BSE:532456

Stock Analysis Report

Compuage Infocom

Executive Summary

Compuage Infocom Limited, an information technology (IT) and mobility distribution company, trades in computer parts and peripherals, and software and telecom products in India.

Rewards

Trading at 88.7% below its fair value

Earnings grew by 16.9% over the past year

Risk Analysis

Interest payments are not well covered by earnings

Unstable dividend track record

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year

+ 1 more risk


Snowflake Analysis

Undervalued with solid track record.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 532456's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

14.6%

532456

3.0%

IN Electronic

1.8%

IN Market


1 Year Return

-16.2%

532456

20.2%

IN Electronic

8.0%

IN Market

Return vs Industry: 532456 underperformed the Indian Electronic industry which returned 17% over the past year.

Return vs Market: 532456 underperformed the Indian Market which returned 6.7% over the past year.


Shareholder returns

532456IndustryMarket
7 Day14.6%3.0%1.8%
30 Day58.1%3.6%3.6%
90 Day86.2%0.3%6.5%
1 Year-13.0%-16.2%21.2%20.2%10.0%8.0%
3 Year-56.9%-59.6%84.2%78.7%35.0%27.9%
5 Year-1.0%-10.2%69.8%62.8%36.5%24.2%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 532456 (₹16.8) is trading below our estimate of fair value (₹148.85)

Significantly Below Fair Value: 532456 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 532456 is good value based on its PE Ratio (4.5x) compared to the Electronic industry average (11.2x).

PE vs Market: 532456 is good value based on its PE Ratio (4.5x) compared to the Indian market (13.8x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 532456's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 532456 is good value based on its PB Ratio (0.5x) compared to the IN Electronic industry average (0.7x).


Next Steps

Future Growth

How is Compuage Infocom forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

22.7%

Forecasted Tech industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Compuage Infocom has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Compuage Infocom performed over the past 5 years?

13.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 532456 has high quality earnings.

Growing Profit Margin: 532456's current net profit margins (0.6%) are higher than last year (0.5%).


Past Earnings Growth Analysis

Earnings Trend: 532456's earnings have grown by 13.4% per year over the past 5 years.

Accelerating Growth: 532456's earnings growth over the past year (16.9%) exceeds its 5-year average (13.4% per year).

Earnings vs Industry: 532456 earnings growth over the past year (16.9%) exceeded the Electronic industry 15.8%.


Return on Equity

High ROE: 532456's Return on Equity (12.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Compuage Infocom's financial position?


Financial Position Analysis

Short Term Liabilities: 532456's short term assets (₹11.8B) exceed its short term liabilities (₹10.0B).

Long Term Liabilities: 532456's short term assets (₹11.8B) exceed its long term liabilities (₹271.5M).


Debt to Equity History and Analysis

Debt Level: 532456's debt to equity ratio (208.6%) is considered high.

Reducing Debt: 532456's debt to equity ratio has reduced from 317.6% to 208.6% over the past 5 years.

Debt Coverage: 532456's debt is not well covered by operating cash flow (11.3%).

Interest Coverage: 532456's interest payments on its debt are not well covered by EBIT (1.9x coverage).


Balance Sheet

Inventory Level: 532456 has a high level of physical assets or inventory.

Debt Coverage by Assets: 532456's debt is covered by short term assets (assets are 2.8x debt).


Next Steps

Dividend

What is Compuage Infocom's current dividend yield, its reliability and sustainability?

2.21%

Current Dividend Yield


Dividend Yield vs Market

company2.2%marketbottom25%0.6%markettop25%2.2%industryaverage0.6%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: 532456's dividend (2.38%) is higher than the bottom 25% of dividend payers in the Indian market (0.56%).

High Dividend: 532456's dividend (2.21%) is low compared to the top 25% of dividend payers in the Indian market (2.26%).


Stability and Growth of Payments

Stable Dividend: 532456's dividend payments have been volatile in the past 10 years.

Growing Dividend: 532456's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (10.7%), 532456'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 Compuage Infocom's salary, the management and board of directors tenure and is there insider trading?

5.4yrs

Average management tenure


CEO

Atul Mehta (59yo)

8.3yrs

Tenure

₹16,800,000

Compensation

Mr. Atul Harkishandas Mehta, MBA – U.S.A serves as the Chairman of Compuage Infocom Ltd. and has been its Managing Director since September 08, 2011. Mr. Mehta specialized in Finance & Strategic Planning.  ...


CEO Compensation Analysis

Compensation vs Market: Atul's total compensation ($USD237.07K) is above average for companies of similar size in the Indian market ($USD50.75K).

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


Management Age and Tenure

5.4yrs

Average Tenure

46yo

Average Age

Experienced Management: 532456's management team is seasoned and experienced (5.4 years average tenure).


Board Age and Tenure

16.4yrs

Average Tenure

59.5yo

Average Age

Experienced Board: 532456's board of directors are seasoned and experienced ( 16.4 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

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 15.9%.


Management Team

  • Bhavesh Mehta (46yo)

    COO & Whole Time Director

    • Tenure: 19.3yrs
    • Compensation: ₹16.80m
  • Atul Mehta (59yo)

    Chairman & MD

    • Tenure: 8.3yrs
    • Compensation: ₹16.80m
  • Sunil Mehta (46yo)

    Chief Financial Officer

    • Tenure: 5.4yrs
  • Shreyas Vyas

    Head of IT

    • Deepak Karia

      Vice President of Sales

      • Ruchita Shah

        Company Secretary & Compliance Officer

        • Tenure: 0.2yrs

      Board Members

      • Vijay Gopi Agarwal (62yo)

        Independent Director

        • Tenure: 13.6yrs
        • Compensation: ₹500.00k
      • Ganesh Ganesh (60yo)

        Non-Executive Independent Director

        • Tenure: 19.3yrs
      • Bhavesh Mehta (46yo)

        COO & Whole Time Director

        • Tenure: 19.3yrs
        • Compensation: ₹16.80m
      • Atul Mehta (59yo)

        Chairman & MD

        • Tenure: 8.3yrs
        • Compensation: ₹16.80m
      • Fatima Nasab

        Additional Non- Executive Independent Director

        • Tenure: 0.5yrs

      Company Information

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


      Key Information

      • Name: Compuage Infocom Limited
      • Ticker: 532456
      • Exchange: BSE
      • Founded: 1987
      • Industry: Technology Distributors
      • Sector: Tech
      • Market Cap: ₹1.176b
      • Shares outstanding: 64.98m
      • Website: https://www.compuageindia.com

      Number of Employees


      Location

      • Compuage Infocom Limited
      • D-601/602 & G-601/602, Lotus Corporate Park
      • Graham Firth Steel Compound
      • Mumbai
      • Maharashtra
      • 400063
      • India

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      532456BSE (Mumbai Stock Exchange)INR2ININRNo data
      COMPUAGENSEI (National Stock Exchange of India)INR2ININRNo data
      532456BSE (Mumbai Stock Exchange)YesEquity SharesININRFeb 2005
      COMPINFONSEI (National Stock Exchange of India)YesEquity SharesININRFeb 2005

      Biography

      Compuage Infocom Limited, an information technology (IT) and mobility distribution company, trades in computer parts and peripherals, and software and telecom products in India. The company also provides products support services for IT products. Compuage Infocom Limited was founded in 1987 and is headquartered in Mumbai, India. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/18 12:33
      End of Day Share Price2020/01/17 00:00
      Earnings2019/09/30
      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.