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Check Before You Invest : BMW Ventures Ltd

BSE: 544543 NSE: BMWVENTLTD ISIN: INE965W01036
  |   Sector:  Miscellaneous   |   Industry:  Trading

Snapshot

Q.1 Which industry/sub-sector does BMW Ventures Ltd belong to?
BMW Ventures Ltd belongs to the Miscellaneous sector, operating specifically within the Trading segment.
Q.2 Is BMW Ventures Ltd a good quality company?
BMW Ventures Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is BMW Ventures Ltd undervalued or overvalued?
BMW Ventures Ltd appears Overvalued, as its key valuation ratios are higher than their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings 17.17 -
Price to Book 0.87 -
Price to Sales 0.27 -
EV to EBITDA 8.9 -
Q.4 Is BMW Ventures Ltd a good buy now?
BMW Ventures Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of BMW Ventures Ltd?
BMW Ventures Ltd revenue growth is 6.4% for FY-2025, which is below its 5-year CAGR of 12.72%, indicating slower growth.

Q.2 Gross Profit margin of BMW Ventures Ltd?
BMW Ventures Ltd Gross profit margin which is the profit after deduction of direct costs, is 2.4% for FY-2025, which is in line with its 5-year median of 2.4%, indicating stable margins.

Q.3 Operating Profit Margin of BMW Ventures Ltd?
BMW Ventures Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 4.02% for FY-2025, which is above its 5-year median of 3.59% indicating increasing margins.

Q.4 Net Profit Margin of BMW Ventures Ltd?
BMW Ventures Ltd Net Profit Margin is 1.59% for FY-2025, is in line with its 5-year median of 1.62%, indicating stable margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 2.4 2.4
Operating Profit Margin (%) 4.02 3.59
Net Profit Margin (%) 1.59 1.62

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of BMW Ventures Ltd?
BMW Ventures Ltd Return on Asset is 4.96%, which is below its 5-year historical median of 7.42%, indicating deteriorated asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of BMW Ventures Ltd?
BMW Ventures Ltd Return on capital employed is 13.64% for FY-2025, which is below its 5-year historical median of 17.13%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.

Q.7 Return on Equity (ROE) of BMW Ventures Ltd?
BMW Ventures Ltd Return on equity is 16.54% for FY-2025, which is below its 5-year historical median of 23.26%, indicating the business is making worse use of its shareholders capital.

Q.8 Cash conversion cycle of BMW Ventures Ltd?
BMW Ventures Ltd Cash conversion cycle is 80 days, above its 5-year historical median of 59 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level 5-year
Historic Median
Asset Turnover (x) 3.12 4.32
ROE (%) 16.54 23.26
ROCE (%) 13.64 17.13
Cash Conversion Cycle 80 days 59 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of BMW Ventures Ltd?
BMW Ventures Ltd Debt-to-Equity ratio is 2.04, which is above the industry average of 0.03, indicating higher debt levels in the industry.

Q.10 Debt to cash flow from operations of BMW Ventures Ltd?
BMW Ventures Ltd Debt to cash flow from operations is 8.53, which is at a unhealthy level.

Ownership & governance

D: Promoter shareholding and pledge status of BMW Ventures Ltd?

Q.1 Promoter shareholding and pledge status of BMW Ventures Ltd?
Promoters hold 73.02% of the BMW Ventures Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does BMW Ventures Ltd performance compare with that of its Peers?

Q.1 Revenue growth of BMW Ventures Ltd vs industry peers?
BMW Ventures Ltd revenue CAGR is 12.72%, compared to the industry median CAGR of 0%, indicating faster growth and gaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 6.4 -
Gross Profit Growth (%) 11.1 17.9
Operating Profit Growth (%) 18.6 16.4
Net Profit Growth (%) 10 17.3
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 3.12 0.52
ROE (%) 16.54 2.05
ROCE (%) 13.64 3.6
Cash Conversion Cycle (days) 79.79 46

Valuation & price assessment

Q.1 Stock return of BMW Ventures Ltd over the last decade?
Over the last - year(s), the stock has delivered a CAGR of N/A% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
- - - -
Q.2 Valuation ratios of BMW Ventures Ltd vs historical?
The current P/E ratio of 17.17 is higher than its historical median of , indicating that the stock is trading above its historical average valuation.
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 17.17 - 33.62
Price to Book 0.87 - 1.57
Price to Sales 0.27 - 2.21
EV to EBITDA 8.9 - 14.09

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