value spreadsheet

8/10/2019 Value Spreadsheet

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Name Arvind Remedies

Industry Pharmaceuticals

Market Cap (Cr) 318.15

Exchange BSE

Sr. No. Competitor Price EPS PE ratio1 100 10 10234567891011

12

1314151617181920

Average 10

100

96100

Result ReasonablePrice Based on PBV ratio

Current

Current

CurrCurrent

Price Based on PE ratio

Price Based on PS ratio


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20010 20

8 2510 20

Sales, Cr. Shares, Cr Sales / Share PS ratio BV / share PBV Ratio100 12 8.3 12 10 10

12 10

ales/share

BV/share

Current PS ratio

Current PBV ratio

nt EPS arket Price

Current PE ratio


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Ticker AAPL

Company infoNameIndustry

Market Cap (Cr)Exchange

Score

75 out of 100 $272P/E Valuation

Fundamentals Judgement Points WeightReturn on Equity Good 9.09 5 Average estimateDebt/Equity Good 9.09 5 The estimate is

Conservative PEG ratio Good 1.82 1 Current share priceP/E ratio Good 3.64 2 UndervaluedNet margin Good 5.45 3 Max purchase priceBookvalue per share Good 9.09 5Growth rate next 5yr Relatively low 0.00 1FCF yield Low 0.00 1Asset turnover change Good 7.27 4Current ratio Bad 0.00 5Altman Z Score Bad 0.00 3Accrual profit Reasonable 5.45 3

Defensive profit Positive & increasing 5.45 3Enterprising profit Bad 0.00 4

Debt Repayment Period Good 18.18 10 Tutorials:55 Support:

Creation date:

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Arvind RemediesPharmaceuticals

$318BSE

Intrinsic value estimates

Price info

8/31/2014 10:33:00


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##### #####DCF Valuation ROE Valuation

$143,818Reasonable

$47.00305895%

$88,928.00

http://www.valuespreadsheet.com/[email protected]


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In Millions of USD (except for per share items)

52 weeks ending

2013-09-28

52 weeks ending

2012-09-29

Revenue 911.11 664.26Other Revenue, Total 0.47 0.59Total Revenue 911.57 664.85

Cost of Revenue, Total 702.51 509.38Gross Profit 209.06 155.47Selling/General/Admin. Expenses, Total 0 0Research & Development 0 0Depreciation/Amortization 13.9 12.59Interest Expense(Income) - Net Operating 0 0Unusual Expense (Income) - -Other Operating Expenses, Total 31.66 21.15Total Operating Expense 45.56 33.74Operating Income 163.5 121.73

Interest Income(Expense), Net Non-Operating 77.1 59.19Gain (Loss) on Sale of Assets - -Other, Net - -Income Before Tax 86.4 62.54Income After Tax 58.84 40.62Minority Interest - -Equity In Affiliates - -Net Income Before Extra. Items 58.84 40.62Accounting Change 0.06 0Discontinued Operations - -

Extraordinary Item - -Net Income 58.9 40.62

Preferred Dividends - -Income Available to Common Excl. Extra Items 58.9 40.62Income Available to Common Incl. Extra Items 58.9 40.62Basic Weighted Average Shares 4 3Basic EPS Excluding Extraordinary Items 8.65 8.42Basic EPS Including Extraordinary Items 8.65 8.42Dilution Adjustment 0 -Diluted Weighted Average Shares 4.3498 2.5639Diluted EPS Excluding Extraordinary Items 8.65 8.42

Diluted EPS Including Extraordinary Items - -

Dividends per Share - Common Stock Primary Issue - -

Gross Dividends - Common Stock - -Net Income after Stock Based Comp. Expense - -Basic EPS after Stock Based Comp. Expense - -Diluted EPS after Stock Based Comp. Expense - -

Depreciation, Supplemental - -Total Special Items - -

Normalized Income Before Taxes - -Effect of Special Items on Income Taxes - -Income Taxes Ex. Impact of Special Items - -

Income statement


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Normalized Income After Taxes - -Normalized Income Avail to Common - -Basic Normalized EPS - -Diluted Normalized EPS 8.65 8.42


