Why is Indiamart Intermesh Ltd ?
1
Poor long term growth as Operating profit has grown by an annual rate 9.95% of over the last 5 years
2
With ROE of 19.8, it has a Very Expensive valuation with a 4.8 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 -28.55%, its profits have fallen by -13.8%
3
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -28.55% returns in the last 1 year, the stock has also underperformed BSE500 in each of the last 3 annual periods
How much should you sell?
- All quantity irrespective of whether you are making profits or losses
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in E-Retail/ E-Commerce)
When to re-enter? - We will constantly monitor the company and review our call based on new data
Is Indiamart Inter. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Indiamart Inter.
-28.48%
-1.19
24.04%
Sensex
-6.68%
-0.49
13.53%
Quality key factors
Factor
Value
Sales Growth (5y)
18.57%
EBIT Growth (5y)
9.95%
EBIT to Interest (avg)
70.11
Debt to EBITDA (avg)
0.13
Net Debt to Equity (avg)
-1.29
Sales to Capital Employed (avg)
0.57
Tax Ratio
26.73%
Dividend Payout Ratio
75.95%
Pledged Shares
0
Institutional Holding
32.70%
ROCE (avg)
-178.26%
ROE (avg)
18.79%
Valuation Key Factors 
Factor
Value
P/E Ratio
24
Industry P/E
20
Price to Book Value
4.81
EV to EBIT
16.84
EV to EBITDA
15.93
EV to Capital Employed
-12.11
EV to Sales
5.38
PEG Ratio
NA
Dividend Yield
3.13%
ROCE (Latest)
Negative Capital Employed
ROE (Latest)
19.78%
Loading Valuation Snapshot...
Technical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bearish
Mildly Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Bearish
Dow Theory
Mildly Bullish
Mildly Bearish
OBV
Mildly Bullish
Mildly Bearish
Technical Movement
11What is working for the Company
OPERATING CF(Y)
Highest at Rs 694.22 Cr
DPR(Y)
Highest at 75.95%
NET SALES(Q)
Highest at Rs 414.40 cr
PAT(Q)
At Rs 172.20 cr has Grown at 45.1% (vs previous 4Q average
PBDIT(Q)
Highest at Rs 146.50 cr.
PBT LESS OI(Q)
Highest at Rs 125.00 cr.
-3What is not working for the Company
PAT(Latest six months)
At Rs 222.40 cr has Grown at -33.43%
NON-OPERATING INCOME(Q)
is 46.05 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for Indiamart Inter.
Operating Cash Flow - Annually
Highest at Rs 694.22 Cr and Grown
each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (Rs Cr)
Net Sales - Quarterly
Highest at Rs 414.40 cr and Grown
each quarter in the last five quartersMOJO Watch
Near term sales trend is very positive
Net Sales (Rs Cr)
Profit After Tax (PAT) - Quarterly
At Rs 172.20 cr has Grown at 45.1% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 118.68 CrMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Dividend Payout Ratio (DPR) - Annually
Highest at 75.95% and Grown
each year in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 146.50 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
Highest at Rs 125.00 cr.
in the last five quartersMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Indiamart Inter.
Non Operating Income - Quarterly
is 46.05 % 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






