BSE:541401

Stock Analysis Report

Executive Summary

Arihant Institute Limited engages in the professional education institute business in India.


Snowflake Analysis

Flawless balance sheet with acceptable track record.


Similar Companies

Share Price & News

How has Arihant Institute's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 541401 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

541401

-3.2%

IN Consumer Services

-2.9%

IN Market


1 Year Return

-64.3%

541401

-59.4%

IN Consumer Services

-29.3%

IN Market

Return vs Industry: 541401 underperformed the Indian Consumer Services industry which returned -56.3% over the past year.

Return vs Market: 541401 underperformed the Indian Market which returned -16.1% over the past year.


Shareholder returns

541401IndustryMarket
7 Day0%-3.2%-2.9%
30 Day0%-24.6%-23.7%
90 Day-4.9%-36.7%-28.6%
1 Year-64.3%-64.3%-58.8%-59.4%-27.9%-29.3%
3 Yearn/a-70.9%-71.5%-15.4%-20.0%
5 Yearn/a-57.3%-58.5%-3.3%-8.3%

Price Volatility Vs. Market

How volatile is Arihant Institute's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Arihant Institute undervalued compared to its fair value and its price relative to the market?

30.59x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 541401's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 541401's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 541401 is poor value based on its PE Ratio (30.6x) compared to the Consumer Services industry average (19.4x).

PE vs Market: 541401 is poor value based on its PE Ratio (30.6x) compared to the Indian market (10.8x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 541401's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 541401 is good value based on its PB Ratio (0.4x) compared to the IN Consumer Services industry average (0.6x).


Next Steps

Future Growth

How is Arihant Institute forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

26.8%

Forecasted Consumer Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Arihant Institute has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Arihant Institute performed over the past 5 years?

52.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 541401 has high quality earnings.

Growing Profit Margin: 541401's current net profit margins (11.1%) are higher than last year (9.5%).


Past Earnings Growth Analysis

Earnings Trend: 541401 has become profitable over the past 5 years, growing earnings by 52.6% per year.

Accelerating Growth: 541401's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 541401 had negative earnings growth (-3.3%) over the past year, making it difficult to compare to the Consumer Services industry average (-5.3%).


Return on Equity

High ROE: 541401's Return on Equity (1.3%) is considered low.


Next Steps

Financial Health

How is Arihant Institute's financial position?


Financial Position Analysis

Short Term Liabilities: 541401's short term assets (₹46.2M) exceed its short term liabilities (₹11.9M).

Long Term Liabilities: 541401 has no long term liabilities.


Debt to Equity History and Analysis

Debt Level: 541401 is debt free.

Reducing Debt: 541401 has no debt compared to 5 years ago when its debt to equity ratio was 3388%.


Balance Sheet

Inventory Level: 541401 has a high level of physical assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if 541401's debt is covered by short term assets.


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 541401 is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: Insufficient data to determine if 541401 has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Arihant Institute's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 541401's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 541401's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 541401's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 541401's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 541401's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

1.6yrs

Average management tenure


CEO

Sandeep Kamdar (46yo)

1.58s

Tenure

Mr. Sandeep Vinodray Kamdar has been Whole Time Director & CEO for Arihant Institute Limited since August 31, 2018. 


Leadership Team

NamePositionTenureCompensationOwnership
Sandeep Kamdar
Whole Time Director & CEO1.58yrsno data13.08% 6.9m
Rushiraj Patel
CFO & Executive Director2.17yrsno datano data
Kinnari Patel
Head of Operationsno datano datano data
Mansi Vejani
Company Secretary & Compliance Officer0.17yrno datano data

1.6yrs

Average Tenure

Experienced Management: 541401's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Sandeep Kamdar
Whole Time Director & CEO1.58yrsno data13.08% 6.9m
Rushiraj Patel
CFO & Executive Director2.17yrsno datano data
Prashant Srivastav
Additional Independent Director2.17yrsno datano data
Vinodbhai Shah
Chairman & Non-Executive Director2.17yrsno datano data
Jigar Shah
Non-Executive Director2.33yrsno datano data
Shivani Patel
Additional Independent Director2.17yrsno datano data

2.2yrs

Average Tenure

39.5yo

Average Age

Experienced Board: 541401's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.9%.


Top Shareholders

Company Information

Arihant Institute Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arihant Institute Limited
  • Ticker: 541401
  • Exchange: BSE
  • Founded: 1998
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: ₹52.470m
  • Shares outstanding: 9.00m
  • Website: https://www.arihantinstitute.com

Number of Employees


Location

  • Arihant Institute Limited
  • 201-202, Ratna High Street
  • 2nd Floor
  • Ahmedabad
  • Gujarat
  • 380013
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
541401BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 2018

Biography

Arihant Institute Limited engages in the professional education institute business in India. It offers coaching and educational guidance for students appearing for professional courses, such as chartered accountant, company secretary, and cost management accountant. The company was founded in 1998 and is based in Ahmedabad, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/16 13:26
End of Day Share Price2019/12/18 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.