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ABSL

Aditya Birla Sun Life AMC NSEI:ABSLAMC Stock Report

Last Price

₹457.90

Market Cap

₹131.9b

7D

4.8%

1Y

n/a

Updated

16 Aug, 2022

Data

Company Financials +
ABSLAMC fundamental analysis
Snowflake Score
Valuation2/6
Future Growth5/6
Past Performance3/6
Financial Health5/6
Dividends4/6

ABSLAMC Stock Overview

Aditya Birla Sun Life AMC Limited is privately owned investment manager.

Aditya Birla Sun Life AMC Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Aditya Birla Sun Life AMC
Historical stock prices
Current Share Price₹457.90
52 Week High₹722.90
52 Week Low₹375.00
Beta0
1 Month Change10.52%
3 Month Change-1.17%
1 Year Changen/a
3 Year Changen/a
5 Year Changen/a
Change since IPO-34.53%

Recent News & Updates

Jul 29
Analysts Have Lowered Expectations For Aditya Birla Sun Life AMC Limited (NSE:ABSLAMC) After Its Latest Results

Analysts Have Lowered Expectations For Aditya Birla Sun Life AMC Limited (NSE:ABSLAMC) After Its Latest Results

Last week saw the newest quarterly earnings release from Aditya Birla Sun Life AMC Limited ( NSE:ABSLAMC ), an...

Shareholder Returns

ABSLAMCIN Capital MarketsIN Market
7D4.8%3.6%1.9%
1Yn/a-9.8%9.1%

Return vs Industry: Insufficient data to determine how ABSLAMC performed against the Indian Capital Markets industry.

Return vs Market: Insufficient data to determine how ABSLAMC performed against the Indian Market.

Price Volatility

Is ABSLAMC's price volatile compared to industry and market?
ABSLAMC volatility
ABSLAMC Average Weekly Movement3.2%
Capital Markets Industry Average Movement5.7%
Market Average Movement6.3%
10% most volatile stocks in IN Market9.0%
10% least volatile stocks in IN Market4.1%

Stable Share Price: ABSLAMC is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: ABSLAMC's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1994982Bala Balasubramanianhttps://www.birlasunlife.com

Aditya Birla Sun Life AMC Limited is privately owned investment manager. The firm provides its services to individuals including high net worth individuals and institutional clients. It manages separate equity and fixed income portfolios.

Aditya Birla Sun Life AMC Fundamentals Summary

How do Aditya Birla Sun Life AMC's earnings and revenue compare to its market cap?
ABSLAMC fundamental statistics
Market Cap₹131.88b
Earnings (TTM)₹6.21b
Revenue (TTM)₹13.43b

21.2x

P/E Ratio

9.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ABSLAMC income statement (TTM)
Revenue₹13.43b
Cost of Revenue₹2.67b
Gross Profit₹10.76b
Other Expenses₹4.55b
Earnings₹6.21b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)21.55
Gross Margin80.12%
Net Profit Margin46.23%
Debt/Equity Ratio2.5%

How did ABSLAMC perform over the long term?

See historical performance and comparison

Dividends

2.6%

Current Dividend Yield

53%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is ABSLAMC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ABSLAMC?

Other financial metrics that can be useful for relative valuation.

ABSLAMC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue8.3x
Enterprise Value/EBITDA13.3x
PEG Ratio1x

Price to Earnings Ratio vs Peers

How does ABSLAMC's PE Ratio compare to its peers?

ABSLAMC PE Ratio vs Peers
The above table shows the PE ratio for ABSLAMC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average25.9x
CDSL Central Depository Services (India)
41.9x12.4%₹127.9b
IIFLWAM IIFL Wealth Management
23.9x15.8%₹147.4b
532659 IDFC
14.8xn/a₹101.1b
543238 UTI Asset Management
23.1x21.4%₹109.4b
ABSLAMC Aditya Birla Sun Life AMC
21.2x21.3%₹131.9b

Price-To-Earnings vs Peers: ABSLAMC is good value based on its Price-To-Earnings Ratio (21.2x) compared to the peer average (25.9x).


Price to Earnings Ratio vs Industry

How does ABSLAMC's PE Ratio compare vs other companies in the IN Capital Markets Industry?

Price-To-Earnings vs Industry: ABSLAMC is expensive based on its Price-To-Earnings Ratio (21.2x) compared to the Indian Capital Markets industry average (20.5x)


Price to Earnings Ratio vs Fair Ratio

What is ABSLAMC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ABSLAMC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio21.2x
Fair PE Ratio22.4x

Price-To-Earnings vs Fair Ratio: ABSLAMC is good value based on its Price-To-Earnings Ratio (21.2x) compared to the estimated Fair Price-To-Earnings Ratio (22.4x).


