Generic selectors
Exact matches only
Search in title
Search in content
Post Type Selectors
post
Last Updated on: 22 May, 2024|Author: Getaka | Social: X Twitter Profile
Stock Ticker - BSE: 530879 | NSE: CIFL

Fundamental Analysis of Capital India Finance Ltd

Basic Stock Data

Last Updated: May 22, 2024, 6:53 pm

Market Cap 922 Cr.
Current Price 119
High / Low165/88.6
Stock P/E
Book Value 80.1
Dividend Yield0.08 %
ROCE5.93 %
ROE1.47 %
Face Value 10.0
PEG Ratio0.00

Data Source: screener.in

Competitors of Capital India Finance Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Arman Holdings Ltd 33.2 Cr. 63.6100/0.001,658 11.60.00 %0.48 %0.32 % 10.0
Adcon Capital Services Ltd 14.9 Cr. 0.802.96/0.7362.2 0.960.00 %3.93 %3.99 % 1.00
Canopy Finance Ltd 89.2 Cr. 84.299.2/52.6165 11.40.00 %5.16 %4.84 % 10.0
Caspian Corporate Services Ltd 275 Cr. 65.170.0/21.075.5 4.930.08 %2.30 %3.67 % 1.00
Abhishek Finlease Ltd 16.8 Cr. 39.343.7/20.4112 10.10.00 %3.33 %2.17 % 10.0
Industry Average85.82 Cr50.60414.547.800.02%3.04%3.00%6.40

Quarterly Result

MonthDec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Sales39.52106.97253.24128.37144.85152.57158.87169.27161.79159.74174.99174.91165.70
Expenses27.1098.21240.16112.96139.69133.94158.83162.00160.15155.99146.23145.70132.89
Operating Profit12.428.7613.0815.415.1618.630.047.271.643.7528.7629.2132.81
OPM %31.43%8.19%5.17%12.00%3.56%12.21%0.03%4.29%1.01%2.35%16.44%16.70%19.80%
Other Income0.000.010.000.040.281.892.001.591.981.6911.472.471.27
Interest6.488.409.0112.4613.2616.4219.0618.6820.8522.0425.7426.2427.59
Depreciation3.684.074.375.275.415.855.896.306.436.157.317.967.64
Profit before tax2.26-3.70-0.30-2.28-13.23-1.75-22.91-16.12-23.66-22.757.18-2.52-1.15
Tax %93.81%-52.16%-306.67%-57.02%-18.22%85.71%-2.66%-11.35%8.37%-5.23%32.45%-102.78%-105.22%
Net Profit0.14-5.64-1.22-3.57-15.65-0.25-23.51-17.95-21.68-23.944.85-5.11-2.37
EPS in Rs0.25-0.570.170.07-0.890.30-1.60-1.02-1.23-1.511.340.010.04

Last Updated: May 10, 2024, 2:47 pm

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: April 26, 2024, 11:12 am

MonthMar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales2660179318532655675
Expenses1131127265476633581
Operating Profit15285354562295
OPM %58%47%29%17%11%3%14%
Other Income000-0-2117
Interest10917245184102
Depreciation081215212529
Profit before tax4112415-18-85-19
Tax %37%42%43%59%-18%-2%
Net Profit37146-21-87-27
EPS in Rs4.430.842.221.23-0.36-5.35-0.12
Dividend Payout %13%48%5%8%-28%-2%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)133.33%100.00%-57.14%-450.00%-314.29%
Change in YoY Net Profit Growth (%)0.00%-33.33%-157.14%-392.86%135.71%

Growth

Compounded Sales Growth
10 Years:%
5 Years:91%
3 Years:54%
TTM:5%
Compounded Profit Growth
10 Years:%
5 Years:%
3 Years:%
TTM:26%
Stock Price CAGR
10 Years:19%
5 Years:-7%
3 Years:4%
1 Year:31%
Return on Equity
10 Years:%
5 Years:-1%
3 Years:-2%
Last Year:-7%

Last Updated: May 18, 2024, 7:45 am

Balance Sheet

Last Updated: May 10, 2024, 2:47 pm

MonthMar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital4787878787878
Reserves128430444485543528542
Borrowings7132121327764924932
Other Liabilities163070154242265258
Total Liabilities1546707131,0441,6261,7951,809
Fixed Assets83147567881107
CWIP221511350
Investments02490104424
Other Assets1446146569821,5281,6341,677
Total Assets1546707131,0441,6261,7951,809

Reserves and Borrowings Chart

Cash Flow

MonthMar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -5-45330-69-313-21
Cash from Investing Activity -21-2925-87-110-19
Cash from Financing Activity -6490-1723148080
Net Cash Flow-32838745641

Free Cash Flow

MonthMar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow8.00-104.00-68.00-273.00-708.00-902.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days4018610
Inventory Days
Days Payable
Cash Conversion Cycle4018610
Working Capital Days1,176-69-101-65-73-79
ROCE %5%6%5%3%-0%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters73.04%73.04%73.04%73.04%73.04%73.04%73.04%73.04%73.04%73.04%73.04%73.04%
Public26.96%26.96%26.96%26.96%26.96%26.96%26.95%26.96%26.96%26.97%26.96%26.96%
No. of Shareholders7939901,1571,1821,1851,1891,2111,2621,3241,3421,3421,347

Shareholding Pattern Chart

No. of Shareholders

This stock is not held by any mutual fund

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 23Mar 22Mar 21Mar 20Mar 19
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)-5.35-0.361.242.221.39
Diluted EPS (Rs.)-5.32-0.351.222.191.38
Cash EPS (Rs.)-6.780.052.673.271.15
Book Value[Excl.RevalReserv]/Share (Rs.)84.4389.2776.7467.7565.66
Book Value[Incl.RevalReserv]/Share (Rs.)84.4389.2776.7467.7565.66
Revenue From Operations / Share (Rs.)83.5868.1774.5523.067.27
PBDIT / Share (Rs.)3.807.046.906.762.70
PBIT / Share (Rs.)0.614.355.025.282.31
PBT / Share (Rs.)-9.75-2.231.903.131.30
Net Profit / Share (Rs.)-9.96-2.630.781.780.75
NP After MI And SOA / Share (Rs.)-5.35-0.351.242.220.75
PBDIT Margin (%)4.5510.329.2529.3237.18
PBIT Margin (%)0.746.376.7322.8931.73
PBT Margin (%)-11.67-3.272.5413.5817.91
Net Profit Margin (%)-11.92-3.861.057.7310.39
NP After MI And SOA Margin (%)-6.39-0.521.659.6110.39
Return on Networth / Equity (%)-6.86-0.441.703.301.15
Return on Capital Employeed (%)0.634.045.367.103.00
Return On Assets (%)-2.31-0.170.922.410.89
Long Term Debt / Equity (X)0.130.190.200.070.16
Total Debt / Equity (X)1.481.170.510.230.25
Asset Turnover Ratio (%)0.110.100.460.150.13
Current Ratio (X)1.581.893.054.815.23
Quick Ratio (X)1.581.893.044.805.23
Inventory Turnover Ratio (X)0.000.004517.320.000.00
Dividend Payout Ratio (NP) (%)-1.86-28.078.0921.755.96
Dividend Payout Ratio (CP) (%)-4.624.283.2013.043.91
Earning Retention Ratio (%)101.86128.0791.9178.2594.04
Cash Earning Retention Ratio (%)104.6295.7296.8086.9696.09
Interest Coverage Ratio (X)0.361.072.213.152.69
Interest Coverage Ratio (Post Tax) (X)0.030.591.251.831.75
Enterprise Value (Cr.)1335.021420.771220.36717.701146.41
EV / Net Operating Revenue (X)2.052.682.114.0020.29
EV / EBITDA (X)45.1425.9722.7413.6654.56
MarketCap / Net Operating Revenue (X)1.081.831.943.6918.57
Retention Ratios (%)101.86128.0791.9078.2494.03
Price / BV (X)1.161.562.001.272.06
Price / Net Operating Revenue (X)1.081.831.943.6918.57
EarningsYield-0.050.000.010.020.01

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value: ₹17.68

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

Overvalued: 85.15% compared to the current price ₹119

Default values used*: Deafault value of 15 for Stock P/E is used

Intrinsic Value: ₹13.89

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Overvalued: 88.33% compared to the current price ₹119

Default values used*: Deafault value of 15 for Stock P/E is used

Last 5 Year EPS CAGR: -21.43%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -64.33, which is a positive sign.
  1. The stock has a low average ROCE of 3.17%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 4.83, which may not be favorable.
  3. The company has higher borrowings (458.14) compared to reserves (442.86), which may suggest financial risk.
  4. The company has not shown consistent growth in sales (349.29) and profit (-9.71).

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Capital India Finance Ltd:
    1. Net Profit Margin: -11.92%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 0.63% (Industry Average ROCE: 8.1%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ✗ ROE%: -6.86% (Industry Average ROE: 8.25%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 0.03
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 1.58
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. ✓ Stock P/E: (Industry average Stock P/E: 14.8)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. ✗ Total Debt / Equity: 1.48
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

Capital India Finance Ltd. is a Public Limited Listed company incorporated on 16/11/1994 and has its registered office in the State of Rajasthan, India. Company’s Corporate Identification Number(CIN) is L67120RJ1994PLC009037 and registration number is 009037. Currently Company is involved in the business activities of Other financial service activities, except insurance and pension funding activities. Company’s Total Operating Revenue is Rs. 124.41 Cr. and Equity Capital is Rs. 77.73 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Non-Banking Financial Company (NBFC)2nd Floor, DLF Centre, New Delhi Delhi 110001secretarial@capitalindia.com
http://www.capitalindia.com
Management
NamePosition Held
Dr. Harsh Kumar BhanwalaExecutive Chairman
Mr. Keshav PorwalManaging Director
Mr. Subhash Chander KaliaIndependent Director
Mr. Vinod SomaniIndependent Director
Mrs. Rashmi FauzdarIndependent Director
Mr. Yogendra Pal SinghIndependent Director

FAQ

What is the latest fair value of Capital India Finance Ltd?

The latest fair value of Capital India Finance Ltd is ₹17.68.

What is the Market Cap of Capital India Finance Ltd?

The Market Cap of Capital India Finance Ltd is 922 Cr..

What is the current Stock Price of Capital India Finance Ltd as on 22 May 2024?

The current stock price of Capital India Finance Ltd as on 22 May 2024 is ₹119.

What is the High / Low of Capital India Finance Ltd stocks in FY 2024?

In FY 2024, the High / Low of Capital India Finance Ltd stocks is ₹165/88.6.

What is the Stock P/E of Capital India Finance Ltd?

The Stock P/E of Capital India Finance Ltd is .

What is the Book Value of Capital India Finance Ltd?

The Book Value of Capital India Finance Ltd is 80.1.

What is the Dividend Yield of Capital India Finance Ltd?

The Dividend Yield of Capital India Finance Ltd is 0.08 %.

What is the ROCE of Capital India Finance Ltd?

The ROCE of Capital India Finance Ltd is 5.93 %.

What is the ROE of Capital India Finance Ltd?

The ROE of Capital India Finance Ltd is 1.47 %.

What is the Face Value of Capital India Finance Ltd?

The Face Value of Capital India Finance Ltd is 10.0.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Capital India Finance Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE