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Check Before You Invest : Magson Retail & Distribution Ltd

BSE: 0 NSE: MAGSON ISIN: INE0O1S01012
  |   Sector:  Retail   |   Industry:  Retailing

Snapshot

Q.1 Which industry/sub-sector does Magson Retail & Distribution Ltd belong to?
Magson Retail & Distribution Ltd belongs to the Retail sector, operating specifically within the Retailing segment.
Q.2 Is Magson Retail & Distribution Ltd a good quality company?
Magson Retail & Distribution Ltd is a average quality company, based on a somewhat consistent 10 year financial track record.
Q.3 Is Magson Retail & Distribution Ltd undervalued or overvalued?
Magson Retail & Distribution Ltd appears Overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is Magson Retail & Distribution Ltd a good buy now?
Magson Retail & Distribution 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 Revenue growth of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd revenue growth is 2.2% for FY-2025 , which is below its 5 year CAGR of 15.8% , indicating slower growth.
Q.2 Gross Profit margin of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Gross profit margin which is the profit after deduction of direct costs, is 2.6% for FY-2025 , which is below its 5 year median of 5.8% , indicating decreasing margins.
Q.3 Operating Profit Margin of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 0.57% for FY-2025 , which is below its 5 year median of 6.89% indicating decreasing margins.
Q.4 Net Profit Margin of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Net Profit Margin is 0.85% for FY-2025 , is below with its 5 year median of 4.05%, indicating decreasing margins.
Current Level Historic Median
Gross Profit Margin 2.6 5.8
Operating Profit Margin 0.57 6.89
Net Profit Margin 0.85 4.05
Q.5 Return on Asset of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Return on Asset is 1.59%, which is below its 5 year historical median of 14.91%, indicating deteriorated asset utilization efficiency.
Q.6 Return on Equity (ROE) of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Return on equity is 2.32% for FY-2025 , which is below its historical median of 33.58%, indicating the business is making worse use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Return on capital employed is 3.22% for FY-2025 , which is below its estimated weighted average cost of capital(WACC) 14%, indicating value preservation.
Q.8 Cash conversion cycle of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Cash conversion cycle is 46 days, above its historical median of 34 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 1.87 3.68
ROE 2.32 33.58
ROCE 3.22 36.66
Cash Conversion Cycle 46 days 34 days
Q.9 Debt to Equity ratio of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Debt-to-Equity ratio is 0.44 , which is above with the industry average of 0.3 , indicating higher debt levels in the industry.
Q.10 Debt to cash flow from operations of Magson Retail & Distribution Ltd?
Magson Retail & Distribution Ltd Debt to cash flow from operations is -1.11 , which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Magson Retail & Distribution Ltd?
Promoters hold 50.02% of the Magson Retail & Distribution Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Magson Retail & Distribution Ltd vs industry peers?
Magson Retail & Distribution Ltd revenue CAGR is 15.77% , compared to the industry median CAGR of 0% , indicating faster growth and gaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 67.4 249.2
Gross Profit 1.7 5.2
Operating Profit - 6
Net Profit 1 1.6
Operating Efficiency
Current Level Industry Median
Asset Turnover 1.87 1.11
ROE 2.32 3.58
ROCE 3.22 11.9
Cash Conversion Cycle (days) 46.08 38

Valuation & price assessment

Q.1 Stock return of Magson Retail & Distribution Ltd over the last decade?
Over the last 1 year(s), the stock has delivered a CAGR of 33.26% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price - - - 33.3%
Q.3 Valuation ratios of Magson Retail & Distribution Ltd vs historical?
The current P/E is higher that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 446.32 26.24 69.86
Price to Book 8.39 3.21 3.21
Price to Sales 3.8 1.12 1.29
EV to EBITDA 130 14.95 13.01

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