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Dabur India Ltd. Fundamental Analysis English

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Dabur India Ltd Fundamental Analysis

Dabur India Ltd boasts a market capitalization of ₹1,10,707.43 crore, a PE ratio of 58.05, a low debt-to-equity ratio of 0.14, and an impressive return on equity (ROE) of 19.2%, highlighting its strong financial performance and stability.

Dabur India Ltd Overview

Dabur India Ltd is a leading Indian consumer goods company specializing in health care, personal care, and food products. It is renowned for its natural and Ayurvedic offerings, significantly contributing to the wellness and consumer goods market in India.

The company has a market capitalization of ₹1,10,707.43 crore and is listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Currently, the company has a PE ratio of 58.05, a debt-to-equity ratio of 0.14, and a return on equity (ROE) of 19.2%, reflecting its strong financial performance and market valuation.

Dabur India Financial Results

Dabur India’s financial results show robust growth with sales rising to ₹12,404 crore in FY 24 and net profit increasing to ₹1,811 crore. EPS improved to ₹10.4, and EBITDA reached ₹2,883 crore, indicating strong financial health.

Revenue Trend: Sales increased from ₹10,889 crore in FY 22 to ₹11,530 crore in FY 23, and further to ₹12,404 crore in FY 24, indicating a return to robust revenue growth.

Equity and Liabilities: Dabur India’s equity and liabilities structure reflects financial stability and strategic management. The company maintains a balance between equity financing and low debt levels, ensuring sustainability and flexibility in capital allocation for growth initiatives.

Profitability: Operating Profit Margin (OPM) decreased from 21% in FY 22 to 19% in FY 23 and remained stable at 19% in FY 24, indicating consistent operational efficiency despite the initial decline.

Earnings per Share (EPS): EPS decreased slightly from ₹9.84 in FY 22 to ₹9.64 in FY 23, and then increased to ₹10.4 in FY 24, indicating a recovery and strong profit growth per share.

Return on Net Worth (RoNW): Dabur India’s RoNW has shown a decreasing trend over the last three years, dropping from 20.75% in FY 22 to 19.02% in FY 23, and further to 18.67% in FY 24. This indicates a slight decline in equity utilization efficiency and profitability.

Financial Position: The company’s financial position strengthened with EBITDA increasing from ₹2,647 crore in FY 22 to ₹2,610 crore in FY 23, and further to ₹2,883 crore in FY 24, showcasing robust financial health and effective management.

Dabur India Financial Analysis

FY 24FY 23FY 22
Sales12,40411,53010,889
Expenses10,0049,3668,635
Operating Profit2,4002,1642,254
OPM %191921
Other Income482.41445.39308.16
EBITDA2,8832,6102,647
Interest124.1878.2438.6
Depreciation399.21310.96252.89
Profit Before Tax2,3592,2202,270
Tax %23.223.323.18
Net Profit1,8111,7011,742

All values in ₹ Crores.

Dabur India Company Metrics

Dabur India’s market capitalization stands at ₹1,10,707.43 crore, reflecting its total market value. The company’s EBITDA has shown consistent growth, increasing from ₹2,647 crore in FY 22 to ₹2,883 crore in FY 24, indicating strong operational performance.

Market Capitalization: Market Capitalization represents the total market value of Dabur India’s outstanding shares, amounting to ₹1,10,707.43 crore.

Book Value: Dabur India has a book value of ₹55.7 per share, representing the net asset value of the company divided by the number of outstanding shares.

Face Value: The face value of Dabur India’s shares is ₹1.00, which is the nominal value of each share as stated on the share certificate.

Asset Turnover: Dabur India’s asset turnover is 0.86, indicating the company’s efficiency in using its assets to generate revenue. This ratio suggests effective asset utilization.

Total Debt: Dabur India has a total debt of ₹1,365 crore, reflecting its financial leverage and obligations. Managing this debt effectively is crucial for the company’s long-term financial stability and growth.

EBITDA: Dabur India’s EBITDA increased from ₹2,610 crore in FY 23 to ₹2,883 crore in FY 24, up from ₹2,647 crore in FY 22, indicating improving operational performance and profitability over these years.

Dividend Yield: Dabur India has a dividend yield of 0.88%, reflecting the annual dividend income relative to its current share price.

Dabur India Stock Performance 

Dabur India Ltd delivered moderate returns on investment with 10.8% over 1 year, 1.98% over 3 years, and 7.64% over 5 years, indicating steady long-term performance and profitability for investors.

PeriodReturn on Investment (%)
1 Year10.8 
3 Years1.98
5 Years7.64

Example: If an investor had invested ₹1,000 in Dabur India Ltd’s stock:

1 year ago, their investment would be worth ₹1,108.

3 years ago, their investment would have grown to ₹1,020.

5 years ago, their investment would have increased to approximately ₹1,076.

This highlights steady long-term performance and consistent profitability for investors.

