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Shree Cement

NSEI:SHREECEM
Snowflake Description

Excellent balance sheet second-rate dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
SHREECEM
NSEI
₹686B
Market Cap
  1. Home
  2. IN
  3. Materials
Company description

Shree Cement Limited manufactures and sells cement and clinker in India and internationally. The last earnings update was 289 days ago. More info.


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SHREECEM Share Price and Events
7 Day Returns
0.1%
NSEI:SHREECEM
2%
IN Basic Materials
0.8%
IN Market
1 Year Returns
13.4%
NSEI:SHREECEM
-5.4%
IN Basic Materials
-0.7%
IN Market
SHREECEM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Shree Cement (SHREECEM) 0.1% 7.1% 21.9% 13.4% 53.2% 238.6%
IN Basic Materials 2% 6.3% 12.7% -5.4% 31.8% 103.7%
IN Market 0.8% 2.8% 5.9% -0.7% 41.2% 72.5%
1 Year Return vs Industry and Market
  • SHREECEM outperformed the Basic Materials industry which returned -5.4% over the past year.
  • SHREECEM outperformed the Market in India which returned -0.7% over the past year.
Price Volatility
SHREECEM
Industry
5yr Volatility vs Market
Related Companies

SHREECEM Value

 Is Shree Cement undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Shree Cement to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Shree Cement.

NSEI:SHREECEM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 21 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 15.8%
Perpetual Growth Rate 10-Year IN Government Bond Rate 7.6%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NSEI:SHREECEM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year IN Govt Bond Rate 7.6%
Equity Risk Premium S&P Global 8.6%
Basic Materials Unlevered Beta Simply Wall St/ S&P Global 0.9
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.903 (1 + (1- 35%) (5%))
0.954
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.95
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 7.55% + (0.954 * 8.6%)
15.76%

Discounted Cash Flow Calculation for NSEI:SHREECEM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Shree Cement 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:SHREECEM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (INR, Millions) Source Present Value
Discounted (@ 15.76%)
2019 7,364.27 Analyst x7 6,361.80
2020 19,581.12 Analyst x11 14,612.98
2021 26,526.85 Analyst x10 17,101.64
2022 18,774.00 Analyst x1 10,455.86
2023 14,698.03 Est @ -21.71% 7,071.52
2024 12,797.21 Est @ -12.93% 5,318.87
2025 11,928.57 Est @ -6.79% 4,282.95
2026 11,631.97 Est @ -2.49% 3,607.94
2027 11,692.98 Est @ 0.52% 3,133.15
2028 12,000.76 Est @ 2.63% 2,777.89
Present value of next 10 years cash flows ₹74,724.61
NSEI:SHREECEM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= ₹12,000.76 × (1 + 7.55%) ÷ (15.76% – 7.55%)
₹157,255.56
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= ₹157,255.56 ÷ (1 + 15.76%)10
₹36,400.97
NSEI:SHREECEM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= ₹74,724.61 + ₹36,400.97
₹111,125.59
Equity Value per Share
(INR)
= Total value / Shares Outstanding
= ₹111,125.59 / 34.84
₹3189.85
NSEI:SHREECEM Discount to Share Price
Calculation Result
Value per share (INR) From above. ₹3,189.85
Current discount Discount to share price of ₹19,408.90
= -1 x (₹19,408.90 - ₹3,189.85) / ₹3,189.85
-508.5%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Shree Cement is above its future cash flow value.
Often investors are willing to pay a premium 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 Shree Cement's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Shree Cement's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NSEI:SHREECEM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-03-31) in INR ₹397.32
NSEI:SHREECEM Share Price ** NSEI (2019-04-22) in INR ₹19408.9
India Basic Materials Industry PE Ratio Median Figure of 50 Publicly-Listed Basic Materials Companies 20.68x
India Market PE Ratio Median Figure of 2,738 Publicly-Listed Companies 16.33x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Shree Cement.

NSEI:SHREECEM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NSEI:SHREECEM Share Price ÷ EPS (both in INR)

= 19408.9 ÷ 397.32

48.85x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Shree Cement is overvalued based on earnings compared to the IN Basic Materials industry average.
  • Shree Cement is overvalued based on earnings compared to the India market.
Price based on expected Growth
Does Shree Cement's expected growth come at a high price?
Raw Data
NSEI:SHREECEM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 48.85x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts
18.4%per year
India Basic Materials Industry PEG Ratio Median Figure of 22 Publicly-Listed Basic Materials Companies 1.63x
India Market PEG Ratio Median Figure of 585 Publicly-Listed Companies 1.32x

*Line of best fit is calculated by linear regression .

