BSE:519216

Stock Analysis Report

Executive Summary

Ajanta Soya Limited manufactures and sells vanaspati and refined oils in India.


Snowflake Analysis

Flawless balance sheet and undervalued.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 519216's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-2.2%

519216

3.6%

IN Food

-3.0%

IN Market


1 Year Return

10.1%

519216

-3.1%

IN Food

-29.2%

IN Market

Return vs Industry: 519216 exceeded the Indian Food industry which returned -3.1% over the past year.

Return vs Market: 519216 exceeded the Indian Market which returned -29.2% over the past year.


Shareholder returns

519216IndustryMarket
7 Day-2.2%3.6%-3.0%
30 Day-15.1%-16.4%-26.9%
90 Day-40.8%-11.4%-28.5%
1 Year10.1%10.1%-1.7%-3.1%-27.7%-29.2%
3 Year-59.1%-59.1%45.9%41.3%-15.2%-19.9%
5 Year62.2%62.2%88.1%78.9%-3.1%-8.1%

Price Volatility Vs. Market

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


Simply Wall St News

1 year ago | Simply Wall St

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Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 519216 (₹21.9) is trading below our estimate of fair value (₹116.23)

Significantly Below Fair Value: 519216 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 519216 is good value based on its PE Ratio (2.8x) compared to the Food industry average (10.3x).

PE vs Market: 519216 is good value based on its PE Ratio (2.8x) compared to the Indian market (9.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 519216's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 519216 is good value based on its PB Ratio (0.7x) compared to the IN Food industry average (0.7x).


Next Steps

Future Growth

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

20.9%

Forecasted Food, Beverage & Tobacco 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 Ajanta Soya 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 Ajanta Soya performed over the past 5 years?

-3.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 519216 has a large one-off gain of ₹50.6M impacting its December 31 2019 financial results.

Growing Profit Margin: 519216 became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: 519216's earnings have declined by -3% per year over the past 5 years.

Accelerating Growth: 519216 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 519216 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Food industry (20.6%).


Return on Equity

High ROE: 519216's Return on Equity (25%) is considered high.


Next Steps

Financial Health

How is Ajanta Soya's financial position?


Financial Position Analysis

Short Term Liabilities: 519216's short term assets (₹962.0M) exceed its short term liabilities (₹807.8M).

Long Term Liabilities: 519216's short term assets (₹962.0M) exceed its long term liabilities (₹52.1M).


Debt to Equity History and Analysis

Debt Level: 519216's debt to equity ratio (21.5%) is considered satisfactory.

Reducing Debt: 519216's debt to equity ratio has reduced from 35.8% to 21.5% over the past 5 years.

Debt Coverage: 519216's debt is well covered by operating cash flow (200.9%).

Interest Coverage: 519216's interest payments on its debt are well covered by EBIT (9.1x coverage).


Balance Sheet

Inventory Level: 519216 has a high level of physical assets or inventory.

Debt Coverage by Assets: 519216's debt is covered by short term assets (assets are 8.9x debt).


Next Steps

Dividend

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


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 519216's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 519216's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 519216's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 519216's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 519216's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

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

8.0yrs

Average management tenure


CEO

Sushil Goyal (58yo)

16.67s

Tenure

₹3,000,000

Compensation

Mr. Sushil Goyal has been the Managing Director of Ajanta Soya Limited since July 27, 2003 and its Executive Director since June 3, 1992. Mr. Goyal serves as the Chairman of Ajanta Soya Limited. He has ove ...


CEO Compensation Analysis

Compensation vs Market: Sushil's total compensation ($USD39.80K) is about average for companies of similar size in the Indian market ($USD48.50K).

Compensation vs Earnings: Sushil's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Sushil Goyal
Chairman & MD16.67yrs₹3.00m5.34% 18.8m
Jai Sharma
CFO & Manager of Accounts5.83yrsno datano data
- Kapil
Compliance Officer & Company Secretary4.5yrsno datano data
Tajinder Bhatia
Senior Manager of Admin & Liaisonno datano datano data
Rajesh Sahani
General Manager of Sales & Marketingno datano datano data
Anil Sharma
Deputy Manager of HRno datano datano data
Aseem Verma
Plant Maintenance Headno datano datano data
Lalit Pandey
Regional Sales Manager10.25yrsno datano data

8.0yrs

Average Tenure

52yo

Average Age

Experienced Management: 519216's management team is seasoned and experienced (8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Sushil Goyal
Chairman & MD16.67yrs₹3.00m5.34% 18.8m
Harsh Kansal
Non Executive Independent Director17.92yrsno datano data
Abhey Goyal
Non-Executive Director11.25yrs₹2.40m3.7% 13.0m
Hemant Bansal
Non-Executive Independent Director6.58yrsno datano data
Sushila Jain
Non-Executive Independent Director5yrsno datano data

8.9yrs

Average Tenure

47yo

Average Age

Experienced Board: 519216's board of directors are considered experienced (8.9 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Ajanta Soya Limited
  • Ticker: 519216
  • Exchange: BSE
  • Founded: 1992
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₹352.515m
  • Shares outstanding: 16.10m
  • Website: https://www.ajantasoya.com

Number of Employees


Location

  • Ajanta Soya Limited
  • Bigjos Tower
  • 12th Floor
  • New Delhi
  • Delhi
  • 110034
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
519216BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2004

Biography

Ajanta Soya Limited manufactures and sells vanaspati and refined oils in India. It also offers bakery shortening for use in bakery products, such as biscuits, puffs, pastries, and other applications. The company offers its products under the DHRUV, ANCHAL, and PARV brand names. Ajanta Soya Limited markets its products through a network of agents and dealers, as well as its depots. The company was founded in 1992 and is based in New Delhi, 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 12:33
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.