NIIT Learning Systems Ltd Fundamental Analysis (BSE: NIITMTS.BO)
NIIT Learning Systems Ltd Fundamental Analysis (BSE: NIITMTS.BO)
NIIT Learning Systems Ltd (BSE: NIITMTS.BO) shows moderate financial fundamentals with a PE ratio of 12.35, profit margin of 12.38%, and ROE of 17.78%. The company generates $20.7B in annual revenue with moderate year-over-year growth of 6.42%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 63.3/100 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 NIITMTS.BO's fundamental strength across five key dimensions:
Efficiency Score
WeakNIITMTS.BO struggles to generate sufficient returns from assets.
Valuation Score
ExcellentNIITMTS.BO trades at attractive valuation levels.
Growth Score
ModerateNIITMTS.BO shows steady but slowing expansion.
Financial Health Score
ModerateNIITMTS.BO shows balanced financial health with some risks.
Profitability Score
ModerateNIITMTS.BO maintains healthy but balanced margins.
Key Financial Metrics
Is NIITMTS.BO Expensive or Cheap?
P/E Ratio
NIITMTS.BO trades at 12.35 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, NIITMTS.BO's PEG of 0.73 indicates potential undervaluation.
Price to Book
The market values NIIT Learning Systems Ltd at 2.05 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 7.44 times EBITDA. This is generally considered low.
How Well Does NIITMTS.BO Make Money?
Net Profit Margin
For every $100 in sales, NIIT Learning Systems Ltd keeps $12.38 as profit after all expenses.
Operating Margin
Core operations generate 14.04 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $17.78 in profit for every $100 of shareholder equity.
ROA
NIIT Learning Systems Ltd generates $0.00 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
NIIT Learning Systems Ltd generates limited operating cash flow of $1.09B, signaling weaker underlying cash strength.
Free Cash Flow
NIIT Learning Systems Ltd produces free cash flow of $898.84M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $6.52 in free cash annually.
FCF Yield
NIITMTS.BO converts 2.83% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.35
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.73
vs 25 benchmark
P/B Ratio
Price to book value ratio
2.05
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.53
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
0.18
vs 25 benchmark
ROA
Return on assets percentage
0.00
vs 25 benchmark
ROCE
Return on capital employed
0.00
vs 25 benchmark
How NIITMTS.BO Stacks Against Its Sector Peers
| Metric | NIITMTS.BO Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.35 | 21.75 | Better (Cheaper) |
| ROE | 17.78% | 654.00% | Weak |
| Net Margin | 12.38% | -2337.00% (disorted) | Strong |
| Debt/Equity | 0.00 | 0.82 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 2.27 | Weak Liquidity |
| ROA | 0.00% | 311.00% | Weak |
NIITMTS.BO outperforms its industry in 3 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews NIIT Learning Systems Ltd's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
3199.57%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthEPS CAGR
518.39%
Industry Style: Defensive, Dividend, Low Volatility
High GrowthFCF CAGR
5939.08%
Industry Style: Defensive, Dividend, Low Volatility
High Growth