BSE:500770

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Executive Summary

Tata Chemicals Limited manufactures, sells, and distributes basic chemistry and specialty products in India, Europe, Africa, the United States, rest of Asia, and internationally. More Details


Snowflake Analysis

6 star dividend payer and undervalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 500770 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.7%

500770

1.0%

IN Chemicals

-0.2%

IN Market


1 Year Return

-48.0%

500770

16.8%

IN Chemicals

0.2%

IN Market

Return vs Industry: 500770 underperformed the Indian Chemicals industry which returned 14.8% over the past year.

Return vs Market: 500770 underperformed the Indian Market which returned 0.9% over the past year.


Shareholder returns

500770IndustryMarket
7 Day0.7%1.0%-0.2%
30 Day11.4%4.1%4.8%
90 Day3.6%13.3%6.9%
1 Year22.4%-48.0%19.4%16.8%2.0%0.2%
3 Year9.3%-55.9%34.8%26.4%-2.4%-7.2%
5 Year100.1%-22.3%138.3%118.2%39.9%29.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

7.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 500770 (₹323.25) is trading below our estimate of fair value (₹350.54)

Significantly Below Fair Value: 500770 is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: 500770 is good value based on its PE Ratio (12.4x) compared to the IN Chemicals industry average (15.4x).

PE vs Market: 500770 is good value based on its PE Ratio (12.4x) compared to the Indian market (16.2x).


Price to Earnings Growth Ratio

PEG Ratio: 500770 is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: 500770 is good value based on its PB Ratio (0.6x) compared to the IN Chemicals industry average (1.2x).


Next Steps

Future Growth

How is Tata Chemicals forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

24.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 500770's forecast earnings growth (24.9% per year) is above the savings rate (7.2%).

Earnings vs Market: 500770's earnings (24.9% per year) are forecast to grow slower than the Indian market (25.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 500770's revenue (9.7% per year) is forecast to grow slower than the Indian market (11.3% per year).

High Growth Revenue: 500770's revenue (9.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 500770's Return on Equity is forecast to be low in 3 years time (6.7%).


Next Steps

Past Performance

How has Tata Chemicals performed over the past 5 years?

10.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 500770 has high quality earnings.

Growing Profit Margin: 500770's current net profit margins (6.5%) are lower than last year (10.1%).


Past Earnings Growth Analysis

Earnings Trend: 500770's earnings have grown by 10.3% per year over the past 5 years.

Accelerating Growth: 500770's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 500770 had negative earnings growth (-42.9%) over the past year, making it difficult to compare to the Chemicals industry average (-1.9%).


Return on Equity

High ROE: 500770's Return on Equity (6.4%) is considered low.


Next Steps

Financial Health

How is Tata Chemicals's financial position?


Financial Position Analysis

Short Term Liabilities: 500770's short term assets (₹78.6B) exceed its short term liabilities (₹70.9B).

Long Term Liabilities: 500770's short term assets (₹78.6B) exceed its long term liabilities (₹70.0B).


Debt to Equity History and Analysis

Debt Level: 500770's debt to equity ratio (55.1%) is considered high.

Reducing Debt: 500770's debt to equity ratio has reduced from 133.8% to 55.1% over the past 5 years.

Debt Coverage: 500770's debt is well covered by operating cash flow (23.7%).

Interest Coverage: 500770's interest payments on its debt are well covered by EBIT (5.4x coverage).


Balance Sheet


Next Steps

Dividend

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

3.40%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 500770's dividend (3.4%) is higher than the bottom 25% of dividend payers in the Indian market (0.56%).

High Dividend: 500770's dividend (3.4%) is in the top 25% of dividend payers in the Indian market (2.29%)


Stability and Growth of Payments

Stable Dividend: 500770's dividends per share have been stable in the past 10 years.

Growing Dividend: 500770's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.3%), 500770's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 500770's dividends in 3 years are forecast to be well covered by earnings (34.4% payout ratio).


