Check Before You Invest : DAM Capital Advisors Ltd

Snapshot

Q.1 Which industry/sub-sector does DAM Capital Advisors Ltd belong to?

DAM Capital Advisors Ltd belongs to the BFSI sector, operating specifically within the Finance - Investment segment.

Q.2 Is DAM Capital Advisors Ltd a good quality company?

DAM Capital Advisors Ltd is a weak quality company, based on a inconsistent 10-year financial track record.

Q.3 Is DAM Capital Advisors Ltd undervalued or overvalued?

DAM Capital Advisors Ltd appears Fair, as its key valuation ratios are in line with their past averages.

Q.4 Is DAM Capital Advisors Ltd a good buy now?

DAM Capital Advisors 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

Q.1 Total Income growth of DAM Capital Advisors Ltd?

DAM Capital Advisors Ltd Operating Income growth is 38% for FY-2025, which is below its 5-year CAGR of 44.18%, indicating slower growth.

Q.2 Return on Assets of DAM Capital Advisors Ltd?

DAM Capital Advisors Ltd Return on Asset is 29.4%, which is above its 5-year historical median of 9.7%, indicating improved earnings on assets.

	Current Level	5-year Historic Median
NPM%	41.77	23.9
PPOP%	44.79	-51.72
RoA%	29.4	9.7

Q.3 Return on Equity (ROE) of DAM Capital Advisors Ltd?

DAM Capital Advisors Ltd Return on Equity is 49.4% for FY-2025, which is above its 5-year historical median of 29.5%, indicating the business is making better use of its shareholders capital.

Q.4 Pre-provisioning operating profit margin of DAM Capital Advisors Ltd?

DAM Capital Advisors Ltd Pre-provisioning operating profit margin, which is the bank’s core operating profit before provisioning for bad loans, is 44.79% for FY-2025, which is above its 5-year median(-51.72%), indicating increasing margins.

Q.5 Net Profit Margin of DAM Capital Advisors Ltd?

DAM Capital Advisors 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 41.77% for FY-2025, which is above its 5-year median( 23.9%), indicating increasing margins.

Q.6 Total Asset growth of DAM Capital Advisors Ltd?

DAM Capital Advisors Ltd Total Asset growth is 91.32% for FY-2025, which is above its 5-year CAGR of 31.67%, indicating faster growth.

Ownership & governance

Q.1 Promoter shareholding and pledge status of DAM Capital Advisors Ltd?

Promoters hold 40.00% of the DAM Capital Advisors Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 AUM Growth of DAM Capital Advisors Ltd vs Industry Peers?

DAM Capital Advisors Ltd AUM CAGR is 31.67%, compared to the 5-year industry median CAGR of 9.45%, indicating faster growth and gaining its market share.

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

DAM Capital Advisors Ltd profit metrics are above the industry median level of -0.88%, indicating stronger profitability compared to peers.

Profit Metrics

	Current Level	5-year Industry Median
NPM%	41.77	9.95
PPOP%	44.79	-13.4
RoA%	29.4	0.8

Q.3 Operating efficiency of DAM Capital Advisors Ltd vs industry peers?

DAM Capital Advisors Ltd ROCE (38.8) is above the industry median of (1.9); while the current ROE (29.5) are above than the 5-year average Industry ROE (1.2). This shows that the business is positioned in the top quartile of the industry.

Operating Efficiency

	Current Level	5-year Industry Median
NPM%	41.77	9.95
PPOP%	44.79	-13.4
RoA%	29.4	0.8
ROCE%	64.8	1.9
ROE%	49.4	1.2

Valuation & price assessment

Q.1 Stock return of DAM Capital Advisors Ltd over the last decade?

Over the last 1 years, the stock has delivered a CAGR of -25.34% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	-	-	-	-25.3%

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	13.46	16.70	33.72
Price to Book	3.33	5.36	0.94
Price to Sales	4.45	6.98	12.44
EV to EBITDA	6.7	10.38	9.97

Q.4 Valuation ratios of DAM Capital Advisors Ltdvs historical and industry averages?

The current Price to book ratio (P/B) 3.33% is lower than its historical median of 5.36%, 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?

DAM Capital Advisors Ltd return on invested capital (ROIC) is 49.03% for FY-2025, is higher than its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

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