Mahindra & Mahindra Financial Services
Market Cap
₹219.3b
Last Updated
2021/01/26 12:17 UTC
Data Sources
Company Financials +
Executive Summary
Mahindra & Mahindra Financial Services Limited, a non-banking financial company, provides asset finance in the rural and semi-urban areas in India. More Details
Snowflake Analysis
Fair value with moderate growth potential.
Similar Companies
Share Price & News
How has Mahindra & Mahindra Financial Services's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: M&MFIN is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: M&MFIN's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
-2.3%
M&MFIN
2.9%
IN Consumer Finance
-0.5%
IN Market
1 Year Return
-49.3%
M&MFIN
9.0%
IN Consumer Finance
14.8%
IN Market
Return vs Industry: M&MFIN underperformed the Indian Consumer Finance industry which returned 9% over the past year.
Return vs Market: M&MFIN underperformed the Indian Market which returned 14.8% over the past year.
Shareholder returns
| M&MFIN | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.3% | 2.9% | -0.5% |
| 30 Day | 3.8% | 1.6% | 3.3% |
| 90 Day | 46.7% | 32.4% | 20.5% |
| 1 Year | -16.8%-49.3% | 13.9%9.0% | 16.9%14.8% |
| 3 Year | -36.7%-62.3% | 73.9%57.2% | 7.0%1.8% |
| 5 Year | 46.5%-14.5% | 287.2%245.1% | 74.7%61.3% |
Long-Term Price Volatility Vs. Market
How volatile is Mahindra & Mahindra Financial Services's share price compared to the market and industry in the last 5 years?
Simply Wall St News
Valuation
Is Mahindra & Mahindra Financial Services undervalued compared to its fair value and its price relative to the market?
8.26x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: M&MFIN (₹178.05) is trading above our estimate of fair value (₹41.44)
Significantly Below Fair Value: M&MFIN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: M&MFIN is good value based on its PE Ratio (8.3x) compared to the IN Consumer Finance industry average (13.4x).
PE vs Market: M&MFIN is good value based on its PE Ratio (8.3x) compared to the Indian market (18.7x).
Price to Earnings Growth Ratio
PEG Ratio: M&MFIN is good value based on its PEG Ratio (0.2x)
Price to Book Ratio
PB vs Industry: M&MFIN is overvalued based on its PB Ratio (0.9x) compared to the IN Consumer Finance industry average (0.7x).
Next Steps
Future Growth
How is Mahindra & Mahindra Financial Services forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
34.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: M&MFIN's forecast earnings growth (34.2% per year) is above the savings rate (7%).
Earnings vs Market: M&MFIN's earnings (34.2% per year) are forecast to grow faster than the Indian market (25.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: M&MFIN's revenue (7.8% per year) is forecast to grow slower than the Indian market (12.1% per year).
High Growth Revenue: M&MFIN's revenue (7.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: M&MFIN's Return on Equity is forecast to be low in 3 years time (12.9%).
Next Steps
Past Performance
How has Mahindra & Mahindra Financial Services performed over the past 5 years?
20.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: M&MFIN has high quality earnings.
Growing Profit Margin: M&MFIN's current net profit margins (22.1%) are lower than last year (22.7%).
Past Earnings Growth Analysis
Earnings Trend: M&MFIN's earnings have grown by 20% per year over the past 5 years.
Accelerating Growth: M&MFIN's earnings growth over the past year (2.4%) is below its 5-year average (20% per year).
Earnings vs Industry: M&MFIN earnings growth over the past year (2.4%) exceeded the Consumer Finance industry -5.2%.
Return on Equity
High ROE: M&MFIN's Return on Equity (9.4%) is considered low.
Next Steps
Financial Health
How is Mahindra & Mahindra Financial Services's financial position?
Financial Position Analysis
Short Term Liabilities: M&MFIN's short term assets (₹774.9B) exceed its short term liabilities (₹102.1B).
Long Term Liabilities: M&MFIN's short term assets (₹774.9B) exceed its long term liabilities (₹617.5B).
