NSEI:KDDL

Stock Analysis Report

Executive Summary

KDDL Limited, together with its subsidiaries, manufactures and markets watch components, progressive tools, precision engineering components, and sub-assemblies in India.


Snowflake Analysis

Mediocre balance sheet with questionable track record.

Share Price & News

How has KDDL's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KDDL's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-11.0%

KDDL

-2.3%

IN Luxury

-2.9%

IN Market


1 Year Return

-73.2%

KDDL

-26.7%

IN Luxury

-29.3%

IN Market

Return vs Industry: KDDL underperformed the Indian Luxury industry which returned -26.9% over the past year.

Return vs Market: KDDL underperformed the Indian Market which returned -29.2% over the past year.


Shareholder returns

KDDLIndustryMarket
7 Day-11.0%-2.3%-2.9%
30 Day-57.5%-28.6%-26.5%
90 Day-61.7%-25.5%-28.5%
1 Year-72.8%-73.2%-26.1%-26.7%-27.9%-29.3%
3 Year-37.1%-38.8%1.6%-0.9%-15.4%-20.0%
5 Yearn/a44.6%39.4%-3.3%-8.3%

Price Volatility Vs. Market

How volatile is KDDL's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is KDDL undervalued compared to its fair value and its price relative to the market?

27.88x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: KDDL (₹118) is trading above our estimate of fair value (₹50.61)

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


Price To Earnings Ratio

PE vs Industry: KDDL is poor value based on its PE Ratio (27.9x) compared to the Luxury industry average (7.8x).

PE vs Market: KDDL is poor value based on its PE Ratio (27.9x) compared to the Indian market (9.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: KDDL is overvalued based on its PB Ratio (0.8x) compared to the IN Luxury industry average (0.4x).


Next Steps

Future Growth

How is KDDL forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

20.0%

Forecasted Consumer Durables industry annual growth in earnings


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 KDDL 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 SimplyWall St do have past financial data.


Next Steps

Past Performance

How has KDDL performed over the past 5 years?

20.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KDDL has high quality earnings.

Growing Profit Margin: KDDL's current net profit margins (0.8%) are lower than last year (4.2%).


Past Earnings Growth Analysis

Earnings Trend: KDDL's earnings have grown significantly by 20.8% per year over the past 5 years.

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

Earnings vs Industry: KDDL had negative earnings growth (-79.6%) over the past year, making it difficult to compare to the Luxury industry average (6.4%).


Return on Equity

High ROE: KDDL's Return on Equity (2.6%) is considered low.


Next Steps

Financial Health

How is KDDL's financial position?


Financial Position Analysis

Short Term Liabilities: KDDL's short term assets (₹3.8B) exceed its short term liabilities (₹2.8B).

Long Term Liabilities: KDDL's short term assets (₹3.8B) exceed its long term liabilities (₹1.8B).


Debt to Equity History and Analysis

Debt Level: KDDL's debt to equity ratio (68.2%) is considered high.

Reducing Debt: KDDL's debt to equity ratio has reduced from 126.2% to 68.2% over the past 5 years.

Debt Coverage: KDDL's debt is not well covered by operating cash flow (2.1%).

Interest Coverage: KDDL's interest payments on its debt are not well covered by EBIT (1.7x coverage).


Balance Sheet

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

Debt Coverage by Assets: KDDL's debt is covered by short term assets (assets are 2.4x debt).


Next Steps

Dividend

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

3.16%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KDDL's dividend (3.17%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).

High Dividend: KDDL's dividend (3.17%) is low compared to the top 25% of dividend payers in the Indian market (4.18%).


Stability and Growth of Payments

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

Growing Dividend: KDDL'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 (55.2%), KDDL'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

How experienced are the management team and are they aligned to shareholders interests?

9.0yrs

Average management tenure


CEO

Yashovardhan Saboo (60yo)

39s

Tenure

₹16,267,681

Compensation

Shri. Yashovardhan Saboo, B.A (Hons.). MBA (IIM, Ahmedabad), serves as Managing Director of KDDL Limited and served as its Chief Executive Officer since March 25, 1981. Shri. Saboo has been the Managing Di ...


CEO Compensation Analysis

Compensation vs Market: Yashovardhan's total compensation ($USD215.83K) is above average for companies of similar size in the Indian market ($USD48.50K).

Compensation vs Earnings: Yashovardhan's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Yashovardhan Saboo
Chairman & MD39yrs₹16.27m11.49% 169.2m
Sanjeev Masown
CFO & Whole Time Director3.83yrs₹8.27m0.017% 252.7k
B. Satish
Business Head of Watch Componentsno datano datano data
Ramesh Sharma
General Manager of Accountsno datano datano data
Brahm Kumar
Company Secretary & Compliance Officer1.75yrsno datano data
Xavier Jourdain
Managing Head of Estimano datano datano data
V. Srinivasan
Business Head of Eigen Engineeringno datano datano data
Pranav Saboo
Chief Executive Officer of Ethos Watch Boutiqueno datano data5.84% 86.0m

9.0yrs

Average Tenure

52yo

Average Age

Experienced Management: KDDL's management team is seasoned and experienced (9 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Yashovardhan Saboo
Chairman & MD39yrs₹16.27m11.49% 169.2m
Sanjeev Masown
CFO & Whole Time Director3.83yrs₹8.27m0.017% 252.7k
Anil Khanna
Independent-Non Executive Director15.25yrs₹300.00k0.018% 265.4k
Rajendra Saboo
Chairman Emeritusno data₹2.99m19.87% 292.5m
Sanjiv Sachar
Non Promoter Non Executive Independent Director3yrs₹190.00k0.012% 176.9k
Praveen Gupta
Independent Director5.33yrs₹210.00kno data
Ranjana Agarwal
Independent Non Executive Director6.5yrs₹245.00kno data
Vishal Sood
Independent Director4.5yrsno datano data
Jai Saboo
Non-Executive Director3.25yrs₹45.00k2.78% 41.0m

4.2yrs

Average Tenure

60yo

Average Age

Experienced Board: KDDL's board of directors are considered experienced (4.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: KDDL insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.4%.


Top Shareholders

Company Information

KDDL Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: KDDL Limited
  • Ticker: KDDL
  • Exchange: NSEI
  • Founded: 1981
  • Industry: Apparel, Accessories and Luxury Goods
  • Sector: Consumer Durables
  • Market Cap: ₹1.472b
  • Shares outstanding: 11.65m
  • Website: https://www.kddl.com

Location

  • KDDL Limited
  • Kamla Centre
  • SCO 88-89
  • Chandigarh
  • Chandigarh
  • 160009
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532054BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2001
KDDLNSEI (National Stock Exchange of India)YesEquity SharesININRDec 2001

Biography

KDDL Limited, together with its subsidiaries, manufactures and markets watch components, progressive tools, precision engineering components, and sub-assemblies in India. The company operates through four segments: Precision and Watch Components, Watch and Accessories, Marketing and Other Support Services, and Others. Its products include watch dials and hands; and precision stamping parts, press tools, and molds for electrical and electronics, auto ancillaries, aerospace, consumer durables, industrial applications, and instrumentation markets. The company is also involved in the manufacture of packaging products for the ornamental jewelry, watches, writing instruments, and other accessories. In addition, it trades in watches, accessories, and luxury goods; and provides IT based business solutions. Further, the company operates and manages 52 retail stores for Swiss Watches, as well as offers products online. KDDL Limited also exports its products. The company was formerly known as Kamla Dials & Devices Ltd. KDDL Limited was incorporated in 1981 and is headquartered in Chandigarh, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/28 13:44
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.