NSEI:MUTHTFN

Stock Analysis Report

Executive Summary

Muthoot Capital Services Limited, a non-banking finance company (NBFC), provides fund and non-fund based financial services.

Snowflake

Fundamentals

Acceptable track record with mediocre balance sheet.

Risks

  • Muthoot Capital Services has significant price volatility in the past 3 months.
  • Muthoot Capital Services is covered by less than 3 analysts.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-1.4%

NSEI:MUTHTFN

1.9%

IN Consumer Finance

1.5%

IN Market


1 Year Return

-53.0%

NSEI:MUTHTFN

7.8%

IN Consumer Finance

-11.2%

IN Market

MUTHTFN underperformed the Consumer Finance industry which returned 7.8% over the past year.

MUTHTFN underperformed the Market in India which returned -11.2% over the past year.


Share holder returns

MUTHTFNIndustryMarket
7 Day-1.4%1.9%1.5%
30 Day-14.4%2.8%1.1%
90 Day-35.4%-5.5%-6.7%
1 Year-53.0%-53.0%8.5%7.8%-9.5%-11.2%
3 Year160.5%160.5%67.7%64.2%19.7%13.7%
5 Yearn/a226.3%211.1%34.6%21.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Muthoot Capital Services undervalued based on future cash flows and its price relative to the stock market?

9.56x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Muthoot Capital Services's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Muthoot Capital Services's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Muthoot Capital Services is good value based on earnings compared to the IN Consumer Finance industry average.

Muthoot Capital Services is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Muthoot Capital Services, we can't assess if its growth is good value.


Price Based on Value of Assets

Muthoot Capital Services is overvalued based on assets compared to the IN Consumer Finance industry average.


Next Steps

Future Growth

How is Muthoot Capital Services expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

-8.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Muthoot Capital Services's revenue is expected to grow significantly at over 20% yearly.

Muthoot Capital Services's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.

Muthoot Capital Services's revenue growth is expected to exceed the India market average.

Muthoot Capital Services's earnings are expected to decrease over the next 1-3 years, this is below the India market average.

Muthoot Capital Services's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Muthoot Capital Services will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Muthoot Capital Services performed over the past 5 years?

33.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Muthoot Capital Services has delivered over 20% year on year earnings growth in the past 5 years.

Muthoot Capital Services's 1-year earnings growth is less than its 5-year average (15% vs 33.9%)

Muthoot Capital Services's earnings growth has exceeded the IN Consumer Finance industry average in the past year (15% vs 14.7%).


Return on Equity

Muthoot Capital Services has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Muthoot Capital Services used its assets more efficiently than the IN Consumer Finance industry average last year based on Return on Assets.


Return on Capital Employed

Unable to establish if Muthoot Capital Services improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.


Next Steps

Financial Health

How is Muthoot Capital Services's financial position?


Financial Position Analysis

Muthoot Capital Services is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Muthoot Capital Services's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Muthoot Capital Services's level of debt (326.5%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (430.4% vs 326.5% today).

Operating cash flow is negative therefore debt is not well covered.

Unable to confirm if the interest payments on Muthoot Capital Services's debt are well covered by earnings due to lack of past financial data.


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 1.4x debt.


Next Steps

Dividend

What is Muthoot Capital Services's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Muthoot Capital Services's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Muthoot Capital Services's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Muthoot Capital Services has not reported any payouts.

Unable to verify if Muthoot Capital Services's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Muthoot Capital Services has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Muthoot Capital Services's salary, the management and board of directors tenure and is there insider trading?

2.6yrs

Average management tenure


CEO

Thomas Muthoot (69yo)

25.6yrs

Tenure

₹19,044,000

Compensation

Mr. Thomas George Muthoot, BCom, has been the Managing Director of Muthoot Capital Services Ltd. since February 18,1994. Mr. Muthoot serves as a Joint Managing Director of Muthoot Finance Limited. He has b ...


CEO Compensation Analysis

Thomas's remuneration is higher than average for companies of similar size in India.

Thomas's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

2.6yrs

Average Tenure

47yo

Average Age

The tenure for the Muthoot Capital Services management team is about average.


Board Age and Tenure

25.4yrs

Average Tenure

69yo

Average Age

The average tenure for the Muthoot Capital Services board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

More shares have been bought than sold by Muthoot Capital Services individual insiders in the past 3 months.


