Discounted Cash Flow Calculation for NSEI:ORBTEXP 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:ORBTEXP 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.
Orbit Exports's share price is below the future cash flow value, and at a moderate discount (> 20%).
Orbit Exports's share price is below the future cash flow value, but not 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
Orbit Exports's earnings available for a low price, and how does
this compare to other companies in the same industry?
Orbit Exports's earnings are expected to grow by 4.3% yearly, however this is not considered high growth (20% yearly).
Orbit Exports's revenue is expected to grow by 8.2% 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.
Orbit Exports'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
2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
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.
Mr. Pankaj S. Seth serves as the Managing Director of Orbit Exports Ltd. Mr. Seth has a vast experience of 16 years in trading and export of fabrics. He served as Chairman of Orbit Exports Ltd and has been its Director since September 1, 2004. He holds Masters in Management from Bombay University. He also holds B.Com from Mumbai University and also MBA from N. M Institute of Management Mumbai.
Pankaj's compensation has been consistent with company performance over the past year.
Pankaj's remuneration is lower than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
management team in years:
The average tenure for the Orbit Exports management team is over 5 years, this suggests they are a seasoned and experienced team.
Chairman & MD
CFO & Head of the Finance
COO & Whole Time Director
Compliance Officer & Company Secretary
Vice President of Finance & Accounts
Vice President of Marketing
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Orbit Exports board of directors is about average.
A Close Look At Orbit Exports Limited’s (NSE:ORBTEXP) 19% ROCE
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.
How Many Insiders Bought Orbit Exports Limited (NSE:ORBTEXP) Shares?
So we'll take a look at whether insiders have been buying or selling shares in Orbit Exports Limited (NSE:ORBTEXP). … The Last 12 Months Of Insider Transactions At Orbit Exports. … In total, Orbit Exports insiders bought more than they sold over the last year
Was Orbit Exports Limited's (NSE:ORBTEXP) Earnings Growth Better Than The Industry's?
In this commentary, I will examine Orbit Exports Limited's (NSE:ORBTEXP) latest earnings update (31 March 2018) and compare these figures against its performance over the past couple of years, as well as how the rest of the luxury industry performed. … See our latest analysis for Orbit Exports? … ORBTEXP's trailing twelve-month earnings (from 31 March 2018) of ₹270m has.
Orbit Exports Limited (NSE:ORBTEXP) Delivered A Better ROE Than Its Industry
This article is for those who would like to learn about Return On Equity (ROE). … That means that for every ₹1 worth of shareholders' equity, it generated ₹0.19 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity
Should You Like Orbit Exports Limited’s (NSE:ORBTEXP) High Return On Capital Employed?
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.
Have Insiders Been Buying Orbit Exports Limited (NSE:ORBTEXP) Shares?
So before you buy or sell Orbit Exports Limited (NSE:ORBTEXP), you may well want to know whether insiders have been buying or selling. … Orbit Exports Insider Transactions Over The Last Year. … In total, Orbit Exports insiders bought more than they sold over the last year
Is Orbit Exports Limited's (NSE:ORBTEXP) High P/E Ratio A Problem For Investors?
To keep it practical, we'll show how Orbit Exports Limited's (NSE:ORBTEXP) P/E ratio could help you assess the value on offer. … Orbit Exports has a price to earnings ratio of 14.21, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
How Does Orbit Exports Limited's (NSE:ORBTEXP) Earnings Growth Stack Up Against Industry Performance?
Understanding Orbit Exports Limited's (NSE:ORBTEXP) performance as a company requires examining more than earnings from one point in time. … Today I will take you through a basic sense check to gain perspective on how Orbit Exports is doing by evaluating its latest earnings with its longer term trend as well as its industry peers' performance over the same period. … Check out our latest analysis for Orbit Exports.
Is Orbit Exports Limited (NSE:ORBTEXP) A Smart Choice For Dividend Investors?
A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. … In the past 9 years Orbit Exports Limited (NSE:ORBTEXP) has returned an average of 2.00% per year to investors in the form of dividend payouts. … Let's take a look at Orbit Exports in more detail.
Who Are The Top Investors In Orbit Exports Limited (NSE:ORBTEXP)?
In this article, I'm going to take a look at Orbit Exports Limited’s (NSE:ORBTEXP) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … The effect of an active institutional investor with a similar ownership as a passive pension-fund can be vastly different on a company's corporate governance and accountability to shareholders. … Therefore, it is beneficial for us to examine ORBTEXP's ownership structure in more detail.
Orbit Exports Limited manufactures and sells fabrics, ribbons, and made ups. The company offers faux silk fabrics, fashion Jaquard, and Christmas craft products. It is also involved in the windmill power generation business. The company also exports its products primarily to the Middle East and Europe. Orbit Exports Limited was founded in 1983 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.