BSE:531091

Stock Analysis Report

Executive Summary

United Credit Limited, a non-banking financial company, provides hire purchase, leasing, and other financial services in India.

Snowflake

Fundamentals

Flawless balance sheet with proven track record.

Risks

  • United Credit is not covered by any analysts.

Share Price & News

How has United Credit's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

4.4%

BSE:531091

-3.6%

IN Consumer Finance

-2.1%

IN Market


1 Year Return

4.1%

BSE:531091

-3.2%

IN Consumer Finance

-14.7%

IN Market

531091 outperformed the Consumer Finance industry which returned -3.1% over the past year.

531091 outperformed the Market in India which returned -14.6% over the past year.


Share holder returns

531091IndustryMarket
7 Day4.4%-3.6%-2.1%
30 Day17.3%1.9%-3.9%
90 Day-6.9%-10.2%-10.1%
1 Year4.1%4.1%-2.5%-3.2%-12.9%-14.7%
3 Year19.2%19.2%59.3%56.0%17.7%11.5%
5 Year5.0%5.0%233.9%218.2%35.4%22.5%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

4.56x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Unable to calculate intrinsic value for United Credit to establish if it is available at moderate discount.

Unable to calculate intrinsic value for United Credit to establish if it is available at substantial discount.


Price Based on Earnings

United Credit is good value based on earnings compared to the IN Consumer Finance industry average.

United Credit is good value based on earnings compared to the India market.


Price Based on Expected Growth

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


Price Based on Value of Assets

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


Next Steps

Future Growth

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

-2.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if United Credit is high growth as no revenue estimate data is available.

United Credit's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

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

United Credit's earnings are expected to decrease over the next 1-3 years, this is below the India market average.

United Credit's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has United Credit performed over the past 5 years?

32.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

United Credit has delivered over 20% year on year earnings growth in the past 5 years.

United Credit's 1-year earnings growth exceeds its 5-year average (234.9% vs 32.3%)

United Credit's earnings growth has exceeded the IN Consumer Finance industry average in the past year (234.9% vs 15%).


Return on Equity

United Credit has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

United Credit used its assets more efficiently than the IN Consumer Finance industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if United Credit improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is United Credit's financial position?


Financial Position Analysis

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

United Credit's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

United Credit has no debt.

United Credit had no debt 5 years ago.

United Credit has no debt, it does not need to be covered by operating cash flow.

United Credit has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Low level of unsold assets.

United Credit has no debt, it does not need to be covered by short term assets.


Next Steps

Dividend

What is United Credit's current dividend yield, its reliability and sustainability?

3.69%

Current Dividend Yield


Upcoming Dividend Payment

Purchase United Credit before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

United Credit's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.65%).

United Credit's dividend is above the markets top 25% of dividend payers in India (2.64%).

United Credit has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

United Credit has only been paying a dividend for 9 years, and since then dividends per share have fallen.


Current Payout to Shareholders

Dividends paid are well covered by earnings (5.9x coverage).


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 United Credit's salary, the management and board of directors tenure and is there insider trading?

8.1yrs

Average board tenure


CEO

Ashok Dabriwala (64yo)

13.8yrs

Tenure

₹1,367,627

Compensation

Mr. Ashok Kumar Dabriwala serves as Chairman of United Credit Ltd and has been its Managing Director since November 2005. Mr. Dabriwala has 37 years of experience in leasing, hire purchase, other financial ...


CEO Compensation Analysis

Ashok's remuneration is about average for companies of similar size in India.

Insufficient data for Ashok to compare compensation growth.


Board Age and Tenure

8.1yrs

Average Tenure

70.5yo

Average Age

The tenure for the United Credit board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Arunabha Biswas (66yo)

    VP & Company Secretary

    • Tenure: 0.0yrs
    • Compensation: ₹724.90k
  • Ashok Dabriwala (64yo)

    Chairman & MD

    • Tenure: 13.8yrs
    • Compensation: ₹1.37m
  • Samarjit Jain (57yo)

    Chief Financial Officer

    • Tenure: 5.3yrs
    • Compensation: ₹649.97k
  • Padam Harlalka (61yo)

    Manager of Administration

    • Tenure: 0.0yrs

Board Members

  • Devashish Dabriwal (42yo)

    Non-Executive Director

    • Tenure: 13.8yrs
    • Compensation: ₹70.00k
  • Raj Choubey (77yo)

    Non-Executive Independent Director

    • Tenure: 0.0yrs
    • Compensation: ₹130.00k
  • Nandanandan Mishra (77yo)

    Non-Executive Independent Director

    • Tenure: 0.0yrs
    • Compensation: ₹110.00k
  • Ashok Dabriwala (64yo)

    Chairman & MD

    • Tenure: 13.8yrs
    • Compensation: ₹1.37m
  • Suresh Saha (79yo)

    Non-Executive Independent Director

    • Tenure: 8.1yrs
    • Compensation: ₹120.00k
  • Rashmi Dabriwal (42yo)

    Non-Executive Promoter Director

    • Tenure: 5.5yrs
    • Compensation: ₹280.00k

Company Information

United Credit Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: United Credit Limited
  • Ticker: 531091
  • Exchange: BSE
  • Founded: 1970
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: ₹100.962m
  • Shares outstanding: 5.33m
  • Website: https://www.unitedcreditltd.com

Number of Employees


Location

  • United Credit Limited
  • 27B Camac Street
  • 8th Floor
  • Kolkata
  • West Bengal
  • 700016
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
531091BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 2005

Biography

United Credit Limited, a non-banking financial company, provides hire purchase, leasing, and other financial services in India. It is also involved in consumer financing, investment, and capital market ope ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/24 12:32
End of Day Share Price2019/08/23 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.