Meghmani Organics Ltd. - (Amalgamated) Stock Analysis

BSE: 532865 | NSE: MEGH | Pesticides & Agrochemicals | Small Cap

BSE Share Price 17-May-2021 18:01
138.00 0.00 (0.00%)

DeciZen - Make an Informed Decision on Meghmani Org-Amal

Overall Rating

2. Valuation

Overvalued

3. Price Trend

Meghmani Org-Amal Price Chart

P/E Ratio (SA) :
18.97
Market Cap :
3,509.5 Cr.
52-wk low :
133.2
52-wk high :
141.4
Bole Toh?

1. Is Meghmani Organics Ltd a good quality company?

Past 10 year’s financial track record analysis by Moneyworks4me indicates that Meghmani Organics Ltd. - (Amalgamated) is a below average quality company.

2. Is Meghmani Organics Ltd undervalued or overvalued?

The key valuation ratios of Meghmani Organics Ltd. - (Amalgamated)'s currently when compared to its past seem to suggest it is in the Overvalued zone.

3. Is Meghmani Organics Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of Meghmani Organics Ltd. - (Amalgamated) is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of Meghmani Org-Amal:

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.
Meghmani Organics Ltd. - (Amalgamated) has not performed well majority of the past ten years indicating its past ten year financial track record is not good

Value Creation

Value Creation Index Colour Code Guide

Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20TTM
ROCE % 6.7%3.8%2.5%2.4%6.7%6.4%6.9%8.5%14.1%15.2%-
Value Creation Index -0.5-0.7-0.8-0.8-0.5-0.5-0.5-0.40.00.1-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 8658227508939489591,0461,2381,4101,6251,623
YoY Gr. Rt. %--5%-8.8%19.2%6.2%1.2%9.1%18.3%13.9%15.2%-
Adj EPS 1.60.50.1-0.11.21.31.62.65.16.47.3
YoY Gr. Rt. %--68.7%-76.5%-158.3%NA8.3%23.7%61.7%93.9%25.4%-
BVPS (₹) 2120.72121.222.323.324.927.4333946.9
Adj Net Profit 41.6133-1.830.833.341.366.8129162185
Cash Flow from Ops. 76.680.668.347.614279.3115178115234-
Debt/CF from Ops. 4.24.15.59.12.74.92.92.42.81.1-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 7.3%11.4%15.8%15.2%
Adj EPS 16.4%39.4%57.8%25.4%
BVPS 7.111.916.118.2
Share Price 33.8% 5.6% 40% -

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20TTM
Return on Equity % 8.12.50.6-0.35.65.86.71016.817.717
Op. Profit Mgn % 109.17.66.510.812.512.714.116.714.617.3
Net Profit Mgn % 4.81.60.4-0.23.33.53.95.49.21011.4
Debt to Equity 0.60.60.70.80.70.70.50.60.40.30.1
Working Cap Days 239256283258234223215192194191193
Cash Conv. Cycle 1261371501311211231069510510273

Recent Performance Summary

No data to display

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

Sales growth has been subdued in last 3 years %

Net Profit has been subdued in last 3 years %

Sales growth is not so good in last 4 quarters at %

Latest Financials - Meghmani Organics Ltd. - (Amalgamated)

Standalone Consolidated
TTM EPS (₹) 7.3 7.3
TTM Sales (₹ Cr.) 1,623 1,637
BVPS (₹.) 46.9 47.1
Reserves (₹ Cr.) 1,167 1,173
P/BV 2.94 2.93
PE 18.97 18.82
From the Market
52 Week Low / High (₹) 133.20 / 141.35
All Time Low / High (₹) 3.76 / 153.70
Market Cap (₹ Cr.) 3,510
Equity (₹ Cr.) 25.4
Face Value (₹) 1
Industry PE 33.3

Management X-Ray of Meghmani Org-Amal :

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

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Analyst's Notes

Key Ratios of Meghmani Org-Amal

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

News

Meghmani Organics Ltd. - (Amalgamated) FAQs

Company share prices are keep on changing according to the market conditions. The closing price of Meghmani Org-Amal on 17-May-2021 18:01 is : 138.0.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 17-May-2021 18:01 the market cap of Meghmani Org-Amal stood at ₹ 3,509.5.
The latest PE ratio of Meghmani Org-Amal as of 17-May-2021 18:01 is 18.97.
The latest PB ratio of Meghmani Org-Amal as of 17-May-2021 18:01 is 2.94
The 52-week high of Meghmani Org-Amal is ₹ 141.3 and the 52-week low is ₹ 133.2.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue / sales of Meghmani Org-Amal is ₹ 1,623 ( Cr.) .

