HDFC Asset Management Company Ltd Stock Analysis

BSE: 541729 | NSE: HDFCAMC | Finance - Asset Management | Large Cap

BSE Share Price 25-Nov-2022 18:01
2162.55 38.55 (1.81%)

DeciZen - Make an Informed Decision on HDFC Asset Mngt. Co

Overall Rating

1. Quality

2. Valuation

Somewhat Undervalued

3. Price Trend

HDFC Asset Mngt. Co Price Chart

P/E Ratio (SA) :
33.39
Market Cap :
46,131.3 Cr.
52-wk low :
1,690.7
52-wk high :
2,634.7
Bole Toh?

1. Is HDFC Asset Management Company Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that HDFC Asset Management Company Ltd is a good quality company.

2. Is HDFC Asset Management Company Ltd undervalued or overvalued?

The key valuation ratios of HDFC Asset Management Company Ltd's currently when compared to its past seem to suggest it is in the Somewhat Undervalued zone.

3. Is HDFC Asset Management Company Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Weak which suggest that the price of HDFC Asset Management Company Ltd is likely to Fall in the short term. However, please check the rating on Quality and Valuation before investing.

10 Year X-Ray of HDFC Asset Mngt. Co:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
HDFC Asset Management Company Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good

Value Creation

Value Creation Index Colour Code Guide

Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
ROCE % 48.2%44.6%41.1%42.1%42.9%38.7%36%35.8%30.3%27.2%-

Growth Parameters

Growth Parameters Colour Code Guide

Sales 7168591,0221,4431,4801,7571,9152,0031,8532,1152,132
YoY Gr. Rt. %-20%19.1%41.1%2.6%18.7%9%4.6%-7.5%14.2%-
Adj EPS 124.5141.8164.619027.433.845.159.462.365.364.8
YoY Gr. Rt. %-13.8%16.1%15.4%-85.6%23.3%33.5%31.8%4.8%4.9%-
BVPS (₹) 278.1357.1443.7457.570.7106.6144189223.7255.9250.2
Adj Net Profit 3143584164785517119591,2651,3261,3931,382
Cash Flow from Ops. 31220994.87424556188941,2851,0851,254-
Debt/CF from Ops. 0000000000-

CAGR

CAGR Colour Code Guide

9 Years 5 Years 3 Years 1 Years
Sales 12.8%7.4%3.4%14.2%
Adj EPS -6.9%19%13.1%4.9%
BVPS -0.929.321.114.4
Share Price - - -15.6% -13.9%

Key Financial Parameters

Performance Ratio Colour Code Guide

Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21Mar'22TTM
Return on Equity % 48.244.641.142.142.938.73635.630.12725.6
Op. Profit Mgn % 55.256.757.846.347.754.365.178.77975.675.1
Net Profit Mgn % 43.941.740.633.137.340.550.163.171.665.964.8
Debt to Equity 00000000000
Working Cap Days 369237170127887256343330906
Cash Conv. Cycle -52-103-110-64-57-41-31-32-22-8871

Recent Performance Summary

Net Profit is growing at healthy rate in last 3 years 13.14%

Return on Equity has declined versus last 3 years average to 25.60%

Sales growth has been subdued in last 3 years 3.37%

Sales growth is not so good in last 4 quarters at 5.01%

Latest Financials - HDFC Asset Management Company Ltd.

Standalone Consolidated
TTM EPS (₹) 64.8 -
TTM Sales (₹ Cr.) 2,132 -
BVPS (₹.) 250.2 -
Reserves (₹ Cr.) 5,229 -
P/BV 8.65 -
PE 33.39 -
From the Market
52 Week Low / High (₹) 1690.65 / 2634.70
All Time Low / High (₹) 1248.30 / 3844.00
Market Cap (₹ Cr.) 46,131
Equity (₹ Cr.) 106.7
Face Value (₹) 5
Industry PE 27.3

Management X-Ray of HDFC Asset Mngt. Co :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

Login/Register to view analysis.

Analyst's Notes

Key Ratios of HDFC Asset Mngt. Co

Adj EPS (Rs.)
Sales (Cr.)
ROE (%)
ROCE (%)

News

HDFC Asset Management Company Ltd FAQs

Company share prices are keep on changing according to the market conditions. The closing price of HDFC Asset Mngt. Co on 25-Nov-2022 18:01 is : 2,162.6.
Market capitalization or market cap is determined by multiplying the current market price of a company's shares with the total number of shares outstanding. As of 25-Nov-2022 18:01 the market cap of HDFC Asset Mngt. Co stood at ₹ 46,131.3.
The latest PE ratio of HDFC Asset Mngt. Co as of 25-Nov-2022 18:01 is 33.39.
The latest PB ratio of HDFC Asset Mngt. Co as of 25-Nov-2022 18:01 is 8.65
The 52-week high of HDFC Asset Mngt. Co is ₹ 2,634.7 and the 52-week low is ₹ 1,690.7.
The TTM revenue is Trailing Twelve Months sales. The TTM revenue / sales of HDFC Asset Mngt. Co is ₹ 2,132 ( Cr.) .

