Entertainment Network (India) (BSE:532700) - Share price, News & Analysis

532700 fundamental analysis
Snowflake Score
Valuation	2/6
Future Growth	5/6
Past Performance	0/6
Financial Health	6/6
Dividends	2/6

532700 Stock Overview

Entertainment Network (India) Limited, together with its subsidiary, operates FM radio broadcasting stations in India and internationally.

Rewards

Trading at 10.6% below our estimate of its fair value

Earnings are forecast to grow 121.53% per year

Risk Analysis

Dividend of 0.58% is not well covered by earnings

Entertainment Network (India) Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Entertainment Network (India)
Historical stock prices
Current Share Price	₹171.80
52 Week High	₹232.80
52 Week Low	₹159.10
Beta	0.40
1 Month Change	-4.21%
3 Month Change	-11.94%
1 Year Change	-2.91%
3 Year Change	-61.07%
5 Year Change	-80.91%
Change since IPO	-35.12%

Shareholder Returns

	532700	IN Media	IN Market
7D	-0.3%	1.5%	2.3%
1Y	-2.9%	-8.1%	-0.9%

Return vs Industry: 532700 exceeded the Indian Media industry which returned -8.1% over the past year.

Return vs Market: 532700 underperformed the Indian Market which returned -0.9% over the past year.

Price Volatility

Is 532700's price volatile compared to industry and market?
532700 volatility
532700 Average Weekly Movement	5.6%
Media Industry Average Movement	6.4%
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: 532700 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: 532700's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1999	910	Prashant Panday	https://www.enil.co.in

Entertainment Network (India) Limited, together with its subsidiary, operates FM radio broadcasting stations in India and internationally. As of March 31, 2021, it operated 73 stations in 63 cities under the brand names of Radio Mirchi, Mirchi Love, Mirchi 95, and Kool FM, as well as online radio stations. The company was incorporated in 1999 and is based in Mumbai, India.

Entertainment Network (India) Fundamentals Summary

How do Entertainment Network (India)'s earnings and revenue compare to its market cap?
532700 fundamental statistics
Market Cap	₹8.19b
Earnings (TTM)	-₹363.02m
Revenue (TTM)	₹3.21b

2.5x

P/S Ratio

-22.6x

P/E Ratio

Is 532700 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
532700 income statement (TTM)
Revenue	₹3.21b
Cost of Revenue	₹1.99b
Gross Profit	₹1.22b
Other Expenses	₹1.58b
Earnings	-₹363.02m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-7.62
Gross Margin	37.94%
Net Profit Margin	-11.30%
Debt/Equity Ratio	0%

How did 532700 perform over the long term?

See historical performance and comparison

Dividends

0.6%

Current Dividend Yield

-13%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is 532700 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-Sales vs Peers
Price-To-Sales vs Industry
Price-To-Sales 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 532700?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 532700. This is calculated by dividing 532700's market cap by their current preferred multiple.
What is 532700's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹8.19b

532700 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	2.6x
Enterprise Value/EBITDA	17.3x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

How does 532700's PS Ratio compare to its peers?

532700 PS Ratio vs Peers

The above table shows the PS ratio for 532700 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	2.5x

Forward PS

Price-To-Sales vs Peers: 532700 is expensive based on its Price-To-Sales Ratio (2.5x) compared to the peer average (2.5x).

Price to Earnings Ratio vs Industry

How does 532700's PE Ratio compare vs other companies in the Indian Media Industry?

Price-To-Sales vs Industry: 532700 is expensive based on its Price-To-Sales Ratio (2.5x) compared to the Indian Media industry average (1.7x)

Price to Sales Ratio vs Fair Ratio

What is 532700's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

532700 PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	2.5x
Fair PS Ratio	2.6x

Price-To-Sales vs Fair Ratio: 532700 is good value based on its Price-To-Sales Ratio (2.5x) compared to the estimated Fair Price-To-Sales Ratio (2.6x).

Share Price vs Fair Value

What is the Fair Price of 532700 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 532700 (₹171.8) is trading below our estimate of fair value (₹192.24)

Significantly Below Fair Value: 532700 is trading below fair value, but not by a significant amount.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 532700's PEG Ratio to determine if it is good value.

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Future Growth

How is Entertainment Network (India) forecast to perform in the next 1 to 3 years based on estimates from 3 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

121.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: 532700 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (6.7%).

Earnings vs Market: 532700 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 532700 is expected to become profitable in the next 3 years.

Revenue vs Market: 532700's revenue (25.9% per year) is forecast to grow faster than the Indian market (11.5% per year).

High Growth Revenue: 532700's revenue (25.9% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: 532700's Return on Equity is forecast to be low in 3 years time (6.6%).

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Past Performance

How has Entertainment Network (India) performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

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

-62.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 532700 is currently unprofitable.

Growing Profit Margin: 532700 is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: 532700 is unprofitable, and losses have increased over the past 5 years at a rate of 62% per year.

Accelerating Growth: Unable to compare 532700's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 532700 is unprofitable, making it difficult to compare its past year earnings growth to the Media industry (13.3%).

Return on Equity

High ROE: 532700 has a negative Return on Equity (-4.76%), as it is currently unprofitable.

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Financial Health

How is Entertainment Network (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: 532700's short term assets (₹3.8B) exceed its short term liabilities (₹1.2B).

Long Term Liabilities: 532700's short term assets (₹3.8B) exceed its long term liabilities (₹2.2B).

Debt to Equity History and Analysis

Debt Level: 532700 is debt free.

Reducing Debt: 532700 has no debt compared to 5 years ago when its debt to equity ratio was 14.4%.

Debt Coverage: 532700 has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: 532700 has no debt, therefore coverage of interest payments is not a concern.

Balance Sheet

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Dividend

What is Entertainment Network (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

0.58%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: 532700's dividend (0.58%) is higher than the bottom 25% of dividend payers in the Indian market (0.43%).

High Dividend: 532700's dividend (0.58%) 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, 532700 has been paying a dividend for less than 10 years.

Growing Dividend: 532700 has only been paying a dividend for 9 years, and since then payments have not increased.

Earnings Payout to Shareholders

Earnings Coverage: 532700 is paying a dividend but the company is unprofitable.

Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (15%), 532700's dividend payments are thoroughly covered by cash flows.

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Management

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

11.3yrs

Average management tenure

CEO

Prashant Panday (56 yo)

14.83yrs

Tenure

₹22,987,000

Compensation

Mr. Prashant Babulal Panday serves as Chief Executive Officer, Managing Director and Director at Mirchi Movies Limited. Mr. Panday has been associated with Mirchi Movies Limited since August 2000 and has p...

CEO Compensation Analysis

Compensation vs Market: Prashant's total compensation ($USD293.69K) is above average for companies of similar size in the Indian market ($USD38.33K).

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

Leadership Team

Experienced Management: 532700's management team is seasoned and experienced (11.3 years average tenure).

Board Members

Experienced Board: 532700's board of directors are seasoned and experienced ( 11.9 years average tenure).

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.

Data	Last Updated (UTC time)
Company Analysis	2022/06/26 00:00
End of Day Share Price	2022/06/24 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31