Dabur India Peer Comparison

Dabur India, with a market cap of ₹1,10,583.37 crore and a 1-year return of 10.8%, is followed by Godrej Consumer, which has a market cap of ₹1,47,777.08 crore and a 1-year return of 41.63%. Emami, Jyothy Labs, and Bajaj Consumer also exhibit diverse performance metrics.

NameCMP Rs.Mar Cap Rs.Cr.P/EROE %EPS 12M Rs.1Yr return %ROCE %Div Yld %
Godrej Consumer1444.8147777.0884.23-56.02-4.1941.6319.021.04
Dabur India623.95110583.3758.0519.2210.610.822.280.88
Emami797.534810.8847.0629.9516.9253.4831.721
Jyothy Labs544.9520011.0453.421.2110.2171.4226.990.64
Bajaj Consumer271.253873.2826.4718.8410.2517.9122.791.11
Yash Optics93.75232.1825.7447.184.9546.110
JHS Sven.Lab.25.52200.07-2.37-0.5216.96-1.660

Dabur India Shareholding Pattern

Dabur India’s shareholding pattern from FY 2023 to FY 2024 shows promoters’ holdings remaining stable at 66.25%. FIIs decreased from 19.73% to 15.82%, while DIIs increased from 8.44% to 12.57%. Retail and others’ holdings decreased slightly from 5.59% to 5.36%, indicating a shift in investor composition.

FY 2024FY 2023FY 2022
Promoters66.2566.2467.38
FII15.8219.7320.43
DII12.578.443.83
Retail & others5.365.598.35

All values in %

Dabur India History

Dabur India Ltd was founded in 1884 by Dr. S.K. Burman in Kolkata, initially as a small pharmacy to produce and dispense Ayurvedic medicines. The company’s name, Dabur, is derived from the words “Daktar Burman,” reflecting its roots in healthcare.

Throughout the 20th century, Dabur expanded its product range beyond traditional Ayurvedic medicines, venturing into personal care, health care, and food products. This diversification helped Dabur establish itself as a trusted household brand across India.

In 1994, Dabur went public, listing its shares on the Bombay Stock Exchange (BSE). This move provided the company with capital to further expand its operations and innovate, leading to significant growth in both domestic and international markets.

Dabur has always emphasized its commitment to natural and Ayurvedic products. The company invested in research and development to modernize traditional remedies, ensuring they meet contemporary standards while staying true to their Ayurvedic heritage.

Today, Dabur is a global leader in Ayurveda with a presence in over 100 countries. It continues to be recognized for its wide range of high-quality products, from healthcare and personal care to food and beverages, reinforcing its legacy of trust and innovation.

How To Invest In Dabur India Ltd Share?

Investing in Dabur India Ltd shares is a straightforward process:

  • Open a Demat Account: Start by opening a Demat and trading account with a reliable brokerage firm like Alice Blue.
  • Complete KYC: Submit necessary documents for KYC verification.
  • Fund Your Account: Deposit funds into your trading account.
  • Buy Shares: Search for Dabur India Ltd shares and place your buy order.

Dabur India Limited Fundamental Analysis – FAQs

1. What Is The Fundamental Analysis Of Dabur India?

Dabur India Ltd has a market capitalization of ₹1,10,707.43 crore, a PE ratio of 58.05, a debt-to-equity ratio of 0.14, and an ROE of 19.2%, indicating robust financial health.

2. What is the Market Cap of Dabur India Ltd?

Dabur India Ltd has a market capitalization of ₹1,10,707.43 crore, indicating its substantial market presence and valuation in the consumer goods sector. This reflects the company’s strong market position and investor confidence in its performance.

3. What Is Dabur India Limited?

Dabur India Limited is a leading Indian consumer goods company specializing in natural and Ayurvedic products. Founded in 1884, it offers a wide range of health care, personal care, and food products, renowned for their quality and efficacy.

4. Who Is Dabur India’s Owner?

Dabur India is primarily owned by the Burman family, who founded the company. They hold a significant stake in the business, maintaining control and guiding its strategic direction and growth.

5. Who Are The Main Shareholders Of Dabur India?

The main shareholders of Dabur India include promoters with 66.25%, Foreign Institutional Investors (FIIs) with 15.82%, Domestic Institutional Investors (DIIs) with 12.57%, and retail and other investors holding 5.36%.

6. What Type Of Industry Is Dabur India?

Dabur India operates in the consumer goods industry, specializing in health care, personal care, and food products, known for its natural and Ayurvedic offerings.

7. How To Invest In Dabur India Ltd Share?

To invest in Dabur India Ltd shares, open a brokerage account, complete KYC, deposit funds, and purchase shares through the stock exchange, using your broker’s platform or app.

8. Is Dabur India Overvalued Or Undervalued?

Determining if Dabur is overvalued or undervalued requires analyzing its current market price compared to its intrinsic value, considering factors like PE ratio, growth prospects, and industry comparisons. As of now, its PE ratio of 58.05 suggests it might be overvalued based on market expectations and growth potential.

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