Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Credit Services

Muthoot Finance Limited, a non-banking financing company, primarily engages in the provision of gold loan in India. The company offers personal and business loans secured by gold jewelry, or gold loans primarily to individuals and micro finance. It also provides housing finance, gold coins, money transfer, and foreign exchange services; mutual funds and non-convertible debentures; health, home, vehicle, life, and travel insurance products; and vehicle, corporate, and SME loans; as well as offers banking services. In addition, the company generates electric power through three windmills with a combined capacity of 3.75 MW in Tamil Nadu. Muthoot Finance Limited was founded in 1887 and is headquartered in Kochi, India.

Revenue projections:

Revenue projections for MUTHOOTFIN
Revenue projections for MUTHOOTFIN

Muthoot Finance Limited is projected to experience a revenue decline compared to last year, a development that often leads to investor caution. The drop could negatively impact the company's bottom line, as lower revenues typically signal reduced profitability, prompting more conservative investment strategies.

Financial Ratios:

currentRatio 120.68700
forwardPE 12.61875
debtToEquity 329.73600
earningsGrowth 0.29700
revenueGrowth 0.12800
grossMargins 1.00000
operatingMargins 0.62389
trailingEps 132.87000
forwardEps 52.90000

MUTHOOTFIN's current ratio being 120.687 shows it has more than enough assets to cover its short-term debts. The company's liquidity position is strong, with ample cash reserves available to meet its immediate financial obligations without strain.
Muthoot Finance Limited's Forward PE is within a good range, showing that the stock price compares well to its earnings. This suggests it isn't overpriced and leaves room for growth, making the stock appealing to investors looking for value and growth opportunities.
MUTHOOTFIN's elevated debt-to-equity ratio shows that the company is relying heavily on debt to fund its activities. This high leverage can amplify returns but also heightens financial risks if cash flow becomes constrained.
MUTHOOTFIN's positive growth in earnings and revenue suggests the company is on track to expand its business. These indicators highlight a healthy financial performance, with MUTHOOTFIN expected to increase its market presence and profitability.
Muthoot Finance Limited's positive gross and operating margins indicate strong financial performance. These margins show that the company is profitable and efficient in its operations, with effective cost control contributing to its overall financial success.
MUTHOOTFIN's forward EPS, being lower than its trailing EPS, points to an expected decline in profitability. This suggests that the company's financial performance may weaken in the upcoming year.

Price projections:

Price projections for MUTHOOTFIN
Price projections for MUTHOOTFIN

The price of Muthoot Finance Limited has repeatedly been close to the lower limit of price projections. This trend suggests that the stock may be underperforming, raising concerns among investors about future performance.

Insider Transactions:

Insider Transactions for MUTHOOTFIN
Insider Transactions for MUTHOOTFIN


There were 1 MUTHOOTFIN sales transactions, at market price of 1775.4000244140625.There were no sell transactions during the period under consideration.More buys than sells have been occurring around the current price levels of MUTHOOTFIN, potentially signaling investor optimism. This buying trend might be interpreted as a sign of a favorable outlook for the stock's future performance.

Recommendation changes over time:

Recommendations trend for MUTHOOTFIN
Recommendations trend for MUTHOOTFIN


Analysts' recent buy bias toward Muthoot Finance Limited suggests the stock is gaining favor as a strong investment choice. This optimism could drive more investors to see Muthoot Finance Limited as a smart place to invest, further bolstering confidence in the company's long-term growth and potential returns.