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Check Before You Invest : Mahindra Logistics Ltd

BSE: 540768 NSE: MAHLOG ISIN: INE766P01016
  |   Sector:  Transportation & Logistics   |   Industry:  Logistics

Snapshot

Q.1 Which industry/sub-sector does Mahindra Logistics Ltd belong to?
Mahindra Logistics Ltd belongs to the Transportation & Logistics sector, operating specifically within the Logistics segment.
Q.2 Is Mahindra Logistics Ltd a good quality company?
Mahindra Logistics Ltd is a quality company, based on a 10 year financial track record.
Q.3 Is Mahindra Logistics Ltd undervalued or overvalued?
Mahindra Logistics Ltd appears Fair, as its key valuation ratios are in line with their past averages.
Q.4 Is Mahindra Logistics Ltd a good buy now?
Mahindra Logistics Ltd is a neutral opportunity now, based on stable price trend analysis suggesting prices may move sideways. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of Mahindra Logistics Ltd?
Mahindra Logistics Ltd revenue growth is 10.7% for FY-2025 , which is above its 5 year CAGR of 9% , indicating faster growth.
Q.2 Gross Profit margin of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Gross profit margin which is the profit after deduction of direct costs, is 5% for FY-2025 , which is in line with its 5 year median of 5% , indicating stable margins.
Q.3 Operating Profit Margin of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 5.9% for FY-2025 , which is in line with its 5 year median of 5.9% indicating stable margins.
Q.4 Net Profit Margin of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Net Profit Margin is 0.87% for FY-2025 , is in line with with its 5 year median of 0.87%, indicating stable margins.
Current Level Historic Median
Gross Profit Margin 5 5
Operating Profit Margin 5.9 5.9
Net Profit Margin 0.87 0.87
Q.5 Return on Asset of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Return on Asset is 1.98(x), which is in line with its 5 year historical median of 1.98(x), indicating stable asset utilization efficiency.
Q.6 Return on Equity (ROE) of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Return on equity is 6.37% for FY-2025 , which is in line with its historical median of 6.37%, indicating the business is making similar use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Return on capital employed is 14% for FY-2025 , which is in line with its estimated weighted average cost of capital(WACC) 14%, indicating value erosion.
Q.8 Cash conversion cycle of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Cash conversion cycle is -38 , above its historical median of -40 , indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 2.34 2.2
ROE 6.37 6.37
ROCE 14 14
Cash Conversion Cycle -38 -40
Q.9 Debt to Equity ratio of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Debt-to-Equity ratio is 0.21 , which is lower with the industry average of 0.44 , indicating lower debt levels in the industry.
Q.10 Debt to cash flow from operations of Mahindra Logistics Ltd?
Mahindra Logistics Ltd Debt to cash flow from operations is 0.39 , which is at a healthy level, indicating the business is able to service its debt comfortably.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Mahindra Logistics Ltd?
Promoters hold 59.60% of the Mahindra Logistics Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Mahindra Logistics Ltd vs industry peers?
Mahindra Logistics Ltd revenue CAGR is 8.98% , compared to the industry median CAGR of 0.00% , indicating faster growth and gaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 5,012.6 141.1
Gross Profit 250.7 6.5
Operating Profit 295 6.2
Net Profit 44 2.5
Operating Efficiency
Current Level Industry Median
Asset Turnover 2.34 1.79
ROE 6.37 9.49
ROCE 14 12.78
Cash Conversion Cycle -37.56 43

Valuation & price assessment

Q.1 Stock return of Mahindra Logistics Ltd over the last decade?
Over the last 9 years, the stock has delivered a CAGR of 0% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price - -4.1% 4.5% 57.8%
Q.3 Valuation ratios of Mahindra Logistics 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 111.03 90.06 32.21
Price to Book 2.66 7.16 1.92
Price to Sales 0.7 1.18 0.92
EV to EBITDA 10.61 21.47 10.42

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