Check Before You Invest : Abhinav Capital Services Ltd

Snapshot

Q.1 Which industry/sub-sector does Abhinav Capital Services Ltd belong to?

Abhinav Capital Services Ltd belongs to the BFSI sector, operating specifically within the Finance - NBFC segment.

Q.2 Is Abhinav Capital Services Ltd a good quality company?

Abhinav Capital Services Ltd is a quality company, based on a 10-year financial track record.

Q.3 Is Abhinav Capital Services Ltd undervalued or overvalued?

Abhinav Capital Services Ltd appears Somewhat Undervalued, as its key valuation ratios are below with their past averages.

Q.4 Is Abhinav Capital Services Ltd a good buy now?

Abhinav Capital Services Ltd is not a good buy now, based on weak price trend analysis suggesting prices may fall. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Total Income growth of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Operating Income growth is -64.16% for FY-2025, which is below its 5-year CAGR of 4.78%, indicating slower growth.

Q.2 Return on Assets of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Return on Asset is 1.2%, which is below its 5-year historical median of 9.9%, indicating deteriorated earnings on assets.

	Current Level	5-year Historic Median
NPM%	22.05	60.54
PPOP%	-79.87	-3.17
RoA%	1.2	9.9

Q.3 Return on Equity (ROE) of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Return on Equity is 1.5% for FY-2025, which is below its 5-year historical median of 12%, indicating the business is making worse use of its shareholders capital.

Q.4 Pre-provisioning operating profit margin of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Pre-provisioning operating profit margin, which is the bank’s core operating profit before provisioning for bad loans, is -79.87% for FY-2025, which is below its 5-year median(-3.17%), indicating decreasing margins.

Q.5 Net Profit Margin of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Net Profit Margin, which is the difference between the rate of interest earned on assets and the rate of interest paid on liabilities, is 22.05% for FY-2025, which is below its 5-year median( 60.54%), indicating decreasing margins.

Q.6 Total Asset growth of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Total Asset growth is -28.37% for FY-2025, which is below its 5-year CAGR of 17.34%, indicating slower growth.

Q.7 Capital Adequacy ratio of Abhinav Capital Services Ltd?

Abhinav Capital Services Ltd Capital Adequacy ratio (CAR) is 10% for FY-2025, which is below the regulatory requirement of 15%, indicating adequate capital position.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Abhinav Capital Services Ltd?

Promoters hold 73.49% of the Abhinav Capital Services Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 AUM Growth of Abhinav Capital Services Ltd vs Industry Peers?

Abhinav Capital Services Ltd AUM CAGR is 17.34%, compared to the 5-year industry median CAGR of 9.9%, indicating faster growth and gaining its market share.

Q.2 Profit metrics (NPM, PPOP, RoA) of Abhinav Capital Services Ltd vs industry peers

Abhinav Capital Services Ltd profit metrics are in line with the industry median level of 7.31%, indicating similar profitability compared to peers.

Profit Metrics

	Current Level	5-year Industry Median
NPM%	22.05	15.95
PPOP%	-79.87	4.54
RoA%	1.2	1.45

Q.3 Operating efficiency of Abhinav Capital Services Ltd vs industry peers?

Abhinav Capital Services Ltd ROCE (15.2) is above the industry median of (4.4); while the current ROE (12) are above than the 5-year average Industry ROE (2.7). This shows that the business is positioned in the top quartile of the industry.

Operating Efficiency

	Current Level	5-year Industry Median
NPM%	22.05	15.95
PPOP%	-79.87	4.54
RoA%	1.2	1.45
ROCE%	4.6	4.4
ROE%	1.5	2.7

Valuation & price assessment

Q.1 Stock return of Abhinav Capital Services Ltd over the last decade?

Over the last 9 years, the stock has delivered a CAGR of 2.9% based on the current price.

Q.2 What return has the stock given over the last decade?

	9Y	5Y	3Y	1Y
Share Price CAGR	2.9%	28%	8.9%	-0.4%

Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?

Valuation Ratios	Current	5-year Historic Median	5-year Industry Median
Price to Earnings	30.3	13.91	28.96
Price to Book	0.91	1.21	1.11
Price to Sales	17.3	8.17	9.10
EV to EBITDA	21.72	9.54	11.77

Q.4 Valuation ratios of Abhinav Capital Services Ltdvs historical and industry averages?

The current Price to book ratio (P/B) 0.91% is lower than its historical median of 1.21%, indicating that at the current price the stock is undervalued. However, you need a deeper analysis to make a better judgement.

Strategic outlook

Q.1 Does its ROIC exceed its WACC?

Abhinav Capital Services Ltd return on invested capital (ROIC) is 2.96% for FY-2025, is lower than its estimated weighted average cost of capital (WACC) of 14%, indicating value erosion.

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