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Last Updated on: 21 June, 2024|Author: Getaka | Social: X Twitter Profile

Fundamental Analysis of Indbank Merchant Banking Services Ltd

About the Company - Indbank Merchant Banking Services Ltd

Indbank Merchant Banking Services Ltd. is a Public Limited Listed company incorporated on 11/08/1989 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L65191TN1989PLC017883 and registration number is 017883. Currently company belongs to the Industry of Finance & Investments. Company’s Total Operating Revenue is Rs. 17.63 Cr. and Equity Capital is Rs. 44.38 Cr. for the Year ended 31/03/2022.
INDUSTRYADDRESSCONTACT
Finance & InvestmentsFirst Floor, Chennai (Madras) Tamil Nadu 600035investors@indbankonline.com
http://www.indbankonline.com
Management
NamePosition Held
Mr. Imran Amin SiddiquiNominee Director
Mr. G R SundaravadivelIndependent Director
Mrs. Chitra MuraliIndependent Director
Mr. Vaijinath GavarshettyIndependent Director
Mr. Sunil JainNominee Director
Mr. V HaribabuWholeTime Director & President
Mr. Satish Kumar KalraIndependent Director

Basic Stock Data of Indbank Merchant Banking Services Ltd

Last Updated: June 17, 2024, 8:30 pm

Market Cap 219 Cr.
Current Price 49.3
High / Low60.7/23.6
Stock P/E27.2
Book Value 18.8
Dividend Yield0.00 %
ROCE14.6 %
ROE10.2 %
Face Value 10.0
PEG Ratio1.11

Indbank Merchant Banking Services Ltd Quarterly Results

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales3.282.603.253.934.015.465.103.514.335.404.225.426.04
Expenses2.056.102.822.582.456.372.876.782.163.013.053.342.73
Operating Profit1.23-3.500.431.351.56-0.912.23-3.272.172.391.172.083.31
OPM %37.50%-134.62%13.23%34.35%38.90%-16.67%43.73%-93.16%50.12%44.26%27.73%38.38%54.80%
Other Income0.865.040.750.820.734.52-0.033.88-0.010.010.010.010.01
Interest0.390.380.380.380.380.380.380.400.400.040.050.030.03
Depreciation0.040.050.050.050.050.050.050.090.090.090.090.090.09
Profit before tax1.661.110.751.741.863.181.770.121.672.271.041.973.20
Tax %22.29%-44.14%21.33%22.41%22.58%5.97%33.33%666.67%-13.77%22.91%48.08%22.84%24.38%
Net Profit1.281.600.591.361.432.991.18-0.691.901.750.541.522.42
EPS in Rs0.290.360.130.310.320.670.27-0.160.430.390.120.340.55

Indbank Merchant Banking Services Ltd Quarterly Chart

Indbank Merchant Banking Services Ltd Profit & Loss

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales12.286.717.1510.119.0310.5413.8210.3911.4714.9120.6618.2221.08
Expenses10.766.915.395.855.7710.138.658.9512.4812.8714.2515.0012.13
Operating Profit1.52-0.201.764.263.260.415.171.44-1.012.046.413.228.95
OPM %12.38%-2.98%24.62%42.14%36.10%3.89%37.41%13.86%-8.81%13.68%31.03%17.67%42.46%
Other Income0.471.94-0.642.630.596.550.812.135.774.563.873.130.04
Interest0.000.010.140.290.110.811.581.531.521.531.530.890.15
Depreciation0.530.710.670.690.600.530.430.230.300.190.200.370.36
Profit before tax1.461.020.315.913.145.623.971.812.944.888.555.098.48
Tax %92.47%28.43%3.23%15.40%12.10%5.16%44.08%2.76%28.91%17.01%18.60%31.04%
Net Profit0.110.730.304.992.765.342.221.772.094.066.963.506.23
EPS in Rs0.020.160.071.120.621.200.500.400.470.911.570.791.40
Dividend Payout %0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%

Indbank Merchant Banking Services Ltd Profit & Loss Yearly Chart

Indbank Merchant Banking Services Ltd Growth

Compounded Sales Growth
10 Years:13%
5 Years:19%
3 Years:19%
TTM:37%
Compounded Profit Growth
10 Years:21%
5 Years:36%
3 Years:26%
TTM:130%
Stock Price CAGR
10 Years:22%
5 Years:44%
3 Years:37%
1 Year:93%
Return on Equity
10 Years:7%
5 Years:7%
3 Years:8%
Last Year:10%

Last Updated: June 17, 2024, 3:00 pm

Indbank Merchant Banking Services Ltd Balance Sheet

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Sep 2023
Equity Capital44.3844.3844.3844.3844.3844.3844.3844.3844.3844.3844.3844.3844.38
Reserves-3.71-2.99-2.681.914.679.9812.1313.8615.8319.9026.7530.1334.00
Borrowings0.000.000.000.000.001.580.030.000.000.000.002.790.00
Other Liabilities9.175.609.606.208.6624.3924.479.3013.9419.9123.5620.0826.82
Total Liabilities49.8446.9951.3052.4957.7180.3381.0167.5474.1584.1994.6997.38105.20
Fixed Assets6.136.485.665.064.534.073.733.583.333.373.713.553.41
CWIP0.000.000.000.000.000.000.000.000.000.000.130.000.00
Investments4.654.373.403.473.042.101.240.450.190.801.301.371.83
Other Assets39.0636.1442.2443.9650.1474.1676.0463.5170.6380.0289.5592.4699.96
Total Assets49.8446.9951.3052.4957.7180.3381.0167.5474.1584.1994.6997.38105.20

Indbank Merchant Banking Services Ltd Reserves and Borrowings Chart

Indbank Merchant Banking Services Ltd Cash Flow

MonthMar 2012Mar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Cash from Operating Activity -0.46-0.377.900.844.345.554.654.9514.928.140.550.03
Cash from Investing Activity -1.85-1.00-4.58-4.31-4.56-6.47-2.94-3.41-10.32-8.44-0.98-1.03
Cash from Financing Activity 0.000.000.000.000.000.00-0.800.000.00-1.51-1.51-0.89
Net Cash Flow-2.31-1.373.32-3.47-0.22-0.920.901.544.61-1.80-1.93-1.89

Indbank Merchant Banking Services Ltd Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Debtor Days246.42150.59235.03300.33318.60210.50184.4329.2878.5859.6582.5467.08
Inventory Days
Days Payable
Cash Conversion Cycle246.42150.59235.03300.33318.60210.50184.4329.2878.5859.6582.5467.08
Working Capital Days844.23429.32600.39625.31642.39453.21-23.19-308.36-286.66-71.871.40244.46
ROCE %0.07%3.35%14.00%6.80%12.36%9.87%5.68%7.51%10.27%14.89%8.06%

Indbank Merchant Banking Services Ltd Financial Efficiency Indicators Chart

Indbank Merchant Banking Services Ltd Share Holding Pattern

MonthMar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023
Promoters64.84%64.84%64.84%64.84%64.84%64.84%64.84%64.84%64.84%64.84%64.84%64.84%
FIIs0.00%0.00%0.00%0.00%0.00%0.00%0.01%0.01%0.00%0.00%0.01%0.01%
DIIs0.19%0.19%0.09%0.09%0.09%0.09%0.09%0.09%0.09%0.09%0.09%0.09%
Public34.97%34.97%35.07%35.07%35.07%35.07%35.06%35.07%35.07%35.06%35.07%35.06%
No. of Shareholders38,21840,10639,78140,47541,41342,49343,03144,27844,13143,62744,71043,353

Indbank Merchant Banking Services Ltd Shareholding Pattern Chart

No. of Indbank Merchant Banking Services Ltd Shareholders

This stock is not held by any mutual fund

Indbank Merchant Banking Services Ltd ROCE Trend

Indbank Merchant Banking Services Ltd EPS Trend

Indbank Merchant Banking Services Ltd Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue10.0010.0010.0010.0010.00
Basic EPS (Rs.)2.030.791.570.910.47
Diluted EPS (Rs.)2.030.791.570.910.47
Cash EPS (Rs.)2.110.871.610.950.53
Book Value[Excl.RevalReserv]/Share (Rs.)18.7916.7916.0314.4813.57
Book Value[Incl.RevalReserv]/Share (Rs.)18.7916.7916.0314.4813.57
Revenue From Operations / Share (Rs.)5.624.123.972.711.98
PBDIT / Share (Rs.)2.731.432.311.491.07
PBIT / Share (Rs.)2.641.352.271.441.00
PBT / Share (Rs.)2.631.151.931.100.66
Net Profit / Share (Rs.)2.030.781.570.910.47
PBDIT Margin (%)48.5534.7458.1854.8954.30
PBIT Margin (%)47.0332.7157.0553.3550.86
PBT Margin (%)46.7527.8448.5140.6633.51
Net Profit Margin (%)36.1019.1739.4933.7523.81
Return on Networth / Equity (%)10.794.709.786.303.46
Return on Capital Employeed (%)14.067.9614.149.967.41
Return On Assets (%)8.463.597.354.812.81
Total Debt / Equity (X)0.000.030.000.000.00
Asset Turnover Ratio (%)0.240.190.190.150.12
Current Ratio (X)3.843.991.672.272.84
Quick Ratio (X)3.843.991.672.272.84
Interest Coverage Ratio (X)169.757.146.814.333.13
Interest Coverage Ratio (Post Tax) (X)113.744.945.623.662.37
Enterprise Value (Cr.)119.5526.3162.0619.44-13.35
EV / Net Operating Revenue (X)4.801.443.521.62-1.52
EV / EBITDA (X)9.884.156.052.95-2.80
MarketCap / Net Operating Revenue (X)7.645.115.454.702.50
Price / BV (X)2.281.251.350.870.36
Price / Net Operating Revenue (X)7.645.125.454.702.50
EarningsYield0.040.030.070.070.09

Indbank Merchant Banking Services Ltd Profitability Ratios (%)

Indbank Merchant Banking Services Ltd Liquidity Ratios

Indbank Merchant Banking Services Ltd Liquidity Ratios (%)

Indbank Merchant Banking Services Ltd Interest Coverage Ratios (%)

Indbank Merchant Banking Services Ltd Valuation Ratios

Fair Value

Fair Value: 53.20

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.

Undervalued: 7.91% compared to the current price 49.3

Intrinsic Value: 66.18

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.

Undervalued: 34.24% compared to the current price ₹49.3

Last 5 Year EPS CAGR: 24.40%

*Investments are subject to market risks

Strength and Weakness of Indbank Merchant Banking Services Ltd Stock

StrengthWeakness
  1. The stock is trading at a low valuation with an average P/B ratio of 1.74 and average Dividend Yield of 39.45%.
  2. The company has higher reserves (12.29 cr) compared to borrowings (0.34 cr), indicating strong financial stability.
  3. The company has shown consistent growth in sales (12.80 cr) and profit (4.09 cr) over the years.
  1. The stock has a low average ROCE of 7.74%, which may not be favorable.
  2. The stock has a high average Working Capital Days of 262.55, which may not be favorable.
  3. The stock has a high average Cash Conversion Cycle of 163.59, which may not be favorable.

FAQ

What is the latest fair value of Indbank Merchant Banking Services Ltd?

The latest fair value of Indbank Merchant Banking Services Ltd is ₹53.20.

What is the Market Cap of Indbank Merchant Banking Services Ltd?

The Market Cap of Indbank Merchant Banking Services Ltd is 219 Cr..

What is the current Stock Price of Indbank Merchant Banking Services Ltd as on 21 June 2024?

The current stock price of Indbank Merchant Banking Services Ltd as on 21 June 2024 is ₹49.3.

What is the High / Low of Indbank Merchant Banking Services Ltd stocks in FY 2024?

In FY 2024, the High / Low of Indbank Merchant Banking Services Ltd stocks is 60.7/23.6.

What is the Stock P/E of Indbank Merchant Banking Services Ltd?

The Stock P/E of Indbank Merchant Banking Services Ltd is 27.2.

What is the Book Value of Indbank Merchant Banking Services Ltd?

The Book Value of Indbank Merchant Banking Services Ltd is 18.8.

What is the Dividend Yield of Indbank Merchant Banking Services Ltd?

The Dividend Yield of Indbank Merchant Banking Services Ltd is 0.00 %.

What is the ROCE of Indbank Merchant Banking Services Ltd?

The ROCE of Indbank Merchant Banking Services Ltd is 14.6 %.

What is the ROE of Indbank Merchant Banking Services Ltd?

The ROE of Indbank Merchant Banking Services Ltd is 10.2 %.

What is the Face Value of Indbank Merchant Banking Services Ltd?

The Face Value of Indbank Merchant Banking Services 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 Indbank Merchant Banking Services 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