NSEI:TATAGLOBAL

Stock Analysis Report

Executive Summary

Tata Global Beverages Limited, together with its subsidiaries, produces and sells tea, coffee, and water worldwide.

Snowflake

Fundamentals

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

3.7%

TATAGLOBAL

4.9%

IN Food

3.8%

IN Market


1 Year Return

24.1%

TATAGLOBAL

17.9%

IN Food

6.0%

IN Market

Return vs Industry: TATAGLOBAL exceeded the Indian Food industry which returned 17.9% over the past year.

Return vs Market: TATAGLOBAL exceeded the Indian Market which returned 6% over the past year.


Shareholder returns

TATAGLOBALIndustryMarket
7 Day3.7%4.9%3.8%
30 Day5.5%6.7%2.9%
90 Day12.1%17.9%2.9%
1 Year25.5%24.1%19.5%17.9%8.2%6.0%
3 Year91.4%84.9%69.8%64.8%23.0%16.7%
5 Year90.5%78.1%141.6%129.7%43.6%30.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

42.62x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: TATAGLOBAL (₹282) is trading above our estimate of fair value (₹87.92)

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


Price To Earnings Ratio

PE vs Industry: TATAGLOBAL is poor value based on its PE Ratio (42.6x) compared to the Food industry average (14.3x).

PE vs Market: TATAGLOBAL is poor value based on its PE Ratio (42.6x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: TATAGLOBAL is poor value based on its PEG Ratio (2.8x)


Price to Book Ratio

PB vs Industry: TATAGLOBAL is overvalued based on its PB Ratio (2.4x) compared to the IN Food industry average (0.9x).


Next Steps

Future Growth

How is Tata Global Beverages forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

15.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TATAGLOBAL's forecast earnings growth (15.2% per year) is above the savings rate (7.6%).

Earnings vs Market: TATAGLOBAL's earnings (15.2% per year) are forecast to grow slower than the Indian market (18% per year).

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

Revenue vs Market: TATAGLOBAL's revenue (7.3% per year) is forecast to grow slower than the Indian market (11.3% per year).

High Growth Revenue: TATAGLOBAL's revenue (7.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TATAGLOBAL's Return on Equity is forecast to be low in 3 years time (7.9%).


Next Steps

Past Performance

How has Tata Global Beverages performed over the past 5 years?

14.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: TATAGLOBAL's earnings have grown by 14% per year over the past 5 years.

Accelerating Growth: TATAGLOBAL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TATAGLOBAL had negative earnings growth (-14.4%) over the past year, making it difficult to compare to the Food industry average (15.6%).


Return on Equity

High ROE: TATAGLOBAL's Return on Equity (5.6%) is considered low.


Return on Assets

ROA vs Industry: TATAGLOBAL's Return on Assets is below or equal to the Food industry average last year.


Return on Capital Employed

ROCE Improving: TATAGLOBAL has improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is Tata Global Beverages's financial position?


Financial Position Analysis

Short Term Liabilities: TATAGLOBAL's short term assets (₹45.5B) exceeds its short term liabilities (₹14.7B)

Long Term Liabilities: TATAGLOBAL's short term assets (45.5B) exceeds its long term liabilities (11.1B)


Debt to Equity History and Analysis

Debt Level: TATAGLOBAL's debt to equity ratio (13.8%) is considered satisfactory

Reducing Debt: TATAGLOBAL's debt to equity ratio has reduced from 21.2% to 13.8% over the past 5 years.

Debt Coverage: TATAGLOBAL's debt is not well covered by operating cash flow (18.2%).

Interest Coverage: TATAGLOBAL earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

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

Debt Coverage by Assets: TATAGLOBAL's debt is covered by short term assets (assets are 3.954410x debt).


Next Steps

Dividend

What is Tata Global Beverages's current dividend yield, its reliability and sustainability?

0.89%

Current Dividend Yield


Dividend Yield vs Market

company0.9%marketbottom25%0.6%markettop25%2.4%industryaverage0.8%forecastin3Years1.4%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: TATAGLOBAL's dividend (0.89%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: TATAGLOBAL's dividend (0.89%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.8%), TATAGLOBAL's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TATAGLOBAL's dividends in 3 years are forecast to be well covered by earnings (43.4% payout ratio).


Next Steps

Management

What is the CEO of Tata Global Beverages's salary, the management and board of directors tenure and is there insider trading?

