 0.92
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.916 (1 + (1- 35%) (0.55%)) 		0.946
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)		 0.95
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.946 * 8.6%) 		15.69%

Discounted Cash Flow Calculation for BSE:540203 using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Sheela Foam is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

BSE:540203 DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 15.69%)
2019 611.00 Analyst x2 528.15
2020 1,470.33 Analyst x3 1,098.62
2021 1,730.00 Analyst x3 1,117.36
2022 1,965.83 Est @ 13.63% 1,097.51
2023 2,197.94 Est @ 11.81% 1,060.71
2024 2,429.38 Est @ 10.53% 1,013.42
2025 2,663.48 Est @ 9.64% 960.42
2026 2,903.47 Est @ 9.01% 904.99
2027 3,152.36 Est @ 8.57% 849.33
2028 3,412.92 Est @ 8.27% 794.85
Present value of next 10 years cash flows ₹9,425.36
BSE:540203 DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹3,412.92 × (1 + 7.55%) ÷ (15.69% – 7.55%) 		₹45,110.38
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹45,110.38 ÷ (1 + 15.69%)10 		₹10,505.93
BSE:540203 Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹9,425.36 + ₹10,505.93 		₹19,931.28
Equity Value per Share
(INR)		 = Total value / Shares Outstanding
= ₹19,931.28 / 48.78 		₹408.57
BSE:540203 Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹408.57
Current discount Discount to share price of ₹1,360.00
= -1 x (₹1,360.00 - ₹408.57) / ₹408.57 		-232.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Sheela Foam is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
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 Sheela Foam's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Sheela Foam's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
BSE:540203 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in INR ₹26.24
BSE:540203 Share Price ** BSE (2019-04-24) in INR ₹1360
India Consumer Durables Industry PE Ratio Median Figure of 42 Publicly-Listed Consumer Durables Companies 27.47x
India Market PE Ratio Median Figure of 2,739 Publicly-Listed Companies 16.02x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Sheela Foam.

BSE:540203 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= BSE:540203 Share Price ÷ EPS (both in INR)

= 1360 ÷ 26.24

 51.83x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sheela Foam is overvalued based on earnings compared to the IN Consumer Durables industry average.
  • Sheela Foam is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Sheela Foam's expected growth come at a high price?
Raw Data
BSE:540203 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 51.83x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts		 22.6%per year
India Consumer Durables Industry PEG Ratio Median Figure of 12 Publicly-Listed Consumer Durables Companies 2.2x
India Market PEG Ratio Median Figure of 586 Publicly-Listed Companies 1.32x

*Line of best fit is calculated by linear regression .

BSE:540203 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 51.83x ÷ 22.6%

 2.29x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sheela Foam is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Sheela Foam's assets?
Raw Data
BSE:540203 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in INR ₹134.61
BSE:540203 Share Price * BSE (2019-04-24) in INR ₹1360
India Consumer Durables Industry PB Ratio Median Figure of 47 Publicly-Listed Consumer Durables Companies 1.73x
India Market PB Ratio Median Figure of 3,630 Publicly-Listed Companies 1.09x
BSE:540203 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= BSE:540203 Share Price ÷ Book Value per Share (both in INR)

= 1360 ÷ 134.61

 10.1x

* Primary Listing of Sheela Foam.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Sheela Foam is overvalued based on assets compared to the IN Consumer Durables industry average.
X
Value checks
We assess Sheela Foam's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Consumer Durables industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Consumer Durables industry average (and greater than 0)? (1 check)
    5. Sheela Foam has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Sheela Foam expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth 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 it right!
Annual Growth Rate
22.6%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Sheela Foam expected to grow at an attractive rate?
  • Sheela Foam's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Sheela Foam's earnings growth is expected to exceed the India market average.
  • Sheela Foam's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
BSE:540203 Future Growth Rates Data Sources
Data Point Source Value (per year)
BSE:540203 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 22.6%
BSE:540203 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 11.7%
India Consumer Durables Industry Earnings Growth Rate Market Cap Weighted Average 17.5%
India Consumer Durables Industry Revenue Growth Rate Market Cap Weighted Average 13.2%
India Market Earnings Growth Rate Market Cap Weighted Average 18.3%
India Market Revenue Growth Rate Market Cap Weighted Average 11.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
BSE:540203 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
BSE:540203 Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-03-31 27,674 2,500 2,200 3
2020-03-31 24,218 2,236 1,841 3
2019-03-31 22,076 1,744 1,457 2
BSE:540203 Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-12-31 21,346 1,280
2018-09-30 20,976 1,282
2018-06-30 20,479 1,381
2018-03-31 19,653 1,337 1,337
2017-12-31 19,129 1,175
2017-09-30 18,632 1,207
2017-06-30 17,889 1,167
2017-03-31 17,328 1,220 1,256
2016-12-31 16,725 1,389
2016-03-31 15,500 1,593 1,047

