Tata Investment Corporation Ltd Stock Analysis

BSE: 501301 | NSE: TATAINVEST | Finance - NBFC | Mid Cap

BSE Share Price May 20, 18:01
1470.65 27.90 (1.93%)

DeciZen - Make an Informed Decision on Tata Invest Corp

Overall Rating

1. Quality

2. Valuation

Somewhat Undervalued

3. Price Trend

Semi Strong

FAQs

1. Is Tata Investment Corporation Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Tata Investment Corporation Ltd is a average quality company.

2. Is Tata Investment Corporation Ltd undervalued or overvalued?

The key valuation ratios of Tata Investment Corporation Ltd's currently when compared to its past seem to suggest it is in the Somewhat Undervalued zone.

3. Is Tata Investment Corporation Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Semi Strong which suggest that the price of Tata Investment Corporation Ltd is likely to Rise-somewhat in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Tata Invest Corp:

Analysis of Financial Track Record

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.
Tata Investment Corporation Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Operating Income (₹ Cr.)203207223234253271161182152151253
YoY Gr. Rt. %-2%8%4.6%8.2%7.3%-40.7%13.2%-16.6%-0.4%-
Adj EPS (₹ ) 29.330.332.433.936.836.72329.223.521.539.8
YoY Gr. Rt. %-3.4%6.9%4.4%8.6%-0.1%-37.4%26.9%-19.6%-8.3%-
BVPS (₹ )348.7359374.9390.1405.8443.71,4851,545.61,5762,788.83,860.6
YoY Gr. Rt. %-3%4.4%4.1%4%9.3%234.7%4.1%2%77%-
To view Net Profit/Total Funds (%) Colour Rating Guide click here
Net Profit/Total Funds (%)8.788.17.88.37.821.51.30.90

CAGR

CAGR Colour Code Guide
9 Years 5 Years 3 Years 1 Years
Net Interest Income-3.2%-9.7%-2%-0.4%
Adj EPS-3.4%-10.2%-2.2%-8.3%
BVPS26%47%23.4%77%
Share Price 12.8% 17.6% 19.5% 39.6%

Key Financial Ratios

RATIOS \ YEARSMar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Asset Quality Ratio To view Asset Quality Ratio Colour Rating Guide click here
Net NPA to Net Advances (%)0000000000-
Capitalization Ratio To view Capitalization Ratio Colour Rating Guide click here
Capital Adequacy Ratio (%) 101.2102.100000000-
Margins
Net Profit Margin (%)79.780.88079.880.274.678.781.178.171.979.5
Performance Ratios To view Performance Ratios Colour Rating Guide click here
Return on Equity (%)9.18.68.88.99.28.72.41.91.511

Recent Performance Summary

Total income growth is good in last 4 quarters

Return on Equity has declined versus last 3 years average to 1.20%

Total Income has declined 152.65 CAGR in last 3 years

Net Profit has declined -2.19 CAGR in last 3 years

Latest Financials - Tata Investment Corporation Ltd.

Standalone Consolidated
TTM EPS (₹) 39.8 42.3
TTM Sales (₹ Cr.) 253 254
BVPS (₹.) 3,860.6 3,888.9
Reserves (₹ Cr.) 19,482 19,625
P/BV 0.38 0.38
PE 36.95 34.73
From the Market
52 Week Low / High (₹) 1048.60 / 1734.00
All Time Low / High (₹) 33.33 / 1734.00
Market Cap (₹ Cr.) 7,441
Equity (₹ Cr.) 50.6
Face Value (₹) 10
Industry PE 29.6

Management X-Ray of Tata Invest Corp :

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

Analyst's Notes

News

About Tata Investment Corporation Ltd

Tata Investment Corporation (TICL), incorporated in 1937, is non-banking financial company. Formerly known as Investment Corporation of India, the company was established with an objective of providing assistance in promotion of new companies and new entrepreneurs.

This investment company is promoted by Tata Sons. The company got listed on Bombay Stock Exchange (BSE) in the year 1958.

TCIL is involved in business of investing in shares, debentures, and other securities in India and aboard for long-term purposes. Headquartered at Mumbai, it acts as a catalyst in advancing long-term investment in India.

In the period between 1960-70 the company gradually progressed from assisting in the establishment of new ventures to acting as an investment company with a diversified portfolio of equity investments.

Tata Investment Corporation is member of OTC Exchange of India (OTCEI). Being member of this exchange, the company can act as a trader, market maker, underwriter and sponsor. It acted as a sponsor for eight companies and invested an aggregate Rs 16.70 crore in the form of equity capital in these companies. 

The company has made investments in registered and unregistered entities such as Tata Auto Components (TACO) and Tata Sons.  In April 1997, Tata Investment's subsidiary Investa was amalgamated with the company.  Much later in April 1998 due to decline of the OTC market, the company ceased its activities as a market maker. The company is still a member of the exchange.

On April 1, 1999 an unlisted company Varuna Investments was also amalgamated with the company. TICL has collaborated with Tata Sons to promote Tata Mutual Fund.

In 2004-05 TICL acquired a 49.9% stake held by Waterhouse Group in Tata TD Waterhouse Securities. Later the name was changed to Tata Securities. The remaining 50.1% is already held by two other Tata companies.

The company has received 'FAAA' rating from CRISIL reflecting maximum security in payment of interests and principal amounts. 

Tata Group (Parent Company)

Tata Group founded by Jamsetji Tata in the 1868, today revenue-wise it is $62.5 billion enterprise. The group owns major companies such as Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power, Tata Chemicals, Tata Tea, Indian Hotels and Tata Communications. The group's 27 publicly listed enterprises have a combined market capitalisation of around $60 billion and a shareholder base of 3.2 million.

Future Strategy

Tata Investment Corporation has recently increased its stake in Tata Elxsi to 2.04% holding 6.34 lakh shares. The company will continue investing is various companies in future.

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