IFCI Limited
IFCI Limited Fundamental Analysis
IFCI Limited (IFCI.NS) shows weak financial fundamentals with a PE ratio of 37.54, profit margin of 20.01%, and ROE of 3.67%. The company generates $20.9B in annual revenue with weak year-over-year growth of -2.99%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 41.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze IFCI.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakIFCI.NS struggles to generate sufficient returns from assets.
Valuation Score
WeakIFCI.NS trades at a premium to fair value.
Growth Score
ModerateIFCI.NS shows steady but slowing expansion.
Financial Health Score
ExcellentIFCI.NS maintains a strong and stable balance sheet.
Profitability Score
WeakIFCI.NS struggles to sustain strong margins.
Key Financial Metrics
Is IFCI.NS Expensive or Cheap?
P/E Ratio
IFCI.NS trades at 37.54 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, IFCI.NS's PEG of 8.95 indicates potential overvaluation.
Price to Book
The market values IFCI Limited at 1.67 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 17.55 times EBITDA. This signals the market has high growth expectations.
How Well Does IFCI.NS Make Money?
Net Profit Margin
For every $100 in sales, IFCI Limited keeps $20.01 as profit after all expenses.
Operating Margin
Core operations generate 42.39 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $3.67 in profit for every $100 of shareholder equity.
ROA
IFCI Limited generates $1.68 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
IFCI Limited generates limited operating cash flow of $0.00, signaling weaker underlying cash strength.
Free Cash Flow
IFCI 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
IFCI.NS converts 0.00% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
37.54
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
8.95
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.67
vs 25 benchmark
P/S Ratio
Price to sales ratio
7.97
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.40
vs 25 benchmark
Current Ratio
Current assets to current liabilities
14.23
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.04
vs 25 benchmark
ROA
Return on assets percentage
0.02
vs 25 benchmark
ROCE
Return on capital employed
0.04
vs 25 benchmark
How IFCI.NS Stacks Against Its Sector Peers
| Metric | IFCI.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 37.54 | 19.09 | Worse (Expensive) |
| ROE | 3.67% | 843.00% | Weak |
| Net Margin | 20.01% | 3730.00% | Weak |
| Debt/Equity | 0.40 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 14.23 | 661.68 | Strong Liquidity |
| ROA | 1.68% | -21651.00% (disorted) | Weak |
IFCI.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 IFCI Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
-49.57%
Industry Style: Value, Dividend, Cyclical
DecliningEPS CAGR
147.79%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
-199.73%
Industry Style: Value, Dividend, Cyclical
Declining