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5007

Tata ChemicalsBSE:500770 Stock Report

Market Cap

₹251.6b

7D

-8.9%

1Y

207.0%

Updated

24 Oct, 2021

Data

Company Financials +
500770 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance1/6
Financial Health4/6
Dividends4/6

500770 Overview

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

Tata Chemicals Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Tata Chemicals
Historical stock prices
Current Share Price₹987.60
52 Week High₹303.20
52 Week Low₹1,158.00
Beta1.21
1 Month Change11.57%
3 Month Change30.25%
1 Year Change206.99%
3 Year Change47.49%
5 Year Change82.25%
Change since IPO1,281.26%

Recent News & Updates

Shareholder Returns

500770IN ChemicalsIN Market
7D-8.9%-8.4%-3.1%
1Y207.0%63.6%61.0%

Return vs Industry: 500770 exceeded the Indian Chemicals industry which returned 63.6% over the past year.

Return vs Market: 500770 exceeded the Indian Market which returned 61% over the past year.

Price Volatility

Is 500770's price volatile compared to industry and market?
500770 volatility
500770 Beta1.21
Industry Beta0.65
Market Beta1

Stable Share Price: 500770 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 500770's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19274,634Ramakrishnan Mukundanhttps://www.tatachemicals.com

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 soda ash; crushed refined soda; Portland and masonry cement under the Tata Shudh brand name; salt; pharmaceutical grade, food grade, and animal feed grade sodium bicarbonate, as well as technical and refined grade sodium bicarbonate; and allied chemicals, such as caustic soda, bromine-based products, and gypsum, as well as marine chemicals and nutrition solutions. In addition, it offers specialty products, including nano zinc oxides for various industrial and cosmetic applications; and silica.

Tata Chemicals Fundamentals Summary

How do Tata Chemicals's earnings and revenue compare to its market cap?
500770 fundamental statistics
Market Cap₹251.60b
Earnings (TTM)₹5.31b
Revenue (TTM)₹108.25b

47.4x

P/E Ratio

2.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
500770 income statement (TTM)
Revenue₹108.25b
Cost of Revenue₹29.91b
Gross Profit₹78.34b
Expenses₹73.03b
Earnings₹5.31b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Oct 27, 2021

Earnings per share (EPS)20.85
Gross Margin72.37%
Net Profit Margin4.91%
Debt/Equity Ratio44.3%

How did 500770 perform over the long term?

See historical performance and comparison

Dividends

1.0%

Current Dividend Yield

48%

Payout Ratio

Valuation

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

47.38x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 500770 (₹987.6) is trading above our estimate of fair value (₹693.78)

Significantly Below Fair Value: 500770 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 500770 is poor value based on its PE Ratio (47.4x) compared to the Indian Chemicals industry average (18.6x).

PE vs Market: 500770 is poor value based on its PE Ratio (47.4x) compared to the Indian market (21.3x).


Price to Earnings Growth Ratio

PEG Ratio: 500770 is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: 500770 is good value based on its PB Ratio (1.8x) compared to the IN Chemicals industry average (2.3x).


Future Growth

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

33.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 500770's forecast earnings growth (33.7% per year) is above the savings rate (6.7%).

Earnings vs Market: 500770's earnings (33.7% per year) are forecast to grow faster than the Indian market (19.3% per year).

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

Revenue vs Market: 500770's revenue (11.1% per year) is forecast to grow slower than the Indian market (13% per year).

High Growth Revenue: 500770's revenue (11.1% 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 (7.7%).


Past Performance

How has Tata Chemicals performed over the past 5 years?

-10.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 500770 has high quality earnings.

Growing Profit Margin: 500770's current net profit margins (4.9%) are lower than last year (6.5%).


Past Earnings Growth Analysis

Earnings Trend: 500770's earnings have declined by 10% 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 (-19.8%) over the past year, making it difficult to compare to the Chemicals industry average (43.9%).


Return on Equity

High ROE: 500770's Return on Equity (4.7%) is considered low.


Financial Health

How is Tata Chemicals's financial position?


Financial Position Analysis

Short Term Liabilities: 500770's short term assets (₹66.5B) exceed its short term liabilities (₹44.6B).

Long Term Liabilities: 500770's short term assets (₹66.5B) do not cover its long term liabilities (₹87.3B).


Debt to Equity History and Analysis

Debt Level: 500770's debt to equity ratio (44.3%) is considered high.

Reducing Debt: 500770's debt to equity ratio has reduced from 96.2% to 44.3% over the past 5 years.

Debt Coverage: 500770's debt is well covered by operating cash flow (30.3%).

Interest Coverage: 500770's interest payments on its debt are well covered by EBIT (6.7x coverage).


Balance Sheet


Dividend

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

1.01%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 500770's dividend (1.01%) is higher than the bottom 25% of dividend payers in the Indian market (0.34%).

High Dividend: 500770's dividend (1.01%) is low compared to the top 25% of dividend payers in the Indian market (1.41%).


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 not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (47.9%), 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 (25.4% payout ratio).


Next Steps

Management

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

3.5yrs

Average management tenure


CEO

Ramakrishnan Mukundan (55 yo)

12.92yrs

Tenure

₹64,465,185

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 ($USD859.89K) is above average for companies of similar size in the Indian market ($USD589.57K).

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


Leadership Team

Experienced Management: 500770's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: 500770's board of directors are considered experienced (3.5 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 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: ₹251.597b
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/24 12:01
End of Day Share Price2021/10/22 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.