Mangalam Global Enterprise (NSEI:MGEL) - Share price, News & Analysis

MGEL fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	0/6
Past Performance	1/6
Financial Health	3/6
Dividends	2/6

MGEL Stock Overview

Risk Analysis

Interest payments are not well covered by earnings

Dividend of 0.61% is not well covered by earnings

Large one-off items impacting financial results

Profit margins (0.3%) are lower than last year (0.6%)

+ 3 more risks

Mangalam Global Enterprise Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Mangalam Global Enterprise
Historical stock prices
Current Share Price	₹164.45
52 Week High	₹240.00
52 Week Low	₹43.35
Beta	-0.11
1 Month Change	-14.79%
3 Month Change	-24.02%
1 Year Change	246.58%
3 Year Change	n/a
5 Year Change	n/a
Change since IPO	378.98%

Recent News & Updates

Jun 02

Investors Will Want Mangalam Global Enterprise's (NSE:MGEL) Growth In ROCE To Persist

To find a multi-bagger stock, what are the underlying trends we should look for in a business? Amongst other things...

Shareholder Returns

	MGEL	IN Food	IN Market
7D	-14.4%	2.5%	2.3%
1Y	246.6%	-5.0%	-0.9%

Return vs Industry: MGEL exceeded the Indian Food industry which returned -7.1% over the past year.

Return vs Market: MGEL exceeded the Indian Market which returned -1.7% over the past year.

Price Volatility

Is MGEL's price volatile compared to industry and market?
MGEL volatility
MGEL Average Weekly Movement	7.4%
Food Industry Average Movement	7.6%
Market Average Movement	6.9%
10% most volatile stocks in IN Market	9.9%
10% least volatile stocks in IN Market	4.5%

Stable Share Price: MGEL is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: MGEL's weekly volatility (7%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1942	113	n/a	https://www.groupmangalam.com

Mangalam Global Enterprise Limited, together with its subsidiaries, engages in the manufacturing, dealing, and trading of edible and non-edible oils, and agricultural products India and internationally. Its products include soya oil, soya meal, soya de oiled cake, mustard oil, mustard meal, mustard de oiled cake, refined castor oil first special grade, castor de-oiled cake and high protein castor de-oiled cake, and cotton bales. The company also trades in wheat, rice, etc.; and manufactures and trades in cotton, cotton ginning, other agriculture commodities, and other merchandise, as well as provides agency services.

Mangalam Global Enterprise Fundamentals Summary

How do Mangalam Global Enterprise's earnings and revenue compare to its market cap?
MGEL fundamental statistics
Market Cap	₹4.28b
Earnings (TTM)	₹43.03m
Revenue (TTM)	₹12.77b

99.5x

P/E Ratio

0.3x

P/S Ratio

Is MGEL overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
MGEL income statement (TTM)
Revenue	₹12.77b
Cost of Revenue	₹12.24b
Gross Profit	₹536.47m
Other Expenses	₹493.44m
Earnings	₹43.03m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	1.65
Gross Margin	4.20%
Net Profit Margin	0.34%
Debt/Equity Ratio	150.5%

How did MGEL perform over the long term?

See historical performance and comparison

Dividends

0.6%

Current Dividend Yield

69%

Payout Ratio

Does MGEL pay a reliable dividends?

See MGEL dividend history and benchmarks

When do you need to buy MGEL by to receive an upcoming dividend?
Mangalam Global Enterprise dividend dates
Ex Dividend Date	Jul 14 2022
Dividend Pay Date	Aug 23 2022
Days until Ex dividend	19 days
Days until Dividend pay date	59 days

Does MGEL pay a reliable dividends?

See MGEL dividend history and benchmarks

We’ve recently updated our valuation analysis.

Valuation

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

Valuation Score

1/6

Valuation Score 1/6

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 MGEL?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for MGEL. This is calculated by dividing MGEL's market cap by their current preferred multiple.
What is MGEL's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹4.28b

MGEL 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/Revenue	0.4x
Enterprise Value/EBITDA	54.1x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

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

MGEL PE Ratio vs Peers

The above table shows the PE ratio for MGEL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	109.9x

Forward PE

Price-To-Earnings vs Peers: MGEL is good value based on its Price-To-Earnings Ratio (99.5x) compared to the peer average (109.9x).

Price to Earnings Ratio vs Industry

How does MGEL's PE Ratio compare vs other companies in the Indian Food Industry?

Price-To-Earnings vs Industry: MGEL is expensive based on its Price-To-Earnings Ratio (99.5x) compared to the Indian Food industry average (22.4x)

Price to Earnings Ratio vs Fair Ratio

What is MGEL'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.

MGEL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	99.5x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate MGEL's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

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

Below Fair Value: MGEL (₹164.45) is trading above our estimate of fair value (₹13.96)

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

Price to Earnings Growth Ratio

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

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Future Growth

How is Mangalam Global Enterprise forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

18.7%

Forecasted Food, Beverage & Tobacco 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 Mangalam Global Enterprise 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.

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Mangalam Global Enterprise competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Mangalam Global Enterprise performed over the past 5 years?

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

22.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: MGEL has a large one-off gain of ₹27.0M impacting its March 31 2022 financial results.

Growing Profit Margin: MGEL's current net profit margins (0.3%) are lower than last year (0.6%).

Past Earnings Growth Analysis

Earnings Trend: MGEL's earnings have grown significantly by 22.1% per year over the past 5 years.

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

Earnings vs Industry: MGEL had negative earnings growth (-25.7%) over the past year, making it difficult to compare to the Food industry average (12.1%).

Return on Equity

High ROE: MGEL's Return on Equity (4.5%) is considered low.

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Financial Health

How is Mangalam Global Enterprise's financial position?

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: MGEL's short term assets (₹2.3B) exceed its short term liabilities (₹1.7B).

Long Term Liabilities: MGEL's short term assets (₹2.3B) exceed its long term liabilities (₹247.1M).

Debt to Equity History and Analysis

Debt Level: MGEL's net debt to equity ratio (130.3%) is considered high.

Reducing Debt: MGEL's debt to equity ratio has reduced from 4980.1% to 150.5% over the past 5 years.

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

Interest Coverage: MGEL's interest payments on its debt are not well covered by EBIT (0.6x coverage).

Balance Sheet

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Dividend

What is Mangalam Global Enterprise 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

0.61%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: MGEL's dividend (0.61%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: MGEL's dividend (0.61%) is low compared to the top 25% of dividend payers in the Indian market (1.9%).

Stability and Growth of Payments

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

Growing Dividend: MGEL's dividend payments have increased, but the company has only paid a dividend for 2 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonable payout ratio (69.4%), MGEL's dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: MGEL is paying a dividend but the company has no free cash flows.

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Management

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

2.1yrs

Average management tenure

CEO

Mangalam Global Enterprise has no CEO, or we have no data on them.

Leadership Team

Experienced Management: MGEL's management team is considered experienced (2.1 years average tenure).

Board Members

Experienced Board: MGEL's board of directors are not considered experienced ( 2.8 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: MGEL insiders have only sold shares in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.7%.

Data	Last Updated (UTC time)
Company Analysis	2022/06/24 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31