Discounted Cash Flow Calculation for NSEI:BANSWRAS using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
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.
NSEI:BANSWRAS DCF 1st Stage: Next 10 year cash flow forecast
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Banswara Syntex's share price is below the future cash flow value, and at a moderate discount (> 20%).
Banswara Syntex's share price is below the future cash flow value, and at a substantial discount (> 40%).
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
Banswara Syntex's earnings available for a low price, and how does
this compare to other companies in the same industry?
Banswara Syntex's earnings are expected to grow significantly at over 20% yearly.
Unable to determine if Banswara Syntex 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.
Banswara Syntex'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.
Could The Banswara Syntex Limited (NSE:BANSWRAS) Ownership Structure Tell Us Something Useful?
A look at the shareholders of Banswara Syntex Limited (NSE:BANSWRAS) can tell us which group is most powerful. … With a market capitalization of ₹1.2b, Banswara Syntex is a small cap stock, so it might not be well known by many institutional investors. … View our latest analysis for Banswara Syntex
Does Banswara Syntex Limited's (NSE:BANSWRAS) CEO Salary Compare Well With Others?
First, this article will compare CEO compensation with compensation at similar sized companies. … How Does Shaleen Toshniwal's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that Banswara Syntex Limited has a market cap of ₹1.2b, and is paying total annual CEO compensation of ₹10m.
Investors In Banswara Syntex Limited (NSE:BANSWRAS) Should Consider This Data
A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. … Historically, Banswara Syntex Limited (NSE:BANSWRAS) has paid a dividend to shareholders. … Let's take a look at Banswara Syntex in more detail.
Banswara Syntex Limited (NSE:BANSWRAS): What Are Investors Earning On Their Capital?
and want a simplistic look at the return on Banswara Syntex Limited (NSE:BANSWRAS) stock. … Thus, to understand how your money can grow by investing in Banswara Syntex, you need to look at what the company returns to owners for the use of their capital, which can be done in many ways but today we will use return on capital employed (ROCE) … Calculating Return On Capital Employed for BANSWRAS
Is Banswara Syntex Limited (NSE:BANSWRAS) An Attractive Dividend Stock?
A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … Banswara Syntex Limited (NSE:BANSWRAS) has returned to shareholders over the past 10 years, an average dividend yield of 3.00% annually. … Check out our latest analysis for Banswara Syntex
Will Banswara Syntex Limited (NSE:BANSWRAS) Continue To Underperform Its Industry?
and want to learn about Return on Equity using a real-life example. … Banswara Syntex Limited (NSE:BANSWRAS) generated a below-average return on equity of 3.12% in the past 12 months, while its industry returned 7.38%. … An investor may attribute an inferior ROE to a relatively inefficient performance, and whilst this can often be the case, knowing the nuts and bolts of the ROE calculation may change that perspective and give you a deeper insight into BANSWRAS's past performance.
Does Banswara Syntex Limited's (NSE:BANSWRAS) PE Ratio Warrant A Sell?
and want to begin learning the link between Banswara Syntex Limited (NSE:BANSWRAS)’s fundamentals and stock market performance. … Banswara Syntex Limited (NSE:BANSWRAS) is trading with a trailing P/E of 17.6x, which is higher than the industry average of 16.2x. … While BANSWRAS might seem like a stock to avoid or sell if you own it, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions
Was Banswara Syntex Limited's (NSE:BANSWRAS) Earnings Decline Part Of A Broader Industry Downturn?
After looking at Banswara Syntex Limited's (NSE:BANSWRAS) latest earnings announcement (31 March 2018), I found it useful to revisit the company's performance in the past couple of years and assess this against the most recent figures. … Was BANSWRAS's recent earnings decline indicative of a tough track record. … Furthermore, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of -14.22%, indicating the rate at which BANSWRAS is growing has slowed down
Banswara Syntex Limited manufactures and markets textile products in India. The company offers synthetic blended yarns, wool and wool mixed yarns, spun synthetic and worsted fabrics, cotton and linen fabrics, jacquard furnishing fabrics, and various other fabrics and readymade garments. Its products include viscose, polyester, and acrylic staple fibers; lycra, cotton, linen, and wool yarns; fancy spun yarns; spun fiber-dyed yarns; and fabrics for men's and women's wear, and home textile furnishing fabrics in various blends, such as mono, bi-stretch, and rigid fabrics. The company’s products also comprise readymade garments, such as trousers, jackets, and waistcoats; technical fabrics used for high altitude weather and sports wear; and automotive fabrics. In addition, its products include fire retardant fabrics that can be used as curtains, upholstery, drapes, wall paneling, cushion covers, and sheets, as well as lining for tents for use in furnishing auditoriums, multiplexes, cinema halls, hotels, railway coaches, airlines, ships and cruise, and buses and coaches. The company also exports its products to approximately 50 countries, including the United States, the United Kingdom, Canada, Spain, Germany, Italy, France, the Philippines, Turkey, and GCC countries. Banswara Syntex Limited was incorporated in 1976 and is headquartered in Mumbai, India.
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