NSEI:BIRLACABLE

Stock Analysis Report

Executive Summary

Birla Cable Limited manufactures and sells optical fiber cables, copper telecommunication cables, structured copper cables, specialty cables, and allied accessories in India.

Snowflake

Fundamentals

Flawless balance sheet with outstanding track record.

Risks

  • Birla Cable has significant price volatility in the past 3 months.
  • Birla Cable is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-16.9%

NSEI:BIRLACABLE

-17.7%

IN Communications

-2.9%

IN Market


1 Year Return

-74.9%

NSEI:BIRLACABLE

-57.1%

IN Communications

-15.9%

IN Market

BIRLACABLE underperformed the Communications industry which returned -49.5% over the past year.

BIRLACABLE underperformed the Market in India which returned -14.5% over the past year.


Share holder returns

BIRLACABLEIndustryMarket
7 Day-16.9%-17.7%-2.9%
30 Day-48.7%-28.5%-5.7%
90 Day-59.5%-39.1%-11.0%
1 Year-74.3%-74.9%-56.6%-57.1%-14.1%-15.9%
3 Year22.4%17.9%39.1%35.9%15.7%9.5%
5 Year-32.9%-37.9%60.7%55.4%33.2%20.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

3.35x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Birla Cable's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Birla Cable's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Birla Cable is good value based on earnings compared to the IN Communications industry average.

Birla Cable is good value based on earnings compared to the India market.


Price Based on Expected Growth

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


Price Based on Value of Assets

Birla Cable is overvalued based on assets compared to the IN Communications industry average.


Next Steps

Future Growth

How is Birla Cable expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

23.2%

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 Birla Cable 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 Birla Cable performed over the past 5 years?

29.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Birla Cable has delivered over 20% year on year earnings growth in the past 5 years.

Birla Cable's 1-year earnings growth exceeds its 5-year average (32.6% vs 29.2%)

Birla Cable's earnings growth has exceeded the IN Communications industry average in the past year (32.6% vs 15.8%).


Return on Equity

Birla Cable has efficiently used shareholders’ funds last year (Return on Equity greater than 20%).


Return on Assets

Birla Cable used its assets more efficiently than the IN Communications industry average last year based on Return on Assets.


Return on Capital Employed

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


Next Steps

Financial Health

How is Birla Cable's financial position?


Financial Position Analysis

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

Birla Cable's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Birla Cable's level of debt (34.6%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (61.3% vs 34.6% today).

Debt is well covered by operating cash flow (28.5%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 22.4x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 4.1x debt.


Next Steps

Dividend

What is Birla Cable's current dividend yield, its reliability and sustainability?

4.93%

Current Dividend Yield


Dividend Yield and Payments Analysis

Birla Cable's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.64%).

Birla Cable's dividend is above the markets top 25% of dividend payers in India (2.6%).

Birla Cable has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

Dividend payments have increased, but Birla Cable only paid a dividend in the past 5 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (6.1x coverage).


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

10.3yrs

Average board tenure


CEO

R. Sridharan (47yo)

7.3yrs

Tenure

₹11,610,000

Compensation

Mr. R. Sridharan has been the Chief Executive Officer of Birla Cable Limited since May 4, 2012 and serves as its Manager. Mr. Sridharan served as a Senior Vice President of Birla Cable Limited. He served a ...


CEO Compensation Analysis

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

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


Board Age and Tenure

10.3yrs

Average Tenure

66yo

Average Age

The average tenure for the Birla Cable board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Sandeep Chawla

    Senior Vice President of Marketing

    • Tenure: 0.0yrs
  • R. Sridharan (47yo)

    Manager & CEO

    • Tenure: 7.3yrs
    • Compensation: ₹11.61m
  • Somesh Laddha

    Compliance Officer

    • Tenure: 0.0yrs
    • Compensation: ₹1.69m
  • Shalendra Kumar Thakur

    Chief Financial Officer

    • Tenure: 0.3yrs

Board Members

  • Harsh Lodha (52yo)

    Non-Executive Chairman

    • Tenure: 10.6yrs
    • Compensation: ₹160.00k
  • Ramesh Tapuriah (77yo)

    Independent Non-Executive Director

    • Tenure: 18.1yrs
    • Compensation: ₹355.00k
  • K. Raghuraman (71yo)

    Independent Non-Executive Director

    • Tenure: 9.8yrs
    • Compensation: ₹240.00k
  • Aravind Srinivasan (50yo)

    Independent Non-Executive Director

    • Tenure: 14.8yrs
    • Compensation: ₹270.00k
  • Arun Kishore (72yo)

    Independent Non-Executive Director

    • Tenure: 10.1yrs
    • Compensation: ₹320.00k
  • Archana Capoor (61yo)

    Independent Non-Executive Director

    • Tenure: 4.8yrs
    • Compensation: ₹160.00k

Company Information

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


Key Information

  • Name: Birla Cable Limited
  • Ticker: BIRLACABLE
  • Exchange: NSEI
  • Founded: 1992
  • Industry: Communications Equipment
  • Sector: Tech
  • Market Cap: ₹1.335b
  • Shares outstanding: 30.00m
  • Website: https://www.birlacable.com

Number of Employees


Location

  • Birla Cable Limited
  • Udyog Vihar
  • PO Chorhata
  • Rewa
  • Madhya Pradesh
  • 486006
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500060BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 1995
BIRLACABLENSEI (National Stock Exchange of India)YesEquity SharesININRDec 1995

Biography

Birla Cable Limited manufactures and sells optical fiber cables, copper telecommunication cables, structured copper cables, specialty cables, and allied accessories in India. The company provides fiber opt ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 12:46
End of Day Share Price2019/08/22 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.