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Sheela Foam's earnings are expected to grow significantly at over 20% yearly.
  • Sheela Foam's revenue is expected to grow by 11.7% yearly, however this is not considered high growth (20% yearly).
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.
Raw Data
BSE:540203 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Sheela Foam Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:540203 Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-03-31 46.05 49.50 42.60 2.00
2020-03-31 37.53 44.80 32.38 3.00
2019-03-31 29.86 32.00 28.40 4.00
BSE:540203 Past Financials Data
Date (Data in INR Millions) EPS *
2018-12-31 26.24
2018-09-30 26.28
2018-06-30 28.32
2018-03-31 27.41
2017-12-31
2017-09-30
2017-06-30 23.91
2017-03-31 25.74
2016-12-31 20.67
2016-03-31 21.47

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Sheela Foam is expected to efficiently use shareholders’ funds in the future (Return on Equity greater than 20%).
Show me more growth companies in the Consumer Durables industry
X
Future performance checks
We assess Sheela Foam's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Sheela Foam has a total score of 5/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Sheela Foam performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Sheela Foam's growth in the last year to its industry (Consumer Durables).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Sheela Foam has delivered over 20% year on year earnings growth in the past 5 years.
  • Sheela Foam's 1-year earnings growth is less than its 5-year average (8.9% vs 20.3%)
  • Sheela Foam's earnings growth has not exceeded the IN Consumer Durables industry average in the past year (8.9% vs 11.9%).
Earnings and Revenue History
Sheela Foam's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Sheela Foam Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

BSE:540203 Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 21,345.94 1,280.37 1,930.24
2018-09-30 20,975.64 1,282.17 1,900.84
2018-06-30 20,478.74 1,381.27 1,861.24
2018-03-31 19,653.14 1,337.07 1,811.94
2017-12-31 19,129.05 1,175.26 1,767.74
2017-09-30 18,631.65 1,206.86 1,745.64
2017-06-30 17,889.25 1,166.76 1,734.44
2017-03-31 17,328.50 1,255.54 1,724.71
2016-12-31 16,724.80 1,389.36 1,694.41
2016-03-31 15,499.89 1,047.13 1,544.46
2015-03-31 14,176.68 426.73 1,430.51
2014-03-31 12,710.94 278.40 1,343.63
2013-03-31 11,490.15 308.50 1,188.37

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Sheela Foam has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Sheela Foam used its assets more efficiently than the IN Consumer Durables industry average last year based on Return on Assets.
  • Sheela Foam's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Sheela Foam's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Consumer Durables industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. 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.
Sheela Foam has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Sheela Foam's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Sheela Foam's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Sheela Foam is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Sheela Foam's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Sheela Foam'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 checks below.
Assets
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 covered by short term assets, assets are 15.8x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, 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.
Raw Data

All data from Sheela Foam Company Filings, last reported 3 months ago.