About HDFC Asset Management Company Ltd

HDFC Asset Management Company Ltd. (HDFC AMC) is the investment manager to the schemes of HDFC Mutual Fund (HDFC MF). It is India’s most profitable mutual fund manager, leading in actively managed equity-oriented assets under management (AUM). Started in 1999, it was set up as a joint venture between Housing Development Finance Corporation Limited (HDFC) and Standard Life Investments Limited (SLI). During FY18-19 it carried out an initial public offering, and became a publicly listed company in August 2018. It offers a comprehensive suite of savings and investment products across asset classes, which provide income and wealth creation opportunities to its large retail and institutional customer. It has a dominant position in equity investments, with the highest market share in actively managed equity-oriented funds.

Its strengths lie in delivering simple and accessible investment products for the average Indian household. It is the most preferred choice for retail investors, with the highest market share in assets from individual investors. Over one in four Indian mutual fund investors have invested in at least one of its schemes. Its offering of systematic transactions further enhances its appeal to individual customers looking to invest periodically in a disciplined and risk-mitigating manner. Its schemes have weathered multiple market cycles. It works with diverse sets of distribution partners which helps company expand its reach. It has several empanelled distributors which include independent financial advisors, national distributors and banks. It serves its customers and distribution partners in many cities through its network of branches and employees.

Business area of the company

The company offers a large suite of savings and investment products across asset classes, which provide income and wealth creation opportunities to its customers. It also provides portfolio management and segregated account services, including discretionary, non-discretionary and advisory services, to high net worth individuals (HNIs), family offices, domestic corporates, trusts, provident funds and domestic and global institutions.

Products of the company

  • Diversified Equity
  • Thematic Equity
  • Equity Linked Savings Scheme (ELSS)
  • Hybrid
  • Solution Oriented
  • Theme Based Debt
  • Duration Based Debt
  • Index/ETF
  • Gold ETF/FOF

Certifications, awards and accreditations

  • 2012: HDFC Mutual Fund won the Morningstar India Fund Awards 2012 in the ‘Best Fund House - Equity’ category and the ‘Best Fund House - Multi Asset’ category.
  • 2012: HDFC Children’s Gift Fund-Investment Plan won the Lipper Fund Awards 2012 in the ‘Mixed Asset INR Balanced - 3 Years’ category.
  • 2013: HDFC Balanced Fund - Growth won the Thomson Reuters Lipper Fund Awards 2013 in the ‘Mixed Asset INR Aggressive - Best Fund over 10 Years’ category.
  • 2013: HDFC Mutual Fund won the Morningstar India Fund Awards 2013 in the ‘Best Fund House - Equity’ category and the ‘Best Fund House - Multi Asset’ category.
  • 2014: HDFC Balanced Fund won the Morningstar India Fund Awards 2014 in the ‘Best Moderate Allocation Fund’ category.
  • 2014: HDFC Multiple Yield Fund - Plan 2005 won the Morningstar India Fund Awards 2015 in the ‘Best Conservative Allocation Fund’ category.
  • 2017: HDFC Balanced Fund - Growth won the 2017 Thomson Reuters Lipper Fund Award in the Mixed Asset INR Balanced - ‘3, 5 & 10 Years’ categories.
  • 2017: The company won the Outlook Money Awards 2017 in the ‘Equity Fund House’ category.
  • 2018: HDFC Small Cap Fund advertisement won a Gold award in the ‘Banking and Finance’ category at Magzimise Awards.

Major events and milestones

  • December 1999: The company was incorporated.
  • July 2000: The company received SEBI’s approval to manage HDFC Mutual Fund Schemes.
  • September 2000: The company reached an AUM of Rs 6.5 billion.
  • August 2001: Standard Life Investments became company’s shareholder.
  • September 2002: The company’s AUM crossed Rs 100 billion.
  • June 2003: The company acquired Zurich Asset Management Company (ZAMC), having an AUM of Rs 34 billion, pursuant to which company achieved a combined AUM of Rs 118 billion.
  • January 2009: The company’s AUM crossed Rs 500 billion.
  • October 2009: The company’s AUM crossed Rs 1 trillion.
  • March 2011: HDFC Debt Fund for Cancer Cure, company’s first CSR oriented fund launched in India.
  • March 2014: HDFC Debt Fund for Cancer Cure 2014, company’s second CSR oriented fund launched in India.
  • June 2014: The company acquired Morgan Stanley Mutual Fund schemes, having an AUM of Rs 19 billion.
  • September 2014: The company’s AUM crossed Rs 1.5 trillion.
  • May 2016: the company’s AUM crossed Rs 2 trillion.
  • April 2017: HDFC Charity Fund for Cancer Cure, its third CSR oriented fund launched in India.
  • April 2017: The company’s Equity AUM crossed Rs 1 trillion
  • December 2017: The company’s AUM crossed Rs 3 trillion.
  • 2019: HDFC Asset Management Company has unveiled a 360-degree digital campaign ‘Kya Plan Hai’.
Read More Read Less
You have 2 views remaining as a Guest User. To get DeciZen Rating of 3,500+ Stocks based on their Quality, Valuation and Price Trend Login | Register Now