BSE:532626

Stock Analysis Report

Pondy Oxides And Chemicals

Executive Summary

Pondy Oxides and Chemicals Limited produces and sells lead and lead alloys, PVC additives, and zinc metal and zinc oxides in India.

Snowflake

Fundamentals

Adequate balance sheet with proven track record.

Risks

  • Pondy Oxides And Chemicals has significant price volatility in the past 3 months.
  • Pondy Oxides And Chemicals is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-5.8%

BSE:532626

1.1%

IN Chemicals

-0.5%

IN Market


1 Year Return

-31.6%

BSE:532626

2.2%

IN Chemicals

-2.4%

IN Market

532626 underperformed the Chemicals industry which returned 2.2% over the past year.

532626 underperformed the Market in India which returned -2.4% over the past year.


Share holder returns

532626IndustryMarket
7 Day-5.8%1.1%-0.5%
30 Day-9.4%-3.0%-2.0%
90 Day-42.2%-5.3%-4.8%
1 Year-31.0%-31.6%3.3%2.2%-0.5%-2.4%
3 Year58.2%53.6%42.1%38.0%28.0%21.3%
5 Year676.4%433.1%134.3%121.0%44.9%31.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Pondy Oxides And Chemicals undervalued based on future cash flows and its price relative to the stock market?

3.3x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Pondy Oxides And Chemicals to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Pondy Oxides And Chemicals to establish if it is available at substantial discount.


Price Based on Earnings

Pondy Oxides And Chemicals is good value based on earnings compared to the IN Chemicals industry average.

Pondy Oxides And Chemicals is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Pondy Oxides And Chemicals, we can't assess if its growth is good value.


Price Based on Value of Assets

Pondy Oxides And Chemicals is good value based on assets compared to the IN Chemicals industry average.


Next Steps

Future Growth

How is Pondy Oxides And Chemicals expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

16.8%

Forecasted Chemicals industry annual growth in earnings


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Pondy Oxides And Chemicals is high growth as no revenue estimate data is available.

Unable to determine if Pondy Oxides And Chemicals is high growth as no earnings estimate data is available.

Unable to compare Pondy Oxides And Chemicals's revenue growth to the India market average as no estimate data is available.

Unable to compare Pondy Oxides And Chemicals's earnings growth to the India market average as no estimate data is available.

Unable to compare Pondy Oxides And Chemicals's earnings growth to the low risk savings rate as no estimate data is available.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Pondy Oxides And Chemicals will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Pondy Oxides And Chemicals performed over the past 5 years?

41.6%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Pondy Oxides And Chemicals has delivered over 20% year on year earnings growth in the past 5 years.

Pondy Oxides And Chemicals's 1-year earnings growth is less than its 5-year average (15.6% vs 41.6%)

Pondy Oxides And Chemicals's earnings growth has exceeded the IN Chemicals industry average in the past year (15.6% vs 13.4%).


Return on Equity

Whilst Pondy Oxides And Chemicals has efficiently used shareholders’ funds last year (Return on Equity greater than 20%), this is metric is skewed due to its high level of debt.


Return on Assets

Pondy Oxides And Chemicals used its assets more efficiently than the IN Chemicals industry average last year based on Return on Assets.


Return on Capital Employed

Pondy Oxides And Chemicals has improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Pondy Oxides And Chemicals's financial position?


Financial Position Analysis

Pondy Oxides And Chemicals is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Pondy Oxides And Chemicals's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Pondy Oxides And Chemicals's level of debt (107.2%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (189.5% vs 107.2% today).

Operating cash flow is negative therefore debt is not well covered.

Interest payments on debt are well covered by earnings (EBIT is 5.3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 1.7x debt.


Next Steps

Dividend

What is Pondy Oxides And Chemicals's current dividend yield, its reliability and sustainability?

1.50%

Current Dividend Yield


Dividend Yield and Payments Analysis

Pondy Oxides And Chemicals's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.56%).

Pondy Oxides And Chemicals's dividend is below the markets top 25% of dividend payers in India (2.23%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (20.2x coverage).


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Pondy Oxides And Chemicals's salary, the management and board of directors tenure and is there insider trading?

4.3yrs

Average board tenure


CEO

Ashish Bansal (38yo)

4.1yrs

Tenure

₹19,549,000

Compensation

Mr. Ashish Bansal has been Managing Director of Pondy Oxides & Chemicals Limited since June 1, 2015. Mr. Bansal served as the President of Operations at Pondy Oxides & Chemicals Limited from April 1, 2006  ...


CEO Compensation Analysis

Ashish's remuneration is higher than average for companies of similar size in India.

Ashish's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.


Board Age and Tenure

4.3yrs

Average Tenure

66yo

Average Age

The tenure for the Pondy Oxides And Chemicals board of directors is about average.


Insider Trading

No 3 month individual insider trading information.


Ownership Breakdown


Management Team

  • K. Kumaravel (55yo)

    GM of Finance

    • Compensation: 2.20m
  • Rajendra Bansal (73yo)

    Whole Time Director

    • Compensation: 9.44m
  • Ashish Bansal (38yo)

    MD & Whole Time Director

    • Tenure: 4.1yrs
    • Compensation: 19.55m
  • Anil Bansal (66yo)

    Chairman

    • Compensation: 9.64m
  • Usha Sankar (57yo)

    Chief Financial Officer

    • Tenure: 2.7yrs
    • Compensation: 1.61m
  • I. Rao (67yo)

    President of Marketing


Board Members

  • Anil Sachdev (66yo)

    Independent & Non-Executive Director

    • Tenure: 23.8yrs
    • Compensation: 60.00k
  • Rajendra Bansal (73yo)

    Whole Time Director

    • Tenure: 24.3yrs
    • Compensation: 9.44m
  • Ashish Bansal (38yo)

    MD & Whole Time Director

    • Tenure: 10.0yrs
    • Compensation: 19.55m
  • Anil Bansal (66yo)

    Chairman

    • Tenure: 4.1yrs
    • Compensation: 9.64m
  • Shoba Ramakrishnan (65yo)

    Woman Independent Director

    • Tenure: 4.3yrs
    • Compensation: 60.00k
  • G. Venkateswaran (76yo)

    Independent Director

    • Tenure: 3.7yrs
    • Compensation: 60.00k
  • A. Anand

    Non Executive & Independent Director

    • Tenure: 0.6yrs

Company Information

Pondy Oxides And Chemicals Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Pondy Oxides And Chemicals Limited
  • Ticker: 532626
  • Exchange: BSE
  • Founded: 1995
  • Industry: specialty chemicals
  • Sector: materials
  • Market Cap: ₹1.113b
  • Shares outstanding: 5.58m
  • Website: Click here

Number of Employees


Location

  • Pondy Oxides And Chemicals Limited
  • KRM Centre
  • 4th Floor
  • Chennai
  • Tamil Nadu
  • 600031
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532626BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 2004

Biography

Pondy Oxides and Chemicals Limited produces and sells lead and lead alloys, PVC additives, and zinc metal and zinc oxides in India. It also provides master, tin, and babbit alloys. The company primarily se ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/19 12:48
End of Day Share Price2019/07/19 00:00
Earnings2019/03/31
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.