Check Before You Invest : Galactico Corporate Services Ltd

BSE: 542802 NSE: ISIN: INE906Y01028

| Sector: BFSI | Industry: Finance - Investment

Snapshot

Q.1 Which industry/sub-sector does Galactico Corporate Services Ltd belong to?

Galactico Corporate Services Ltd belongs to the BFSI sector, operating specifically within the Finance - Investment segment.

Q.2 Is Galactico Corporate Services Ltd a good quality company?

Galactico Corporate Services Ltd is a quality company, based on a 9-year financial track record.

Q.3 Is Galactico Corporate Services Ltd undervalued or overvalued?

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

Q.4 Is Galactico Corporate Services Ltd a good buy now?

Galactico Corporate 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 Galactico Corporate Services Ltd?

Galactico Corporate Services Ltd Operating Income growth is 130.53% for FY-2025, which is above its 5-year CAGR of 31.2%, indicating faster growth.

Q.2 Return on Assets of Galactico Corporate Services Ltd?

Galactico Corporate Services Ltd Return on Asset is 4.3%, which is below its 5-year historical median of 5.7%, indicating deteriorated earnings on assets.

	Current Level	5-year Historic Median
NPM%	25.3	44.73
PPOP%	18.54	18.54
RoA%	4.3	5.7

Q.3 Return on Equity (ROE) of Galactico Corporate Services Ltd?

Galactico Corporate Services Ltd Return on Equity is 6.8% for FY-2025, which is below its 5-year historical median of 8.2%, indicating the business is making worse use of its shareholders capital.

Q.4 Pre-provisioning operating profit margin of Galactico Corporate Services Ltd?

Galactico Corporate Services Ltd Pre-provisioning operating profit margin, which is the bank’s core operating profit before provisioning for bad loans, is 18.54% for FY-2025, which is in line with its 5-year median(18.54%), indicating stable margins.

Q.5 Net Profit Margin of Galactico Corporate Services Ltd?

Galactico Corporate 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 25.3% for FY-2025, which is below its 5-year median( 44.73%), indicating decreasing margins.

Q.6 Total Asset growth of Galactico Corporate Services Ltd?

Galactico Corporate Services Ltd Total Asset growth is -24.87% for FY-2025, which is below its 5-year CAGR of 8.36%, indicating slower growth.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Galactico Corporate Services Ltd?

Promoters hold 45.51% of the Galactico Corporate Services Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 AUM Growth of Galactico Corporate Services Ltd vs Industry Peers?

Galactico Corporate Services Ltd AUM CAGR is 8.36%, compared to the 5-year industry median CAGR of 9.45%, indicating slower growth and losing its market share.

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

Galactico Corporate Services 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%	25.3	9.95
PPOP%	18.54	-13.4
RoA%	4.3	0.8

Q.3 Operating efficiency of Galactico Corporate Services Ltd vs industry peers?

Galactico Corporate Services Ltd ROCE (10.4) is above the industry median of (1.9); while the current ROE (8.2) 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%	25.3	9.95
PPOP%	18.54	-13.4
RoA%	4.3	0.8
ROCE%	8.2	1.9
ROE%	6.8	1.2

Valuation & price assessment

Q.1 Stock return of Galactico Corporate Services Ltd over the last decade?

Over the last 5 years, the stock has delivered a CAGR of 0.57% based on the current price.

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

	9Y	5Y	3Y	1Y
Share Price CAGR	-	0.6%	-30.2%	-13.1%

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	43.86	50.05	33.72
Price to Book	1.47	3.16	0.94
Price to Sales	6.1	24.70	12.44
EV to EBITDA	25.59	30.54	9.97

Q.4 Valuation ratios of Galactico Corporate Services Ltdvs historical and industry averages?

The current Price to book ratio (P/B) 1.47% is lower than its historical median of 3.16%, 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?

Galactico Corporate Services Ltd return on invested capital (ROIC) is 6% for FY-2025, is lower than its estimated weighted average cost of capital (WACC) of 14%, indicating value erosion.

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