SG Finserve Ltd (SGFIN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Mufin Green

Fedbank Financi.

SG Finserve

Onemi Technology

MAS FINANC SER

Ashika Global Se

Aye Finance

Northern ARC

Kalyani Invest.

Indostar Capital

Dhenu Buildcon

Why is SG Finserve Ltd ?

Weak Long Term Fundamental Strength with an average Return on Equity (ROE) of 7.72%

With a growth in Net Profit of 118.92%, the company declared Outstanding results in Jun 26

The company has declared positive results for the last 5 consecutive quarters
NET SALES(Latest six months) At Rs 241.52 cr has Grown at 98.49%
PAT(Latest six months) At Rs 95.95 cr has Grown at 98.61%
PBT LESS OI(Q) At Rs 71.58 cr has Grown at 111.46%

With ROE of 10.7, it has a Fair valuation with a 3.1 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 76.46%, its profits have risen by 82.1% ; the PEG ratio of the company is 0.4

Rising Promoter Confidence

Promoters have increased their stake in the company by 4.04% over the previous quarter and currently hold 56.95% of the company
Promoters increasing their stake is a sign of high confidence in the future of the business

Market Beating Performance

The stock has generated a return of 76.46% in the last 1 year, much higher than market (BSE500) returns of 4.11%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to SG Finserve should be less than 10%
Overall Portfolio exposure to Non Banking Financial Company (NBFC) should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Non Banking Financial Company (NBFC))

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is SG Finserve for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

SG Finserve

76.46%

1.82

42.12%

Sensex

-2.63%

-0.19

13.57%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

180.15%

EBIT Growth (5y)

179.16%

Net Debt to Equity (avg)

1.85

Institutional Holding

2.71%

ROE (avg)

7.72%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

3.10

EV to EBIT

18.85

EV to EBITDA

18.82

EV to Capital Employed

1.77

EV to Sales

17.48

PEG Ratio

0.35

Dividend Yield

ROCE (Latest)

7.72%

ROE (Latest)

10.74%

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

OBV

Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

36What is working for the Company

NET SALES(Latest six months)

At Rs 241.52 cr has Grown at 98.49%

PAT(Latest six months)

At Rs 95.95 cr has Grown at 98.61%

PBT LESS OI(Q)

At Rs 71.58 cr has Grown at 111.46%

PBDIT(Q)

Highest at Rs 125.84 cr.

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 204.11 cr

EPS(Q)

Highest at Rs 8.15

-3What is not working for the Company

DEBT-EQUITY RATIO(HY)

Highest at 1.85 times

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Here's what is working for SG Finserve

Net Sales - Quarterly

At Rs 136.11 cr has Grown at 101.38%

Year on Year (YoY)

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 71.58 cr has Grown at 111.46%

Year on Year (YoY)

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 53.68 cr has Grown at 118.9%

Year on Year (YoY)

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net Sales - Quarterly

Highest at Rs 136.11 cr and Grown

each quarter in the last five quarters

MOJO Watch

Near term sales trend is very positive

Net Sales (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Highest at Rs 125.84 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 71.58 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PBT trend is very positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

Highest at Rs 53.68 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 8.15

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 204.11 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

Here's what is not working for SG Finserve

Debt-Equity Ratio - Half Yearly

Highest at 1.85 times

in the last five half yearly periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio