Risk factor
Resilient to price shocks
Profitability factor
Strong margins and returns
About
Established in 1972 and headquartered in Hyderabad, India, Nava Limited operates as a diversified international enterprise with core activities spanning power generation, mining, ferro alloys manufacturing, and healthcare services. Its global reach extends to India, Zambia, Hong Kong, Japan, and Singapore, among other markets. In its power division, the company produces and sells electricity from various fuel sources, including coal, biomass, biogas, and bagasse. Its significant power assets in India include 150 MW and 114 MW plants in Paloncha, Telangana; a 150 MW facility in Kharagprasad, Odisha; and a 20 MW biomass plant in Dharmavaram, Andhra Pradesh. Internationally, it runs a 300 MW thermal power plant in Zambia, while also offering operation and maintenance expertise for power facilities. The mining segment is engaged in coal extraction at Maamba in Zambia's Southern province. Its ferro alloys business manufactures a variety of specialized metals, such as ferro chrome, silico manganese, ferro silicon, and other chromium alloys, which are crucial components in the automotive, railway, and construction industries, as well as in the production of stainless-steel consumer products. Nava's healthcare ventures include the management of The Iron Suites Medical Center in Singapore, specializing in the treatment of iron deficiency and the administration of intravenous iron. This division also oversees corporate healthcare programs, organizes medical conferences and public awareness campaigns, and is involved in licensing pharmaceutical products. Formerly known as Nava Bharat Ventures Limited, the company rebranded to Nava Limited in July 2022.
Company Valuation
From both historical and forecast perspectives, the stock is slightly overpriced compared to similar stocks. In particular, the stock is reasonably priced on P/E, of fair