BSE:531179

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Executive Summary

Arman Financial Services Limited, together with its subsidiary, operates as a non-banking finance company in India.


Snowflake Analysis

Proven track record and slightly overvalued.


Similar Companies

Share Price & News

How has Arman Financial Services's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 531179's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-3.7%

531179

2.7%

IN Consumer Finance

2.4%

IN Market


1 Year Return

20.5%

531179

1.3%

IN Consumer Finance

5.1%

IN Market

Return vs Industry: 531179 exceeded the Indian Consumer Finance industry which returned 1.3% over the past year.

Return vs Market: 531179 exceeded the Indian Market which returned 5.1% over the past year.


Shareholder returns

531179IndustryMarket
7 Day-3.7%2.7%2.4%
30 Day-14.4%2.9%5.2%
90 Day26.5%40.3%21.1%
1 Year20.9%20.5%4.1%1.3%7.0%5.1%
3 Year141.9%139.3%42.6%34.0%4.8%-0.2%
5 Year111.6%106.7%180.7%156.3%30.4%20.7%

Price Volatility Vs. Market

How volatile is Arman Financial Services's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Arman Financial Services undervalued compared to its fair value and its price relative to the market?

7.88x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 531179 (₹439.75) is trading above our estimate of fair value (₹114.73)

Significantly Below Fair Value: 531179 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 531179 is good value based on its PE Ratio (7.9x) compared to the IN Consumer Finance industry average (11.1x).

PE vs Market: 531179 is good value based on its PE Ratio (7.9x) compared to the Indian market (14.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 531179's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 531179 is overvalued based on its PB Ratio (1.9x) compared to the IN Consumer Finance industry average (0.6x).


Next Steps

Future Growth

How is Arman Financial Services forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

31.9%

Forecasted Diversified Financials 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 Arman Financial Services 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 Arman Financial Services performed over the past 5 years?

43.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 531179 has a large one-off loss of ₹200.1M impacting its March 31 2020 financial results.

Growing Profit Margin: 531179's current net profit margins (32.6%) are higher than last year (26.3%).


Past Earnings Growth Analysis

Earnings Trend: 531179's earnings have grown significantly by 43.7% per year over the past 5 years.

Accelerating Growth: 531179's earnings growth over the past year (93.9%) exceeds its 5-year average (43.7% per year).

Earnings vs Industry: 531179 earnings growth over the past year (93.9%) exceeded the Consumer Finance industry -3.4%.


Return on Equity

High ROE: Whilst 531179's Return on Equity (24.11%) is high, this metric is skewed due to their high level of debt.


Next Steps

Financial Health

How is Arman Financial Services's financial position?


Financial Position Analysis

Short Term Liabilities: 531179's short term assets (₹8.8B) exceed its short term liabilities (₹30.6M).

Long Term Liabilities: 531179's short term assets (₹8.8B) exceed its long term liabilities (₹7.2B).


Debt to Equity History and Analysis

Debt Level: 531179's debt to equity ratio (405.1%) is considered high.

Reducing Debt: 531179's debt to equity ratio has increased from 236.1% to 405.1% over the past 5 years.

Debt Coverage: 531179's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 531179's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Arman Financial Services's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 531179's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 531179's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 531179's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 531179's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 531179 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 531179'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?

3.6yrs

Average management tenure


CEO

Jayendrabhai Patel (69 yo)

no data

Tenure

Mr. Jayendrabhai B. Patel, B.Sc has been Managing Director and Vice Chairman of Arman Financial Services Ltd. since October 2005 and serves as its Chief Executive Officer. Mr. Patel Director of Arman Finan ...


Leadership Team

NamePositionTenureCompensationOwnership
Jayendrabhai Patel
Vice Chairmanno datano data6.74%
₹ 286.0m
Vivek Modi
Chief Financial Officer2.25yrs₹2.34m0.00026%
₹ 11.0k
Jaimish Patel
Compliance Officer & Company Secretary4.42yrs₹601.16k0.0085%
₹ 362.6k
Aalokbhai Patel
Joint MD & Executive Director13.58yrsno data2.57%
₹ 109.0m
Chandramouli Akkiraju
Chief Operating Officer3yrsno datano data
Atulkumar Patel
Chief Accountantno datano datano data
Anju Aggarwal
Sales Managerno datano datano data
Ravi Patel
Group Head of HRno datano datano data
Prashant Modi
Department Head of Vehicle Finance Collections4.17yrsno datano data
Rambabu Agarwal
Operations Head of Vehicle Financeno datano datano data
Kamlesh Garg
Department Head of Management Information Systems & Microfinance Credit Appraisalno datano datano data
Javed Mohammad
Department Head of Operational Internal Audit & Riskno datano datano data

3.6yrs

Average Tenure

50yo

Average Age

Experienced Management: 531179's management team is considered experienced (3.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jayendrabhai Patel
Vice Chairmanno datano data6.74%
₹ 286.0m
Aalokbhai Patel
Joint MD & Executive Director13.58yrsno data2.57%
₹ 109.0m
Ritaben Patel
Non-Executive Director14.83yrs₹112.50k4.36%
₹ 185.2m
Amitbhai Manakiwala
Director Emeritus2.17yrsno data0.14%
₹ 5.8m
Kaushikbhai Shah
Independent Director26.08yrs₹170.00kno data
Aakash Patel
Non-Executive Director19.83yrsno data0.31%
₹ 13.1m
Ramakant Nagpal
Independent Directorno data₹107.50kno data
Mridul Arora
Nominee Director2.33yrsno datano data
Alok Prasad
Independent Chairman2yrs₹97.50kno data
Geeta Solanki
Additional Woman Independent Director0.33yrno datano data

13.6yrs

Average Tenure

66yo

Average Age

Experienced Board: 531179's board of directors are seasoned and experienced ( 13.6 years average tenure).


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.


Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 38.9%.


Top Shareholders

Company Information

Arman Financial Services Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Arman Financial Services Limited
  • Ticker: 531179
  • Exchange: BSE
  • Founded: 1992
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: ₹4.246b
  • Shares outstanding: 9.66m
  • Website: https://www.armanindia.com

Number of Employees


Location

  • Arman Financial Services Limited
  • 501-504, Sakar III
  • Opposite Old High Court
  • Ahmedabad
  • Gujarat
  • 380014
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
531179BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 1998
ARMANFINNSEI (National Stock Exchange of India)YesEquity SharesININRJul 1998

Biography

Arman Financial Services Limited, together with its subsidiary, operates as a non-banking finance company in India. The company offers financing for the purchase of two and three wheelers. It also provides ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/12 12:44
End of Day Share Price2020/08/11 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


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.