BSE:500206

Stock Analysis Report

Executive Summary

Margo Finance Limited operates as a non-banking financial company in India.

Snowflake

Fundamentals

Flawless balance sheet with moderate growth potential.

Risks

  • Margo Finance is not covered by any analysts.

Share Price & News

How has Margo Finance's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

0%

BSE:500206

-3.6%

IN Consumer Finance

-2.1%

IN Market


1 Year Return

-48.5%

BSE:500206

-3.2%

IN Consumer Finance

-14.7%

IN Market

500206 underperformed the Consumer Finance industry which returned -3.1% over the past year.

500206 underperformed the Market in India which returned -14.6% over the past year.


Share holder returns

500206IndustryMarket
7 Day0%-3.6%-2.1%
30 Day0%1.9%-3.9%
90 Dayn/a-10.2%-10.1%
1 Year-48.5%-48.5%-2.5%-3.2%-12.9%-14.7%
3 Year-39.5%-39.5%59.3%56.0%17.7%11.5%
5 Year76.3%76.3%233.9%218.2%35.4%22.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

Is Margo Finance undervalued based on future cash flows and its price relative to the stock market?

0.63x

Price to Book (PB) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for Margo Finance to establish if it is available at moderate discount.

Unable to calculate intrinsic value for Margo Finance to establish if it is available at substantial discount.


Price Based on Earnings

Margo Finance is loss making, we can't compare its value to the IN Consumer Finance industry average.

Margo Finance is loss making, we can't compare the value of its earnings to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Margo Finance, we can't assess if its growth is good value.


Price Based on Value of Assets

Margo Finance is good value based on assets compared to the IN Consumer Finance industry average.


Next Steps

Future Growth

How is Margo Finance expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

29.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Margo Finance is high growth as no revenue estimate data is available.

Margo Finance's earnings are expected to grow significantly at over 20% yearly.

Unable to compare Margo Finance's revenue growth to the India market average as no estimate data is available.

Margo Finance's earnings growth is expected to exceed the India market average.

Margo Finance's earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Margo Finance will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Margo Finance performed over the past 5 years?

60.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Margo Finance does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Margo Finance's 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Margo Finance's 1-year growth to the IN Consumer Finance industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Margo Finance has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

It is difficult to establish if Margo Finance has efficiently used its assets last year compared to the IN Consumer Finance industry average (Return on Assets) as it is loss-making.


Return on Capital Employed

It is difficult to establish if Margo Finance improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

How is Margo Finance's financial position?


Financial Position Analysis

Margo Finance is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Margo Finance's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Margo Finance has no debt.

Margo Finance currently has no debt however we can't compare to 5 years ago as we have no data for that period.


Balance Sheet

Low level of unsold assets.

Margo Finance has no debt, it does not need to be 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.

Whilst loss making Margo Finance has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making Margo Finance has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by % per year.


Next Steps

Dividend

What is Margo Finance's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Margo Finance's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Margo Finance's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Margo Finance has not reported any payouts.

Unable to verify if Margo Finance's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Margo Finance has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Margo Finance's salary, the management and board of directors tenure and is there insider trading?

3.0yrs

Average board tenure


CEO

Shri Maheshwari 0

0.0yrs

Tenure

₹707,380

Compensation

Mr. Shri Dass Maheshwari has been Whole-time Director of Finance at Margo Finance Ltd. since April 30, 2018 and its Chief Financial Officer since May 14, 2014. Mr. Maheshwari has more than 20 years of expe ...


CEO Compensation Analysis

Shri's remuneration is lower than average for companies of similar size in India.

Shri's compensation has increased whilst company is loss making.


Board Age and Tenure

3.0yrs

Average Tenure

63yo

Average Age

The tenure for the Margo Finance board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Shri Maheshwari

    CFO & Whole-time Director of Finance

    • Tenure: 0.0yrs
    • Compensation: ₹707.38k
  • Kailash Rawat

    Company Secretary & Compliance Officer

    • Tenure: 1.0yrs
    • Compensation: ₹390.00k

Board Members

  • Govind Agrawal (65yo)

    Non Executive Independent Director

    • Tenure: 0.0yrs
    • Compensation: ₹15.00k
  • Anil Jain (66yo)

    Non Executive Chairman

    • Tenure: 0.0yrs
  • Shri Maheshwari

    CFO & Whole-time Director of Finance

    • Tenure: 0.0yrs
    • Compensation: ₹707.38k
  • Sushilkumar Agrawal

    Non Executive Non Independent Director

    • Tenure: 3.0yrs
    • Compensation: ₹20.00k
  • Anilkumar Gulati (55yo)

    Independent & Non Executive Director

    • Tenure: 4.8yrs
    • Compensation: ₹8.00k
  • Venkiteswaran Parlikad (61yo)

    Independent & Non Executive Director

    • Tenure: 4.8yrs
    • Compensation: ₹16.00k
  • Smita Kulkarni

    Additional Independent Director

    • Tenure: 1.3yrs
    • Compensation: ₹14.00k

Company Information

Margo Finance Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Margo Finance Limited
  • Ticker: 500206
  • Exchange: BSE
  • Founded: 1991
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: ₹36.332m
  • Shares outstanding: 4.57m
  • Website: https://www.margofinance.com

Number of Employees


Location

  • Margo Finance Limited
  • 301, Arcadia
  • 3rd Floor
  • Mumbai
  • Maharashtra
  • 400021
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
500206BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 2002

Biography

Margo Finance Limited operates as a non-banking financial company in India. It engages in financing activities. The company was formerly known as Indocount Finance Limited and changed its name to Margo Fin ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 12:42
End of Day Share Price2019/05/30 00:00
Earnings2019/03/31
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.