Mehabe score: 4 G Factor: 2 Piotski Score: 6 The stock has a rating SELL. 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 2 and Piotski score of 6.
Description
Apollo Finvest india is engaged in the business of Non-Systemically Important (Non-Deposit taking) Non Banking Financial Company (NBFC-ND) and holding a Certificate of Registration.(Source : 201903 Annual Report Page No:38)Site:512437Main Symbol:APOLLOFI
Stock trades at 454.0, below its 50dma 475.54. However it is trading above its 200dma 429.41. The stock remains weak in the short term due to near term bearish momentum. However overall bullish structure remains intact. Price action will further build up as it moves above its dma50, currently situated at 475.54.
The 52 week high is at 764.90 and the 52week low is at 250.00
Price Chart
P/E Chart
Sales and Margin
Strengths
– has reduced debt.
Weakness
– Stock is trading at 5.81 times its book value
-Though the company is reporting repeated profits, it is not paying out dividend
-Promoter holding has decreased over last quarter: -0.86%
– might be capitalizing the interest cost
Competition
– The industry trades at a mean P/E of 20.7x. SBI Cards trades at the industry’s max P/E of 119.87x. 512437 trades at a P/E of 40.0x
– Industry’s mean G-Factor is 2.6 while the mean Piotski score is 6.0. 512437 has a G-Factor of 2 and Piotski scoreof 6.
– Average 1 month return for industry is 10.3%. The max 1- month return was given by Bajaj Finance: a return of 20.82 %
Quarterly Results
Sales for period ended Jun 2021 is Rs 7.82 cr compared to Rs 3.16 cr for period ended Jun 2020, a rise of 147.5%
Operating Profits reported at Rs 1.68 cr for period ended Jun 2021 vis-vis 1.22 for period ended Jun 2020 .
Operating Margins contracted -1712.4 bps for period ended Jun 2021 vis-vis Jun 2020 .
The EPS for Jun 2021 was Rs 3.11 compared to Rs 4.9 for previous quarter ended Mar 2021 and Rs 2.73 for Jun 2020
Profit & Loss Statement
Profit&Loss Comments
Company reported sales of Rs 19.83 cr for period ended TTM vis-vis sales of Rs 15.17 cr for the period ended Mar 2021, a healthy growth of 23.5%. The 3 year sales cagr stood at 77.3%.
Operating margins shrank to 27.84% for period ended TTM vis-vis 33.36% for period ended Mar 2021, contraction of 552.0 bps.
Net Profit reported at Rs 4.23 cr for period ended TTM vis-vis sales of Rs 4.1 cr for the period ended Mar 2021, rising 3.1%.
Company recorded a healthy Net Profit CAGR of 41.0% over the last 3 years
Balance Sheet Statement
Cash Flow Statement
Cash Flow comments
CashFlow from operating activities was positive.
Sales Growth
Profit Growth Statement
Profit Growth Statement
Stock Price CAGR
Return of Equity
General Comments
– The stock has given a return of 7% on a 1 Year basis vis-vis a return of 93% over the last 3 Years. – The compounded sales growth on a TTM bassis is -29% vis-vis a compounded sales growth of 104% over the last 3 Years. – The compounded profit growth on a TTM basis is -31% vis-vis a compounded profit growth of 57% over the last 3 Years.
Ratios
Shareholding Pattern
– Public shareholding has remained largely constant. The Jun 2021 public holding stood at 29.24% vis-vis 28.37% for Mar 2021
Conclusion
– has reduced debt. – Stock is trading at 5.81 times its book value
-Though the company is reporting repeated profits, it is not paying out dividend
-Promoter holding has decreased over last quarter: -0.86%
– might be capitalizing the interest cost
Fundamentally, the stock remains weak. The business fundamentals are on shaky ground. Weak near term results have dampened and questioned business drivers. We suggest to wait for a upturn in business performance.
Technically, the stock reflects the poor fundamentals. The stock remains below its 50 DMA 475.54 and is trading at 454.0. It has shown near term lack of bullish momentum. We suggest to observe price action. However as investors, who like to avoid timing the markets, we suggest to avoid the stock
