NSEI:GESHIP

Stock Analysis Report

Great Eastern Shipping

Executive Summary

The Great Eastern Shipping Company Limited, through its subsidiaries, engages in the shipping and offshore businesses in India and internationally.

Snowflake

Fundamentals

Fair value with moderate growth potential.

Risks

  • Great Eastern Shipping is covered by less than 3 analysts.

Share Price & News

How has Great Eastern Shipping's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0.8%

NSEI:GESHIP

-5.3%

IN Oil and Gas

-2.9%

IN Market


1 Year Return

-17.3%

NSEI:GESHIP

-14.5%

IN Oil and Gas

-15.9%

IN Market

GESHIP underperformed the Oil and Gas industry which returned -14.5% over the past year.

GESHIP underperformed the Market in India which returned -15.9% over the past year.


Share holder returns

GESHIPIndustryMarket
7 Day0.8%-5.3%-2.9%
30 Day-0.3%-9.0%-5.7%
90 Day-8.1%-15.9%-11.0%
1 Year-15.4%-17.3%-11.8%-14.5%-14.1%-15.9%
3 Year-24.9%-30.2%37.8%22.9%15.7%9.5%
5 Year-25.0%-35.4%37.7%15.8%33.2%20.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Great Eastern Shipping undervalued based on future cash flows and its price relative to the stock market?

42%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Great Eastern Shipping's share price is below the future cash flow value, and at a moderate discount (> 20%).

Great Eastern Shipping's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Great Eastern Shipping is overvalued based on earnings compared to the IN Oil and Gas industry average.

Great Eastern Shipping is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Great Eastern Shipping, we can't assess if its growth is good value.


Price Based on Value of Assets

Great Eastern Shipping is good value based on assets compared to the IN Oil and Gas industry average.


Next Steps

Future Growth

How is Great Eastern Shipping expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

28.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Great Eastern Shipping's revenue is expected to grow by 2.2% yearly, however this is not considered high growth (20% yearly).

Great Eastern Shipping's earnings are expected to grow significantly at over 20% yearly.

Great Eastern Shipping's revenue growth is positive but not above the India market average.

Great Eastern Shipping's earnings growth is expected to exceed the India market average.

Great Eastern Shipping's earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Great Eastern Shipping is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Great Eastern Shipping performed over the past 5 years?

-41.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Great Eastern Shipping's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Great Eastern Shipping has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.

Great Eastern Shipping has become profitable in the last year making it difficult to compare the IN Oil and Gas industry average.


Return on Equity

Great Eastern Shipping has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Great Eastern Shipping used its assets less efficiently than the IN Oil and Gas industry average last year based on Return on Assets.


Return on Capital Employed

Great Eastern Shipping's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Great Eastern Shipping's financial position?


Financial Position Analysis

Great Eastern Shipping is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Great Eastern Shipping's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Great Eastern Shipping's level of debt (88.1%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (92.8% vs 88.1% today).

Debt is not well covered by operating cash flow (18.3%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 0.9x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.7x debt.


Next Steps

Dividend

What is Great Eastern Shipping's current dividend yield, its reliability and sustainability?

2.26%

Current Dividend Yield


Dividend Yield and Payments Analysis

Great Eastern Shipping's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.65%).

Great Eastern Shipping's dividend is below the markets top 25% of dividend payers in India (2.67%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2.1x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Great Eastern Shipping's salary, the management and board of directors tenure and is there insider trading?

13.2yrs

Average board tenure


CEO

Bharat Sheth (61yo)

20.6yrs

Tenure

₹84,215,513

Compensation

Mr. Bharat Kanaiyalal Sheth has been the Managing Director of The Great Eastern Shipping Company Limited since April 1, 1999. Mr. Sheth has expertise in specific functional areas include management and mar ...


CEO Compensation Analysis

Bharat's remuneration is higher than average for companies of similar size in India.