NSEI:SHREECEM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 48.85x ÷ 18.4%

2.66x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Shree Cement is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Shree Cement's assets?
Raw Data
NSEI:SHREECEM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-03-31) in INR ₹2,553.78
NSEI:SHREECEM Share Price * NSEI (2019-04-22) in INR ₹19408.9
India Basic Materials Industry PB Ratio Median Figure of 64 Publicly-Listed Basic Materials Companies 1.4x
India Market PB Ratio Median Figure of 3,628 Publicly-Listed Companies 1.11x
NSEI:SHREECEM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NSEI:SHREECEM Share Price ÷ Book Value per Share (both in INR)

= 19408.9 ÷ 2,553.78

7.6x

* Primary Listing of Shree Cement.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Shree Cement is overvalued based on assets compared to the IN Basic Materials industry average.
X
Value checks
We assess Shree Cement's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Basic Materials industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Basic Materials industry average (and greater than 0)? (1 check)
  5. Shree Cement has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

SHREECEM Future Performance

 How is Shree Cement expected to perform in the next 1 to 3 years based on estimates from 21 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
18.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Shree Cement expected to grow at an attractive rate?
  • Shree Cement's earnings growth is expected to exceed the low risk savings rate of 7.6%.
Growth vs Market Checks
  • Shree Cement's earnings growth is positive but not above the India market average.
  • Shree Cement's revenue growth is expected to exceed the India market average.
Annual Growth Rates Comparison
Raw Data
NSEI:SHREECEM Future Growth Rates Data Sources
Data Point Source Value (per year)
NSEI:SHREECEM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 21 Analysts 18.4%
NSEI:SHREECEM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 21 Analysts 14.3%
India Basic Materials Industry Earnings Growth Rate Market Cap Weighted Average 20.6%
India Basic Materials Industry Revenue Growth Rate Market Cap Weighted Average 8.5%
India Market Earnings Growth Rate Market Cap Weighted Average 18.5%
India Market Revenue Growth Rate Market Cap Weighted Average 11.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NSEI:SHREECEM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 year ago) See Below
Future Estimates Average of up to 21 Analyst Estimates (S&P Global) See Below
All numbers in INR Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NSEI:SHREECEM Future Estimates Data
Date (Data in INR Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2022-03-31 173,133 32,774 24,272 1
2021-03-31 157,398 36,210 22,028 17
2020-03-31 137,439 31,898 17,779 20
2019-03-31 117,725 25,218 10,299 17
NSEI:SHREECEM Past Financials Data
Date (Data in INR Millions) Revenue Cash Flow Net Income *
2018-03-31 98,331 18,787 13,842
2017-03-31 85,943 22,016 13,391
2016-03-31 73,515 20,882 15,241
2015-06-30 64,536 12,385 4,263

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Shree Cement's earnings are expected to grow by 18.4% yearly, however this is not considered high growth (20% yearly).
  • Shree Cement's revenue is expected to grow by 14.3% 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.
Raw Data
NSEI:SHREECEM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 year ago) See Below
Future Estimates Average of up to 21 Analyst Estimates (S&P Global) See Below

All data from Shree Cement Company Filings, last reported 1 year ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:SHREECEM Future Estimates Data
Date (Data in INR Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2022-03-31 697.00 697.00 697.00 1.00
2021-03-31 643.86 782.55 560.70 12.00
2020-03-31 507.75 611.10 369.90 16.00
2019-03-31 294.97 361.07 253.79 8.00
NSEI:SHREECEM Past Financials Data
Date (Data in INR Millions) EPS *
2018-03-31 397.32
2017-03-31 384.38
2016-03-31 437.50
2015-06-30 122.37

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Shree Cement is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Shree Cement's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the India market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the India market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Shree Cement has a total score of 2/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

SHREECEM Past Performance

  How has Shree Cement performed over the past 5 years?

  • Shree Cement's last earnings update was 289 days ago.
The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Shree Cement's growth in the last year to its industry (Basic Materials).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Insufficient data to establish if Shree Cement's year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare Shree Cement's 1-year earnings growth to the 5-year average due to insufficient past data.
  • Shree Cement's earnings growth has not exceeded the IN Basic Materials industry average in the past year (3.4% vs 3.6%).
Earnings and Revenue History
Shree Cement's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Shree Cement Company Filings, last reported 1 year ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NSEI:SHREECEM Past Revenue, Cash Flow and Net Income Data
Date (Data in INR Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-03-31 98,331.00 13,841.50 31,326.30
2017-03-31 85,943.00 13,390.80 24,306.10
2016-03-31 73,515.18 15,241.33 20,334.26
2015-06-30 64,535.70 4,263.00 18,631.10
2014-06-30 58,873.10 7,872.10 18,519.60
2013-06-30 55,902.50 10,039.40 14,960.30
2013-03-31 55,024.86 10,025.00 14,222.08
2012-12-31 54,217.96 8,426.90 14,144.48
2012-09-30 51,894.96 6,844.40 13,845.98
2012-06-30 46,396.16 4,948.00 12,373.68

