Spacenet Enterprises India Limited
Spacenet Enterprises India Limited Fundamental Analysis
Spacenet Enterprises India Limited (SPCENET.NS) shows moderate financial fundamentals with a PE ratio of 12.64, profit margin of 8.50%, and ROE of 10.42%. The company generates $1.9B in annual revenue with strong year-over-year growth of 22.50%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 66.9/100 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 SPCENET.NS's fundamental strength across five key dimensions:
Efficiency Score
WeakSPCENET.NS struggles to generate sufficient returns from assets.
Valuation Score
ExcellentSPCENET.NS trades at attractive valuation levels.
Growth Score
ModerateSPCENET.NS shows steady but slowing expansion.
Financial Health Score
ExcellentSPCENET.NS maintains a strong and stable balance sheet.
Profitability Score
WeakSPCENET.NS struggles to sustain strong margins.
Key Financial Metrics
Is SPCENET.NS Expensive or Cheap?
P/E Ratio
SPCENET.NS trades at 12.64 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, SPCENET.NS's PEG of 1.58 indicates fair valuation.
Price to Book
The market values Spacenet Enterprises India Limited at 1.23 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 10.48 times EBITDA. This signals the market has high growth expectations.
How Well Does SPCENET.NS Make Money?
Net Profit Margin
For every $100 in sales, Spacenet Enterprises India Limited keeps $8.50 as profit after all expenses.
Operating Margin
Core operations generate 6.92 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $10.42 in profit for every $100 of shareholder equity.
ROA
Spacenet Enterprises India Limited generates $7.31 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Spacenet Enterprises India Limited generates limited operating cash flow of $60.89M, signaling weaker underlying cash strength.
Free Cash Flow
Spacenet Enterprises India Limited produces free cash flow of $60.89M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.11 in free cash annually.
FCF Yield
SPCENET.NS converts 3.03% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
12.64
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
1.58
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.23
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.07
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.006
vs 25 benchmark
Current Ratio
Current assets to current liabilities
2.08
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.10
vs 25 benchmark
ROA
Return on assets percentage
0.07
vs 25 benchmark
ROCE
Return on capital employed
0.08
vs 25 benchmark
How SPCENET.NS Stacks Against Its Sector Peers
| Metric | SPCENET.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 12.64 | 18.75 | Better (Cheaper) |
| ROE | 10.42% | 815.00% | Weak |
| Net Margin | 8.50% | 2296.00% | Weak |
| Debt/Equity | 0.01 | 0.98 | Strong (Low Leverage) |
| Current Ratio | 2.08 | 692.30 | Strong Liquidity |
| ROA | 7.31% | -21673.00% (disorted) | Weak |
SPCENET.NS outperforms its industry in 3 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Spacenet Enterprises India Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
266.63%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
117.03%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
115.77%
Industry Style: Value, Dividend, Cyclical
High Growth