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52 weeks ending

2011-09-24

52 weeks ending

2010-09-25

In Millions of USD (except for per share

items)

436.63 362.55 Cash & Equivalents0.39 0.34 Short Term Investments

437.02 362.9 Cash and Short Term Investments

351.15 311.99 Accounts Receivable - Trade, Net85.87 50.91 Receivables - Other

0 0 Total Receivables, Net0 0 Total Inventory

3.24 2.43 Prepaid Expenses0 0 Other Current Assets, Total

- - Total Current Assets17.69 9.31 Property/Plant/Equipment, Total - Gross20.93 11.74 Accumulated Depreciation, Total64.94 39.17 Goodwill, Net

27.72 16.39 Intangibles, Net- - Long Term Investments- - Other Long Term Assets, Total

37.22 22.78 Total Assets19.41 16.89 Accounts Payable

- - Accrued Expenses- - Notes Payable/Short Term Debt

19.41 16.89 Current Port. of LT Debt/Capital Leases0 0.02 Other Current liabilities, Total

- - Total Current Liabilities

- - Long Term Debt19.41 16.9 Capital Lease Obligations

- - Total Long Term Debt19.41 16.9 Total Debt19.41 16.9 Deferred Income Tax

27 26 Minority Interest0.4 0.35 Other Liabilities, Total0.4 0.35 Total Liabilities

- - Redeemable Preferred Stock, Total26.8918 26.0865 Preferred Stock - Non Redeemable, Net

0.4 0.35 Common Stock, Total

- - Additional Paid-In Capital

- - Retained Earnings (Accumulated Deficit)

- - Treasury Stock - Common- - Other Equity, Total- - Total Equity- - Total Liabilities & Shareholders' Equity

- - Shares Outs - Common Stock Primary Issue- - Total Common Shares Outstanding

- -- -- -

Balance sheet


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- -- -- -

0.4 0.35


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As of 2013-09-28 As of 2012-09-29 As of 2011-09-24 As of 2010-09-25

23.7 21.95 13.81 7.24165.04 29.69 31.52 35.3188.74 51.64 45.33 42.54

241.53 169.88 134.54 106.540 0 0 0

241.53 169.88 134.54 106.54121.13 87.72 57.11 45.71

- - - -165.04 29.69 24.54 27.46386.36 279.55 205.46 159.49277.77 258.07 57.98 48.02

26.92 15.64 13.22 12.060 0 0 0

4179 4224 3536 342106215 92122 55618 25391

5146 5478 3556 2263207000 176064 116371 75183

22367 21175 14632 120154782 3283 2428 1593

0 0 0 0- - - -

16509 14084 10910 711443658 38542 27970 20722

16960 - - -- - - -

16960 0 0 016960 0 0 016489 13847 8159 4300

- - - -6344 5465 3627 2370

83451 57854 39756 27392- - - -- - - -

19764 16422 13331 10668

- - - -

104256 101289 62841 37169

- - - --191 731 130 171

123549 118210 76615 47791207000 176064 116371 75183

- - - -6294.37 6574.46 6504.94 6411.79


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In Millions of USD (except for per

share items)

52 weeks ending

2013-09-28

52 weeks ending

2012-09-29

52 weeks ending

2011-09-24

Net Income/Starting Line 37037 41733 25922Depreciation/Depletion 6757 3277 1814Amortization - - -

Deferred Taxes 1141 4405 2868Non-Cash Items 2253 1740 1168Changes in Working Capital 6478 -299 5757Cash from Operating Activities 53666 50856 37529Capital Expenditures -9076 -9402 -7452Other Investing Cash Flow Items, Total -24698 -38825 -32967Cash from Investing Activities -33774 -48227 -40419Financing Cash Flow Items -381 125 613Total Cash Dividends Paid -10564 -2488 0Issuance (Retirement) of Stock, Net -22330 665 831

Issuance (Retirement) of Debt, Net 16896 - -Cash from Financing Activities -16379 -1698 1444Foreign Exchange Effects - - -Net Change in Cash 3513 931 -1446Cash Interest Paid, Supplemental - - -Cash Taxes Paid, Supplemental 9128 7682 3338