BSE:540203 Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 6,571.40 361.00 1,474.50
2018-09-30 6,571.40 361.00 1,474.50
2018-06-30 5,972.57 479.26 2,163.84
2018-03-31 5,972.57 479.26 2,163.84
2017-12-31 5,271.60 449.80 1,593.20
2017-09-30 5,271.60 449.80 1,593.20
2017-06-30 4,633.92 593.74 2,093.89
2017-03-31 4,636.52 593.55 2,059.97
2016-12-31
2016-03-31 3,384.34 1,151.14 2,171.60
2015-03-31 2,450.39 1,456.36 1,169.84
2014-03-31 1,965.65 1,878.23 768.43
2013-03-31 1,695.19 2,144.52 322.10
  • Sheela Foam's level of debt (5.5%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (102.3% vs 5.5% today).
  • Debt is well covered by operating cash flow (370.4%, greater than 20% of total debt).
  • Sheela Foam earns more interest than it pays, coverage of interest payments is not a concern.
Show me more healthy companies in the Consumer Durables industry
X
Financial health checks
We assess Sheela Foam's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
    7. Sheela Foam has a total score of 6/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Sheela Foam's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Sheela Foam dividends. Estimated to be 0.46% next year.
If you bought ₹2,000 of Sheela Foam shares you are expected to receive ₹0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Sheela Foam's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Sheela Foam's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
BSE:540203 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
India Consumer Durables Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 0.5%
India Market Average Dividend Yield Market Cap Weighted Average of 1400 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

BSE:540203 Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2021-03-31 6.63 3.00
2020-03-31 6.00 3.00
2019-03-31 4.80 1.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Sheela Foam has not reported any payouts.
  • Unable to verify if Sheela Foam's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Sheela Foam's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Sheela Foam has not reported any payouts.
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (6.7x coverage).
X
Income/ dividend checks
We assess Sheela Foam's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Sheela Foam afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
    7. Sheela Foam has a total score of 1/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

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.
CEO
Rahul Gautam
COMPENSATION ₹30,261,000
AGE 65
TENURE AS CEO 23 years
CEO Bio

Mr. Rahul Gautam has been a Managing Director of Sheela Foam Limited (also knoenas Sheela Foam Private Limited) since April 01, 1996 and serves its Chairman. Mr. Gautam personally looks after the Group's Finance, JVs and Acquisitions. With his vision, intense zeal and highly focused approach Sheela Foam has not only achieved enviable growth in the past, but also pushing itself to scale greater heights. Under his stewardship, in 2005, Sheela Foam acquired the business of Polyurethane Foam & Polystyrene of M/s. Joyce Foam, Australia, entered into joint ventures with M/s. Woodbridge group, Canada and A.H. Beard, Australia in 2006 & 2008 respectively. He is also the Chairman of Polyurethane Association of India. He serves as Director of Sheela Foam Private Limited. Under his dynamic leadership, the first Polyurethane Summit 'PUTECH-2005' was successfully held in October '05 and subsequently in March '08 in India. He serves as Chairman of Joyce Pty Ltd., Australia. He serves as a Director at Joyce Foam Pty Ltd. A Chemical Engineer from IIT, Kanpur with Masters Degree in Chemical Engineering from Polytechnic Institute of New York, USA.

CEO Compensation
  • Rahul's compensation has been consistent with company performance over the past year.
  • Rahul's remuneration is about average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Sheela Foam management team in years:

3.5
Average Tenure
53
Average Age
  • The tenure for the Sheela Foam management team is about average.
Management Team

Rahul Gautam

TITLE
Chairman & MD
COMPENSATION
₹30M
AGE
65
TENURE
23 yrs

Md. Ahmad

TITLE
Compliance Officer & Company Secretary
COMPENSATION
₹1M
AGE
43

Rakesh Chahar

TITLE
Director of Sales & Marketing and Whole-Time Director
COMPENSATION
₹15M
AGE
53

Namita Gautam

TITLE
Whole-Time Director
COMPENSATION
₹16M
AGE
65

Tushaar Gautam

TITLE
Whole-Time Director
COMPENSATION
₹17M
AGE
40

Sheela Gautam

TITLE
Founder & Chairperson Emeritus
AGE
86
TENURE
48.3 yrs

Pankaj Garg

TITLE
Chief Financial Officer
TENURE
0.3 yrs

Mahesh Gopalasamudram

TITLE
Chief Operating Officer
COMPENSATION
₹10M
AGE
47
TENURE
3.4 yrs

Pertisth Mankotia

TITLE
Chief Information Officer & Chief Human Resources Officer
AGE
44
TENURE
3.5 yrs

Frank Van Gogh

TITLE
CEO & Director of Joyce Foam Pty Ltd
AGE
63
Board of Directors Tenure

Average tenure and age of the Sheela Foam board of directors in years:

