Sumitomo Chemical India Ltd Stock Analysis

BSE: 542920 | NSE: SUMICHEM | Pesticides & Agrochemicals | Large Cap

BSE Share Price 23-Sep-2022 18:01
510.95 -5.40 (-1.05%)

DeciZen - Make an Informed Decision on Sumitomo Chemical India

Overall Rating

1. Quality

2. Valuation

Overvalued

3. Price Trend

Sumitomo Chemical India Price Chart

P/E Ratio (SA) :
54.73
Market Cap :
25,503.9 Cr.
52-wk low :
341.2
52-wk high :
539
Bole Toh?

1. Is Sumitomo Chemical India Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Sumitomo Chemical India Ltd is a good quality company.

2. Is Sumitomo Chemical India Ltd undervalued or overvalued?

The key valuation ratios of Sumitomo Chemical India Ltd's currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Sumitomo Chemical India Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Strong which suggest that the price of Sumitomo Chemical India Ltd is likely to Rise in the short term. However, please check the rating on Quality and Valuation before investing

10 Year X-Ray of Sumitomo Chemical India:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Sumitomo Chemical India Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Value Creation Index Colour Code Guide

Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
ROCE % 8.6%19.5%16.9%24.7%12.7%17.9%17.9%20.7%25.4%24.9%-
Value Creation Index -0.20.70.51.20.10.60.60.50.90.8-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 4956517067657991,9112,2232,4232,6433,0643,268
YoY Gr. Rt. %-31.7%8.4%8.4%4.3%139.3%16.3%9%9.1%15.9%-
Adj EPS 0.61.51.52.82.45.36.44.66.98.59.3
YoY Gr. Rt. %-165.5%4.8%81.1%-14.8%126.3%20.2%-28.5%49.5%23.8%-
BVPS (₹) 70000029.524.230.638.641.3
Adj Net Profit 12.834.135.764.664.7147176229343424466
Cash Flow from Ops. -1619.53.952.5-20.948.874.8222425223-
Debt/CF from Ops. -0.100000.20.3000-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 22.5%30.9%11.3%15.9%
Adj EPS 35.5%29.2%9.8%23.8%
BVPS 20.809.325.9
Share Price - - - 28.5%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
Return on Equity % 8.11916.724.512.617.617.920.42524.623.4
Op. Profit Mgn % 3.67.58.211.713.211.613.31418.619.719.5
Net Profit Mgn % 2.65.25.18.48.17.77.99.51313.814.3
Debt to Equity 0000000000-
Working Cap Days 2111741771822111722312342352360
Cash Conv. Cycle -7,707506568102771121161201220

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 23.40%

Sales growth is growing at healthy rate in last 3 years 11.28%

Sales growth is good in last 4 quarters at 19.43%

Net Profit has been subdued in last 3 years 9.76%

Latest Financials - Sumitomo Chemical India Ltd.

Standalone Consolidated
TTM EPS (₹) 9.3 9.1
TTM Sales (₹ Cr.) 3,268 3,268
BVPS (₹.) 41.3 41.4
Reserves (₹ Cr.) 1,564 1,566
P/BV 12.36 12.35
PE 54.73 55.94
From the Market
52 Week Low / High (₹) 341.20 / 539.00
All Time Low / High (₹) 152.50 / 539.00
Market Cap (₹ Cr.) 25,504
Equity (₹ Cr.) 499.2
Face Value (₹) 10
Industry PE 33.7

Management X-Ray of Sumitomo Chemical India :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

Login/Register to view analysis.

Analyst's Notes

Key Ratios of Sumitomo Chemical India

Adj EPS (Rs.)
Sales (Cr.)
ROE (%)
ROCE (%)

News

About Sumitomo Chemical India Ltd

Sumitomo Chemical India (SCIL) manufactures, imports and markets products for Crop Protection, Grain Fumigation, Rodent Control, Bio Pesticides, Environmental Health, Professional Pest control and Feed Additives for use in India. SCIL has also marked its presence in Africa and several other geographies of the world. The product range comprises of conventional chemistry sourced from parent company, Sumitomo Chemical Company and biological products sourced from USA based subsidiary, Valent Biosciences LLC, a leader in producing a range of naturally occurring, environmentally compatible pesticides and plant growth regulators, for over 40 years. It also produce many technical grade pesticides in its state-of-the-art manufacturing units with indigenous R&D facility. Committed to consistent quality, it provide a unique offering of new generation as well as conventional and biological products to customers.

