Birla Corporation Limited
Birla Corporation Limited Fundamental Analysis
Birla Corporation Limited (BIRLACORPN.BO) shows weak financial fundamentals with a PE ratio of 14.82, profit margin of 5.39%, and ROE of 7.39%. The company generates $96.3B in annual revenue with weak year-over-year growth of -4.57%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 28.6/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze BIRLACORPN.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakBIRLACORPN.BO struggles to generate sufficient returns from assets.
Valuation Score
ModerateBIRLACORPN.BO shows balanced valuation metrics.
Growth Score
WeakBIRLACORPN.BO faces weak or negative growth trends.
Financial Health Score
ExcellentBIRLACORPN.BO maintains a strong and stable balance sheet.
Profitability Score
WeakBIRLACORPN.BO struggles to sustain strong margins.
Key Financial Metrics
Is BIRLACORPN.BO Expensive or Cheap?
P/E Ratio
BIRLACORPN.BO trades at 14.82 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, BIRLACORPN.BO's PEG of 3.44 indicates potential overvaluation.
Price to Book
The market values Birla Corporation Limited at 1.08 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.52 times EBITDA. This is generally considered low.
How Well Does BIRLACORPN.BO Make Money?
Net Profit Margin
For every $100 in sales, Birla Corporation Limited keeps $5.39 as profit after all expenses.
Operating Margin
Core operations generate 19.33 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $7.39 in profit for every $100 of shareholder equity.
ROA
Birla Corporation Limited generates $3.68 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Birla Corporation Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Birla Corporation Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
BIRLACORPN.BO converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
14.82
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
3.44
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.08
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.80
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.34
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.04
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.07
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
0.16
vs 25 benchmark
How BIRLACORPN.BO Stacks Against Its Sector Peers
| Metric | BIRLACORPN.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 14.82 | 27.18 | Better (Cheaper) |
| ROE | 7.39% | 860.00% | Weak |
| Net Margin | 5.39% | -121084.00% (disorted) | Weak |
| Debt/Equity | 0.34 | 0.41 | Neutral |
| Current Ratio | 1.04 | 4.81 | Neutral |
| ROA | 3.68% | -7173.00% (disorted) | Weak |
BIRLACORPN.BO outperforms its industry in 1 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Birla Corporation Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
33.24%
Industry Style: Cyclical, Commodity, Value
High GrowthEPS CAGR
-41.56%
Industry Style: Cyclical, Commodity, Value
DecliningFCF CAGR
24.48%
Industry Style: Cyclical, Commodity, Value
High Growth