BSE:531255

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Executive Summary

Paragon Finance Limited, an NBFC company, finances heavy commercial vehicles in the eastern region of India.


Snowflake Analysis

Undervalued with adequate balance sheet.

Share Price & News

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


Latest Share Price and Events

Stable Share Price: 531255's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

0%

531255

2.7%

IN Consumer Finance

2.4%

IN Market


1 Year Return

3.7%

531255

1.3%

IN Consumer Finance

5.1%

IN Market

Return vs Industry: 531255 exceeded the Indian Consumer Finance industry which returned 1.3% over the past year.

Return vs Market: 531255 underperformed the Indian Market which returned 5.1% over the past year.


Shareholder returns

531255IndustryMarket
7 Day0%2.7%2.4%
30 Day-0.8%2.9%5.2%
90 Day84.4%40.3%21.1%
1 Year3.7%3.7%4.1%1.3%7.0%5.1%
3 Year-4.8%-4.8%42.6%34.0%4.8%-0.2%
5 Year169.0%169.0%180.7%156.3%30.4%20.7%

Price Volatility Vs. Market

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


Simply Wall St News

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Valuation

Is Paragon Finance undervalued compared to its fair value and its price relative to the market?

33.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 531255 (₹17) is trading below our estimate of fair value (₹25.66)

Significantly Below Fair Value: 531255 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 531255 is good value based on its PE Ratio (4.6x) compared to the IN Consumer Finance industry average (11.1x).

PE vs Market: 531255 is good value based on its PE Ratio (4.6x) compared to the Indian market (14.3x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 531255's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 531255 is good value based on its PB Ratio (0.3x) compared to the IN Consumer Finance industry average (0.6x).


Next Steps

Future Growth

How is Paragon Finance 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 Paragon Finance 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 Paragon Finance performed over the past 5 years?

34.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 531255 has high quality earnings.

Growing Profit Margin: 531255's current net profit margins (36.3%) are lower than last year (51.1%).


Past Earnings Growth Analysis

Earnings Trend: 531255's earnings have grown significantly by 34.2% per year over the past 5 years.

Accelerating Growth: 531255's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 531255 had negative earnings growth (-43%) over the past year, making it difficult to compare to the Consumer Finance industry average (-3.4%).


Return on Equity

High ROE: 531255's Return on Equity (6.4%) is considered low.


Next Steps

Financial Health

How is Paragon Finance's financial position?


Financial Position Analysis

Short Term Liabilities: 531255's short term assets (₹213.0M) exceed its short term liabilities (₹5.2M).

Long Term Liabilities: 531255's short term assets (₹213.0M) exceed its long term liabilities (₹21.1M).


Debt to Equity History and Analysis

Debt Level: 531255's debt to equity ratio (10%) is considered satisfactory.

Reducing Debt: 531255's debt to equity ratio has reduced from 61.4% to 10% over the past 5 years.

Debt Coverage: 531255's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if 531255's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

What is Paragon Finance current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 531255's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 531255'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 531255's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 531255'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 531255'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?

13.9yrs

Average board tenure


CEO

Sanjay Gupta (53 yo)

5.92yrs

Tenure

₹3,300,000

Compensation

Mr. Sanjay Kumar Gupta has been the Chief Executive Officer of Paragon Finance Ltd. since September 26, 2014. Mr. Gupta serves as the Compliance Officer of UT Ltd. (known as Usha Telehoist), and served as ...


CEO Compensation Analysis

Compensation vs Market: Sanjay's total compensation ($USD44.23K) is about average for companies of similar size in the Indian market ($USD49.39K).

Compensation vs Earnings: Sanjay's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Board Members

NamePositionTenureCompensationOwnership
Sanjay Gupta
CEO, CFO & Whole-Time Director5.92yrs₹3.30m13.63%
₹ 9.8m
Suvobrata Ganguly
Independent Director17.42yrsno datano data
Aloke Gupta
Non-Executive Director34yrs₹2.40mno data
Sanjay Goenka
Independent Director13.92yrsno datano data
Ravi Agarwalla
Independent Director12.58yrsno datano data
Shreya Gupta
Non-Executive Director6yrsno data7.06%
₹ 5.1m
Anny Jain
Independent Director3.75yrsno datano data

13.9yrs

Average Tenure

53.5yo

Average Age

Experienced Board: 531255's board of directors are seasoned and experienced ( 13.9 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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Paragon Finance Limited
  • Ticker: 531255
  • Exchange: BSE
  • Founded: 1986
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: ₹72.250m
  • Shares outstanding: 4.25m
  • Website: https://www.paragonfinanceltd.com

Location

  • Paragon Finance Limited
  • 402, Sikkim House
  • 4th Floor
  • Kolkata
  • West Bengal
  • 700071
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
531255BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 2005

Biography

Paragon Finance Limited, an NBFC company, finances heavy commercial vehicles in the eastern region of India. The company was formerly known as Paragon Finance and Plywood Industries Ltd and changed its nam ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/12 12:42
End of Day Share Price2020/07/20 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.