Next Steps

Management

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

5.0yrs

Average management tenure


CEO

Ramakrishnan Mukundan (54 yo)

11.92yrs

Tenure

₹66,975,964

Compensation

Mr. Ramakrishnan Mukundan, B.E.(Elec), MBA, has been the Managing Director of Tata Chemicals Limited and Tata Chemicals North America Inc. since November 2008 and also serves as its Chief Executive Officer ...


CEO Compensation Analysis

Compensation vs Market: Ramakrishnan's total compensation ($USD905.86K) is above average for companies of similar size in the Indian market ($USD399.61K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Ramakrishnan Mukundan
MD, CEO & Executive Director11.92yrs₹66.98m0.00020%
₹ 163.1k
John Mulhall
CFO & Chief Investor Relations Officer5yrs₹33.58mno data
Rajiv Chandan
Compliance Officerno data₹16.77mno data
Zarir Langrana
Executive Director2.5yrs₹32.27m0.0014%
₹ 1.2m
Saumitra Chaudhary
Chief Technology & Sustainabifity Officerno data₹3.29mno data
R. Nanda
Chief Human Resources Officerno datano datano data
K. Venkatadri
Chief Innovation & Digital Officerno data₹2.17mno data
D. Sundar
Chief of Corporate Assurance & Initiativesno data₹3.36mno data
Avalakki Uday
Head of Nutraceuticalsno datano datano data
Shohab Rais
Chief Operating Officer of Indian Chemicals Businessno datano datano data
Alka Talwar
Chief Sustainability & CSRno datano datano data
Richard Lobo
Head of Strategy & Business Excellenceno datano datano data

5.0yrs

Average Tenure

57yo

Average Age

Experienced Management: 500770's management team is seasoned and experienced (5 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ramakrishnan Mukundan
MD, CEO & Executive Director11.92yrs₹66.98m0.00020%
₹ 163.1k
Zarir Langrana
Executive Director2.5yrs₹32.27m0.0014%
₹ 1.2m
Ratan Tata
Chairman Emeritus7.83yrs₹4.70mno data
Rajiv Dube
Independent Non-Executive Director0.083yrno datano data
Bhaskar Bhat
Non-Executive Director3.83yrs₹3.36mno data
Kanwar Bir Anand
Independent Non-Executive Director1yr₹1.17mno data
Padmini Kaicker
Independent Non-Executive Director2.5yrs₹9.59mno data
Sankaranarayanan Padmanabhan
Non-Independent Non-Executive Director3.83yrs₹730.00kno data
Vibha Rishi
Independent Non-Executive Director6.08yrs₹9.57mno data
C. Natraj
Independent Non-Executive Director1.17yrs₹3.41m0.000080%
₹ 65.2k

3.2yrs

Average Tenure

61.5yo

Average Age

Experienced Board: 500770's board of directors are considered experienced (3.2 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.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Tata Chemicals Limited
  • Ticker: 500770
  • Exchange: BSE
  • Founded: 1927
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: ₹81.547b
  • Shares outstanding: 254.76m
  • Website: https://www.tatachemicals.com

Number of Employees


Location

  • Tata Chemicals Limited
  • Bombay House
  • 24 Homi Mody Street
  • Mumbai
  • Maharashtra
  • 400001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500770BSE (Mumbai Stock Exchange)YesOrdinary SharesININRFeb 1999
TATACHEMNSEI (National Stock Exchange of India)YesOrdinary SharesININRFeb 1999
600770BSE (Mumbai Stock Exchange)INR10(FOREIGN PREMIUM)ININRNov 2016

Biography

Tata Chemicals Limited manufactures, sells, and distributes basic chemistry and specialty products in India, Europe, Africa, the United States, rest of Asia, and internationally. It offers dense and light ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/27 13:06
End of Day Share Price2020/10/27 00:00
Earnings2020/06/30
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.