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CDSL

Central Depository Services (India) NSEI:CDSL Stock Report

Last Price

₹1.11k

Market Cap

₹116.6b

7D

3.0%

1Y

12.3%

Updated

27 Jun, 2022

Data

Company Financials +
CDSL fundamental analysis
Snowflake Score
Valuation0/6
Future Growth2/6
Past Performance5/6
Financial Health6/6
Dividends3/6

CDSL Stock Overview

Central Depository Services (India) Limited provides depository services in India.

Central Depository Services (India) Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Central Depository Services (India)
Historical stock prices
Current Share Price₹1,114.35
52 Week High₹1,734.40
52 Week Low₹971.50
Beta0.41
1 Month Change2.97%
3 Month Change-23.29%
1 Year Change12.30%
3 Year Change408.84%
5 Year Change325.08%
Change since IPO325.97%

Recent News & Updates

Apr 09
With EPS Growth And More, Central Depository Services (India) (NSE:CDSL) Is Interesting

With EPS Growth And More, Central Depository Services (India) (NSE:CDSL) Is Interesting

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

Shareholder Returns

CDSLIN Capital MarketsIN Market
7D3.0%0.8%2.3%
1Y12.3%-11.2%-0.9%

Return vs Industry: CDSL exceeded the Indian Capital Markets industry which returned -11.2% over the past year.

Return vs Market: CDSL exceeded the Indian Market which returned -0.9% over the past year.

Price Volatility

Is CDSL's price volatile compared to industry and market?
CDSL volatility
CDSL Average Weekly Movement5.9%
Capital Markets Industry Average Movement7.0%
Market Average Movement6.9%
10% most volatile stocks in IN Market9.9%
10% least volatile stocks in IN Market4.5%

Stable Share Price: CDSL is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: CDSL's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1997221Nehal Vorahttps://www.cdslindia.com

Central Depository Services (India) Limited provides depository services in India. The company offers various services, such as account opening, dematerialization, processing delivery and receipt instructions, account statement, re-materialization, pledging, nomination, transmission of securities, change in address, bank account details, and SMS services for depository participants. It also provides facilities to issuers to credit securities to a shareholder's or applicants demat accounts; KYC services in respect of investors in capital markets to capital market intermediaries; facilities for holding of insurance policies in electronic form to the holders of these policies; and facilities for holding and transacting in electronic negotiable warehouse receipts.

Central Depository Services (India) Fundamentals Summary

How do Central Depository Services (India)'s earnings and revenue compare to its market cap?
CDSL fundamental statistics
Market Cap₹116.56b
Earnings (TTM)₹3.11b
Revenue (TTM)₹6.06b

37.4x

P/E Ratio

19.2x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CDSL income statement (TTM)
Revenue₹6.06b
Cost of Revenue₹0
Gross Profit₹6.06b
Other Expenses₹2.95b
Earnings₹3.11b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)29.78
Gross Margin100.00%
Net Profit Margin51.36%
Debt/Equity Ratio0%

How did CDSL perform over the long term?

See historical performance and comparison

Dividends

1.3%

Current Dividend Yield

50%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

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

Other financial metrics that can be useful for relative valuation.

CDSL 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/Revenue17.9x
Enterprise Value/EBITDA25.8x
PEG Ratio3.3x

Price to Earnings Ratio vs Peers

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

CDSL PE Ratio vs Peers
The above table shows the PE ratio for CDSL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average21.4x
IIFLWAM IIFL Wealth Management
22x14.7%₹121.8b
ABSLAMC Aditya Birla Sun Life AMC
17.4x12.1%₹115.4b
543238 UTI Asset Management
15.3x12.3%₹81.5b
501301 Tata Investment
31.7xn/a₹65.7b
CDSL Central Depository Services (India)
37.4x11.5%₹116.6b

Price-To-Earnings vs Peers: CDSL is expensive based on its Price-To-Earnings Ratio (37.4x) compared to the peer average (21.4x).


Price to Earnings Ratio vs Industry

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

Price-To-Earnings vs Industry: CDSL is expensive based on its Price-To-Earnings Ratio (37.4x) compared to the Indian Capital Markets industry average (17.2x)


Price to Earnings Ratio vs Fair Ratio

What is CDSL'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.

CDSL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio37.4x
Fair PE Ratio18.3x

Price-To-Earnings vs Fair Ratio: CDSL is expensive based on its Price-To-Earnings Ratio (37.4x) compared to the estimated Fair Price-To-Earnings Ratio (18.3x).


Share Price vs Fair Value

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

Below Fair Value: CDSL (₹1114.35) is trading above our estimate of fair value (₹742.63)

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


Price to Earnings Growth Ratio

PEG Ratio: CDSL is poor value based on its PEG Ratio (3.3x)


Discover undervalued companies

Future Growth

How is Central Depository Services (India) forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


11.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CDSL's forecast earnings growth (11.5% per year) is above the savings rate (6.7%).

Earnings vs Market: CDSL's earnings (11.5% per year) are forecast to grow slower than the Indian market (17.4% per year).

High Growth Earnings: CDSL's earnings are forecast to grow, but not significantly.

Revenue vs Market: CDSL's revenue (7.9% per year) is forecast to grow slower than the Indian market (11.5% per year).

High Growth Revenue: CDSL's revenue (7.9% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CDSL's Return on Equity is forecast to be high in 3 years time (28%)


Discover growth companies

Past Performance

How has Central Depository Services (India) performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


25.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CDSL has a high level of non-cash earnings.

Growing Profit Margin: CDSL's current net profit margins (51.4%) are higher than last year (50.2%).


Past Earnings Growth Analysis

Earnings Trend: CDSL's earnings have grown significantly by 25.7% per year over the past 5 years.

Accelerating Growth: CDSL's earnings growth over the past year (55.3%) exceeds its 5-year average (25.7% per year).

Earnings vs Industry: CDSL earnings growth over the past year (55.3%) exceeded the Capital Markets industry 43.3%.


Return on Equity

High ROE: CDSL's Return on Equity (27.4%) is considered high.


Discover strong past performing companies

Financial Health

How is Central Depository Services (India)'s financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CDSL's short term assets (₹9.1B) exceed its short term liabilities (₹1.8B).

Long Term Liabilities: CDSL's short term assets (₹9.1B) exceed its long term liabilities (₹135.7M).


Debt to Equity History and Analysis

Debt Level: CDSL is debt free.

Reducing Debt: CDSL had no debt 5 years ago.

Debt Coverage: CDSL has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: CDSL has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


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Dividend

What is Central Depository Services (India) current dividend yield, its reliability and sustainability?

Dividend Score

2/6

Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


1.35%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CDSL's dividend (1.35%) is higher than the bottom 25% of dividend payers in the Indian market (0.43%).

High Dividend: CDSL's dividend (1.35%) is low compared to the top 25% of dividend payers in the Indian market (1.89%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, CDSL has been paying a dividend for less than 10 years.

Growing Dividend: CDSL's dividend payments have increased, but the company has only paid a dividend for 4 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (50.4%), CDSL's dividend payments are covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (60.9%), CDSL's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

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

2.5yrs

Average management tenure


CEO

Nehal Vora (48 yo)

2.75yrs

Tenure

₹22,294,945

Compensation

Mr. Nehal Naleen Vora serves as Chief Executive Officer and Managing Director at Central Depository Services (India) Limited since September 24, 2019. Mr. Vora had been the Chief Regulatory Officer at BSE...


CEO Compensation Analysis

Compensation vs Market: Nehal's total compensation ($USD284.85K) is below average for companies of similar size in the Indian market ($USD460.75K).

Compensation vs Earnings: Nehal's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: CDSL's management team is considered experienced (2.5 years average tenure).


Board Members

Experienced Board: CDSL's board of directors are not considered experienced ( 2.7 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Central Depository Services (India) Limited's employee growth, exchange listings and data sources


Key Information

  • Name: Central Depository Services (India) Limited
  • Ticker: CDSL
  • Exchange: NSEI
  • Founded: 1997
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Implied Market Cap: ₹116.565b
  • Shares outstanding: 104.50m
  • Website: https://www.cdslindia.com

Number of Employees


Location

  • Central Depository Services (India) Limited
  • Marathon Futurex
  • 25th floor, A-Wing
  • Mumbai
  • Maharashtra
  • 400013
  • India

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/27 00:00
End of Day Share Price2022/06/27 00:00
Earnings2022/03/31
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.