Ambica Agarbathies Aroma & Industries Limited Fundamental Analysis
Ambica Agarbathies Aroma & Industries Limited Fundamental Analysis
Ambica Agarbathies Aroma & Industries Limited (AMBICAAGAR.NS) shows weak financial fundamentals with a PE ratio of 38.32, profit margin of 2.44%, and ROE of 3.11%. The company generates $0.4B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 35.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze AMBICAAGAR.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakAMBICAAGAR.NS struggles to generate sufficient returns from assets.
Valuation Score
ModerateAMBICAAGAR.NS shows balanced valuation metrics.
Growth Score
ModerateAMBICAAGAR.NS shows steady but slowing expansion.
Financial Health Score
ExcellentAMBICAAGAR.NS maintains a strong and stable balance sheet.
Profitability Score
WeakAMBICAAGAR.NS struggles to sustain strong margins.
Key Financial Metrics
Is AMBICAAGAR.NS Expensive or Cheap?
P/E Ratio
AMBICAAGAR.NS trades at 38.32 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, AMBICAAGAR.NS's PEG of -0.92 indicates potential undervaluation.
Price to Book
The market values Ambica Agarbathies Aroma & Industries Limited at 1.17 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -3.83 times EBITDA. This is generally considered low.
How Well Does AMBICAAGAR.NS Make Money?
Net Profit Margin
For every $100 in sales, Ambica Agarbathies Aroma & Industries Limited keeps $2.44 as profit after all expenses.
Operating Margin
Core operations generate 5.56 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.11 in profit for every $100 of shareholder equity.
ROA
Ambica Agarbathies Aroma & Industries Limited generates $1.41 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Ambica Agarbathies Aroma & Industries Limited generates limited operating cash flow of $25.32M, signaling weaker underlying cash strength.
Free Cash Flow
Ambica Agarbathies Aroma & Industries Limited produces free cash flow of $24.32M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $1.42 in free cash annually.
FCF Yield
AMBICAAGAR.NS converts 18.46% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
38.32
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.92
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.17
vs 25 benchmark
P/S Ratio
Price to sales ratio
0.30
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.85
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.62
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.03
vs 25 benchmark
ROA
Return on assets percentage
0.01
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How AMBICAAGAR.NS Stacks Against Its Sector Peers
| Metric | AMBICAAGAR.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 38.32 | 25.03 | Worse (Expensive) |
| ROE | 3.11% | 953.00% | Weak |
| Net Margin | 2.44% | -4888.00% (disorted) | Weak |
| Debt/Equity | 0.85 | 0.78 | Neutral |
| Current Ratio | 2.62 | 2.40 | Strong Liquidity |
| ROA | 1.41% | 437.00% | Weak |
AMBICAAGAR.NS outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Ambica Agarbathies Aroma & Industries Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Defensive, Dividend, Low Volatility
EPS CAGR
N/A
Industry Style: Defensive, Dividend, Low Volatility
FCF CAGR
N/A
Industry Style: Defensive, Dividend, Low Volatility