NSEI:BBTC

Stock Analysis Report

Bombay Burmah Trading Corporation

Executive Summary

The Bombay Burmah Trading Corporation, Limited, together with its subsidiaries, engages in tea and coffee plantations, auto electric components, healthcare, and real estate businesses in India and internationally.

Snowflake

Flawless balance sheet with outstanding track record.

Share Price & News

How has Bombay Burmah Trading Corporation's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0.5%

BBTC

-2.5%

IN Food

-1.5%

IN Market


1 Year Return

-12.0%

BBTC

11.0%

IN Food

3.8%

IN Market

Return vs Industry: BBTC underperformed the Indian Food industry which returned 11% over the past year.

Return vs Market: BBTC underperformed the Indian Market which returned 3.8% over the past year.


Shareholder returns

BBTCIndustryMarket
7 Day0.5%-2.5%-1.5%
30 Day0.2%1.6%4.1%
90 Day48.4%16.0%7.4%
1 Year-11.9%-12.0%12.5%11.0%5.9%3.8%
3 Year143.9%143.2%89.0%83.6%34.7%27.6%
5 Year259.3%256.6%125.1%114.6%37.0%31.1%

Price Volatility Vs. Market

How volatile is Bombay Burmah Trading Corporation's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Bombay Burmah Trading Corporation undervalued compared to its fair value and its price relative to the market?

23.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: BBTC (₹1192.45) is trading below our estimate of fair value (₹1563.91)

Significantly Below Fair Value: BBTC is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: BBTC is good value based on its PE Ratio (8.8x) compared to the Food industry average (14.4x).

PE vs Market: BBTC is good value based on its PE Ratio (8.8x) compared to the Indian market (13.2x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: BBTC is overvalued based on its PB Ratio (1.7x) compared to the IN Food industry average (0.9x).


Next Steps

Future Growth

How is Bombay Burmah Trading Corporation forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BBTC's forecast earnings growth (2.1% per year) is below the savings rate (7.6%).

Earnings vs Market: BBTC's earnings (2.1% per year) are forecast to grow slower than the Indian market (19% per year).

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

Revenue vs Market: Insufficient data to determine if BBTC's revenue is forecast to grow faster than the Indian market.

High Growth Revenue: Insufficient data to determine if BBTC's revenue is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Bombay Burmah Trading Corporation performed over the past 5 years?

23.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BBTC has high quality earnings.

Growing Profit Margin: BBTC's current net profit margins (8%) are higher than last year (4%).


Past Earnings Growth Analysis

Earnings Trend: BBTC's earnings have grown significantly by 23.8% per year over the past 5 years.

Accelerating Growth: BBTC's earnings growth over the past year (119.6%) exceeds its 5-year average (23.8% per year).

Earnings vs Industry: BBTC earnings growth over the past year (119.6%) exceeded the Food industry 15.2%.


Return on Equity

High ROE: BBTC's Return on Equity (21.8%) is considered high.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Bombay Burmah Trading Corporation's financial position?


Financial Position Analysis

Short Term Liabilities: BBTC's short term assets (₹39.6B) exceeds its short term liabilities (₹23.2B)

Long Term Liabilities: BBTC's short term assets (39.6B) exceeds its long term liabilities (5.6B)


Debt to Equity History and Analysis

Debt Level: BBTC's debt to equity ratio (13.9%) is considered satisfactory

Reducing Debt: BBTC's debt to equity ratio has reduced from 42.8% to 13.9% over the past 5 years.

Debt Coverage: BBTC's debt is well covered by operating cash flow (115.4%).

Interest Coverage: BBTC's interest payments on its debt are well covered by EBIT (25.5x coverage).


Balance Sheet

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

Debt Coverage by Assets: BBTC's debt is covered by short term assets (assets are 4.1x debt).


Next Steps

Dividend

What is Bombay Burmah Trading Corporation's current dividend yield, its reliability and sustainability?

0.083%

Current Dividend Yield


Dividend Yield vs Market

company0.08%marketbottom25%0.6%markettop25%2.4%industryaverage0.8%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: BBTC's dividend (0.083%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.57%).

High Dividend: BBTC's dividend (0.083%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).


Stability and Growth of Payments

Stable Dividend: BBTC is not paying a notable dividend for the Indian market, therefore no need to check if payments are stable.

Growing Dividend: BBTC is not paying a notable dividend for the Indian market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: BBTC is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Bombay Burmah Trading Corporation's salary, the management and board of directors tenure and is there insider trading?

2.7yrs

Average board tenure


CEO

Dibakar Chatterjee 0

1.2yrs

Tenure

0

Mr. Dibakar Chatterjee is Chief Executive Officer of The Bombay Burmah Trading Corporation, Limited since September 5, 2018. Mr. Chatterjee is a Master of Business Administration from Indian School of Busi ...


Board Age and Tenure

2.7yrs

Average Tenure

58.5yo

Average Age

Experienced Board: BBTC's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

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.


Management Team

  • Nitin Datanwala

    Chief Financial Officer

    • Tenure: 1yrs
  • Ness Wadia (48yo)

    MD & Director

    • Tenure: 9.6yrs
    • Compensation: ₹38.42m
  • Varun Berry

    Managing Director of BIL

    • Tenure: 0yrs
    • Compensation: ₹39.60m
  • Indrajit Chaterjee

    Executive Officer

    • Tenure: 0yrs
  • Dibakar Chatterjee

    Chief Executive Officer

    • Tenure: 1.2yrs
  • Sanjay Chowdhary

    Company Secretary & Compliance Officer

    • Tenure: 0yrs

Board Members

  • Nusli Wadia (75yo)

    Chairman of the Board

    • Tenure: 37.3yrs
    • Compensation: ₹120.00k
  • Ness Wadia (48yo)

    MD & Director

    • Tenure: 9.6yrs
    • Compensation: ₹38.42m
  • Yashwantrao Shankarrao Thorat (72yo)

    Non-Executive

    • Tenure: 0.8yrs
  • Rajesh Batra (64yo)

    Independent Director

    • Tenure: 2.7yrs
    • Compensation: ₹160.00k
  • Vinesh Jairath (61yo)

    Non-Executive & Independent Director

    • Tenure: 0.8yrs
  • Jeh Wadia (46yo)

    Non-Executive Director

    • Tenure: 18.3yrs
    • Compensation: ₹100.00k
  • Minnie Bodhanwala (56yo)

    Non-Executive & Non-Independent Director

    • Tenure: 2.7yrs
    • Compensation: ₹80.00k
  • Gauri Kirloskar (35yo)

    Non- Executive & Independent Director

    • Tenure: 0.8yrs

Company Information

The Bombay Burmah Trading Corporation, Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Bombay Burmah Trading Corporation, Limited
  • Ticker: BBTC
  • Exchange: NSEI
  • Founded: 1863
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₹85.125b
  • Shares outstanding: 69.77m
  • Website: https://bbtcl.com

Location

  • The Bombay Burmah Trading Corporation, Limited
  • 9, Wallace Street
  • Fort
  • Mumbai
  • Maharashtra
  • 400001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
501425BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 1999
BBTCNSEI (National Stock Exchange of India)YesEquity SharesININRJun 1999

Biography

The Bombay Burmah Trading Corporation, Limited, together with its subsidiaries, engages in tea and coffee plantations, auto electric components, healthcare, and real estate businesses in India and internat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/14 12:50
End of Day Share Price2019/11/14 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.