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Shree Cement has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Shree Cement used its assets more efficiently than the IN Basic Materials industry average last year based on Return on Assets.
  • Shree Cement has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Shree Cement's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Basic Materials industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. 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.
Shree Cement has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

SHREECEM Health

 How is Shree Cement's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Shree Cement's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Shree Cement is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Shree Cement's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Shree Cement'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 checks below.
Assets
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 covered by short term assets, assets are 1.7x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, 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.
Raw Data

All data from Shree Cement Company Filings, last reported 1 year ago.

NSEI:SHREECEM Past Debt and Equity Data
Date (Data in INR Millions) Total Equity Total Debt Cash & Short Term Investments
2018-03-31 88,966.60 34,315.60 24,443.40
2017-03-31 76,980.00 13,107.50 7,928.20
2016-03-31 68,454.20 8,841.20 2,649.10
2015-06-30 52,763.10 9,166.40 4,711.70
2014-06-30 47,108.10 11,998.70 8,843.60
2013-06-30 38,436.20 12,882.40 10,812.20
2013-03-31 32,641.80 10,962.20 17,985.30
2012-12-31 32,641.80 10,962.20 17,985.30
2012-09-30 27,339.30 17,042.40 16,589.70
2012-06-30 27,339.30 21,643.70 16,589.70
  • Shree Cement's level of debt (38.6%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (33.6% vs 38.6% today).
  • Debt is well covered by operating cash flow (54.7%, greater than 20% of total debt).
  • Shree Cement earns more interest than it pays, coverage of interest payments is not a concern.
X
Financial health checks
We assess Shree Cement's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Shree Cement has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

SHREECEM Dividends

 What is Shree Cement's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.28%
Current annual income from Shree Cement dividends. Estimated to be 0.32% next year.
If you bought ₹2,000 of Shree Cement shares you are expected to receive ₹6 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Shree Cement's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.5%).
  • Shree Cement's dividend is below the markets top 25% of dividend payers in India (1.92%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NSEI:SHREECEM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 21 Analyst Estimates (S&P Global) See Below
India Basic Materials Industry Average Dividend Yield Market Cap Weighted Average of 38 Stocks 0.5%
India Market Average Dividend Yield Market Cap Weighted Average of 1400 Stocks 1.4%
India Minimum Threshold Dividend Yield 10th Percentile 0.3%
India Bottom 25% Dividend Yield 25th Percentile 0.5%
India Top 25% Dividend Yield 75th Percentile 1.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NSEI:SHREECEM Future Dividends Estimate Data
Date (Data in ₹) Dividend per Share (annual) Avg. No. Analysts
2022-03-31
2021-03-31 67.03 14.00
2020-03-31 59.04 15.00
2019-03-31 48.15 15.00
NSEI:SHREECEM Past Annualized Dividends Data
Date (Data in ₹) Dividend per share (annual) Avg. Yield (%)
2019-01-22 55.000 0.322
2018-07-09 50.000 0.304
2018-04-30 50.000 0.308
2018-01-11 44.000 0.258
2017-01-30 40.000 0.226
2016-08-12 28.000 0.177
2016-03-10 24.000 0.175
2016-02-02 26.000 0.246
2015-10-21 24.000 0.217
2015-08-05 24.000 0.210
2014-08-25 22.000 0.222
2014-01-27 22.000 0.370
2013-10-03 20.000 0.455
2013-07-30 20.000 0.513
2012-09-21 20.000 0.457
2012-05-15 12.000 0.407
2012-01-23 14.000 0.516
2011-09-06 14.000 0.721
2011-01-31 14.000 0.787
2010-05-20 16.000 0.809
2010-01-15 10.000 0.461
2009-06-01 10.000 0.657
2009-04-28 10.000 1.139
2009-04-23 10.000 1.238

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • 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
What portion of Shree Cement's earnings are paid to the shareholders as a dividend.
  • Dividends paid are thoroughly covered by earnings (7.9x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be thoroughly covered by earnings (9.3x coverage).
X
Income/ dividend checks
We assess Shree Cement's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Shree Cement afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Shree Cement has a total score of 3/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

SHREECEM Management

 What is the CEO of Shree Cement's salary, the management and board of directors tenure and is there insider trading?

