BSE:532301

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Tata Coffee Limited, together with its subsidiaries, produces, trades in, and distributes coffee, tea, and allied products. More Details


Snowflake Analysis

Adequate balance sheet with proven track record and pays a dividend.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 532301 is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: 532301's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

5.7%

532301

-1.1%

IN Food

-0.3%

IN Market


1 Year Return

13.2%

532301

17.7%

IN Food

15.9%

IN Market

Return vs Industry: 532301 underperformed the Indian Food industry which returned 17.8% over the past year.

Return vs Market: 532301 underperformed the Indian Market which returned 15.9% over the past year.


Shareholder returns

532301IndustryMarket
7 Day5.7%-1.1%-0.3%
30 Day3.1%-1.3%4.9%
90 Day12.2%11.4%24.5%
1 Year15.3%13.2%19.4%17.7%18.0%15.9%
3 Year-26.1%-29.5%42.1%37.6%9.7%4.4%
5 Year30.5%21.4%192.7%177.8%82.1%68.4%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

2 years ago | Simply Wall St

May Top Growth Stocks To Buy

Valuation

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

22.36x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 532301 (₹112.5) is trading above our estimate of fair value (₹90.07)

Significantly Below Fair Value: 532301 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 532301 is poor value based on its PE Ratio (22.4x) compared to the IN Food industry average (14.2x).

PE vs Market: 532301 is poor value based on its PE Ratio (22.4x) compared to the Indian market (19.5x).


Price to Earnings Growth Ratio

PEG Ratio: 532301 is poor value based on its PEG Ratio (2x)


Price to Book Ratio

PB vs Industry: 532301 is overvalued based on its PB Ratio (1.6x) compared to the IN Food industry average (1.3x).


Next Steps

Future Growth

How is Tata Coffee forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

11.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 532301's forecast earnings growth (11.3% per year) is above the savings rate (7%).

Earnings vs Market: 532301's earnings (11.3% per year) are forecast to grow slower than the Indian market (25.5% per year).

High Growth Earnings: 532301's earnings are forecast to grow, but not significantly.

Revenue vs Market: 532301's revenue (6.8% per year) is forecast to grow slower than the Indian market (11.7% per year).

High Growth Revenue: 532301's revenue (6.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if 532301's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Tata Coffee performed over the past 5 years?

-11.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 532301 has high quality earnings.

Growing Profit Margin: 532301's current net profit margins (4.4%) are higher than last year (3.7%).


Past Earnings Growth Analysis

Earnings Trend: 532301's earnings have declined by 11.7% per year over the past 5 years.

Accelerating Growth: 532301's earnings growth over the past year (35.1%) exceeds its 5-year average (-11.7% per year).

Earnings vs Industry: 532301 earnings growth over the past year (35.1%) exceeded the Food industry 17.8%.


Return on Equity

High ROE: 532301's Return on Equity (9.9%) is considered low.


Next Steps

Financial Health

How is Tata Coffee's financial position?


Financial Position Analysis

Short Term Liabilities: 532301's short term assets (₹9.9B) exceed its short term liabilities (₹5.5B).

Long Term Liabilities: 532301's short term assets (₹9.9B) do not cover its long term liabilities (₹12.2B).


Debt to Equity History and Analysis

Debt Level: 532301's debt to equity ratio (63.5%) is considered high.

Reducing Debt: 532301's debt to equity ratio has reduced from 76.6% to 63.5% over the past 5 years.

Debt Coverage: 532301's debt is well covered by operating cash flow (23.7%).

Interest Coverage: 532301's interest payments on its debt are well covered by EBIT (5.7x coverage).


Balance Sheet


Next Steps

Dividend

What is Tata Coffee current dividend yield, its reliability and sustainability?

1.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 532301's dividend (1.33%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: 532301's dividend (1.33%) is low compared to the top 25% of dividend payers in the Indian market (1.81%).


Stability and Growth of Payments

Stable Dividend: 532301's dividends per share have been stable in the past 10 years.

Growing Dividend: 532301's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (29.8%), 532301's dividend payments are well 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

  • Explore strong dividend paying companies in the Food, Beverage & Tobacco industry.

Management

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

4.2yrs

Average management tenure


CEO

Chacko Thomas (50 yo)

1.75yrs

Tenure

₹26,314,000

Compensation

Mr. Chacko Purackal Thomas has been Chief Executive Officer and Managing Director at Tata Coffee Ltd. since April 1, 2019 and serves as its Executive Director since August 4, 2015 and served as its Deputy ...


CEO Compensation Analysis

Compensation vs Market: Chacko's total compensation ($USD359.73K) is above average for companies of similar size in the Indian market ($USD276.09K).

Compensation vs Earnings: Chacko's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Chacko Thomas
CEO, MD & Executive Director1.75yrs₹26.31mno data
K. Venkataramanan
CFO, Executive Director of Finance & Director6.25yrs₹20.27mno data
N. Murthy
Head of Legal4.17yrs₹5.64mno data

4.2yrs

Average Tenure

Experienced Management: 532301's management team is considered experienced (4.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Chacko Thomas
CEO, MD & Executive Director1.75yrs₹26.31mno data
K. Venkataramanan
CFO, Executive Director of Finance & Director6.25yrs₹20.27mno data
Vittaldas Leeladhar
Independent Director6.08yrs₹4.36mno data
Harish Bhat
Chairman of the Board7.5yrs₹220.00kno data
Sunil D'souza
Non-Executive Non-Independent Director0.67yrno datano data
Sunalini Menon
Independent Director6.33yrs₹3.58mno data
Siraj Chaudhry
Independent Director5.67yrs₹3.24mno data
Chengappa Ganapati
Independent Director3.67yrs₹2.46mno data

5.9yrs

Average Tenure

58.5yo

Average Age

Experienced Board: 532301's board of directors are considered experienced (5.9 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

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


Key Information

  • Name: Tata Coffee Limited
  • Ticker: 532301
  • Exchange: BSE
  • Founded: 1943
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₹21.012b
  • Shares outstanding: 186.77m
  • Website: https://www.tatacoffee.com

Number of Employees


Location

  • Tata Coffee Limited
  • No. 57, Railway Parallel Road
  • Kumara Park West
  • Bengaluru
  • Karnataka
  • 560020
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532301BSE (Mumbai Stock Exchange)YesEquity SharesININRNov 2002
TATACOFFEENSEI (National Stock Exchange of India)YesEquity SharesININRNov 2002

Biography

Tata Coffee Limited, together with its subsidiaries, produces, trades in, and distributes coffee, tea, and allied products. It provides green coffee beans; instant coffee products, such as spray dried, agg...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/01/16 12:08
End of Day Share Price2021/01/15 00:00
Earnings2020/09/30
Annual Earnings2020/03/31


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.