Mehabe score: 5 G Factor: 6 Piotski Score: 6 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 6 and Piotski score of 6.
Description
TCFC Finance is mainly engaged in the business of finance and investments and trading in equity shares, mutual funds, securities etc.(Source : 201903 Annual Report Page No: 54)Site:532284
Market Cap:
Rs 36.4 cr
Price:
34.7
Trading pe:
3.81x
Book-value:
89.1/share
Div yield:
0.00 %
Earning yield:
16.79%
Face-value:
10.0/share
52week high:
34.50
52week low:
15.50
Technical Analysis
Stock trades at 34.7, above its 50dma 29.33. It also trades above its 200dma 25.16. The stock remains bullish on techicals
The 52 week high is at 34.50 and the 52week low is at 15.50
Price Chart
P/E Chart
Sales and Margin
Strengths
– is almost debt free.
-Stock is trading at 0.39 times its book value
– has delivered good profit growth of 22.70% CAGR over last 5 years
Weakness
– The company has delivered a poor sales growth of -43.17% over past five years.
– has a low return on equity of 5.25% for last 3 years.
Competition
– The industry trades at a mean P/E of 22.4x. SBI Cards trades at the industry’s max P/E of 92.94x. 532284 trades at a P/E of 3.81x
– Industry’s mean G-Factor is 4.8 while the mean Piotski score is 7.0. 532284 has a G-Factor of 6 and Piotski scoreof 6.
– Average 1 month return for industry is 6.0%. The max 1- month return was given by Muthoot Finance: a return of 19.35 %
Quarterly Results
Sales for period ended Mar 2021 is Rs 1.78 cr compared to Rs 0.31 cr for period ended Mar 2020, a rise of 474.2%
Company reported operating profit of Rs 1.43 cr for period ended Mar 2021, operating profit margin at 80.3 %.
Operating profit was negative for the same period last year thus company has improved its margins this year
The EPS for Mar 2021 was Rs 2.06 compared to Rs 3.01 for previous quarter ended Dec 2020 and Rs -2.82 for Mar 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 11.65 cr for period ended Mar 2021 vis-vis sales of Rs 1.23 cr for the period ended Mar 2020, a healthy growth of 89.4%. The 3 year sales cagr stood at -44.9%.
Operating margins expanded to 90.82% for period ended Mar 2021 vis-vis -44.72% for period ended Mar 2020, expansion of 13554.0 bps.
Net Profit reported at Rs 9.54 cr for period ended Mar 2021 vis-vis sales of Rs 0.09 cr for the period ended Mar 2020, rising 99.1%.
Company recorded a healthy Net Profit CAGR of 35.0% 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 improved its Return on Equity (RoE) metric. The RoE on Last Year basis was 11.0% compared to 5.0% over the last 3 Years. – The stock has given a return of 74% on a 1 Year basis vis-vis a return of 3% over the last 3 Years. – The compounded sales growth on a TTM bassis is 847% vis-vis a compounded sales growth of -45% over the last 3 Years. – The compounded profit growth on a TTM basis is 10500% vis-vis a compounded profit growth of 35% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Mar 2021 public holding stood at 28.24% vis-vis 28.71% for Dec 2020
Conclusion
– is almost debt free.
-Stock is trading at 0.39 times its book value
– has delivered good profit growth of 22.70% CAGR over last 5 years – The company has delivered a poor sales growth of -43.17% over past five years.
– has a low return on equity of 5.25% 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 29.33 and is trading at 34.7, thus bullish price action wise.
