NSEI:SIKKO

Stock Analysis Report

Executive Summary

Sikko Industries Limited manufactures and trades in urea and other organic fertilizers, and pesticides used for agriculture in India.

Snowflake

Fundamentals

Proven track record with adequate balance sheet.

Risks

  • Sikko Industries is not covered by any analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

10.5%

NSEI:SIKKO

0.1%

IN Chemicals

-1.0%

IN Market


1 Year Return

-10.4%

NSEI:SIKKO

-1.5%

IN Chemicals

-11.5%

IN Market

SIKKO underperformed the Chemicals industry which returned -1.5% over the past year.

SIKKO outperformed the Market in India which returned -11.5% over the past year.


Share holder returns

SIKKOIndustryMarket
7 Day10.5%0.1%-1.0%
30 Day14.0%0.9%-0.9%
90 Day-7.5%-1.2%-7.0%
1 Year-10.4%-10.4%-0.3%-1.5%-9.8%-11.5%
3 Yearn/a30.2%26.1%16.9%11.0%
5 Yearn/a106.6%94.9%33.6%21.0%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

8.65x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Sikko Industries to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Sikko Industries to establish if it is available at substantial discount.


Price Based on Earnings

Sikko Industries is good value based on earnings compared to the IN Chemicals industry average.

Sikko Industries is good value based on earnings compared to the India market.


Price Based on Expected Growth

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


Price Based on Value of Assets

Sikko Industries is overvalued based on assets compared to the IN Chemicals industry average.


Next Steps

Future Growth

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

10.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Sikko Industries is high growth as no revenue estimate data is available.

Sikko Industries's earnings are expected to grow by 10.7% yearly, however this is not considered high growth (20% yearly).

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

Sikko Industries's earnings growth is positive but not above the India market average.

Sikko Industries's earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Sikko Industries performed over the past 5 years?

26.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Sikko Industries has delivered over 20% year on year earnings growth in the past 5 years.

Sikko Industries's 1-year earnings growth exceeds its 5-year average (70.3% vs 26%)

Sikko Industries's earnings growth has exceeded the IN Chemicals industry average in the past year (70.3% vs 9.3%).


Return on Equity

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


Return on Assets

Sikko Industries used its assets less efficiently than the IN Chemicals industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is Sikko Industries's financial position?


Financial Position Analysis

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

Sikko Industries's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Sikko Industries's level of debt (64.4%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (95.2% vs 64.4% today).

Operating cash flow is negative therefore debt is not well covered.

Interest payments on debt are well covered by earnings (EBIT is 6.7x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 3.2x debt.


Next Steps

Dividend

What is Sikko Industries's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Sikko Industries's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Sikko Industries's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Sikko Industries has not reported any payouts.

Unable to verify if Sikko Industries's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Sikko Industries has not reported any payouts.


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 Sikko Industries's salary, the management and board of directors tenure and is there insider trading?

2.7yrs

Average management tenure


CEO

Jayantibhai Kumbhani (53yo)

2.7yrs

Tenure

₹3,600,000

Compensation

Mr. Jayantibhai M. Kumbhani has been Managing Director at Sikko Industries Limited since January 12, 2017 and also has been its Executive Non-Independent Director since January 15, 2003. Mr. Kumbhani is al ...


CEO Compensation Analysis

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

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


Management Age and Tenure

2.7yrs

Average Tenure

56yo

Average Age

The tenure for the Sikko Industries management team is about average.


Board Age and Tenure

2.6yrs

Average Tenure

50yo

Average Age

The average tenure for the Sikko Industries board of directors is less than 3 years, this suggests a new board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Maitry Doshi

    Company Secretary & Compliance Officer

    • Tenure: 2.7yrs
    • Compensation: ₹170.34k
  • Ghanshyambhai Kumbhani (56yo)

    Chairman

    • Tenure: 2.7yrs
    • Compensation: ₹3.60m
  • Jayantibhai Kumbhani (53yo)

    MD & Executive Non-Independent Director

    • Tenure: 2.7yrs
    • Compensation: ₹3.60m
  • Mukesh Shah

    Chief Finance Officer

    • Tenure: 2.7yrs
    • Compensation: ₹497.59k
  • Narendra Solanki (57yo)

    General Manager

    • Tenure: 0yrs

Board Members

  • Ghanshyambhai Kumbhani (56yo)

    Chairman

    • Tenure: 2.7yrs
    • Compensation: ₹3.60m
  • Jayantibhai Kumbhani (53yo)

    MD & Executive Non-Independent Director

    • Tenure: 2.7yrs
    • Compensation: ₹3.60m
  • Mamtaben Thumbar (37yo)

    Non-Executive & Independent Director

    • Tenure: 2.6yrs
  • Pravinbhai Kumbhani (50yo)

    Non-Executive Director

    • Tenure: 2.2yrs
  • Hasmukhbhai Vavaiya (46yo)

    Independent Director

    • Tenure: 2.3yrs

Company Information

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


Key Information

  • Name: Sikko Industries Limited
  • Ticker: SIKKO
  • Exchange: NSEI
  • Founded: 1997
  • Industry: Fertilizers and Agricultural Chemicals
  • Sector: Materials
  • Market Cap: ₹173.600m
  • Shares outstanding: 5.60m
  • Website: https://www.sikkoindia.com

Number of Employees


Location

  • Sikko Industries Limited
  • 508, Iscon Elegance
  • Near Jain Temple
  • Ahmedabad
  • Gujarat
  • 380051
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SIKKONSEI (National Stock Exchange of India)YesEquity SharesININRApr 2017

Biography

Sikko Industries Limited manufactures and trades in urea and other organic fertilizers, and pesticides used for agriculture in India. The company offers bio agro chemicals, such as bio pesticides and fungi ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/18 12:51
End of Day Share Price2019/09/17 00:00
Earnings2019/03/31
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.