NSEI:ANDHRSUGAR

Stock Analysis Report

Executive Summary

The Andhra Sugars Limited, together with its subsidiaries, manufactures and sells sugar, and organic and inorganic chemicals in India.


Snowflake Analysis

Flawless balance sheet average dividend payer.

Share Price & News

How has Andhra Sugars's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

8.2%

ANDHRSUGAR

6.7%

IN Chemicals

9.3%

IN Market


1 Year Return

-42.8%

ANDHRSUGAR

-7.2%

IN Chemicals

-24.1%

IN Market

Return vs Industry: ANDHRSUGAR underperformed the Indian Chemicals industry which returned -17.6% over the past year.

Return vs Market: ANDHRSUGAR underperformed the Indian Market which returned -32.1% over the past year.


Shareholder returns

ANDHRSUGARIndustryMarket
7 Day8.2%6.7%9.3%
30 Day-15.4%-13.5%-12.6%
90 Day-35.6%-14.6%-24.1%
1 Year-34.4%-42.8%-3.2%-7.2%-22.6%-24.1%
3 Year-24.3%-37.2%19.1%11.8%-10.9%-15.8%
5 Year152.9%96.0%73.9%58.9%0.3%-4.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Andhra Sugars undervalued compared to its fair value and its price relative to the market?

2.94x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ANDHRSUGAR (₹194.55) is trading above our estimate of fair value (₹140.19)

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


Price To Earnings Ratio

PE vs Industry: ANDHRSUGAR is good value based on its PE Ratio (2.8x) compared to the Chemicals industry average (7.9x).

PE vs Market: ANDHRSUGAR is good value based on its PE Ratio (2.8x) compared to the Indian market (9.4x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: ANDHRSUGAR is good value based on its PB Ratio (0.5x) compared to the IN Chemicals industry average (0.8x).


Next Steps

Future Growth

How is Andhra Sugars forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.6%

Forecasted Materials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Andhra Sugars has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Andhra Sugars performed over the past 5 years?

31.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ANDHRSUGAR has high quality earnings.

Growing Profit Margin: ANDHRSUGAR's current net profit margins (12.6%) are lower than last year (12.7%).


Past Earnings Growth Analysis

Earnings Trend: ANDHRSUGAR's earnings have grown significantly by 31.7% per year over the past 5 years.

Accelerating Growth: ANDHRSUGAR's earnings growth over the past year (7.6%) is below its 5-year average (31.7% per year).

Earnings vs Industry: ANDHRSUGAR earnings growth over the past year (7.6%) underperformed the Chemicals industry 10%.


Return on Equity

High ROE: ANDHRSUGAR's Return on Equity (15.3%) is considered low.


Next Steps

Financial Health

How is Andhra Sugars's financial position?


Financial Position Analysis

Short Term Liabilities: ANDHRSUGAR's short term assets (₹9.6B) exceed its short term liabilities (₹2.9B).

Long Term Liabilities: ANDHRSUGAR's short term assets (₹9.6B) exceed its long term liabilities (₹4.2B).


Debt to Equity History and Analysis

Debt Level: ANDHRSUGAR's debt to equity ratio (21.3%) is considered satisfactory.

Reducing Debt: ANDHRSUGAR's debt to equity ratio has reduced from 45% to 21.3% over the past 5 years.

Debt Coverage: ANDHRSUGAR's debt is well covered by operating cash flow (47.5%).

Interest Coverage: ANDHRSUGAR's interest payments on its debt are well covered by EBIT (11.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Andhra Sugars's current dividend yield, its reliability and sustainability?

4.97%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ANDHRSUGAR's dividend (5.14%) is higher than the bottom 25% of dividend payers in the Indian market (0.96%).

High Dividend: ANDHRSUGAR's dividend (5.14%) is in the top 25% of dividend payers in the Indian market (4.06%)


Stability and Growth of Payments

Stable Dividend: ANDHRSUGAR's dividend payments have been volatile in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (14.6%), ANDHRSUGAR's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

20.0yrs

Average board tenure


CEO

Pendyala Chowdary (71yo)

8s

Tenure

₹84,595,707

Compensation

Mr. Pendyala Narendranath Chowdary, B.Sc. has been Managing Director of The Andhra Petrochemicals Ltd since August 5, 2018. He has been a Managing Director at Andhra Sugars Limited since April 1, 2012. Mr. ...


CEO Compensation Analysis

Compensation vs Market: Pendyala's total compensation ($USD1.11M) is above average for companies of similar size in the Indian market ($USD47.77K).

Compensation vs Earnings: Pendyala's compensation has increased by more than 20% in the past year.


Board Members

NamePositionTenureCompensationOwnership
Pendyala Chowdary
Chairman & MD8yrs₹84.60m15.32% 855.9m
Mullapudi Thimmaraja
Joint MD & Executive Director42.25yrs₹53.57m6.36% 355.3m
Pendyala Ramayya
Joint MD & Executive Director36.67yrs₹53.52m2.7% 150.9m
Mullapudi Narendranath
Joint MD & Executive Director22.25yrs₹53.57m8.06% 450.3m
P. S. R. V. K. Rao
Executive Director20.92yrs₹26.15m5.39% 301.1m
Pamidi Kotaiah
Non-Executive & Independent Director19yrs₹220.00kno data
Vuppalapati Raju
Non-Executive & Independent Director16.5yrs₹265.00kno data
A. Rao
Non-Executive & Independent Director28.42yrs₹320.00kno data
A. Rao
Non-Executive & Independent Director19yrs₹120.00kno data
P. Chowdary
Non-Executive & Independent Director10yrs₹320.00kno data

20.0yrs

Average Tenure

70yo

Average Age

Experienced Board: ANDHRSUGAR's board of directors are seasoned and experienced ( 20 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.


Ownership Breakdown

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


Top Shareholders

Company Information

The Andhra Sugars Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: The Andhra Sugars Limited
  • Ticker: ANDHRSUGAR
  • Exchange: NSEI
  • Founded: 1947
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: ₹5.585b
  • Shares outstanding: 27.11m
  • Website: https://theandhrasugars.com

Location

  • The Andhra Sugars Limited
  • Venkatarayapuram
  • Tanuku
  • Andhra Pradesh
  • 534215
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ANDHRSUGARNSEI (National Stock Exchange of India)YesEquity SharesININRNov 1995
590062BSE (Mumbai Stock Exchange)YesEquity SharesININRNov 1995

Biography

The Andhra Sugars Limited, together with its subsidiaries, manufactures and sells sugar, and organic and inorganic chemicals in India. The company operates through Sugars, Caustic Soda, Power Generation, Industrial Chemicals, and Others segments. It offers chemicals and fertilizers, including caustic potash, caustic soda, ethanol, hydrochloric acid, hydrogen gas, liquid chlorine, poly aluminum chloride, potassium carbonate, industrial alcohol, sodium hypochlorite, sulphuric acid, and super phosphate. The company also provides aspirin products, including salicylic acids, sodium salicylate, and aspirin starch granules, as well as aspirin IP, USP, and BP products. In addition, it offers soaps, fatty acids, acetic acids, liquid propellants, bulk drugs, edible oils, transportation receipts, etc.; and liquid hydrogen, UH 25 and MMH, and HTPB products. Further, the company engages in power generation through wind and solar resources. The Andhra Sugars Limited also exports its products. The company was founded in 1947 and is based in Tanuku, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/09 12:36
End of Day Share Price2020/04/09 00:00
Earnings2019/12/31
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.