Cash flow statement


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52 weeks ending

2010-09-25

140131027

-

1440903

121218595-2121

-11733-13854

345-

912

-1257

-5998

-2697


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20% annualy

25%9%

5%12

$47.00

$ 10.052.13%

0.9431.00%21.00%27.56%

4.35

$24$13

$0

Enterprise Value $17,254.45

Month AVG P/E PRICE/ SALES PRICE/ BOOKNET PROFITMARGIN (%)

9/4/2014 54.6 1.8 3.0 3.39/5/2014 34.4 3.3 6.0 9.69/6/2014 34.0 3.5 6.6 10.3

9/7/2014 39.1 5.7 9.2 14.69/8/2014 21.2 3.2 4.5 14.99/9/2014 20.4 3.9 5.3 19.2

9/10/2014 18.7 4.0 5.4 21.59/11/2014 13.8 3.3 4.6 23.99/12/2014 15.1 4.0 5.3 26.79/13/2014 12.0 2.6 3.5 21.7

Conservatism inputsDesired return on investmentMargin of SafetyDiscount rate

Growth decline rateYear 10 FCF multiplier

Valuation inputsPriceEPSDividend YieldCurrent ratioPast 5 years EPS growth per year

Capital Expenditures

There is a known bug with the dates in the two tables above. It should be read as M/Y/D.

Next 5 years EPS growth per year

Sustainable Growth RateShares outstanding (Cr)

Cash and Short Term InvestmentsCash from Operating Activities


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BOOKVALUE/SHARE

DEBT/EQUITY

RETURN ON EQUITY(%)

9/4/2014 0.9 NA 5.99/5/2014 1.3 NA 21.39/6/2014 1.7 NA 22.8

9/7/2014 2.4 NA 28.59/8/2014 3.6 NA 27.29/9/2014 5.0 NA 31.3

9/10/2014 7.5 NA 35.39/11/2014 11.8 NA 41.79/12/2014 18.0 NA 42.89/13/2014 19.6 0.1 30.6

There is a known bug with the dates in the two tables above. It should be read as M/Y/D.


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RETURN ON

ASSETS

(%)

INTERESTCOVERAGE

3.7 NA13.6 NA13.8 NA

16.4 NA14.9 NA18.9 NA22.8 NA27.1 NA28.5 NA19.3 369.8


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Variable Value JudgementReturn on Equity 30.6 Good

Debt/Equity 0.14 Good

Conservative PEG ratio 0.40 Good

P/E ratio 4.68 Good

Net margin Stable/Increasing Good

Bookvalue per share Stable/Increasing Good

Next 5yr EPS growth rate 21.00% Relatively low

FCF yield 0.08% Low

Asset turnover change 16.62% Good

Current ratio 0.94 Bad

Altman Z Score -0.24 Bad

Accrual profit $8.65 Reasonable

Defensive profit $7.08 Positive & increasing

Enterprising profit 0.06% BadDebt Repayment Period 0.38 Good

Value versus PriceAvg intrinsic value estimate $143,817.67 ReasonableCurrent price $47.00

Undervalued 305895.05%Max purchase price $88,928.00

#REF!


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CommentsReturn on Equity is consistently high, company capital invested profitablyFirm not dependent on loans, low interest rate riskStock has high potential valueCurrently trading at a multiple below the historic median

The company is becoming more efficient and/or is able to increase its prices

The company is growing or maintaining its book valueGrowth rate significantly below historic rate, is there something slowing this company down?The company is either not generating much excess cash, or is heavily investing in growthThe company is becoming more efficient at using its assets to generate revenueThe company is unable to meet its obligations, bad financial health

High risk of bankruptcy within the coming 2 yearsEarnings figures seem trustworthy, probably no earnings manipulation

The company is able to self-fund its growth and is growing its yearly free cash flows

The company is not creating much value, and might even be destroying valueThere is enough cash being generated to pay of debt in a reasonable amount of time

The three valuation methods yield approximately the same result

Disclaimer: the information in this entire workbook is for information purposes only and is not a professionalinvestment advice. You are responsible for your own investment decisions, even if they are based on information

gained from this workbook. The information in this workbook does not constitute advice, merely a source ofinformation which may be used to aid in your decision making. You should not rely on any information in thisworkbook to make (or refrain from making) any decision or take (or refrain from making) any action. The authorcannot be held responsible for any loss or damage arising from the use of this workbook.