About Meghmani Organics Ltd. - (Amalgamated)

It was in 1986, when Gujarat Industries was established as a partnership firm in Gujarat to manufacture pigments. High productivity and profitability transformed Gujarat Industries to a joint stock company, under the name of Meghmani Organics Limited, by 1995. Since then Meghmani Organics Limited has diversified its business interests to include a range of pesticides and other pigment products as well.

Meghmani Organics Limited is a leading manufacturer of pigment and pesticide products in the country and is the recipient of several prestigious awards in recognition of its outstanding business performance.

Sound fundamentals, outstanding export performance, strong presence in the domestic market and a focused management team has seen Meghmani Organics Limited grow at a compounded annual growth rate (CAGR) of 17% and profits 10% over the past 3 years.

The Rs 6000 million Meghmani Organics Limited is:

  • One of the largest producers of pigment blue in the world
  • One of the leading producers of pigment green
  • One of the largest producers of pesticides in India

More than 80% of its pigment products and over 50% of its pesticides products are exported the world over. The company has four multifunctional production facilities in Gujarat (India) of which three are ISO 9001-2000. The production facilities are strategically located with high accessibility and close proximity to source of raw material.

The company has the necessary facilities to treat liquid / solid waste and air emission that contain pollutants, in accordance with the requirements of the Gujarat Pollution Control Board ('GPCB'). It is ISO certified and follow sound Health, Safety and Environmental policy.

The production facility of company is situated in Gujarat. It had two pigment production plants in Vatva and Panoli near Ahmedabad and two agrochemical plants in Chharodi and Ankleshwar.

Product range of the company includes:

Pigments- The pigment products which are manufactured basically fall into three main categories -- Pigments for Plastics - Pigments for Printing Inks - Pigments for Coatings

Pesticides- The agrochemical products which are manufactured fall into three main categories -- Technical Products - Formulation Products - IntermediatesIts agrochemical products are used in crop protection, public health, termite & insect control and veterinary applications.

New Products- Hysol-P based CPC Blue product.

Milestones of the company:

  • 1986: Began operations to produce Phthalocynine Green 7, popularly known as Pigment Green 7 at the Vatva plant.
  • 1995: Diversified into manufacture of Agrochemicals at Chharodi plant.
  • 1996: Expansion of pigments business. Panoli Plant was established to manufacture CPC Blue. CPC Blue is a key raw material used for the manufacture of Pigment Blue (15) and Pigment Green (7) Products.
  • 2003: Ankleshwar plant was acquired to expand the company's range of Agrochemical Products.

Awards/Achievements

  • 1994-1995 -National export award from the President, Government of India Award from Basic Chemicals, Pharmaceuticals & Cosmetics Export Promotion Council (CHEMEXCIL), MumbaiCertificate of merit for outstanding export performance from the Ministry of Commerce, Government of India
  • Award for excellent export performance from the Government of Gujarat 
  • 1995-1996 National export award from the President, Government of India. Export award from Gujarat Dyestuffs Manufacturers' Association (GDMA), Ahmedabad
  • 1996-1997 Award for excellent performance in exports by the Federation of Indian Export Organization, Government of IndiaTrophy for export performance from GDMA, Ahmedabad Certificate of merit for outstanding export performance from the Ministry of Commerce, Government of India
  • 1997-1998 Award for direct export of self manufactured dyes by GDMA, AhmedabadAward for export performance from GDMA, Ahmedabad
  • 2000-2001 Award for excellent performance from CHEMEXCIL, MumbaiAward for appreciation of export performance from GDMA, AhmedabadSix Sigma award from General Electric
  • 2002-2003 Award in appreciation of export performance from GDMA, Ahmedabad
  • 2002-2003 'First Award' for outstanding export performance from Chemexcil, Mumbai
  • 2003-2004 Certificate of Excellence - the “Niryat Shree” award in the Chemicals, Drugs, Pharma and Allied products - Non-SSI Category, from the Federation of Indian Export Organisations (“FIEO”) for its outstanding export performance
  • 2003-2004 Certificate of Excellence - the “Niryat Shree” award in the Chemicals, Drugs, Pharma and Allied products - Non-SSI Category, from the Federation of Indian Export Organisations (“FIEO”) for its outstanding export performance
  • 2004-2005 Silver Trophy - the “Niryat Shree” award in the Chemicals, Drugs, Pharma and Allied products - Non-SSI Category, from the Federation of Indian Export Organisations (“FIEO”) for its outstanding export performance
  • 2005 Certificate of Appreciation for Safety Records rom the Gujarat Safety Council (Ankleshwar site)SIAS Investors Choice Award for the most transparent company
  • 2006 SIAS Investors Choice Award for the most transparent company.
  • 2010 Meghmani Organics Ltd as inaugurated its new agrochemical production facility at Dahej
  • 2011 Execution of Primary Joint Venture Agreement of CPVC project in India between Kaneka, Meghmani and Mitsui
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