Discounted Cash Flow Calculation for NSEI:KAYA using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future cash flows to their present value using the 2 stage method.
We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
Note: Free cash flow to equity valuations ignore the company's cash or debt.
NSEI:KAYA DCF 1st Stage: Next 10 year cash flow forecast
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Kaya's share price is below the future cash flow value, and at a moderate discount (> 20%).
Kaya's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Kaya's earnings available for a low price, and how does
this compare to other companies in the same industry?
Kaya is not considered high growth as it is expected to be loss making for the next 1-3 years.
Kaya's revenue is expected to grow by 6.6% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Kaya's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Rajiv Nair, B.Com, MBA, has been the Chief Executive Officer of Kaya India at Kaya Limited since November 16, 2016. Mr. Nair served as Business Head of General Merchandise at Hypercity Retail (India) Ltd. Mr. Nair served as the Head of MotherCare of Shoppers Stop Limited. Mr. Nair served as an Assistant Manager-Merchandising of Ivory Property and Hotel Pvt. Ltd. He has over 14 years of retail experience. He has over 8 years of buying & merchandising experience followed by an operations stint in the Shoppers Stop departmental stores. He has worked across the apparel buying and merchandising segments of men's wear, women's wear & kids' wear for Shoppers Stop; working with key brands & developing in-house exclusive brands. Prior to this assignment, he was the business head for Mothercare in India. He was instrumental in setting 17 outlets in India clocking Rs.45 crores in the second year of operations. Mr. Nair holds commerce graduation degree & a Master's Degree in Marketing from the University of Mumbai - Narsee Monjee Institute of Management Studies.
Rajiv's compensation has been consistent with company performance over the past year, both up more than 20%.
Rajiv's remuneration is higher than average for companies of similar size in India.
Management Team Tenure
Average tenure and age of the
management team in years:
The tenure for the Kaya management team is about average.
Chairman & MD
Chief Executive Officer
Chief Financial Officer
Company Secretary & Compliance Officer
Chief Operating Officer
Head of Marketing & Business of KSA
Chief Human Resource Officer
Head of Medical Services & R&D & VP
Board of Directors Tenure
Average tenure and age of the
board of directors in years:
The tenure for the Kaya board of directors is about average.
Board of Directors
Chairman & MD
Who owns this company?
Recent Insider Trading
No 3 month open market individual insider trading information.
Should You Worry About Kaya Limited's (NSE:KAYA) CEO Pay?
View our latest analysis for Kaya How Does Rajiv Nair's Compensation Compare With Similar Sized Companies? … On average over the last three years, Kaya Limited has shrunk earnings per share by 47% each year (measured with a line of best fit). … We compared total CEO remuneration at Kaya Limited with the amount paid at companies with a similar market capitalization.
Volatility 101: Should Kaya (NSE:KAYA) Shares Have Dropped 41%?
For example, the Kaya Limited (NSE:KAYA) share price is down 41% in the last year. … Check out our latest analysis for Kaya Kaya isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). … Given this fairly low revenue growth (and lack of profits), it's not particularly surprising to see the stock down 41% in a year.
How Much Of Kaya Limited (NSE:KAYA) Do Insiders Own?
View our latest analysis for Kaya NSEI:KAYA Ownership Summary, June 20th 2019 What Does The Institutional Ownership Tell Us About Kaya? … Insider Ownership Of Kaya The definition of company insiders can be subjective, and does vary between jurisdictions. … Private Company Ownership We can see that Private Companies own 46%, of the shares on issue.
Need To Know: Kaya Limited (NSE:KAYA) Insiders Have Been Selling Shares
We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly. … So before you buy or sell Kaya Limited (NSE:KAYA), you may well want to know whether insiders have been buying or selling. … But logic dictates you should pay some attention to whether insiders are buying or selling shares.
If You Had Bought Kaya (NSE:KAYA) Stock A Year Ago, You'd Be Sitting On A 32% Loss, Today
Investors in Kaya Limited (NSE:KAYA) have tasted that bitter downside in the last year, as the share price dropped 32%. … Kaya isn't a profitable company, so it is unlikely we'll see a strong correlation between its share price and its earnings per share (EPS). … Generally speaking, companies without profits are expected to grow revenue every year, and at a good clip.
Could Kaya Limited's (NSE:KAYA) Investor Composition Influence The Stock Price?
If you want to know who really controls Kaya Limited (NSE:KAYA), then you'll have to look at the makeup of its share registry. … Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … Kaya is a smaller company with a market capitalization of ₹9.5b, so it may still be flying under the radar of many institutional investors.
Before You Buy Kaya Limited (NSE:KAYA), Consider Its Volatility
If you're interested in Kaya Limited (NSE:KAYA), then you might want to consider its beta (a measure of share price volatility) in order to understand how the stock could impact your portfolio. … Beta can be a useful tool to understand how much a stock is influenced by market risk (volatility). … A stock with a beta below one is either less volatile than the market, or more volatile but not corellated with the overall market.
How Kaya Limited (NSE:KAYA) Can Impact Your Portfolio Volatility
If you are looking to invest in Kaya Limited’s (NSE:KAYA), or currently own the stock, then you need to understand its beta in order to understand how it can affect the risk of your portfolio. … There are two types of risks that affect the market value of a listed company such as KAYA. … A popular measure of market risk for a stock is its beta, and the market as a whole represents a beta value of one.
received a lot of attention from a substantial price movement on the NSEI over the last few months, increasing to ₹1203.15 at one point, and dropping to the lows of ₹844.85. … A question to answer is whether Kaya's current trading price of ₹918.6 reflective of the actual value of the? … Let’s take a look at Kaya’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change
Kaya Limited owns and operates skin care clinics. The company offers solutions in the specialized categories of acne/acne-scar reduction, pigmentation, anti-ageing, laser hair reduction, hair fall, hair transplant and dandruff, and hair health boost, as well as beauty enhancement services. It also provides a range of approximately 80 products covering hair and skin care for men and women. The company sells its products through its own stores shop-in-shops, and general distribution and trade channels; and e-commerce portals, such as Nykaa, Amazon, Jabong, and Myntra, as well as its Website shop.kaya.in. It operates a network of 97 clinics and approximately 500 product retail outlets/touch points in India; and 23 clinics in the Middle-East. Kaya Limited was founded in 2002 and is headquartered in Mumbai, India.
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.