Metro Brands Limited Fundamental Analysis (BSE: METROBRAND.BO)
Metro Brands Limited Fundamental Analysis (BSE: METROBRAND.BO)
Metro Brands Limited (BSE: METROBRAND.BO) shows moderate financial fundamentals with a PE ratio of 60.99, profit margin of 13.75%, and ROE of 21.16%. The company generates $29.5B in annual revenue with moderate year-over-year growth of 6.39%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 61.1/100 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 METROBRAND.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakMETROBRAND.BO struggles to generate sufficient returns from assets.
Valuation Score
WeakMETROBRAND.BO trades at a premium to fair value.
Growth Score
ModerateMETROBRAND.BO shows steady but slowing expansion.
Financial Health Score
ModerateMETROBRAND.BO shows balanced financial health with some risks.
Profitability Score
ModerateMETROBRAND.BO maintains healthy but balanced margins.
Key Financial Metrics
Is METROBRAND.BO Expensive or Cheap?
P/E Ratio
METROBRAND.BO trades at 60.99 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, METROBRAND.BO's PEG of 4.47 indicates potential overvaluation.
Price to Book
The market values Metro Brands Limited at 12.24 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 25.03 times EBITDA. This signals the market has high growth expectations.
How Well Does METROBRAND.BO Make Money?
Net Profit Margin
For every $100 in sales, Metro Brands Limited keeps $13.75 as profit after all expenses.
Operating Margin
Core operations generate 18.98 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $21.16 in profit for every $100 of shareholder equity.
ROA
Metro Brands Limited generates $0.00 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Metro Brands Limited generates limited operating cash flow of $1.41B, signaling weaker underlying cash strength.
Free Cash Flow
Metro Brands Limited generates weak or negative free cash flow of $791.67M, restricting financial flexibility.
FCF Per Share
Each share generates $2.90 in free cash annually.
FCF Yield
METROBRAND.BO converts 0.32% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
60.99
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
4.47
vs 25 benchmark
P/B Ratio
Price to book value ratio
12.24
vs 25 benchmark
P/S Ratio
Price to sales ratio
8.39
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.21
vs 25 benchmark
ROA
Return on assets percentage
0.00
vs 25 benchmark
ROCE
Return on capital employed
0.00
vs 25 benchmark
How METROBRAND.BO Stacks Against Its Sector Peers
| Metric | METROBRAND.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 60.99 | 25.68 | Worse (Expensive) |
| ROE | 21.16% | 970.00% | Weak |
| Net Margin | 13.75% | -4902.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 0.60 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 2.33 | Weak Liquidity |
| ROA | 0.00% | 292.00% | Weak |
METROBRAND.BO outperforms its industry in 2 out of 6 key metrics, particularly excelling in Net Margin, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Metro Brands Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
89.79%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
117.62%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
148.48%
Industry Style: Cyclical, Growth, Discretionary
High Growth