Mehabe score: 3 G Factor: 4 Piotski Score: 7 The stock has a rating HOLD. The mehabe team score is reflective of its fundamental and technical merits. A rating above 8 is considered good buy. The stock has a G-Factor of 4 and Piotski score of 7.
Description
Greencrest Financial Services is primarily engaged in the single business of trading in shares and securities.Site:531737
Market Cap:
Rs 28.9 cr
Price:
7.9
Trading pe:
23.1x
Book-value:
14.0/share
Div yield:
0.00 %
Earning yield:
5.82%
Face-value:
1.00/share
52week high:
8.80
52week low:
4.90
Technical Analysis
Stock trades at 7.9, above its 50dma 7.39. It also trades above its 200dma 7.07. The stock remains bullish on techicals
The 52 week high is at 8.80 and the 52week low is at 4.90
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
-Stock is trading at 0.56 times its book value
Weakness
– Though the company is reporting repeated profits, it is not paying out dividend
-The company has delivered a poor sales growth of -19.28% over past five years.
-Promoter holding is low: 1.25%
– has a low return on equity of 1.15% for last 3 years.
Competition
– The industry trades at a mean P/E of 18.3x. SBI Cards trades at the industry’s max P/E of 99.82x. 531737 trades at a P/E of 23.1x
– Industry’s mean G-Factor is 4.5 while the mean Piotski score is 7.0. 531737 has a G-Factor of 4 and Piotski scoreof 7.
– Average 1 month return for industry is 7.8%. The max 1- month return was given by Muthoot Finance: a return of 24.88 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 1.6 cr compared to Rs 0.32 cr for period ended Mar 2020, a rise of 400.0%
Company reported negative operating profit of Rs -0.96 cr for period ended Mar 2021. For same period last year, operating profit was -0.16
The EPS for Mar 2021 was Rs -0.19 compared to Rs 0.13 for previous quarter ended Dec 2020 and Rs -0.04 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 3.81 cr for period ended Mar 2021 vis-vis sales of Rs 3.65 cr for the period ended Mar 2020, a growth of 4.2%. The 3 year sales cagr stood at -51.1%.
Operating margins expanded to 18.11% for period ended Mar 2021 vis-vis 17.26% for period ended Mar 2020, expansion of 85.0 bps.
Net Profit reported at Rs 0.48 cr for period ended Mar 2021 vis-vis sales of Rs 0.45 cr for the period ended Mar 2020, rising 6.2%.
Company reported a poor Net Profit CAGR of -3.2% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The company has had stable/constant Return on Equity (RoE) metric. The RoE on Last Year basis was 1.0% compared to 1.0% over the last 3 Years. – The stock has given a return of 58% on a 1 Year basis vis-vis a return of -68% over the last 3 Years. – The compounded sales growth on a TTM bassis is -38% vis-vis a compounded sales growth of -29% over the last 3 Years. – The compounded profit growth on a TTM basis is 54% vis-vis a compounded profit growth of -9% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Mar 2021 public holding stood at 98.75% vis-vis 98.75% for Dec 2020
Conclusion
– is almost debt free.
-Stock is trading at 0.56 times its book value – Though the company is reporting repeated profits, it is not paying out dividend
-The company has delivered a poor sales growth of -19.28% over past five years.
-Promoter holding is low: 1.25%
– has a low return on equity of 1.15% for last 3 years.
The business fundamentals of the stock remain stable. Stronger near term results will build interest in the stock. We suggest to wait for a upturn in business performance.
Technically, the stock remains above its 50 DMA 7.39 and is trading at 7.9, thus bullish price action wise.