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.
CEO
Prashant Bangur
COMPENSATION ₹195,078,000
AGE 38
TENURE AS CEO 3.2 years
CEO Bio

Mr. Prashant Bangur has been a Joint Managing Director of Shree Cement Limited since February 2, 2016. Mr. Bangur served as an Executive President at Shree Cement Ltd., until February 2, 2016 and served as its an Executive Joint President. He served as Senior Executive Officer at Shree Cement Ltd. He serves as the Chairman of Western India Commercial Co. Ltd., and has been its Director since July 27, 2006. He has been a Director of Shree Capital Services Ltd., since January 2004 and Whole-Time Director of Shree Cement Ltd., since August 21, 2012. He serves as a Director of Ragini Finance Ltd.

CEO Compensation
  • Prashant's compensation has increased by more than 20% in the past year.
  • Prashant's remuneration is higher than average for companies of similar size in India.
Management Team Tenure

Average tenure and age of the Shree Cement management team in years:

2.8
Average Tenure
59
Average Age
  • The tenure for the Shree Cement management team is about average.
Management Team

Prashant Bangur

TITLE
Joint MD & Whole-Time Director
COMPENSATION
₹195M
AGE
38
TENURE
3.2 yrs

Hari Bangur

TITLE
MD & Executive Director
COMPENSATION
₹426M
AGE
66

Subhash Jajoo

TITLE
Chief Finance Officer
COMPENSATION
₹8M
TENURE
4.6 yrs

Shyam Khandelwal

TITLE
Chief Risk & Compliance Officer and Company Secretary
COMPENSATION
₹14M
AGE
48

Vinay Saxena

TITLE
Senior Vice President of Operations

Kamlesh Jain

TITLE
Vice President of Accounts & Contract Cell
TENURE
2.3 yrs

Manoranjan Kumar

TITLE
Chief Information Officer- IT & ERP
TENURE
2.4 yrs

Diwakar Payal

TITLE
President of Marketing
COMPENSATION
₹15M
AGE
60

Kirit Gandhi

TITLE
Joint President of Material Management
AGE
62

Prakash Chhangani

TITLE
Whole Time Director
COMPENSATION
₹9M
AGE
58
Board of Directors Tenure

Average tenure and age of the Shree Cement board of directors in years:

11.2
Average Tenure
75.5
Average Age
  • The average tenure for the Shree Cement board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Benu Bangur

TITLE
Non-Executive Chairman
COMPENSATION
₹4M
AGE
84
TENURE
7.3 yrs

Prashant Bangur

TITLE
Joint MD & Whole-Time Director
COMPENSATION
₹195M
AGE
38
TENURE
6.7 yrs

Hari Bangur

TITLE
MD & Executive Director
COMPENSATION
₹426M
AGE
66
TENURE
26.8 yrs

Prakash Chhangani

TITLE
Whole Time Director
COMPENSATION
₹9M
AGE
58
TENURE
0.8 yrs

Om Setia

TITLE
Independent & Non-Executive Director
COMPENSATION
₹4M
AGE
80
TENURE
19.8 yrs

Ratan Gaggar

TITLE
Independent & Non-Executive Director
COMPENSATION
₹4M
AGE
86
TENURE
24.3 yrs

Shreekant Somany

TITLE
Independent & Non-Executive Director
COMPENSATION
₹4M
AGE
70
TENURE
18.5 yrs

Yoginder Alagh

TITLE
Independent & Non-Executive Director
COMPENSATION
₹4M
AGE
79
TENURE
14.5 yrs

Ramakant Sharma

TITLE
Director
COMPENSATION
₹4M
AGE
74
TENURE
5.3 yrs

Nitin Desai

TITLE
Independent & Non-Executive Director
COMPENSATION
₹4M
AGE
77
TENURE
7.9 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (₹) Value (₹)
X
Management checks
We assess Shree Cement's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Shree Cement has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

SHREECEM News

Simply Wall St News

How Does Shree Cement Limited's (NSE:SHREECEM) Earnings Growth Stack Up Against Industry Performance?

Were SHREECEM's earnings stronger than its past performances and the industry. … SHREECEM's trailing twelve-month earnings (from 31 March 2018) of ₹14b has. … However, this one-year growth rate has been lower than its average earnings growth rate over the past 5 years of 11%, indicating the rate at which SHREECEM is growing has slowed down

Simply Wall St -

Should You Be Impressed By Shree Cement Limited's (NSE:SHREECEM) ROE?

