ScoreWhy is Equitas Small Finance Bank Ltd ?
1
Strong lending practices with low Gross NPA ratio of 2.92%
2
The Bank has a high Capital Adequacy Ratio of 0% signifying high buffers against its risk based assets
3
The company has declared Negative results for the last 6 consecutive quarters
- CREDIT DEPOSIT RATIO(HY) Lowest at 82.44%
- PBDIT(Q) Lowest at Rs 11.61 cr.
- OPERATING PROFIT TO NET SALES(Q) Lowest at 0.72%
4
With ROA of -0.2, it has a Very Expensive valuation with a 1.3 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -4.14%, its profits have fallen by -120.4%
5
High Institutional Holdings at 64.58%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 0.71% over the previous quarter.
6
Underperformed the market in the last 1 year
- Even though the market (BSE500) has generated returns of 6.30% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -4.14% returns
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Equitas Sma. Fin should be less than 10%
- Overall Portfolio exposure to Other Bank should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Other Bank)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Equitas Sma. Fin for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Equitas Sma. Fin
-4.14%
-0.12
33.97%
Sensex
8.01%
0.71
11.36%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Net Interest Income Growth (5y)
16.94%
Net Profit Growth (5y)
-178.93%
Advance to Deposit
92.05%
Capital Adequacy Ratio (Tier 1)
0
Gross NPA (latest)
2.92%
Gross NPA (avg)
3.37%
Coverage Ratio (avg)
58.59%
Cost to Income (avg)
65.63%
Net Interest Margin (avg)
8.45%
Operating Profit to Assets (avg)
10.42%
ROA (avg)
1.03%
Net Debt to Equity (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
NA (Loss Making)
Price to Book Value
1.32
PEG Ratio
NA
Dividend Yield
NA
ROE (Latest)
-1.56%
ROA (Latest)
-0.16%
Net NPA to Book Value
6.11
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
No Trend
Mildly Bullish
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend5What is working for the Company
PAT(Q)
At Rs 24.14 cr has Grown at 194.2% (vs previous 4Q average
DPS(Y)
Highest at Rs 1.00
DPR(Y)
Highest at 77.52%
-11What is not working for the Company
CREDIT DEPOSIT RATIO(HY)
Lowest at 82.44%
PBDIT(Q)
Lowest at Rs 11.61 cr.
OPERATING PROFIT TO NET SALES(Q)
Lowest at 0.72%
NII(Q)
Lowest at Rs 773.68 cr
NON-OPERATING INCOME(Q)
is 682.62 % of Profit Before Tax (PBT
NET NPA(Q)
Highest at 0.98%
Loading Valuation Snapshot...
Here's what is working for Equitas Sma. Fin
Profit After Tax (PAT) - Quarterly
At Rs 24.14 cr has Grown at 194.2% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs -25.62 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Dividend per Share (DPS) - Annually
Highest at Rs 1.00
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (Rs)
Dividend Payout Ratio (DPR) - Annually
Highest at 77.52%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Here's what is not working for Equitas Sma. Fin
Operating Profit (PBDIT) - Quarterly
Lowest at Rs 11.61 cr. and Fallen
each quarter in the last five quartersMOJO Watch
Near term Operating Profit trend is quite negative
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Lowest at 0.72% and Fallen
each quarter in the last five quartersMOJO Watch
Company's efficiency has deteriorated
Operating Profit to Sales
Net Interest Income (Quarterly)
Lowest at Rs 773.68 cr
in the last five quartersMOJO Watch
The bank's income from core business is falling
Net Interest Income (Rs Cr)
Credit Deposit Ratio - Half Yearly
Lowest at 82.44% and Fallen
in the last four periodsMOJO Watch
Bank has been creating proportionately lower loans against its deposits, thereby creating fewer revenue generating assets
Credit Deposit Ratio (%)
Non Operating Income - Quarterly
is 682.62 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Net NPA - Quarterly
Highest at 0.98%
in the last five quartersMOJO Watch
Proportion of stressed loans given by the bank are increasing
Net NPA (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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