1. Is Reliance Industries Ltd a good quality company?
Past 10 year's financial track record analysis by Moneyworks4me indicates that Reliance Industries Ltd is a average quality company.
2. Is Reliance Industries Ltd undervalued or overvalued?
The key valuation ratios of Reliance Industries Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.
3. Is Reliance Industries Ltd a good buy now?
The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Reliance Industries Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.
Value Creation ⓘ
Value Creation Index Colour Code Guide ⓘ
|ROCE % ⓘ||8%||7.5%||6.9%||7.5%||6.6%||7.8%||8.4%||7.7%||6.1%||6.2%||-|
|Value Creation Index ⓘ||-0.3||-0.3||-0.4||-0.3||-0.4||-0.3||-0.3||-0.3||-0.5||-0.5||-|
Growth Parameters ⓘ
Growth Parameters Colour Code Guide ⓘ
|YoY Gr. Rt. %||-||9.4%||-13.6%||-27%||11.5%||28.3%||45.3%||5%||-21.9%||49.9%||-|
|Adj EPS ⓘ||33.1||35.3||37.9||46.1||44.2||54.3||64.8||64.7||61||86||94|
|YoY Gr. Rt. %||-||6.6%||7.3%||21.8%||-4.1%||22.8%||19.3%||-0.2%||-5.7%||41%||-|
|BVPS (₹) ⓘ||304.3||333.2||366.3||387.6||439.9||490.9||647.1||701.9||1,023.4||1,151.6||1,193.9|
|Adj Net Profit ⓘ||19,623||20,947||22,499||27,449||26,431||32,477||38,770||41,385||41,242||58,176||63,607|
|Cash Flow from Ops. ⓘ||36,918||43,261||34,374||38,134||49,550||71,459||42,346||94,877||26,958||1,10,654||-|
|Debt/CF from Ops. ⓘ||2.9||3.2||4.7||4.8||4||3.1||6.8||3.5||9.3||2.4||-|
CAGR Colour Code Guide ⓘ
|9 Years||5 Years||3 Years||1 Years|
|Adj EPS ⓘ||11.2%||14.2%||9.9%||41%|
Key Financial Parameters ⓘ
Performance Ratio Colour Code Guide ⓘ
|Return on Equity % ⓘ||11.2||11||10.8||12.2||10.7||11.7||11.4||9.9||7.2||7.9||8|
|Op. Profit Mgn % ⓘ||8.3||8.1||10||15.1||15.3||16.4||15||15||17.2||15.9||15.3|
|Net Profit Mgn % ⓘ||4.9||4.8||6||10||8.7||8.3||6.8||7||9.7||9.3||7.2|
|Debt to Equity ⓘ||0.6||0.7||0.7||0.8||0.8||0.8||0.8||0.8||0.4||0.3||-|
|Working Cap Days ⓘ||76||75||89||114||104||98||89||107||164||124||0|
|Cash Conv. Cycle ⓘ||14||4||-6||-24||-34||-41||-30||-22||-30||-27||0|
Sales growth is good in last 4 quarters at 35.10%
Return on Equity has declined versus last 3 years average to 8.00%
Sales growth has been subdued in last 3 years 7.14%
Net Profit has been subdued in last 3 years 9.88%
|TTM EPS (₹)||61.3||94|
|TTM Sales (₹ Cr.)||5,55,107||8,88,455|
|BVPS (₹.) ⓘ||724||1,193.9|
|Reserves (₹ Cr.) ⓘ||4,83,059||8,01,023|
|From the Market|
|52 Week Low / High (₹)||2181.00 / 2855.00|
|All Time Low / High (₹)||8.93 / 2855.00|
|Market Cap (₹ Cr.)||15,91,227|
|Equity (₹ Cr.)||6,766|
|Face Value (₹)||10|
|Industry PE ⓘ||32.4|
The Reliance Group, founded by Dhirubhai H. Ambani, is India's largest private sector enterprise, with businesses in the energy and materials value chain. The flagship company, Reliance Industries, is a Fortune Global 500 company and is the largest private sector company in India. Dhirubhai Ambani founded Reliance as a textile company and led its evolution as a global leader in the materials and energy value chain businesses. It was in 1957 when he returned to India after a stint with a Besse& Co., Aden he started yarn trading business from a small 500 sq.ft. office in Masjid Bunder, Mumbai. He set up his brand new mill in Naroda, Gujarat. In 1996 Reliance went on to become the biggest textile brand ‘Only Vimal’.
Reliance enjoys global leadership in its businesses, being the largest polyester yarn and fibre producer in the world and among the top five to ten producers in the world in major petrochemical products. Starting as a small textile company, Reliance has in its journey crossed several milestones to become a Fortune 500 company in less than 3 decades. The company operates world-class manufacturing facilities across the country at Allahabad, Barabanki, Dahej, Dhenkanal, Hazira, Hoshiarpur, Jamnagar, Kurkumbh, Nagothane, Nagpur, Naroda, Patalganga, Silvassa and Vadodara.
Business area of the company
The company is India’s largest private sector company. Its activities span hydrocarbon exploration and production, petroleum refining and marketing, petrochemicals, retail and digital services.
The company’s businesses includes:
The company’s products range is from the exploration and production of oil and gas to the manufacture of petroleum products, polyester products, polyester intermediates, plastics, polymer intermediates, chemicals, synthetic textiles and fabrics.