Share Price vs Fair Value

What is the Fair Price of ABSLAMC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ABSLAMC (₹457.9) is trading above our estimate of fair value (₹421.53)

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


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.


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Future Growth

How is Aditya Birla Sun Life AMC forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

Future Growth Score

5/6

Future Growth Score 5/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


21.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ABSLAMC's forecast earnings growth (21.3% per year) is above the savings rate (6.8%).

Earnings vs Market: ABSLAMC's earnings (21.3% per year) are forecast to grow faster than the Indian market (18.5% per year).

High Growth Earnings: ABSLAMC's earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ABSLAMC's revenue (16.3% per year) is forecast to grow faster than the Indian market (10.5% per year).

High Growth Revenue: ABSLAMC's revenue (16.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ABSLAMC's Return on Equity is forecast to be high in 3 years time (30.1%)


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Past Performance

How has Aditya Birla Sun Life AMC performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


8.9%

Last years earnings growth

Earnings and Revenue History

Quality Earnings: ABSLAMC has high quality earnings.

Growing Profit Margin: ABSLAMC's current net profit margins (46.2%) are higher than last year (45.1%).


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if ABSLAMC's year-on-year earnings growth rate was positive over the past 5 years.

Accelerating Growth: Insufficient data to compare ABSLAMC's past year earnings growth to its 5-year average.

Earnings vs Industry: ABSLAMC earnings growth over the past year (8.9%) underperformed the Capital Markets industry 27.8%.


Return on Equity

High ROE: ABSLAMC's Return on Equity (28.3%) is considered high.


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Financial Health

How is Aditya Birla Sun Life AMC's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ABSLAMC's short term assets (₹22.2B) exceed its short term liabilities (₹1.5B).

Long Term Liabilities: ABSLAMC's short term assets (₹22.2B) exceed its long term liabilities (₹902.1M).


Debt to Equity History and Analysis

Debt Level: ABSLAMC has more cash than its total debt.

Reducing Debt: ABSLAMC's debt to equity ratio has increased from 0.5% to 2.5% over the past 5 years.

Debt Coverage: ABSLAMC's debt is well covered by operating cash flow (1035.9%).

Interest Coverage: ABSLAMC's interest payments on its debt are well covered by EBIT (179.3x coverage).


Balance Sheet


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Dividend

What is Aditya Birla Sun Life AMC current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


2.56%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ABSLAMC's dividend (2.56%) is higher than the bottom 25% of dividend payers in the Indian market (0.39%).

High Dividend: ABSLAMC's dividend (2.56%) is in the top 25% of dividend payers in the Indian market (1.7%)


Stability and Growth of Payments

Stable Dividend: Too early to tell whether ABSLAMC's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if ABSLAMC's dividend payments are increasing as they only just started paying a dividend.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (53.1%), ABSLAMC's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (61.6%), ABSLAMC's dividend payments are covered by cash flows.


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Management

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

3.5yrs

Average management tenure


CEO

Bala Balasubramanian

3.08yrs

Tenure

Mr. A. Balasubramanian, also known as Bala, serves as Managing Director at Aditya Birla Sun Life AMC Ltd. (formerly known as Aditya Birla Sun Life Asset Management Company Ltd.). and Chief Executive Office...


Leadership Team

Experienced Management: ABSLAMC's management team is considered experienced (3.5 years average tenure).


Board Members

Experienced Board: ABSLAMC's board of directors are not considered experienced ( 0.6 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: ABSLAMC only recently listed within the past 12 months.


Top Shareholders

Company Information

Aditya Birla Sun Life AMC Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Aditya Birla Sun Life AMC Limited
  • Ticker: ABSLAMC
  • Exchange: NSEI
  • Founded: 1994
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Implied Market Cap: ₹131.875b
  • Shares outstanding: 288.00m
  • Website: https://www.birlasunlife.com

Number of Employees


Location

  • Aditya Birla Sun Life AMC Limited
  • One India Bulls Centre, Tower 1
  • 17th Floor, Jupiter Mill Compound
  • Mumbai
  • Maharashtra
  • 400 013
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/08/16 00:00
End of Day Share Price2022/08/16 00:00
Earnings2022/06/30
Annual Earnings2022/03/31


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.