Bharat's compensation has increased in line with Great Eastern Shipping recently becoming profitable.


Board Age and Tenure

13.2yrs

Average Tenure

63yo

Average Age

The average tenure for the Great Eastern Shipping board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Jayesh Trivedi (59yo)

    President of Secretarial & Legal

    • Tenure: 0.0yrs
    • Compensation: ₹13.28m
  • Bharat Sheth (61yo)

    MD & Deputy Chairman

    • Tenure: 20.6yrs
    • Compensation: ₹84.22m
  • Tapas Icot (63yo)

    President of Shipping & Executive Director

    • Tenure: 5.0yrs
    • Compensation: ₹21.89m
  • G. Shivakumar (51yo)

    CFO & Executive Director

    • Tenure: 4.8yrs
    • Compensation: ₹21.61m
  • Udaybir Bakshi (44yo)

    General Manager of Sale & Purchase

    • Tenure: 0.0yrs
  • Correa Pradeep (58yo)

    Head of Fleet Personnel

    • Tenure: 0.0yrs
  • Correa Prakash (60yo)

    Vice President of Operations

    • Tenure: 0.0yrs
    • Compensation: ₹17.31m
  • Salil Manalmaril (53yo)

    Head of Human Resources

    • Tenure: 0.0yrs
  • Avinash Sukthankar (55yo)

    Assistant Vice President of Accounts & MIS

    • Tenure: 0.0yrs
  • Anjali Kumar

    Head of Corporate Communications

    • Tenure: 0.0yrs

Board Members

  • Farrokh Kavarana (75yo)

    Non-Executive Independent Director

    • Tenure: 4.8yrs
    • Compensation: ₹200.00k
  • Vineet Nayyar (81yo)

    Non-Executive Independent Director

    • Tenure: 15.4yrs
    • Compensation: ₹500.00k
  • Bharat Sheth (61yo)

    MD & Deputy Chairman

    • Tenure: 20.6yrs
    • Compensation: ₹84.22m
  • Kanaiyalal Sheth (87yo)

    Non-Executive Chairman

    • Tenure: 27.6yrs
    • Compensation: ₹500.00k
  • Berjis Desai (63yo)

    Independent Director

    • Tenure: 12.8yrs
    • Compensation: ₹1.50m
  • Tapas Icot (63yo)

    President of Shipping & Executive Director

    • Tenure: 5.0yrs
    • Compensation: ₹21.89m
  • Cyrus Guzder (74yo)

    Non-Executive Independent Director

    • Tenure: 16.4yrs
    • Compensation: ₹1.70m
  • Ravi Sheth (58yo)

    Non-Executive Director

    • Tenure: 13.6yrs
  • G. Shivakumar (51yo)

    CFO & Executive Director

    • Tenure: 4.8yrs
    • Compensation: ₹21.61m
  • Rita Bhagwati

    Non-Executive Independent Director

    • Tenure: 4.8yrs
    • Compensation: ₹1.10m

Company Information

The Great Eastern Shipping Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Great Eastern Shipping Company Limited
  • Ticker: GESHIP
  • Exchange: NSEI
  • Founded: 1948
  • Industry: Oil and Gas Storage and Transportation
  • Sector: Energy
  • Market Cap: ₹35.571b
  • Shares outstanding: 149.80m
  • Website: https://www.greatship.com

Location

  • The Great Eastern Shipping Company Limited
  • Ocean House
  • 134/A, Dr. Annie Besant Road
  • Mumbai
  • Maharashtra
  • 400018
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500620BSE (Mumbai Stock Exchange)YesEquity SharesININRJan 1991
GESHIPNSEI (National Stock Exchange of India)YesEquity SharesININRJan 1991

Biography

The Great Eastern Shipping Company Limited, through its subsidiaries, engages in the shipping and offshore businesses in India and internationally. The company is involved in the transportation of goods th ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/23 12:46
End of Day Share Price2019/08/23 00:00
Earnings2019/06/30
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.