NSEI:FINANTECH

Stock Analysis Report

63 moons technologies

Executive Summary

63 moons technologies limited provides computer programming, consulting, and related services in India and internationally.

Rewards

Became profitable this year

Risk Analysis

Earnings have declined by -80.07% per year over past 5 years

Dividend of 1.97% is not well covered by earnings

Large one-off items impacting financial results

Does not have a meaningful market cap (₹5B)



Snowflake Analysis

Flawless balance sheet and overvalued.

Share Price & News

How has 63 moons technologies's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: FINANTECH has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.4%

FINANTECH

-4.3%

IN Software

-1.5%

IN Market


1 Year Return

36.9%

FINANTECH

-16.0%

IN Software

10.7%

IN Market

Return vs Industry: FINANTECH exceeded the Indian Software industry which returned -16% over the past year.

Return vs Market: FINANTECH exceeded the Indian Market which returned 10.7% over the past year.


Shareholder returns

FINANTECHIndustryMarket
7 Day-1.4%-4.3%-1.5%
30 Day-9.3%-3.8%-2.7%
90 Day-7.0%-1.8%1.3%
1 Year39.4%36.9%-15.2%-16.0%12.7%10.7%
3 Year35.4%26.8%-15.3%-22.2%22.0%15.1%
5 Year-33.2%-42.2%-0.6%-15.0%34.5%22.0%

Price Volatility Vs. Market

How volatile is 63 moons technologies's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is 63 moons technologies undervalued compared to its fair value and its price relative to the market?

50.9x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: FINANTECH (₹101.8) is trading above our estimate of fair value (₹22.28)

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


Price To Earnings Ratio

PE vs Industry: FINANTECH is poor value based on its PE Ratio (50.9x) compared to the Software industry average (11.5x).

PE vs Market: FINANTECH is poor value based on its PE Ratio (50.9x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FINANTECH is good value based on its PB Ratio (0.1x) compared to the IN Software industry average (0.9x).


Next Steps

Future Growth

How is 63 moons technologies forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

15.7%

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 63 moons technologies 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 63 moons technologies performed over the past 5 years?

-80.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FINANTECH has a large one-off gain of ₹608.2M impacting its December 31 2019 financial results.

Growing Profit Margin: FINANTECH became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: FINANTECH's earnings have declined by -80.1% per year over the past 5 years.

Accelerating Growth: FINANTECH has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: FINANTECH has become profitable in the last year, making it difficult to compare its past year earnings growth to the Software industry (-5.4%).


Return on Equity

High ROE: FINANTECH's Return on Equity (0.3%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is 63 moons technologies's financial position?


Financial Position Analysis

Short Term Liabilities: FINANTECH's short term assets (₹18.6B) exceed its short term liabilities (₹2.7B).

Long Term Liabilities: FINANTECH's short term assets (₹18.6B) exceed its long term liabilities (₹201.0M).


Debt to Equity History and Analysis

Debt Level: FINANTECH is debt free.

Reducing Debt: FINANTECH has no debt compared to 5 years ago when its debt to equity ratio was 17.4%.

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

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


Balance Sheet

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

Debt Coverage by Assets: Insufficient data to determine if FINANTECH's debt is covered by short term assets.


Next Steps

Dividend

What is 63 moons technologies's current dividend yield, its reliability and sustainability?

1.97%

Current Dividend Yield


Dividend Yield vs Market

company2.0%marketbottom25%0.6%markettop25%2.6%industryaverage2.0%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: FINANTECH's dividend (1.97%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: FINANTECH's dividend (1.97%) is low compared to the top 25% of dividend payers in the Indian market (2.58%).


Stability and Growth of Payments

Stable Dividend: FINANTECH's dividend payments have been volatile in the past 10 years.

Growing Dividend: FINANTECH's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (100.1%), FINANTECH's dividend payments are not 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?

5.3yrs

Average management tenure


CEO

S. Rajendran (67yo)

3yrs

Tenure

₹17,705,000

Compensation

Mr. S. Rajendran has been the Chief Executive Officer and Managing Director of 63 Moons Technologies Limited (alternate name: Financial Technologies (India) Limited) since February 10, 2017 and as its Dire ...


