Mahindra Holidays & Resorts India Limited
Mahindra Holidays & Resorts India Limited Fundamental Analysis
Mahindra Holidays & Resorts India Limited (MHRIL.NS) shows weak financial fundamentals with a PE ratio of 53.51, profit margin of 3.42%, and ROE of 13.96%. The company generates $29.3B in annual revenue with weak year-over-year growth of 2.38%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 27.7/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze MHRIL.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakMHRIL.NS struggles to generate sufficient returns from assets.
Valuation Score
ModerateMHRIL.NS shows balanced valuation metrics.
Growth Score
ModerateMHRIL.NS shows steady but slowing expansion.
Financial Health Score
ModerateMHRIL.NS shows balanced financial health with some risks.
Profitability Score
WeakMHRIL.NS struggles to sustain strong margins.
Key Financial Metrics
Is MHRIL.NS Expensive or Cheap?
P/E Ratio
MHRIL.NS trades at 53.51 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, MHRIL.NS's PEG of -2.05 indicates potential undervaluation.
Price to Book
The market values Mahindra Holidays & Resorts India Limited at 7.38 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 2.81 times EBITDA. This is generally considered low.
How Well Does MHRIL.NS Make Money?
Net Profit Margin
For every $100 in sales, Mahindra Holidays & Resorts India Limited keeps $3.42 as profit after all expenses.
Operating Margin
Core operations generate 6.21 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $13.96 in profit for every $100 of shareholder equity.
ROA
Mahindra Holidays & Resorts India Limited generates $0.92 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Mahindra Holidays & Resorts India Limited generates limited operating cash flow of $2.57B, signaling weaker underlying cash strength.
Free Cash Flow
Mahindra Holidays & Resorts India Limited generates weak or negative free cash flow of $309.55M, restricting financial flexibility.
FCF Per Share
Each share generates $1.54 in free cash annually.
FCF Yield
MHRIL.NS converts 0.58% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
53.51
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-2.05
vs 25 benchmark
P/B Ratio
Price to book value ratio
7.38
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.82
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
4.75
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.30
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.14
vs 25 benchmark
ROA
Return on assets percentage
0.009
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How MHRIL.NS Stacks Against Its Sector Peers
| Metric | MHRIL.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 53.51 | 24.38 | Worse (Expensive) |
| ROE | 13.96% | 1158.00% | Weak |
| Net Margin | 3.42% | 858.00% | Weak |
| Debt/Equity | 4.75 | 0.78 | Weak (High Leverage) |
| Current Ratio | 1.30 | 2.59 | Neutral |
| ROA | 0.92% | -7980.00% (disorted) | Weak |
MHRIL.NS outperforms its industry in 0 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Mahindra Holidays & Resorts India Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
19.97%
Industry Style: Cyclical, Growth, Discretionary
High GrowthEPS CAGR
92.76%
Industry Style: Cyclical, Growth, Discretionary
High GrowthFCF CAGR
9.64%
Industry Style: Cyclical, Growth, Discretionary
Growing