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CESC

CESCNSEI:CESC Stock Report

Market Cap

₹109.3b

7D

-11.3%

1Y

32.1%

Updated

27 Sep, 2021

Data

Company Financials +
CESC fundamental analysis
Snowflake Score
Valuation5/6
Future Growth0/6
Past Performance3/6
Financial Health0/6
Dividends6/6

CESC Overview

CESC Limited, an integrated electrical utility company, engages in the generation, transmission, and distribution of electricity in India.

CESC Competitors

Price History & Performance

Summary of all time highs, changes and price drops for CESC
Historical stock prices
Current Share Price₹82.45
52 Week High₹55.51
52 Week Low₹96.90
Beta1.24
1 Month Change8.69%
3 Month Change6.07%
1 Year Change32.08%
3 Year Change-4.86%
5 Year Change32.00%
Change since IPO285.28%

Recent News & Updates

Shareholder Returns

CESCIN Electric UtilitiesIN Market
7D-11.3%-7.6%0.8%
1Y32.1%134.2%67.5%

Return vs Industry: CESC underperformed the Indian Electric Utilities industry which returned 134.2% over the past year.

Return vs Market: CESC underperformed the Indian Market which returned 67.5% over the past year.

Price Volatility

Is CESC's price volatile compared to industry and market?
CESC volatility
CESC Beta1.24
Industry Beta0.87
Market Beta1

Stable Share Price: CESC is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: CESC's weekly volatility (5%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
18997,377n/ahttps://www.cesc.co.in

CESC Limited, an integrated electrical utility company, engages in the generation, transmission, and distribution of electricity in India. It owns and operates three thermal power plants, including Budge Budge, Southern, and Titagarh generating stations generating 1125 megawatts (MW) of power; a thermal power projects with a capacity of 600 MW in Haldia, West Bengal; two thermal power projects with a capacity of 640 MW in Chandrapur, Maharashtra and Asansol, West Bengal; and transmission and distribution systems that comprise 474 km circuit of transmission lines linking the company’s generating and receiving stations with 105 distribution stations, as well as 8,211 km circuit of HT lines, and 12,269 km circuit of LT lines. The company serves approximately 2.9 million domestic, industrial, and commercial users in 567 square kilometers of Kolkata and Howrah.

CESC Fundamentals Summary

How do CESC's earnings and revenue compare to its market cap?
CESC fundamental statistics
Market Cap₹109.29b
Earnings (TTM)₹14.00b
Revenue (TTM)₹122.41b

7.8x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CESC income statement (TTM)
Revenue₹122.41b
Cost of Revenue₹64.53b
Gross Profit₹57.88b
Expenses₹43.88b
Earnings₹14.00b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

Nov 14, 2021

Earnings per share (EPS)10.56
Gross Margin47.28%
Net Profit Margin11.44%
Debt/Equity Ratio139.0%

How did CESC perform over the long term?

See historical performance and comparison

Dividends

5.5%

Current Dividend Yield

43%

Payout Ratio

Valuation

Is CESC 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: CESC (₹82.45) is trading below our estimate of fair value (₹194.74)

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


Price To Earnings Ratio

PE vs Industry: CESC is good value based on its PE Ratio (7.8x) compared to the Indian Electric Utilities industry average (22.3x).

PE vs Market: CESC is good value based on its PE Ratio (7.8x) compared to the Indian market (20.7x).


Price to Earnings Growth Ratio

PEG Ratio: CESC is poor value based on its PEG Ratio (1.2x)


Price to Book Ratio

PB vs Industry: CESC is good value based on its PB Ratio (1.1x) compared to the IN Electric Utilities industry average (1.4x).


Future Growth

How is CESC forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

6.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CESC's forecast earnings growth (6.5% per year) is below the savings rate (6.8%).

Earnings vs Market: CESC's earnings (6.5% per year) are forecast to grow slower than the Indian market (18.3% per year).

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

Revenue vs Market: CESC's revenue (2.9% per year) is forecast to grow slower than the Indian market (12.6% per year).

High Growth Revenue: CESC's revenue (2.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CESC's Return on Equity is forecast to be low in 3 years time (13.5%).


Past Performance

How has CESC performed over the past 5 years?

15.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CESC has high quality earnings.

Growing Profit Margin: CESC's current net profit margins (11.4%) are lower than last year (12.4%).


Past Earnings Growth Analysis

Earnings Trend: CESC's earnings have grown by 15.7% per year over the past 5 years.

Accelerating Growth: CESC's earnings growth over the past year (10.4%) is below its 5-year average (15.7% per year).

Earnings vs Industry: CESC earnings growth over the past year (10.4%) exceeded the Electric Utilities industry 10%.


Return on Equity

High ROE: CESC's Return on Equity (14%) is considered low.


Financial Health

How is CESC's financial position?


Financial Position Analysis

Short Term Liabilities: CESC's short term assets (₹56.0B) do not cover its short term liabilities (₹75.4B).

Long Term Liabilities: CESC's short term assets (₹56.0B) do not cover its long term liabilities (₹180.6B).


Debt to Equity History and Analysis

Debt Level: CESC's debt to equity ratio (139%) is considered high.

Reducing Debt: CESC's debt to equity ratio has increased from 128.7% to 139% over the past 5 years.

Debt Coverage: CESC's debt is not well covered by operating cash flow (19.7%).

Interest Coverage: CESC's interest payments on its debt are not well covered by EBIT (2.2x coverage).


Balance Sheet


Dividend

What is CESC current dividend yield, its reliability and sustainability?

5.46%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: CESC's dividend (5.46%) is higher than the bottom 25% of dividend payers in the Indian market (0.34%).

High Dividend: CESC's dividend (5.46%) is in the top 25% of dividend payers in the Indian market (1.45%)


Stability and Growth of Payments

Stable Dividend: CESC's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (42.6%), CESC's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CESC's dividends in 3 years are forecast to be well covered by earnings (43.4% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.3yrs

Average management tenure


CEO

CESC has no CEO, or we have no data on them.


Leadership Team

Experienced Management: CESC's management team is considered experienced (3.3 years average tenure).


Board Members

Experienced Board: CESC's board of directors are considered experienced (6.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

CESC Limited's employee growth, exchange listings and data sources


Key Information

  • Name: CESC Limited
  • Ticker: CESC
  • Exchange: NSEI
  • Founded: 1899
  • Industry: Electric Utilities
  • Sector: Utilities
  • Market Cap: ₹109.293b
  • Shares outstanding: 1.33b
  • Website: https://www.cesc.co.in

Number of Employees


Location

  • CESC Limited
  • CESC House
  • Chowringhee Square
  • Kolkata
  • West Bengal
  • 700001
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/27 15:33
End of Day Share Price2021/09/27 00:00
Earnings2021/06/30
Annual Earnings2021/03/31


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.