2.8yrs

Average management tenure


CEO

Ajoy Misra (62yo)

5.5yrs

Tenure

₹38,851,000

Compensation

Mr. Ajoy Kumar Misra, B.E. (Hons.), Civil, MBA has been Managing Director of Tata Global Beverages Limited since April 1, 2014 and has been its Chief Executive Officer since April 1, 2014. Mr. Misra served ...


CEO Compensation Analysis

Compensation vs. Market: Ajoy's total compensation ($USD546.61K) is about average for companies of similar size in the Indian market ($USD777.14K).

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


Management Age and Tenure

2.8yrs

Average Tenure

62yo

Average Age

Experienced Management: TATAGLOBAL's management team is considered experienced (2.8 years average tenure).


Board Age and Tenure

3.9yrs

Average Tenure

59.5yo

Average Age

Experienced Board: TATAGLOBAL's board of directors are considered experienced (3.9 years average tenure).


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


Management Team

  • Ajoy Misra (62yo)

    MD, CEO & Executive Director

    • Tenure: 5.5yrs
    • Compensation: ₹38.85m
  • L. Kumar (61yo)

    Group CFO & Executive Director

    • Tenure: 6.5yrs
    • Compensation: ₹35.65m
  • Sachin Vyas (56yo)

    Head of Rural Business

    • Tenure: 10.5yrs
    • Compensation: ₹2.62m
  • John Mathai (64yo)

    Chief Internal Auditor

    • Tenure: 0yrs
    • Compensation: ₹4.89m
  • K. Ahmed (70yo)

    Head of Quality Management & GM

    • Tenure: 0yrs
  • S. Roychaudhuri (62yo)

    Chief Information Officer and Director of Application Support & Development - Asia Regions

    • Tenure: 0yrs
    • Compensation: ₹3.97m
  • Deepika Srivastava

    Manager of Legal & Secretarial

    • Tenure: 0yrs
  • Neelabja Chakrabarty

    VP, Company Secretary & Compliance Officer

    • Tenure: 1.2yrs
    • Compensation: ₹12.84m
  • Amit Chincholikar

    Global Chief Human Resources Officer

    • Tenure: 1.8yrs
  • John Burdett

    Global Operations Director

    • Tenure: 2.8yrs

Board Members

  • Sankaran Santhanakrishnan (69yo)

    Independent Director

    • Tenure: 6.4yrs
    • Compensation: ₹5.45m
  • Bharat Puri (58yo)

    Independent Director

    • Tenure: 0.4yrs
  • Ajoy Misra (62yo)

    MD, CEO & Executive Director

    • Tenure: 5.5yrs
    • Compensation: ₹38.85m
  • L. Kumar (61yo)

    Group CFO & Executive Director

    • Tenure: 6.5yrs
    • Compensation: ₹35.65m
  • Shikha Sharma (61yo)

    Independent Director

    • Tenure: 0.4yrs
  • Natarajan Chandrasekaran (56yo)

    Chairman of the Board

    • Tenure: 2.3yrs
    • Compensation: ₹220.00k
  • Harish Bhat (57yo)

    Non-Executive & Non-Independent Director

    • Tenure: 5.5yrs
    • Compensation: ₹420.00k
  • Siraj Chaudhry (52yo)

    Independent Non-Executive Director

    • Tenure: 2.3yrs
    • Compensation: ₹1.95m

Company Information

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


Key Information

  • Name: Tata Global Beverages Limited
  • Ticker: TATAGLOBAL
  • Exchange: NSEI
  • Founded: 1962
  • Industry: Packaged Foods and Meats
  • Sector: Food, Beverage & Tobacco
  • Market Cap: ₹177.979b
  • Shares outstanding: 631.13m
  • Website: https://www.tataglobalbeverages.com

Number of Employees


Location

  • Tata Global Beverages Limited
  • 11/13, Botawala Building
  • 1st Floor
  • Mumbai
  • Maharashtra
  • 400001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500800BSE (Mumbai Stock Exchange)YesEquity SharesININROct 1998
TATAGLOBALNSEI (National Stock Exchange of India)YesEquity SharesININROct 1998
TGBLLSE (London Stock Exchange)GDS EACH REPR 1 INR10(REG'S)GBUSDMar 2000
TTGLBBDL (Bourse de Luxembourg)GDS EACH REPR 1 INR10(REG'S)LUUSDMar 2000

Biography

Tata Global Beverages Limited, together with its subsidiaries, produces and sells tea, coffee, and water worldwide. It engages in the processing and blending of tea, including the manufacture of instant te ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 12:49
End of Day Share Price2019/10/18 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.