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K C P Ltd logo

K C P Ltd

NSE: KCP BSE: 590066

â‚ą164.53

(1.75%)

Mon, 08 Jun 2026, 04:06 pm

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K C P Analysis

dividend

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Pros

  • Dividends paid are well covered by earnings (2.4x coverage).
  • KCP's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
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Cons

  • No dividend growth in 10 years.
  • Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
  • KCP's dividend is below the markets top 25% of dividend payers in India (3.08%).

health

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Pros

  • KCP is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • KCP is profitable, therefore cash runway is not a concern.
  • KCP is profitable, therefore cash runway is not a concern.
  • Debt is well covered by operating cash flow (46%, greater than 20% of total debt).
  • Debt is covered by short term assets, assets are 1.5x debt.
  • KCP's cash and other short term assets cover its long term commitments.
  • The level of debt compared to net worth has been reduced over the past 5 years (73.7% vs 47% today).
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Cons

  • Interest payments on debt are not well covered by earnings (EBIT is 1.9x annual interest expense, ideally 3x coverage).
  • KCP's level of debt (47%) compared to net worth is high (greater than 40%).
  • High level of physical assets or inventory.

management

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Pros

  • The tenure for the KCP board of directors is about average.
  • V. L.'s compensation has been consistent with company performance over the past year, both up more than 20%.
  • The tenure for the KCP management team is about average.
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Cons

  • V. L.'s remuneration is higher than average for companies of similar size in India.
  • KCP individual insiders have sold more shares than they have bought in the past 3 months.

misc

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Pros

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    Cons

    • KCP is not covered by any analysts.
    • KCP has significant price volatility in the past 3 months.

    past

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    Pros

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      Cons

      • KCP's 1-year earnings growth is negative, it can't be compared to the 5-year average.
      • KCP's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
      • KCP used its assets less efficiently than the IN Basic Materials industry average last year based on Return on Assets.
      • KCP's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
      • KCP has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
      • KCP's 1-year earnings growth is negative, it can't be compared to the IN Basic Materials industry average.

      value

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      Pros

      • KCP's share price is below the future cash flow value, and at a moderate discount (> 20%).
      • KCP is good value based on assets compared to the IN Basic Materials industry average.
      • NSEI:KCP is up 8.4% along with the Basic Materials industry (9.2%) over the past month.
      • NSEI:KCP is up 8.4% along with the India market (8%) over the past month.
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      Cons

      • KCP's share price is below the future cash flow value, but not at a substantial discount (< 40%).
      • KCP is overvalued based on earnings compared to the IN Basic Materials industry average.
      • KCP is overvalued based on earnings compared to the India market.
      • KCP underperformed the Basic Materials industry which returned -15.5% over the past year.
      • KCP underperformed the Market in India which returned -14.5% over the past year.