Arihant Capital Markets Limited
Arihant Capital Markets Limited Fundamental Analysis
Arihant Capital Markets Limited (ARIHANTCAP.NS) shows moderate financial fundamentals with a PE ratio of 21.94, profit margin of 34.36%, and ROE of 9.96%. The company generates $1.1B in annual revenue with strong year-over-year growth of 14.38%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 64.2/100 based on profitability, valuation, growth, and balance sheet metrics. The C+ grade reflects average fundamentals, with notable risks in certain areas.
Fundamental Health Score
We analyze ARIHANTCAP.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakARIHANTCAP.NS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentARIHANTCAP.NS trades at attractive valuation levels.
Growth Score
ModerateARIHANTCAP.NS shows steady but slowing expansion.
Financial Health Score
ExcellentARIHANTCAP.NS maintains a strong and stable balance sheet.
Profitability Score
WeakARIHANTCAP.NS struggles to sustain strong margins.
Key Financial Metrics
Is ARIHANTCAP.NS Expensive or Cheap?
P/E Ratio
ARIHANTCAP.NS trades at 21.94 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, ARIHANTCAP.NS's PEG of -1.40 indicates potential undervaluation.
Price to Book
The market values Arihant Capital Markets Limited at 2.05 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 14.13 times EBITDA. This signals the market has high growth expectations.
How Well Does ARIHANTCAP.NS Make Money?
Net Profit Margin
For every $100 in sales, Arihant Capital Markets Limited keeps $34.36 as profit after all expenses.
Operating Margin
Core operations generate -15.96 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $9.96 in profit for every $100 of shareholder equity.
ROA
Arihant Capital Markets Limited generates $4.01 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Arihant Capital Markets Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
Arihant Capital Markets Limited generates weak or negative free cash flow of $0.00, restricting financial flexibility.
FCF Per Share
Each share generates $0.00 in free cash annually.
FCF Yield
ARIHANTCAP.NS converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
21.94
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-1.40
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.46
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.51
vs 25 benchmark
Current Ratio
Current assets to current liabilities
3.05
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.04
vs 25 benchmark
ROCE
Return on capital employed
-0.03
vs 25 benchmark
How ARIHANTCAP.NS Stacks Against Its Sector Peers
| Metric | ARIHANTCAP.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 21.94 | 19.09 | Worse (Expensive) |
| ROE | 9.96% | 843.00% | Weak |
| Net Margin | 34.36% | 3730.00% | Weak |
| Debt/Equity | 0.51 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 3.05 | 661.68 | Strong Liquidity |
| ROA | 4.01% | -21651.00% (disorted) | Weak |
ARIHANTCAP.NS outperforms its industry in 2 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Arihant Capital Markets Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
150.13%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
235.78%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-73.30%
Industry Style: Value, Dividend, Cyclical
Declining