BSE:531082

Stock Analysis Report

Executive Summary

Alankit Limited provides in e-governance services and products in India.


Snowflake Analysis

Adequate balance sheet with acceptable track record.

Share Price & News

How has Alankit's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 531082's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

25.8%

531082

-2.0%

IN IT

1.4%

IN Market


1 Year Return

-65.2%

531082

-21.7%

IN IT

-30.7%

IN Market

Return vs Industry: 531082 underperformed the Indian IT industry which returned -21.7% over the past year.

Return vs Market: 531082 underperformed the Indian Market which returned -30.7% over the past year.


Shareholder returns

531082IndustryMarket
7 Day25.8%-2.0%1.4%
30 Day-25.8%-18.4%-24.8%
90 Day-12.1%-22.2%-30.6%
1 Year-65.2%-65.2%-19.2%-21.7%-29.3%-30.7%
3 Year-51.9%-52.5%30.8%22.8%-18.1%-22.6%
5 Year-3.7%-6.1%20.9%9.3%-7.2%-12.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Alankit undervalued compared to its fair value and its price relative to the market?

9.5x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 531082 (₹11.13) is trading above our estimate of fair value (₹2.56)

Significantly Below Fair Value: 531082 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 531082 is poor value based on its PE Ratio (9.5x) compared to the IT industry average (7.3x).

PE vs Market: 531082 is poor value based on its PE Ratio (9.5x) compared to the Indian market (9.4x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 531082's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 531082 is overvalued based on its PB Ratio (2x) compared to the IN IT industry average (0.7x).


Next Steps

Future Growth

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

8.2%

Forecasted Software 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 Alankit 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.


Next Steps

Past Performance

How has Alankit performed over the past 5 years?

30.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 531082 has high quality earnings.

Growing Profit Margin: 531082's current net profit margins (10.5%) are lower than last year (12.8%).


Past Earnings Growth Analysis

Earnings Trend: 531082 has become profitable over the past 5 years, growing earnings by 30.7% per year.

Accelerating Growth: 531082's earnings growth over the past year (4%) is below its 5-year average (30.7% per year).

Earnings vs Industry: 531082 earnings growth over the past year (4%) underperformed the IT industry 7.2%.


Return on Equity

High ROE: 531082's Return on Equity (20.1%) is considered high.


Next Steps

Financial Health

How is Alankit's financial position?


Financial Position Analysis

Short Term Liabilities: 531082's short term assets (₹854.4M) exceed its short term liabilities (₹440.9M).

Long Term Liabilities: 531082's short term assets (₹854.4M) exceed its long term liabilities (₹324.8M).


Debt to Equity History and Analysis

Debt Level: 531082's debt to equity ratio (15.8%) is considered satisfactory.

Reducing Debt: Insufficient data to determine if 531082's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: 531082's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 531082 earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: 531082 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 531082's debt is covered by short term assets (assets are 6.6x debt).


Next Steps

Dividend

What is Alankit's current dividend yield, its reliability and sustainability?

1.80%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 531082's dividend (1.8%) is higher than the bottom 25% of dividend payers in the Indian market (0.95%).

High Dividend: 531082's dividend (1.8%) is low compared to the top 25% of dividend payers in the Indian market (4.06%).


Stability and Growth of Payments

Stable Dividend: 531082 has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: 531082's dividend payments have increased, but the company has only paid a dividend for 5 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.1%), 531082's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

1.2yrs

Average management tenure


CEO

Ankit Agarwal (33yo)

5.92s

Tenure

Mr. Ankit Agarwal has been Managing Director of Alankit Limited since May 26, 2014. Mr. Agarwal served as Compliance Officer and Secretary of Alankit Limited since June 10, 2015. Mr. Agarwal has been an E ...


CEO Compensation Analysis

Compensation vs Market: Ankit's total compensation ($USD0.00) is below average for companies of similar size in the Indian market ($USD48.21K).

Compensation vs Earnings: Ankit's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Ankit Agarwal
MD & Executive Director5.92yrsno data2.8% 44.5m
Perminder Saini
Chief Financial Officer1.42yrs₹1.94mno data
Khushboo Arora
Company Secretary & Compliance Officer0.50yrno datano data
Vishal Soni
Chief Revenue Officer0.92yrno datano data

1.2yrs

Average Tenure

Experienced Management: 531082's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Ankit Agarwal
MD & Executive Director5.92yrsno data2.8% 44.5m
Yash Basrar
Independent & Non-Executive Director8.58yrs₹140.00k0.000070% 1.1k
Alok Agarwal
Chairman of the Boardno data₹120.00k2.36% 37.5m
Preeti Chadha
Non Executive Director3.25yrs₹293.05kno data
Ashok Bhuta
Independent Non-Executive Director1.92yrs₹140.00kno data
Meera Lal
Additional Independent Non-Executive Woman Director0.17yrno datano data

3.3yrs

Average Tenure

67.5yo

Average Age

Experienced Board: 531082's board of directors are considered experienced (3.3 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.


Top Shareholders

Company Information

Alankit Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alankit Limited
  • Ticker: 531082
  • Exchange: BSE
  • Founded: 1989
  • Industry: Data Processing and Outsourced Services
  • Sector: Software
  • Market Cap: ₹1.591b
  • Shares outstanding: 142.96m
  • Website: https://www.alankit.in

Location

  • Alankit Limited
  • 205-208, Anarkali Complex
  • Jhandewalan Extension
  • New Delhi
  • Delhi
  • 110055
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
531082BSE (Mumbai Stock Exchange)YesEquity SharesININRJul 2010
ALANKITNSEI (National Stock Exchange of India)YesEquity SharesININRJul 2010

Biography

Alankit Limited provides in e-governance services and products in India. The company accepts PAN applications; change in PAN particulars applications; and e-TDS/e-TCS/AIR/e-TBAF returns in electronic mode from corporate and non-corporate assesses. It is also involved in the digitization of paper returns filed with income tax department. In addition, the company enrolls residents with Aadhaar, a unique identification number that is issued by Unique Identification Authority of India; and provides services of National Skills Registry. Further, it engages in the provision of services to policyholders as National Insurance Repository; services for implementing and managing paper to follow process; and services as a business correspondent to the State Bank of India and other banks, as well as manpower services. Additionally, the company is involved in the scanning and digitization of medical records; distribution of ID card printers; Aadhaar seeding for enabling de-duplication of database; and distribution, storage, and inventory management of LED bulbs and ceiling fans. It also offers Aadhaar enabled services to its beneficiaries, clients, and customers; know your customer user agency services; and point of presence service provider services for New Pension System, as well as Atal Pension Yojana, and GST software and billing services. The company was formerly known as Euro Finmart Limited and changed its name to Alankit Limited in September 2014. Alankit Limited was incorporated in 1989 and is based in New Delhi, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/01 22:20
End of Day Share Price2020/04/01 00:00
Earnings2019/12/31
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.