NSEI:VISHNU

Stock Analysis Report

Executive Summary

Vishnu Chemicals Limited manufactures and markets chromium chemicals in India.

Snowflake

Fundamentals

Undervalued with acceptable track record.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

4.9%

VISHNU

1.1%

IN Chemicals

2.4%

IN Market


1 Year Return

-9.6%

VISHNU

22.1%

IN Chemicals

8.0%

IN Market

Return vs Industry: VISHNU underperformed the Indian Chemicals industry which returned 19.4% over the past year.

Return vs Market: VISHNU underperformed the Indian Market which returned 7.1% over the past year.


Shareholder returns

VISHNUIndustryMarket
7 Day4.9%1.1%2.4%
30 Day10.1%3.7%2.5%
90 Day20.6%10.4%3.6%
1 Year-8.9%-9.6%25.2%22.1%10.3%8.0%
3 Year-55.7%-56.2%37.0%31.6%22.3%16.0%
5 Yearn/a130.3%112.8%42.8%29.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

46.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: VISHNU (₹132.25) is trading below our estimate of fair value (₹247.34)

Significantly Below Fair Value: VISHNU is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: VISHNU is good value based on its PE Ratio (6.1x) compared to the Chemicals industry average (10.7x).

PE vs Market: VISHNU is good value based on its PE Ratio (6.1x) compared to the Indian market (13x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate VISHNU's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: VISHNU is good value based on its PB Ratio (1.1x) compared to the IN Chemicals industry average (1.1x).


Next Steps

Future Growth

How is Vishnu Chemicals forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

5.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: VISHNU's forecast earnings growth (5.7% per year) is below the savings rate (7.6%).

Earnings vs Market: VISHNU's earnings (5.7% per year) are forecast to grow slower than the Indian market (18.3% per year).

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

Revenue vs Market: VISHNU's revenue (2.6% per year) is forecast to grow slower than the Indian market (11.3% per year).

High Growth Revenue: VISHNU's revenue (2.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

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


Next Steps

Past Performance

How has Vishnu Chemicals performed over the past 5 years?

8.1%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: VISHNU's earnings have grown by 8.1% per year over the past 5 years.

Accelerating Growth: VISHNU's earnings growth over the past year (51.5%) exceeds its 5-year average (8.1% per year).

Earnings vs Industry: VISHNU earnings growth over the past year (51.5%) exceeded the Chemicals industry 10.4%.


Return on Equity

High ROE: VISHNU's Return on Equity (18%) is considered low.


Return on Assets

ROA vs Industry: VISHNU's Return on Assets is below or equal to the Chemicals industry average last year.


Return on Capital Employed

ROCE Improving: VISHNU's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is Vishnu Chemicals's financial position?


Financial Position Analysis

Short Term Liabilities: VISHNU's short term assets (₹3.7B) exceeds its short term liabilities (₹3.7B)

Long Term Liabilities: VISHNU's short term assets (3.7B) exceeds its long term liabilities (2.5B)


Debt to Equity History and Analysis

Debt Level: VISHNU's debt to equity ratio (240.1%) is considered high

Reducing Debt: VISHNU's debt to equity ratio has increased from 133.6% to 240.1% over the past 5 years.

Debt Coverage: VISHNU's debt is well covered by operating cash flow (29.2%).

Interest Coverage: VISHNU's interest payments on its debt are not well covered by EBIT (2.8x coverage).


Balance Sheet

Inventory Level: VISHNU has a high level of physical assets or inventory.

Debt Coverage by Assets: VISHNU's debt is covered by short term assets (assets are 1.089590x debt).


Next Steps

Dividend

What is Vishnu Chemicals's current dividend yield, its reliability and sustainability?

0.76%

Current Dividend Yield


Dividend Yield vs Market

company0.8%marketbottom25%0.6%markettop25%2.4%industryaverage0.9%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: VISHNU's dividend (0.76%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: VISHNU's dividend (0.76%) is low compared to the top 25% of dividend payers in the Indian market (2.42%).

Stable Dividend: VISHNU has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: VISHNU has only been paying a dividend for 5 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (4.7%), VISHNU's dividend payments are thoroughly 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

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

2.1yrs

Average management tenure


CEO

Cherukuri Murthy (62yo)

0yrs

Tenure

₹6,600,000

Compensation

Mr. Cherukuri Krishna Murthy serves as the Chairman and Managing Director of Vishnu Chemicals Limited and has been its Director since January 02, 2006. Mr. Murthy is the Proprietor of Vasantha Transport Co ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Cherukuri 's total compensation is reasonable compared to companies of similar size in the Indian market.

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


Management Age and Tenure

2.1yrs

Average Tenure

45yo

Average Age

Experienced Management: VISHNU's management team is considered experienced (2.1 years average tenure).


Board Age and Tenure

4.6yrs

Average Tenure

62.5yo

Average Age

Experienced Board: VISHNU's board of directors are considered experienced (4.6 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown


Management Team

  • Cherukuri Siddartha (34yo)

    Joint MD & Whole Time Director

    • Tenure: 13.8yrs
    • Compensation: ₹4.80m
  • Cherukuri Murthy (62yo)

    Chairman & MD

    • Tenure: 0yrs
    • Compensation: ₹6.60m
  • P. Anjaneyulu (56yo)

    Chief Financial Officer

    • Tenure: 1.4yrs
  • Kishore Kathri (31yo)

    Company Secretary & Compliance Officer

    • Tenure: 2.1yrs

Board Members

  • Cherukuri Siddartha (34yo)

    Joint MD & Whole Time Director

    • Tenure: 13.8yrs
    • Compensation: ₹4.80m
  • Cherukuri Murthy (62yo)

    Chairman & MD

    • Tenure: 0yrs
    • Compensation: ₹6.60m
  • Cherukuri Manjula (53yo)

    Non-Executive Director

    • Tenure: 13.8yrs
    • Compensation: ₹20.00k
  • Santanu Mukherjee (63yo)

    Non-Executive & Independent Director

    • Tenure: 0.4yrs
  • T. Apparao (67yo)

    Independent Director

    • Tenure: 4.6yrs
    • Compensation: ₹140.00k
  • Pradip Saha (63yo)

    Independent & Non-Executive Director

    • Tenure: 1.9yrs
    • Compensation: ₹160.00k

Company Information

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


Key Information

  • Name: Vishnu Chemicals Limited
  • Ticker: VISHNU
  • Exchange: NSEI
  • Founded: 1989
  • Industry: Commodity Chemicals
  • Sector: Materials
  • Market Cap: ₹1.571b
  • Shares outstanding: 11.95m
  • Website: https://www.vishnuchemicals.com

Location

  • Vishnu Chemicals Limited
  • Plot No. C-23
  • Road No. 8
  • Hyderabad
  • Andhra Pradesh
  • 500033
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
516072BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 2008
VISHNUNSEI (National Stock Exchange of India)YesEquity SharesININRApr 2008

Biography

Vishnu Chemicals Limited manufactures and markets chromium chemicals in India. The company offers chrome chemicals, such as sodium dichromate, chromic acid, chrome oxide green, basic chromium sulphate, and ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 12:51
End of Day Share Price2019/10/22 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.