2.8
Average Tenure
65
Average Age
  • The average tenure for the Sheela Foam board of directors is less than 3 years, this suggests a new board.
Board of Directors

Rahul Gautam

TITLE
Chairman & MD
COMPENSATION
₹30M
AGE
65

Rakesh Chahar

TITLE
Director of Sales & Marketing and Whole-Time Director
COMPENSATION
₹15M
AGE
53
TENURE
15.4 yrs

Namita Gautam

TITLE
Whole-Time Director
COMPENSATION
₹16M
AGE
65
TENURE
15.4 yrs

Tushaar Gautam

TITLE
Whole-Time Director
COMPENSATION
₹17M
AGE
40
TENURE
12 yrs

Sheela Gautam

TITLE
Founder & Chairperson Emeritus
AGE
86

Frank Van Gogh

TITLE
CEO & Director of Joyce Foam Pty Ltd
AGE
63

Vijay Chopra

TITLE
Non-Executive Independent Director
AGE
72
TENURE
2.8 yrs

Som Mittal

TITLE
Non-Executive Independent Director
AGE
66
TENURE
2.8 yrs

Anil Tandon

TITLE
Non-Executive Independent Director
AGE
65
TENURE
2.8 yrs

Ravi Dhariwal

TITLE
Non-Executive Independent Director
AGE
66
TENURE
2.8 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
X
Management checks
We assess Sheela Foam's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
    5. Sheela Foam has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Sheela Foam Limited (BOM:540203): What Can We Expect From This High Growth Stock?

Sheela Foam Limited's (BOM:540203) most recent earnings announcement in March 2018a … confirmed

Simply Wall St - –

Company Info

Description

Sheela Foam Limited manufactures and sells polyurethane foams and mattresses in India and Australia. The company provides various technical products, such as automotive, reticulated, silenctech, sound absorption, specialty, UV, rebonded, high resilience, pure grade, flame retardant, polyether grade lamination, anti static, thermo-formable, hard and soft, and polyurethane and polyester foam products, as well as visco-elastic temperature sensitive materials. It also offers mattresses, pillows, comforters/duvets, mattress protectors, bolsters, back cushions, and sofa-cum beds, as well as furniture cushioning products. The company provides its products under the Sleepwell, Feather Foam, and Lamiflex brands. It sells its products for residential use, as well as for hotels, hospitals, and educational institutions. The company provides its products through distributors, dealers, and multi-branded outlets, as well as exports its products to approximately 32 countries. Sheela Foam Limited was incorporated in 1971 and is based in Ghaziabad, India.

Details
Name: Sheela Foam Limited
540203
Exchange: BSE
Founded: 1971
₹65,783,616,588
48,782,808
Website: http://www.sheelafoam.com
Address: Sheela Foam Limited
37/2, Site IV,
Sahibabad Industrial Area,
Ghaziabad,
Uttar Pradesh, 201010,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
BSE 540203 Equity Shares Mumbai Stock Exchange IN INR 09. Dec 2016
NSEI SFL Equity Shares National Stock Exchange of India IN INR 09. Dec 2016
Number of employees
Current staff
Staff numbers
2,025
Sheela Foam employees.
Industry
Home Furnishings
Consumer Durables
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/24 13:02
End of day share price update: 2019/04/24 00:00
Last estimates confirmation: 2019/04/10
Last earnings filing: 2019/02/01
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.

Related Companies

© 2019 Simply Wall Street Pty Ltd, Community Design 2845206, US Design Patent #29/544/281, European Design Registration #2845206, Standard & Poor’s Financial Services LLC. All rights reserved.

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.

Copyright © 2019, Standard & Poor’s Financial Services LLC. Reproduction of S&P Capital IQ in any form is prohibited except with the prior written permission of S&P. S&P does not guarantee the accuracy, adequacy, completeness or availability of any information and is not responsible for any errors or omissions, regardless of the cause or for the results obtained from the use of such information. S&P DISCLAIMS ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE. In no event shall S&P be liable for any direct, indirect, special or consequential damages, costs, expenses, legal fees, or losses (including lost income or lost profit and opportunity costs) in connection with subscriber’s or others’ use of S&P Capital IQ. (2019)