Recent Insider Transactions

Buy₹141,16007 Sep 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares300
Max Price₹508.54
Buy₹50,66006 Sep 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares100
Max Price₹506.60
Buy₹72,24505 Sep 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares160
Max Price₹451.53
Buy₹344,10003 Sep 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares700
Max Price₹492.00
Buy₹800,20002 Sep 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares1,592
Max Price₹503.00
Buy₹50,80002 Sep 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares100
Max Price₹508.00
Buy₹156,75030 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares309
Max Price₹511.50
Buy₹101,30030 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares200
Max Price₹506.50
Buy₹158,61028 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares311
Max Price₹510.00
Buy₹55,61928 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares110
Max Price₹506.00
Buy₹224,50027 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares449
Max Price₹500.00
Buy₹45,39027 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares89
Max Price₹510.00
Buy₹100,03026 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares200
Max Price₹500.15
Buy₹11,50023 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares23
Max Price₹500.00
Buy₹152,54123 Aug 19
M. Sundaram
EntityIndividual
Shares300
Max Price₹508.47
Buy₹484,98821 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares923
Max Price₹527.92
Buy₹25,44021 Aug 19
VinodKumar Panicker
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares50
Max Price₹508.81
Buy₹408,71021 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares800
Max Price₹524.29
Buy₹1,350,69220 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares2,461
Max Price₹557.80
Buy₹327,25917 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares603
Max Price₹544.98
Buy₹9,76216 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares18
Max Price₹545.83
Buy₹27,00014 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares50
Max Price₹540.00
Buy₹880,09913 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares1,600
Max Price₹550.06
Buy₹347,08912 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares642
Max Price₹540.64
Buy₹405,84908 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares751
Max Price₹542.44
Buy₹26,40006 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares48
Max Price₹550.00
Buy₹2,687,63006 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares4,944
Max Price₹547.23
Buy₹105,01402 Aug 19
M. Sundaram
EntityIndividual
Shares200
Max Price₹525.07
Buy₹247,63002 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chief Executive Officer
MD & Executive Director
Shares452
Max Price₹547.85
Buy₹471,21302 Aug 19
VinodKumar Panicker
EntityIndividual
Role
Chief Financial Officer
Chief Financial Officer
Shares900
Max Price₹523.57
Buy₹1,068,59902 Aug 19
Thomas Muthoot
EntityIndividual
Role
Chairman of the Board
Chairman of the Board
Shares1,993
Max Price₹541.92

Ownership Breakdown


Management Team

  • Thomas Muthoot (69yo)

    MD & Executive Director

    • Tenure: 25.6yrs
    • Compensation: ₹19.04m
  • VinodKumar Panicker (53yo)

    Chief Financial Officer

    • Tenure: 5.8yrs
  • R. Balakrishnan (54yo)

    Executive Vice President

    • Tenure: 0yrs
  • T. Vijayan (45yo)

    VP of IT & Operations

    • Tenure: 0yrs
  • Madhu Alexiouse (47yo)

    Chief Operating Officer

    • Tenure: 2.6yrs
  • Gopalakrishnan Prakash (41yo)

    Head of Human Resources

    • Tenure: 2.3yrs
  • Sandeep Vellarikkat (37yo)

    Head of Credit & Risk

    • Tenure: 0yrs
  • Abhijith Jayan (24yo)

    Company Secretary & Chief Compliance Officer

    • Tenure: 0.4yrs
  • Manish Dhar (49yo)

    Assistant Vice President of Sales

    • Tenure: 0yrs

Board Members

  • Arrattukulam Kurian (85yo)

    Non-Executive - Independent Director

    • Tenure: 25.4yrs
    • Compensation: ₹120.00k
  • Thomas Muthoot (69yo)

    MD & Executive Director

    • Tenure: 25.6yrs
    • Compensation: ₹19.04m
  • Thomas Muthoot (57yo)

    Chairman of the Board

    • Tenure: 25.6yrs
  • Thomas Muthoot (53yo)

    Non Executive Non Independent Director

    • Tenure: 25.6yrs
  • Thomas Mathew

    Additional Non-Executive Independent Director

    • Tenure: 0.4yrs
  • Radha Unni (71yo)

    Non Executive Independent Additional Woman Director

    • Tenure: 5.3yrs
    • Compensation: ₹105.00k
  • K. Abraham

    Additional Non-Executive Independent Director

    • Tenure: 0.7yrs

Company Information

Muthoot Capital Services Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Muthoot Capital Services Limited
  • Ticker: MUTHTFN
  • Exchange: NSEI
  • Founded: 1994
  • Industry: Consumer Finance
  • Sector: Diversified Financials
  • Market Cap: ₹7.505b
  • Shares outstanding: 16.45m
  • Website: https://www.muthootcap.com

Number of Employees


Location

  • Muthoot Capital Services Limited
  • Muthoot Towers
  • 3rd Floor
  • Kochi
  • Kerala
  • 682035
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
511766BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 2008
MUTHTFNNSEI (National Stock Exchange of India)YesEquity SharesININRApr 2008

Biography

Muthoot Capital Services Limited, a non-banking finance company (NBFC), provides fund and non-fund based financial services. The company offers two wheeler, used car, consumer durable, secured business, te ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/15 12:59
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2019/03/31


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.