To keep the lesson grounded in practicality, we'll use ROE to better understand Shree Cement Limited (NSE:SHREECEM). … Over the last twelve months Shree Cement has recorded a ROE of 16%. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Want To Invest In Shree Cement Limited (NSE:SHREECEM)? Here's How It Performed Lately

For investors, increase in profitability and industry-beating performance can be essential considerations in an investment. … How SHREECEM fared against its long-term earnings performance and its industry … SHREECEM's trailing twelve-month earnings (from 31 March 2018) of ₹13.84b has

Simply Wall St -

Shree Cement Limited (NSE:SHREECEM) Investors Are Paying Above The Intrinsic Value

In this article I am going to calculate the intrinsic value of Shree Cement Limited (NSE:SHREECEM). … by estimating the company's future cash flows and discounting them to their present value. … Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model

Simply Wall St -

Can Shree Cement Limited's (NSE:SHREECEM) ROE Continue To Surpass The Industry Average?

and looking to gauge the potential return on investment in Shree Cement Limited (NSE:SHREECEM). … With an ROE of 15.56%, Shree Cement Limited (NSE:SHREECEM) outpaced its own industry which delivered a less exciting 10.30% over the past year. … Sustainability can be gauged by a company’s financial leverage – the more debt it has, the higher ROE is pumped up in the short term, at the expense of long term interest payment burden

Simply Wall St -

You Should Buy Shree Cement Limited (NSE:SHREECEM) Because Of These Reasons

Today I've chosen to put the spotlight on Shree Cement Limited (NSE:SHREECEM) due to its excellent fundamentals in more than one area. … a excellent … Below, I've touched on some key aspects you should know on a high level.

Simply Wall St -

Why Shree Cement Limited (NSE:SHREECEM) Is A Financially Healthy Company

This article will examine SHREECEM’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Moving onto cash from operations, its small level of operating cash flow means calculating cash-to-debt wouldn't be too useful, though these low levels of cash means that operational efficiency is worth a look. … Next Steps: Although SHREECEM’s debt level is relatively low, its cash flow levels still could not copiously cover its borrowings.

Simply Wall St -

Will Shree Cement Limited's (NSE:SHREECEM) Earnings Grow Over The Next Year?

In this article, I've outline a few earnings growth rates to give you a sense of the market sentiment for Shree Cement in the longer term. … View our latest analysis for Shree Cement What can we expect from Shree Cement in the longer term? … NSEI:SHREECEM Future Profit May 10th 18 By 2021, SHREECEM's earnings should reach ₹26.50B, from current levels of ₹13.84B, resulting in an annual growth rate of 20.59%.

Simply Wall St -

Is It Too Late To Buy Shree Cement Limited (NSE:SHREECEM)?

Shree Cement Limited (NSEI:SHREECEM), a basic materials company based in India, saw significant share price volatility over the past couple of months on the NSEI, rising to the highs of ₹19104.25 and falling to the lows of ₹16000.75. … Let’s take a look at Shree Cement’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. … Furthermore, Shree Cement’s share price also seems relatively stable compared to the rest of the market, as indicated by its low beta.

Simply Wall St -

Why I Bought Shree Cement Limited (NSE:SHREECEM)

I will touched on some key aspects you should know on a high level, around its financials and growth prospects going forward. … SHREECEM has high near term liquidity, with short term assets (cash and other liquid assets) amply covering upcoming one-year liabilities, as well as long-term commitments. … SHREECEM has managed its cash well at a current level of ₹7.93B.

Simply Wall St -

SHREECEM Company Info

Description

Shree Cement Limited manufactures and sells cement and clinker in India and internationally. The company operates in two segments, Cement and Power. It offers cement under the Shree Jung Rodhak, Bangur, and Rockstrong brand names. The company also engages in the generation of power with a total capacity of 639.7 megawatts through thermal power and waste heat recovery power plants. Shree Cement Limited was incorporated in 1979 and is based in Kolkata, India.

Details
Name: Shree Cement Limited
SHREECEM
Exchange: NSEI
Founded: 1979
₹686,079,083,566
34,837,225
Website: http://www.shreecement.com
Address: Shree Cement Limited
21, Strand Road,
Kolkata,
West Bengal, 700001,
India
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NSEI SHREECEM Equity Shares National Stock Exchange of India IN INR 04. Aug 1994
BSE 500387 Equity Shares Mumbai Stock Exchange IN INR 04. Aug 1994
Number of employees
Current staff
Staff numbers
5,837
Shree Cement employees.
Industry
Construction Materials
Materials
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/22 12:49
End of day share price update: 2019/04/22 00:00
Last estimates confirmation: 2019/04/16
Last earnings filing: 2018/07/07
Last earnings reported: 2018/03/31
Last annual earnings reported: 2018/03/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.