Debt to Equity History and Analysis
Debt Level: M&MFIN's debt to equity ratio (367.8%) is considered high.
Reducing Debt: M&MFIN's debt to equity ratio has reduced from 521.8% to 367.8% over the past 5 years.
Debt Coverage: M&MFIN's debt is not well covered by operating cash flow (1.5%).
Interest Coverage: Insufficient data to determine if M&MFIN's interest payments on its debt are well covered by EBIT.
Balance Sheet
Next Steps
Dividend
What is Mahindra & Mahindra Financial Services's current dividend yield, its reliability and sustainability?
1.85%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate M&MFIN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate M&MFIN'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 M&MFIN's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if M&MFIN's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: M&MFIN is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of M&MFIN'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?
1.0yrs
Average management tenure
CEO
Mahindra & Mahindra Financial Services has no CEO, or we have no data on them.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Chairman & Member of the Group Executive Board | 4.83yrs | ₹3.93m | 0.0041% ₹ 8.9m | |
| Compliance Officer & Company Secretary | no data | ₹10.78m | 0.0013% ₹ 2.9m | |
| Chief Financial Officer | 0.33yr | no data | no data | |
| Executive Vice President of Operations | no data | no data | no data | |
| Vice President of Accounts | 8.5yrs | no data | no data | |
| Head of Technology | no data | no data | no data | |
| Chief Information Officer & VP | 9.67yrs | no data | 0.00049% ₹ 1.1m | |
| Deputy General Manager of Treasury & Investor Relations | no data | no data | no data | |
| Senior General Manager of Legal Operations | no data | no data | 0.0048% ₹ 10.4m | |
| Senior VP & Head of Mergers and Acquisitions (Financial Services Sector) | 0.17yr | no data | no data | |
| Head of Business Solutions | no data | no data | no data | |
| Senior General Manager and Head of Direct Marketing Operations | no data | no data | no data |
1.0yrs
Average Tenure
53.5yo
Average Age
Experienced Management: M&MFIN's management team is not considered experienced ( 1 years average tenure), which suggests a new team.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Independent Chairman & Member of the Group Executive Board | 4.83yrs | ₹3.93m | 0.0041% ₹ 8.9m | |
| Independent Director | 1.75yrs | ₹970.00k | no data | |
| Independent Director | 12.58yrs | ₹2.95m | 0.0024% ₹ 5.3m | |
| Independent Director | 5.92yrs | ₹3.09m | no data | |
| Vice Chairman & MD | 4.83yrs | ₹67.06m | 0.064% ₹ 141.1m | |
| Non-Executive & Non-Independent Director | 4.83yrs | no data | no data | |
| Independent Director | 1.08yrs | ₹140.00k | no data | |
| Additional Non-Executive & Non-Independent Director | 0.33yr | no data | no data |
4.8yrs
Average Tenure
62.5yo
Average Age
Experienced Board: M&MFIN's board of directors are considered experienced (4.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: M&MFIN insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 100.3%.
Top Shareholders
Company Information
Mahindra & Mahindra Financial Services Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Mahindra & Mahindra Financial Services Limited
- Ticker: M&MFIN
- Exchange: NSEI
- Founded: 1991
- Industry: Consumer Finance
- Sector: Diversified Financials
- Market Cap: ₹219.257b
- Shares outstanding: 1.23b
- Website: https://www.mahindrafinance.com
Number of Employees
Location
- Mahindra & Mahindra Financial Services Limited
- Mahindra Towers
- ‘A’ Wing, 4th Floor
- Mumbai
- Maharashtra
- 400018
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 532720 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Mar 2006 |
| M&MFIN | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Mar 2006 |
Biography
Mahindra & Mahindra Financial Services Limited, a non-banking financial company, provides asset finance in the rural and semi-urban areas in India. The company offers financing for auto and utility vehicle...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/01/26 12:17 |
| End of Day Share Price | 2021/01/25 00:00 |
| Earnings | 2020/09/30 |
| Annual Earnings | 2020/03/31 |
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.