Greenply Industries Limited, an interior infrastructure company, manufactures, markets, trades in, and distributes plywood and medium density fiber boards in India and internationally.
The last earnings update was 358 days ago.
Discounted Cash Flow Calculation for NSEI:GREENPLY using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
NSEI:GREENPLY DCF 1st Stage: Next 10 year cash flow forecast
The current share price of
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Greenply Industries's earnings available for a low price, and how does
this compare to other companies in the same industry?
Greenply Industries's earnings are expected to grow by 7.2% yearly, however this is not considered high growth (20% yearly).
Greenply Industries's revenue is expected to grow by 13.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Greenply Industries's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Greenply Industries's finances.
The net worth of a company is the difference between its assets and liabilities.
Greenply Industries is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Greenply Industries's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Greenply Industries's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is not covered by short term assets, assets are 0.9x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Shobhan Mittal, B.B.A. has been the Chief Executive Officer and Joint Managing Director at Greenply Industries Limited since February 5, 2015 and has been its Executive Director since September 1, 2006. Mr. Mittal serves as a Director at Prime Holdings Pvt Ltd., and Dholka Plywood Industries Pvt. Ltd. He served as a Director at Greenlam Industries Limited until November 2014. He earned Bachelor of Business Administration from University of Westminster.
Shobhan's compensation has been consistent with company performance over the past year, both up more than 20%.
Shobhan's remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
management team in years:
The average tenure for the Greenply Industries management team is over 5 years, this suggests they are a seasoned and experienced team.
Founder & Executive Chairman
CEO, Joint MD & Executive Director
MD & Executive Director
CFO & Chief Investor Relations Officer
Country Head of Sales & Marketing -PBD
Senior Vice President of Finance & Accounts - EPD
President of Sales & Marketing - EPD
Chief Executive Engineer - EPD
Senior Vice President of Operations - EPD
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The average tenure for the Greenply Industries board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Should You Buy Greenply Industries Limited (NSE:GREENPLY) For Its 0.4% Dividend?
Dividend paying stocks like Greenply Industries Limited (NSE:GREENPLY) tend to be popular with investors, and for good reason - some research shows that a significant amount of all stock market returns come from reinvested dividends. … Yet sometimes, investors buy a stock for its dividend and lose money because the share price falls by more than they earned in dividend payments. … There are a few simple ways to reduce the risks of buying Greenply Industries for its dividend, and we'll go through these below.
You Might Like Greenply Industries Limited (NSE:GREENPLY) But Do You Like Its Debt?
However, an important fact which most ignore is: how financially healthy is the business? … Evaluating financial health as part of your investment thesis is. … We'll look at some basic checks that can form a snapshot the company’s financial strength.
Is Greenply Industries Limited (NSE:GREENPLY) Spending Too Much Money?
If you are currently a shareholder in Greenply Industries Limited (NSE:GREENPLY), or considering investing in the stock, you need to examine how the business generates cash, and how it is reinvested. … I’ve analysed below, the health and outlook of Greenply Industries’s cash flow, which will help you understand the stock from a cash standpoint. … Greenply Industries’s free cash flow (FCF) is the level of cash flow the business generates from its operational activities, after it reinvests in the company as capital expenditure.
Was Greenply Industries Limited's (NSE:GREENPLY) Earnings Decline Part Of A Broader Industry Downturn?
Measuring Greenply Industries Limited's (NSE:GREENPLY) track record of past performance is a valuable exercise for investors. … Was GREENPLY weak performance lately part of a long-term decline. … Furthermore, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of -0.4%, indicating the rate at which GREENPLY is growing has slowed down
Is There More To Greenply Industries Limited (NSE:GREENPLY) Than Its 13%Returns On Capital?
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … How Do You Calculate Return On Capital Employed
One Thing To Remember About The Greenply Industries Limited (NSE:GREENPLY) Share Price
Every stock in the market is exposed to this volatility, which is linked to the fact that stocks prices are correlated in an efficient market. … Beta is a widely used metric to measure a stock's exposure to market risk (volatility). … Any stock with a beta of greater than one is considered more volatile than the market, while those with a beta below one are either less volatile or poorly correlated with the market.
How Much is Greenply Industries Limited's (NSE:GREENPLY) CEO Getting Paid?
This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … How Does Shobhan Mittal's Compensation Compare With Similar Sized Companies. … At the time of writing our data says that Greenply Industries Limited has a market cap of ₹17b, and is paying total annual CEO compensation of ₹36m.
Greenply Industries Limited (NSE:GREENPLY): Time For A Financial Health Check
While small-cap stocks, such as Greenply Industries Limited (NSE:GREENPLY) with its market cap of ₹16b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Assessing first and foremost the financial health is. … Here are a few basic checks that are good enough to have a broad overview of the company’s financial strength.
One Factor To Consider Before Investing In Greenply Industries Limited (NSE:GREENPLY)
I will take you through Greenply Industries’s cash flow health and the risk-return concept based on the stock’s cash flow yield, using the most recent financial data. … Greenply Industries generates cash through its day-to-day business, which needs to be reinvested into the company in order for it to continue operating. … There are two methods I will use to evaluate the quality of Greenply Industries’s FCF: firstly, I will measure its FCF yield relative to the market index yield; secondly, I will examine whether its operating cash flow will continue to grow into the future, which will give us a sense of sustainability
Should You Be Tempted To Sell Greenply Industries Limited (NSE:GREENPLY) Because Of Its P/E Ratio?
We'll show how you can use Greenply Industries Limited's (NSE:GREENPLY) P/E ratio to inform your assessment of the investment opportunity. … Greenply Industries has a price to earnings ratio of 14.62, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)
Greenply Industries Limited, an interior infrastructure company, manufactures, markets, trades in, and distributes plywood and medium density fiber boards in India and internationally. It operates in two segments, Plywood and Allied Products, and Medium Density Fibreboards and Allied Products. The company provides plywood and block boards, decorative and reconstituted veneers, flush doors, wood floors, and PVC foam boards and sheets, as well as green doors with solid wood/engineered wood fillers. It markets its products under the Greenply Plywood, Green Club Ply, Ecotec, Green Panelmax, Green Floormax, and Optima G and other brand names through a network of approximately 13,000 distributors, stockists, dealers, sub-dealers, and retailers. The company was formerly known as Mittal Laminates Private Limited and changed its name to Greenply Industries Limited in 1995. Greenply Industries Limited was founded in 1990 and is based in Kolkata, India.
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