Check Before You Invest : Midwest Ltd

Snapshot

Q.1 Which industry/sub-sector does Midwest Ltd belong to?

Midwest Ltd belongs to the Construction & Infrastructure sector, operating specifically within the Ceramics/Marble/Granite/Sanitaryware segment.

Q.2 Is Midwest Ltd a good quality company?

Midwest Ltd is a good quality company, based on a consistently good 6-year financial track record.

Q.3 Is Midwest Ltd undervalued or overvalued?

Midwest Ltd appears Overvalued, as its key valuation ratios are above with their past averages.

Q.4 Is Midwest Ltd a good buy now?

Midwest 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 Midwest Ltd?

Midwest Ltd revenue growth is 8.1% for FY-2025, which is below its 5-year CAGR of 14.35%, indicating slower growth.

Q.2 Return on capital employed (ROCE) of Midwest Ltd?

Midwest Ltd Return on capital employed is 23.97% for FY-2025, which is above its 5-year historical median of 22.31%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.3 Return on Asset of Midwest Ltd?

Midwest Ltd Return on Asset is 14.03%, which is above its 5-year historical median of 11.78%, indicating improved asset utilization efficiency.

Q.4 Return on Equity (ROE) of Midwest Ltd?

Midwest Ltd Return on equity is 19.72% for FY-2025, which is above its 5-year historical median of 18.52%, indicating the business is making better use of its shareholders capital.

Q.5 Cash conversion cycle of Midwest Ltd?

Midwest Ltd Cash conversion cycle is 87 days, above its 5-year historical median of 71 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	0.59	0.64
ROE	19.72	18.52
ROCE	23.97	22.31
Cash Conversion Cycle	87 days	71 days

Q.6 Gross Profit margin of Midwest Ltd?

Midwest Ltd Gross profit margin which is the profit after deduction of direct costs, is 36.9% for FY-2025, which is above its 5-year median of 29.7%, indicating increasing margins.

Q.7 Operating Profit Margin of Midwest Ltd?

Midwest Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 30.32% for FY-2025, which is above its 5-year median of 25.87% indicating increasing margins.

Q.8 Net Profit Margin of Midwest Ltd?

Midwest Ltd Net Profit Margin is 23.93% for FY-2025, is above with its 5-year median of 16.87%, indicating increasing margins.

	Current Level	5-year Historic Median
Gross Profit Margin	36.9	29.7
Operating Profit Margin	30.32	25.87
Net Profit Margin	23.93	16.87

Q.9 Debt to Equity ratio of Midwest Ltd?

Midwest Ltd Debt-to-Equity ratio is 0.19, which is lower with the industry average of 0.34, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of Midwest Ltd?

Midwest Ltd Debt to cash flow from operations is 4.62, which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of Midwest Ltd?

Promoters hold 77.13% of the Midwest Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of Midwest Ltd vs industry peers?

Midwest Ltd revenue CAGR is 14.35%, compared to the industry median CAGR of 2.84%, indicating faster growth and gaining its market share.

Profit Metrics

	Current Level	5-year Industry Median
Revenue Growth	8.1	2.8
Gross Profit Growth	23.6	9
Operating Profit Growth	15.8	1.1
Net Profit Growth	20.6	NAN

Operating Efficiency

	Current Level	5-year Industry Median
Asset Turnover	0.59	0.57
ROE	19.72	2.84
ROCE	23.97	5.52
Cash Conversion Cycle (days)	86.99	193

Valuation & price assessment

Q.1 Stock return of Midwest Ltd over the last decade?

Over the last - year(s), the stock has delivered a CAGR of N/A% based on the current price.

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

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

Q.3 Valuation ratios of Midwest 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	50.92	53.73	24.02
Price to Book	7.95	5.90	0.90
Price to Sales	12.18	12.86	1.29
EV to EBITDA	31.75	33.47	10.79

Check more companies

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