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Average P/E

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aluepershare

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Book value per share


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$272Inputs

Price 47

EPS 10.05

Median historical P/E 20.82Expected growth rate 21.00%

Margin of Safety 0.25

Conservative growth rate 15.75%

Growth decline rate 0.05

Discount rate 0.09

Calculations

Year EPS*Growth rate1 $11.632 $13.473 $15.48

4 $17.685 $20.07

Value in 5 years $417.81

Present value $271.55

P/E valuation


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-$3,796Inputs

Total cash (mil $) $23.70

Free cash flow (mil $) $13.28

Shares outstanding (mil) 4.35Expected growth rate 21.00%

Margin of Safety 25.00%


Growth decline rate 5.00%

Discount rate 9.00%

Valuation last FCF 12

CalculationsYear FCF * Growth rate NPV FCF

1 $ 15.37 $ 15.372 $ 17.67 $ 16.21

3 $ 20.18 $ 16.994 $ 22.91 $ 17.695 $ 25.85 $ 18.316 $ 29.00 $ 18.857 $ 32.36 $ 19.298 $ 35.91 $ 19.659 $ 39.67 $ 19.91

10 $ 43.60 $ 20.08

Total NPV FCF $ 182.34

Year 10 FCF value $ 240.92

Cash on Hand $ 23.70

Total Debt $ 16,960.00

Company value: -$ 16,513.04

DCF valuation


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#####Inputs

Shareholders equity $123,549.00

Return on Equity (avg) 36.34%

Shares outstanding 4.35Dividend Yield 2.13%

Dividend payout ratio 9.95%

Margin of Safety 25.00%


Discount rate 9.00%

Calculations (per share)

Year Shareholders equity Dividend NPV dividends1 $ 35,374.43 $ 1.25 $ 1.252 $ 44,056.40 $ 1.55 $ 1.423 $ 54,869.19 $ 1.93 $ 1.63

4 $ 68,335.77 $ 2.41 $ 1.865 $ 85,107.45 $ 3.00 $ 2.126 $ 105,995.43 $ 3.73 $ 2.437 $ 132,009.95 $ 4.65 $ 2.778 $ 164,409.23 $ 5.79 $ 3.179 $ 204,760.28 $ 7.21 $ 3.62

10 $ 255,014.72 $ 8.98 $ 4.13

Year 10 net income $ 92,672.35

Required value $ 1,029,692.78

NPV required value $ 434,953.36

NPV dividends $ 24.39 '+

Intrinsic value: $ 434,977.75

ROE valuation


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Earnings Power

Year 2013 2012 2011 2010Accrual profit $8.65 $8.42 $0.40 $0.35Defensive profit $7.08 $6.31 $4.62 $2.57Enterprising profit 0.06% 0.05% 0.05% 0.05%

Debt Repayment Period 0.38 0.00 0.00 0.00

http://www.valuespreadsheet.com/value-investing-blog/earnings-manipulation-detect-value-traps-hewitt-heiserman

Learn more about Earnings Power here:

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Quality of Profits

Accrual profit Defensive profit Enterprising profit


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*Slightly different from the original Earnings Power Chart

0.00%

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0.07%

$0.00 $2.00 $4.00 $6.00 $8.00

Enterprisingpro

fits

Defensive profits

Earnings Power chart*


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Altman Z Score -0.24

InputsWorking capital -$43,271.64Total assets $207,000.00Retained earnings $39.37EBIT $195.16

Sales $911.57Market value of equity $318.15Total liabilities $83,451.00

Learn more about the Altman-Z score here:http://www.investopedia.com/terms/a/altman.asp

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