Jagatjit Industries Limited manufactures and markets Indian Made Foreign Liquor (IMFL), country liquor, and malted milk food and malt extracts in India.
The last earnings update was 7 days ago.
Discounted Cash Flow Calculation for BSE:507155 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.
BSE:507155 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.
Jagatjit Industries's share price is below the future cash flow value, and at a moderate discount (> 20%).
Jagatjit Industries'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
Jagatjit Industries's earnings available for a low price, and how does
this compare to other companies in the same industry?
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Jagatjit Industries has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Beverage industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare Jagatjit Industries's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare Jagatjit Industries's earnings growth to the India market average as no estimate data is available.
Unable to compare Jagatjit Industries's revenue growth to the India market average as no estimate data is available.
Unable to determine if Jagatjit Industries is high growth as no earnings estimate data is available.
Unable to determine if Jagatjit Industries is high growth as no revenue estimate data is available.
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.
Jagatjit Industries'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.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Jagatjit Industries's finances.
The net worth of a company is the difference between its assets and liabilities.
Jagatjit Industries's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Jagatjit Industries's long term commitments exceed its cash and other short term assets.
This treemap shows a more detailed breakdown of
Jagatjit Industries's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is not covered by short term assets, assets are 0.5x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Jagatjit Industries Limited manufactures and markets Indian Made Foreign Liquor (IMFL), country liquor, and malted milk food and malt extracts in India. It operates through Beverages, Food, and Others segments. The company offers whisky under the Aristocrat, Aristocrat Premium, Aristocrat Old Reserve, AC Black, AC Neat, AC Sek C, Binnie’s Fine, Bonnie Special, and Royal Pride Exquisite; rum under the Aristocrat; brandy under the Aristocrat; vodka under the Aristocrat and IICE; gin under the Aristocrat Dry; and scotch under the King Henry VIII brands. It also provides food products, such as malt, malt extract powder, and ghee; and contract manufacturing services, as well as offers bottling services for third party brands. In addition, the company sells petroleum products, as well as licenses its IMFL brands; and leases owned properties. It also exports its products to Guinea, Ghana, Togo, Burkina Faso, Angola, Cameroon, Sierra Leone, Liberia, Ivory Coast, the United Arab Emirates, Oman, Kenya, and Uganda. The company was founded in 1944 and is based in New Delhi, India.
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