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Check Before You Invest : Trio Mercantile & Trading Ltd

BSE: 534755 NSE: ISIN: INE234G01022
  |   Sector:  Miscellaneous   |   Industry:  Trading

Snapshot

Q.1 Which industry/sub-sector does Trio Mercantile & Trading Ltd belong to?
Trio Mercantile & Trading Ltd belongs to the Miscellaneous sector, operating specifically within the Trading segment.
Q.2 Is Trio Mercantile & Trading Ltd a good quality company?
Trio Mercantile & Trading Ltd is a quality company, based on a 10-year financial track record.
Q.3 Is Trio Mercantile & Trading Ltd undervalued or overvalued?
Trio Mercantile & Trading Ltd appears Fair, as its key valuation ratios are in line with their past averages.
Q.4 Is Trio Mercantile & Trading Ltd a good buy now?
Trio Mercantile & Trading 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 Revenue growth of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd revenue growth is -33.2% for FY-2025, which is below its 5-year CAGR of -33.05%, indicating slower growth.
Q.2 Return on capital employed (ROCE) of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Return on capital employed is -0.18% for FY-2025, which is above its 5-year historical median of -0.84%. The current ROCE is below its estimated weighted average cost of capital (WACC) of 14%, indicating value preservation.
Q.3 Return on Asset of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Return on Asset is -0.2%, which is above its 5-year historical median of -0.8%, indicating improved asset utilization efficiency.
Q.4 Return on Equity (ROE) of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Return on equity is -0.23% for FY-2025, which is above its 5-year historical median of -0.91%, indicating the business is making better use of its shareholders capital.
Q.5 Cash conversion cycle of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Cash conversion cycle is 52 days, above its 5-year historical median of -50 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 0.06 0.13
ROE -0.23 -0.91
ROCE -0.18 -0.84
Cash Conversion Cycle 52 days -50 days
Q.6 Gross Profit margin of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Gross profit margin which is the profit after deduction of direct costs, is -3.1% for FY-2025, which is above its 5-year median of -6.7%, indicating increasing margins.
Q.7 Operating Profit Margin of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is -45.98% for FY-2025, which is below its 5-year median of -30.59% indicating decreasing margins.
Q.8 Net Profit Margin of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Net Profit Margin is -3.29% for FY-2025, is above with its 5-year median of -8.92%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin -3.1 -6.7
Operating Profit Margin -45.98 -30.59
Net Profit Margin -3.29 -8.92
Q.9 Debt to Equity ratio of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Debt-to-Equity ratio is 0.00, which is lower with the industry average of 0.17, indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of Trio Mercantile & Trading Ltd?
Trio Mercantile & Trading Ltd Debt to cash flow from operations is 0.17, which is at a healthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Trio Mercantile & Trading Ltd?
Promoters hold 4.81% of the Trio Mercantile & Trading Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Trio Mercantile & Trading Ltd vs industry peers?
Trio Mercantile & Trading Ltd revenue CAGR is -33.05%, compared to the industry median CAGR of 12.68%, indicating slower growth and losing its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth -33.2 12.7
Gross Profit Growth 0 18.5
Operating Profit Growth 0 15.2
Net Profit Growth 0 16.5
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover 0.06 0.81
ROE -0.23 2.6
ROCE -0.18 3.8
Cash Conversion Cycle (days) 52.09 61

Valuation & price assessment

Q.1 Stock return of Trio Mercantile & Trading Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of -12.8% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price
CAGR
-12.8% -20.1% 11.4% 55.4%
Q.3 Valuation ratios of Trio Mercantile & Trading Ltd vs historical?
The current P/E is lower that its historical median.
Q.4 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 - 50.35 33.44
Price to Book 0.28 0.30 1.58
Price to Sales 4.28 2.92 2.20
EV to EBITDA 398.98 -19.11 14.05

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