Hubtown (NSEI:HUBTOWN) - Share price, News & Analysis

HUBTOWN fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	0/6
Past Performance	0/6
Financial Health	5/6
Dividends	0/6

HUBTOWN Stock Overview

Hubtown Limited constructs and develops real estate properties in India.

Risk Analysis

Earnings have declined by 29% per year over past 5 years

Volatile share price over the past 3 months

Does not have a meaningful market cap (₹4B)

Hubtown Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Hubtown
Historical stock prices
Current Share Price	₹49.50
52 Week High	₹76.10
52 Week Low	₹23.60
Beta	0.78
1 Month Change	-19.58%
3 Month Change	10.25%
1 Year Change	76.16%
3 Year Change	162.60%
5 Year Change	-56.73%
Change since IPO	-91.22%

Recent News & Updates

Nov 30

Hubtown (NSE:HUBTOWN) Has Debt But No Earnings; Should You Worry?

Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

Jul 29

Does Hubtown (NSE:HUBTOWN) Have A Healthy Balance Sheet?

Warren Buffett famously said, 'Volatility is far from synonymous with risk.' So it seems the smart money knows that...

Shareholder Returns

	HUBTOWN	IN Real Estate	IN Market
7D	-9.3%	-4.1%	-3.1%
1Y	76.2%	17.6%	-2.5%

Return vs Industry: HUBTOWN exceeded the Indian Real Estate industry which returned 19.3% over the past year.

Return vs Market: HUBTOWN exceeded the Indian Market which returned -1.6% over the past year.

Price Volatility

Is HUBTOWN's price volatile compared to industry and market?
HUBTOWN volatility
HUBTOWN Average Weekly Movement	8.6%
Real Estate Industry Average Movement	7.4%
Market Average Movement	6.9%
10% most volatile stocks in IN Market	9.8%
10% least volatile stocks in IN Market	4.5%

Stable Share Price: HUBTOWN is more volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: HUBTOWN's weekly volatility (9%) has been stable over the past year, but is still higher than 75% of Indian stocks.

About the Company

Founded	Employees	CEO	Website
1989	123	Vimal Shah	https://www.hubtown.co.in

Hubtown Limited constructs and develops real estate properties in India. It develops residential and commercial premises, as well as IT and industrial infrastructures. The company was formerly known as Ackruti City Limited and changed its name to Hubtown Limited in November 2011.

Hubtown Fundamentals Summary

How do Hubtown's earnings and revenue compare to its market cap?
HUBTOWN fundamental statistics
Market Cap	₹3.63b
Earnings (TTM)	-₹1.26b
Revenue (TTM)	₹1.90b

1.9x

P/S Ratio

-2.9x

P/E Ratio

Is HUBTOWN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
HUBTOWN income statement (TTM)
Revenue	₹1.90b
Cost of Revenue	₹633.20m
Gross Profit	₹1.27b
Other Expenses	₹2.53b
Earnings	-₹1.26b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-17.33
Gross Margin	66.72%
Net Profit Margin	-66.26%
Debt/Equity Ratio	51.9%

How did HUBTOWN perform over the long term?

See historical performance and comparison

We’ve recently updated our valuation analysis.

Valuation

Is HUBTOWN 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-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 HUBTOWN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for HUBTOWN. This is calculated by dividing HUBTOWN's market cap by their current preferred multiple.
What is HUBTOWN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹3.63b

HUBTOWN 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	5.3x
Enterprise Value/EBITDA	33x
PEG Ratio	n/a

Price to Sales Ratio vs Peers

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

HUBTOWN PS Ratio vs Peers

The above table shows the PS ratio for HUBTOWN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PS	Estimated Growth	Market Cap
Peer Average	1.6x

Forward PS

Price-To-Sales vs Peers: HUBTOWN is expensive based on its Price-To-Sales Ratio (1.9x) compared to the peer average (1.6x).

Price to Earnings Ratio vs Industry

How does HUBTOWN's PE Ratio compare vs other companies in the Indian Real Estate Industry?

Price-To-Sales vs Industry: HUBTOWN is good value based on its Price-To-Sales Ratio (1.9x) compared to the Indian Real Estate industry average (4.4x)

Price to Sales Ratio vs Fair Ratio

What is HUBTOWN'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.

HUBTOWN PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio	1.9x
Fair PS Ratio	n/a

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

Share Price vs Fair Value

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

Below Fair Value: HUBTOWN (₹49.5) is trading above our estimate of fair value (₹14.62)

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

Price to Earnings Growth Ratio

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

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Future Growth

How is Hubtown 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

24.6%

Forecasted Real Estate 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 Hubtown 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.

Discover growth companies

Examine Hubtown's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
Hubtown competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Hubtown 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

-29.0%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: HUBTOWN is currently unprofitable.

Growing Profit Margin: HUBTOWN is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: HUBTOWN is unprofitable, and losses have increased over the past 5 years at a rate of 29% per year.

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

Earnings vs Industry: HUBTOWN is unprofitable, making it difficult to compare its past year earnings growth to the Real Estate industry (34.1%).

Return on Equity

High ROE: HUBTOWN has a negative Return on Equity (-9.82%), as it is currently unprofitable.

Discover strong past performing companies

Financial Health

How is Hubtown's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: HUBTOWN's short term assets (₹31.9B) exceed its short term liabilities (₹31.1B).

Long Term Liabilities: HUBTOWN's short term assets (₹31.9B) exceed its long term liabilities (₹2.9B).

Debt to Equity History and Analysis

Debt Level: HUBTOWN's net debt to equity ratio (47.6%) is considered high.

Reducing Debt: HUBTOWN's debt to equity ratio has reduced from 108.1% to 51.9% over the past 5 years.

Balance Sheet

Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable HUBTOWN has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: HUBTOWN is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 20% per year.

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Dividend

What is Hubtown current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate HUBTOWN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate HUBTOWN'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 HUBTOWN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if HUBTOWN's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: HUBTOWN is not paying a notable dividend for the Indian market.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as HUBTOWN has not reported any payouts.

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Management

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

2.9yrs

Average management tenure

CEO

Vimal Shah (62 yo)

25.5yrs

Tenure

₹900,600

Compensation

Mr. Vyomesh Mahipatray Shah, also known as Vimal, CA is a Promoter of Akruti City Limited (formerly, Akruti Nirman Ltd.) and serves as its Managing Director. Mr. Shah has been the Managing Director of Hubt...

CEO Compensation Analysis

Compensation vs Market: Vimal's total compensation ($USD11.53K) is below average for companies of similar size in the Indian market ($USD38.49K).

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

Leadership Team

Experienced Management: HUBTOWN's management team is considered experienced (2.9 years average tenure).

Board Members

Experienced Board: HUBTOWN's board of directors are considered experienced (7.8 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	2022/06/22 00:00
End of Day Share Price	2022/06/22 00:00
Earnings	2022/03/31
Annual Earnings	2022/03/31