NSEI:NOCIL

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

NOCIL Limited manufactures and sells rubber chemicals in India. More Details


Snowflake Analysis

Flawless balance sheet average dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-1.6%

NOCIL

-0.06%

IN Chemicals

-0.6%

IN Market


1 Year Return

19.3%

NOCIL

16.5%

IN Chemicals

2.2%

IN Market

Return vs Industry: NOCIL exceeded the Indian Chemicals industry which returned 16.5% over the past year.

Return vs Market: NOCIL exceeded the Indian Market which returned 2.2% over the past year.


Shareholder returns

NOCILIndustryMarket
7 Day-1.6%-0.06%-0.6%
30 Day6.2%-2.1%0.2%
90 Day27.5%12.5%6.7%
1 Year23.6%19.3%19.2%16.5%3.9%2.2%
3 Year-16.2%-22.4%36.9%28.8%2.6%-2.4%
5 Year231.6%196.1%134.8%115.1%41.3%30.8%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

21.18x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: NOCIL (₹140.35) is trading above our estimate of fair value (₹63.21)

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


Price To Earnings Ratio

PE vs Industry: NOCIL is poor value based on its PE Ratio (21.2x) compared to the IN Chemicals industry average (14.9x).

PE vs Market: NOCIL is poor value based on its PE Ratio (21.2x) compared to the Indian market (16.3x).


Price to Earnings Growth Ratio

PEG Ratio: NOCIL is poor value based on its PEG Ratio (1.5x)


Price to Book Ratio

PB vs Industry: NOCIL is overvalued based on its PB Ratio (2x) compared to the IN Chemicals industry average (1.2x).


Next Steps

Future Growth

How is NOCIL forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?

14.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: NOCIL's forecast earnings growth (14.2% per year) is above the savings rate (7.2%).

Earnings vs Market: NOCIL's earnings (14.2% per year) are forecast to grow slower than the Indian market (25.5% per year).

High Growth Earnings: NOCIL's earnings are forecast to grow, but not significantly.

Revenue vs Market: NOCIL's revenue (21.7% per year) is forecast to grow faster than the Indian market (11.6% per year).

High Growth Revenue: NOCIL's revenue (21.7% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if NOCIL's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has NOCIL performed over the past 5 years?

9.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: NOCIL has high quality earnings.

Growing Profit Margin: NOCIL's current net profit margins (15.2%) are lower than last year (16.6%).


Past Earnings Growth Analysis

Earnings Trend: NOCIL's earnings have grown by 9.2% per year over the past 5 years.

Accelerating Growth: NOCIL's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: NOCIL had negative earnings growth (-34.2%) over the past year, making it difficult to compare to the Chemicals industry average (-1.4%).


Return on Equity

High ROE: NOCIL's Return on Equity (9.3%) is considered low.


Next Steps

Financial Health

How is NOCIL's financial position?


Financial Position Analysis

Short Term Liabilities: NOCIL's short term assets (₹4.3B) exceed its short term liabilities (₹1.4B).

Long Term Liabilities: NOCIL's short term assets (₹4.3B) exceed its long term liabilities (₹1.2B).


Debt to Equity History and Analysis

Debt Level: NOCIL is debt free.

Reducing Debt: NOCIL has no debt compared to 5 years ago when its debt to equity ratio was 27.1%.

Debt Coverage: NOCIL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: NOCIL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is NOCIL current dividend yield, its reliability and sustainability?

1.78%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: NOCIL's dividend (1.78%) is higher than the bottom 25% of dividend payers in the Indian market (0.57%).

High Dividend: NOCIL's dividend (1.78%) is low compared to the top 25% of dividend payers in the Indian market (2.29%).


Stability and Growth of Payments

Stable Dividend: NOCIL's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.8%), NOCIL's dividend payments are well 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?

11.8yrs

Average board tenure


CEO

Sudhir Deo (65 yo)

3.17yrs

Tenure

₹31,209,000

Compensation

Mr. Sudhir Ramchandra Deo has been Managing Director of NOCIL Limited since August 1, 2017. Mr. Deo served as Deputy Managing Director of NOCIL Limited from August 1, 2015 to August 1, 2017. Mr. Deo served ...


CEO Compensation Analysis

Compensation vs Market: Sudhir's total compensation ($USD425.47K) is about average for companies of similar size in the Indian market ($USD355.74K).

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


Board Members

NamePositionTenureCompensationOwnership
Hrishikesh Mafatlal
Executive Chairman15.25yrs₹38.01m0.00054%
₹ 125.7k
Sudhir Deo
MD & Executive Director3.17yrs₹31.21m0.41%
₹ 94.4m
Dhananjay Mungale
Independent Non Executive Director13.58yrs₹2.65mno data
Debnarayan Bhattacharya
Additional Non Executive-Independent Director1.42yrs₹2.73mno data
N. Sankar
Independent Non Executive Director15.25yrs₹1.98mno data
Rohit Arora
Independent Non Executive Director15.25yrs₹2.13mno data
Vilas Gupte
Non-Executive Director15.25yrs₹2.80m0.00036%
₹ 83.8k
Pradeep Bhide
Independent Non-Executive Director10yrs₹2.73mno data
Priyavrata Mafatlal
Non-Executive Director3.42yrs₹2.05m0.0073%
₹ 1.7m
Dharmishta Raval
Non-Executive Independent Director6.25yrs₹2.28mno data

11.8yrs

Average Tenure

66yo

Average Age

Experienced Board: NOCIL's board of directors are seasoned and experienced ( 11.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: NOCIL insiders have only sold shares 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

NOCIL Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: NOCIL Limited
  • Ticker: NOCIL
  • Exchange: NSEI
  • Founded: 1961
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: ₹23.272b
  • Shares outstanding: 165.94m
  • Website: https://www.nocil.com

Location

  • NOCIL Limited
  • Mafatlal House
  • 3rd Floor
  • Mumbai
  • Maharashtra
  • 400020
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500730BSE (Mumbai Stock Exchange)YesEquity SharesININRJan 1996
NOCILNSEI (National Stock Exchange of India)YesEquity SharesININRJan 1996

Biography

NOCIL Limited manufactures and sells rubber chemicals in India. The company offers accelerators, anti-degradants, antioxidants, pre vulcanization inhibitors, and post vulcanization stabilizers. It serves t ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/20 12:53
End of Day Share Price2020/10/19 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


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.