Parent company

Sumitomo Chemical Company (SCC), the parent company of Sumitomo Chemical India was established in 1913 to manufacture fertilizers from sulphur dioxide emitted from smelting operations at the Besshi copper mine in Niihama, Ehime Prefecture, with the aim of solving environmental problems caused by the emissions. The mine was owned by Sumitomo a company which dates back to the 16th Century. SCC offers a diverse range of products globally in the fields of petrochemicals, energy and functional materials, IT related chemicals and materials, health and crop sciences products and pharmaceuticals. The SCC parentage has also brought with it, a consistent commitment for quality and customers.

Products and Services

Domestic business

Sumitomo Chemical India is primarily engaged in manufacturing and sales of speciality and generic products under Agro Solutions Division (ASD), Environmental Health Division (END) and Animal Nutrition Division (AND). It has Strong R&D capabilities with a dedicated pool of engineers and scientists capable of creating new combinations and developing efficient processes, that impact millions of consumers. It is equipped with a robust distribution network and dependable logistics which cater to the consumer needs. Its Diversified product portfolio and unmatched product quality, makes it formidable players in the field of crop protection.

Crop protection

  • SCIL Specialty
  • SCIL ECC
  • SCIL Basic

Biological

The Biologicals segment of crop protection is continuously growing in Sumitomo Chemical India. Biologicals are derived from natural principles such as plants, microorganisms and minerals. These are highly environment safe crop solutions developed by the highly innovative Research & Development team of Sumitomo. SCIL biologicals result in effective alternative against conventional pesticides.

Plant Growth Regulators

Plant Growth Regulators (PGRs), are molecules that influence the development of plants and are generally active at very low concentrations. Plant growth and nutrition substances have a key role in different physiological processes related to development of crops. Changes in the levels of plant hormones and nutrients due to stress can adversely affect crop growth. Sumitomo Chemical India, has a range of plant growth and nutrition products that help farmers improve crop yield.

Fumigants & Rodenticides

While fulfilling the food demand of an increasing population remains a major global concern, more than one-third of food is lost or wasted in postharvest operations. Sumitomo Chemical India had designed a range of effective fumigants and rodenticides to combat this problem.

  • CELPHOS
  • FUMIRAT
  • COMMANDO
  • TOJOPHOS

Household Pesticides

  • Professional Pest Control products
  • Vector/Public Health products
  • Customer Solutions products

Animal Nutrition

The company manufacturers and suppliers of Methionine, which is used as feed additive. Methionine is one of the essential amino acids that cannot be synthesized in the animal body. Methionine often tends to remain at an insufficient level in livestock feeds mainly consisting of plant material.

Milestones

  • 2000: Two companies were launched this year. Sumitomo Chemical India Private Limited (SCIPL), a sales company, and Sumitomo Chemical Enviro Agro India (SCEAI), a household insecticide manufacturing company.
  • 2001: Start of the Household Insecticide business.
  • 2002: Start of the Crop Protection business and initiation of agrochemical manufacturing at SCEAI.
  • 2007: The Delhi office of SCIPL was established.
  • 2011: Start of the animal nutrition business.
  • 2011: Integration of SCIPL, SCEAI and New Chemi Inc.
  • 2016: Acquisition of Excel Crop Care
  • 2018: Merger with Excel Crop Care Limited.
  • 2018: SCIPL changed to Sumitomo Chemical India Limited (SCIL), post-merger.
  • 2019: SCIL was listed on the Bombay Stock Exchange.
Read More Read Less
You have 2 views remaining as a Guest User. To get DeciZen Rating of 3,500+ Stocks based on their Quality, Valuation and Price Trend Login | Register Now