CEO Compensation Analysis

Compensation vs Market: S.'s total compensation ($USD247.42K) is above average for companies of similar size in the Indian market ($USD50.34K).

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


Leadership Team

NamePositionTenureCompensationOwnership
S. Rajendran
MD, CEO & Director3yrs₹17.71mno data
Devendra Agrawal
CFO & Whole-Time Director2.8yrs₹7.35m0.00043% 20.2k
Paras Ajmera
President0yrsno datano data
Dewang Neralla
Co-Founder2.8yrs₹14.82m0.13% 6.1m
Pratap Polkam
Chief Technology Officer0yrsno datano data
Sanjay Lopez
Vice President of Administration - General & Procurement14.5yrsno datano data
Hariraj Chouhan
Senior VP0yrs₹4.34mno data
Nimish Shukla
President of Corporate Affairs & Communications10.8yrsno datano data
Shreekant Javalgekar
President of Special Affairs0yrsno datano data
Mehmood Vaid
Head of Exchange Technology Solutions0yrsno datano data

5.3yrs

Average Tenure

49.5yo

Average Age

Experienced Management: FINANTECH's management team is seasoned and experienced (5.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
S. Rajendran
MD, CEO & Director3yrs₹17.71mno data
Devendra Agrawal
CFO & Whole-Time Director2.8yrs₹7.35m0.00043% 20.2k
Ram Shahi
Executive Officer & Member of the Advisory Board0yrsno datano data
Asha Das
Executive Officer & Member of the Advisory Board0yrsno datano data
Ghyanendra Bajpai
Chairman of the Advisory Board0yrsno datano data
Jignesh Shah
Founder & Chairman Emeritus5.3yrsno data18.2% 852.9m
Venkat Chary
Chairman & Member of Advisory Board5.8yrs₹1.75mno data
Ang Tian
Member of the Advisory Board0yrsno datano data
Achudanarayanan Nagarajan
Independent Non-Executive Director6.3yrs₹1.20mno data
Suresh Salvi
Non-Executive Director3.3yrs₹775.00kno data

5.5yrs

Average Tenure

74yo

Average Age

Experienced Board: FINANTECH's board of directors are considered experienced (5.5 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

63 moons technologies limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: 63 moons technologies limited
  • Ticker: FINANTECH
  • Exchange: NSEI
  • Founded: 1988
  • Industry: Application Software
  • Sector: Software
  • Market Cap: ₹4.686b
  • Shares outstanding: 46.08m
  • Website: https://www.63moons.com

Location

  • 63 moons technologies limited
  • FT Tower
  • CTS No. 256 & 257
  • Mumbai
  • Maharashtra
  • 400093
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
526881BSE (Mumbai Stock Exchange)YesEquity SharesININRJun 2000
FINANTECHNSEI (National Stock Exchange of India)YesEquity SharesININRJun 2000

Biography

63 moons technologies limited provides computer programming, consulting, and related services in India and internationally. It operates through Straight through Processing Technologies/Solutions, Exchange Based, and Others segments. The company offers technology intellectual property and domain services to create and trade on financial markets in equities, commodities, currencies, bonds, and others; and operates trading platform for commodity, equity, equity derivatives, forex based derivatives, etc. It also provides exchange technology framework products suite that includes exchange, clearing house, and depository solutions, which cover various exchange operations ranging from trading to settlement; and brokerage technology solutions suite, including front office, middle office, back office, and other solutions. In addition, it offers risk solutions, which includes secure software applications comprising risk management systems to the banking financial services and insurance sector in the area of information management and regulatory capital computation for various types of risks and compliance reporting, as well as online data collection and integrated risk management suites. Further, the company provides trading, procurement, process management, risk consultancy, shared business support, information technology infrastructure sharing, NBFC related, Internet telecommunication services and training, and certification and franchise services. Additionally, it operates financial markets and ecosystem ventures in India, the Middle East, Africa, and Southeast Asia. The company was formerly known as Financial Technologies (India) Limited and changed its name to 63 moons technologies limited in May 2016. 63 moons technologies limited was incorporated in 1988 and is based in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/19 12:57
End of Day Share Price2020/02/19 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.