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

Fundamentals

Flawless balance sheet with proven track record and pays a dividend.

Risks

  • Andhra Sugars has significant price volatility in the past 3 months.
  • Andhra Sugars is not covered by any analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

2.8%

NSEI:ANDHRSUGAR

0.02%

IN Chemicals

-0.7%

IN Market


1 Year Return

-24.6%

NSEI:ANDHRSUGAR

-4.2%

IN Chemicals

-12.1%

IN Market

ANDHRSUGAR underperformed the Chemicals industry which returned -4.2% over the past year.

ANDHRSUGAR underperformed the Market in India which returned -12.1% over the past year.


Share holder returns

ANDHRSUGARIndustryMarket
7 Day2.8%0.02%-0.7%
30 Day-1.0%-0.9%-5.7%
90 Day-14.4%0.2%-4.3%
1 Year-22.6%-24.6%-3.2%-4.2%-10.4%-12.1%
3 Year33.3%26.7%33.8%29.9%19.0%13.0%
5 Year119.2%88.2%124.1%111.9%37.9%25.2%

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 based on future cash flows and its price relative to the stock market?

4.17x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Andhra Sugars's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Andhra Sugars's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Andhra Sugars is good value based on earnings compared to the IN Chemicals industry average.

Andhra Sugars is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Andhra Sugars, we can't assess if its growth is good value.


Price Based on Value of Assets

Andhra Sugars is good value based on assets compared to the IN Chemicals industry average.


Next Steps

Future Growth

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

6.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Andhra Sugars is high growth as no revenue estimate data is available.

Andhra Sugars's earnings are expected to grow by 6.5% yearly, however this is not considered high growth (20% yearly).

Unable to compare Andhra Sugars's revenue growth to the India market average as no estimate data is available.

Andhra Sugars's earnings growth is positive but not above the India market average.

Andhra Sugars's earnings growth is positive but not above the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Andhra Sugars will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Andhra Sugars performed over the past 5 years?

40.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Andhra Sugars has delivered over 20% year on year earnings growth in the past 5 years.

Andhra Sugars's 1-year earnings growth is less than its 5-year average (40% vs 40.1%)

Andhra Sugars's earnings growth has exceeded the IN Chemicals industry average in the past year (40% vs 8.9%).


Return on Equity

Andhra Sugars has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Andhra Sugars used its assets more efficiently than the IN Chemicals industry average last year based on Return on Assets.


Return on Capital Employed

Andhra Sugars has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Andhra Sugars's financial position?


Financial Position Analysis

Andhra Sugars is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Andhra Sugars's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Andhra Sugars's level of debt (20%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (41.5% vs 20% today).

Debt is well covered by operating cash flow (83.7%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 8.1x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.4x debt.


Next Steps

Dividend

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

3.44%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Andhra Sugars before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Andhra Sugars's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.63%).

Andhra Sugars's dividend is above the markets top 25% of dividend payers in India (2.52%).

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 (7x 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 Andhra Sugars's salary, the management and board of directors tenure and is there insider trading?

20.3yrs

Average board tenure


CEO

Pendyala Chowdary (71yo)

7.3yrs

Tenure

₹39,897,198

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

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

Pendyala's compensation has been consistent with company performance over the past year, both up more than 20%.


Board Age and Tenure

20.3yrs

Average Tenure

70yo

Average Age

The average tenure for the Andhra Sugars board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Mullapudi Thimmaraja (68yo)

    Joint MD & Executive Director

    • Compensation: 24.02m
  • Pendyala Chowdary (71yo)

    Chairman & MD

    • Tenure: 7.3yrs
    • Compensation: 39.90m
  • Pendyala Ramayya (64yo)

    Joint MD & Executive Director

    • Tenure: 7.3yrs
    • Compensation: 23.41m
  • P. S. R. V. K. Rao (49yo)

    Executive Director

    • Compensation: 4.59m
  • Mullapudi Narendranath (70yo)

    Joint MD & Executive Director

    • Compensation: 24.03m
  • M. Palachandra

    Company Secretary & Compliance Officer

    • Compensation: 2.50m
  • P. V. S. Kumar

    CFO, GM of Finance & Deputy Secretary

    • Compensation: 2.82m

Board Members

  • A. Rao

    Non-Executive & Independent Director

    • Tenure: 27.8yrs
    • Compensation: 260.00k
  • P. S. R. V. K. Rao (49yo)

    Executive Director

    • Tenure: 20.3yrs
    • Compensation: 4.59m
  • P. Chowdary

    Non-Executive & Independent Director

    • Tenure: 9.3yrs
    • Compensation: 280.00k
  • Mullapudi Thimmaraja (68yo)

    Joint MD & Executive Director

    • Tenure: 41.6yrs
    • Compensation: 24.02m
  • Pamidi Kotaiah (81yo)

    Non-Executive & Independent Director

    • Tenure: 18.3yrs
    • Compensation: 95.00k
  • Pendyala Chowdary (71yo)

    Chairman & MD

    • Compensation: 39.90m
  • A. Rao

    Non-Executive & Independent Director

    • Tenure: 18.3yrs
    • Compensation: 70.00k
  • V. Raju (74yo)

    Non-Executive & Independent Director

    • Tenure: 15.8yrs
    • Compensation: 265.00k
  • Mullapudi Narendranath (70yo)

    Joint MD & Executive Director

    • Tenure: 21.6yrs
    • Compensation: 24.03m
  • Pendyala Ramayya (64yo)

    Joint MD & Executive Director

    • Tenure: 36.0yrs
    • Compensation: 23.41m

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: ₹7.875b
  • Shares outstanding: 27.11m
  • Website: Click here

Location

  • The Andhra Sugars Limited
  • Venkatarayapuram
  • West Godavari District
  • 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, I ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/17 12:33
End of Day Share Price2019/08/16 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.