Max Financial Services Ltd’s fundamental analysis highlights key financial metrics: Market Cap of ₹34,218.13 crore, PE Ratio of 100.61, Debt to Equity of 11.96 and Return on Equity of 8.16%. These indicators reflect the company’s financial health and market valuation.
Max Financial Services Ltd Overview
Max Financial Services Ltd is an Indian holding company primarily engaged in investments and management advisory services. It operates in the financial services sector, with its main focus on life insurance through its subsidiary Max Life Insurance Company Limited.
The company is listed on both the NSE and BSE. With a market capitalization of ₹34,218.13 crore, it’s currently 14.22% away from its 52-week high and 16.07% away from its 52-week low.
Max Financial Services Limited Financial Results
Max Financial Services Ltd’s financial performance for FY 24 shows steady growth across key financial metrics, including sales, profit and assets. The company reported strong performance in profitability and operational efficiency, with improvements in liabilities and earnings per share (EPS) compared to the previous year.
1. Revenue Trend: Sales grew to ₹46,576 crores in FY 24, up from ₹31,413 crores in FY 23. Expenses also rose from ₹30,862 crores in FY 23 to ₹46,157 crores in FY 24.
2. Equity and Liabilities: The company’s equity capital stood at ₹68.73 crores in FY 24, while total liabilities surged to ₹1,62,773 crores from ₹1,31,824 crores in FY 23.
3. Profitability: Max Financial Services Limited posted an operating profit of ₹419.57 crores in FY 24, down from ₹550.91 crores in FY 23. The operating profit margin (OPM) decreased to 0.90% from 1.75%.
4. Earnings per Share (EPS): EPS stood at ₹9.90 for FY 24, compared to ₹11.01 in FY 23, reflecting a slight dip in earnings.
5. Return on Net Worth (RoNW): Profit before tax dropped to ₹414.84 crores in FY 24 from ₹527.21 crores in FY 23, impacting the return on net worth.
6. Financial Position: Total assets increased to ₹1,62,773 crores in FY 24 from ₹1,31,824 crores in FY 23, showcasing strong financial growth.
Max Financial Services Ltd Financial Analysis
| FY 24 | FY 23 | FY 22 | |
| Sales | 46,576 | 31,413 | 31,181 |
| Expenses | 46,157 | 30,862 | 30,769 |
| Operating Profit | 420 | 551 | 412 |
| OPM % | 0.9 | 1.75 | 1.32 |
| Other Income | 42 | 18 | 6 |
| EBITDA | 462 | 569 | 418 |
| Interest | 44 | 37 | 25 |
| Depreciation | 3 | 5 | 5 |
| Profit Before Tax | 415 | 527 | 389 |
| Tax % | 5 | 14 | 18 |
| Net Profit | 393 | 452 | 318 |
| EPS | 9.9 | 11.01 | 7.34 |
* Consolidated Figures in Rs. Crores
Max Financial Services Limited Company Metrics
Max Financial Services Ltd’s company metrics include a market capitalization of ₹34,218.13 crore, a book value per share of ₹112, and a face value of ₹2. With a debt-to-equity ratio of 11.96, a return on equity of 8.16%, and no dividend yield, these figures underscore the company’s financial position and investment profile.
Market Capitalization: Market Capitalization represents the total market value of Max Financial Services’ outstanding shares, amounting to ₹34,218.13 crore.
Book Value: The book value per share of Max Financial Services is ₹112, indicating the value of the company’s net assets divided by its shares outstanding.
Face Value: The face value of Max Financial Services’ shares is ₹2, which is the original cost of the shares as stated on the certificate.
Asset Turnover Ratio: The asset turnover ratio of 0.32 measures how efficiently Max Financial Services uses its assets to generate revenue.
Total Debt: The total debt of ₹522.57 crore represents the sum of all short-term and long-term debt obligations of Max Financial Services.
Return on Equity (ROE): The ROE of 8.16% measures Max Financial Services’ profitability in generating income from its equity investments.
EBITDA (Q): The quarterly EBITDA of ₹182.47 crore represents Max Financial Services’ earnings before interest, taxes, depreciation, and amortization.
Max Financial Services Ltd Stock Performance
Max Financial Services Ltd has shown different returns over various timeframes. The 1-year return is 21.4%, while the 3-year return is 1.78% and the 5-year return stands at 23.3%. These figures reflect the company’s consistent performance, especially over longer periods.
| Period | Return on Investment (%) |
| 1 Year | 21.4 |
| 3 Years | 1.78 |
| 5 Years | 23.3 |
If you invest ₹1,000:
After 1 year, your investment will grow to ₹1,214.
After 3 years, your investment will reach ₹1,017.80.
After 5 years, your investment will be ₹1,233.
Max Financial Services Peer Comparison
Max Financial Services Ltd demonstrates a robust market position, but in comparison to peers like Bajaj Finance with a market cap of ₹472,474.54 crores and 22.12% ROE, or HDFC AMC with a 45.65 P/E and 67.35% 1-year return, it operates in a different financial landscape.
| Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % |
| Bajaj Finance | 7631.1 | 472474.54 | 31.65 | 22.12 | 242.47 | 1.09 | 11.93 | 0.47 |
| Bajaj Finserv | 1888.2 | 301514.35 | 36.14 | 15.28 | 52.28 | 21.04 | 11.72 | 0.05 |
| Jio Financial | 346.9 | 220395.43 | 139.03 | 1.27 | 2.5 | 48.76 | 1.55 | 0 |
| Shriram Finance | 3574.7 | 134430.39 | 17.77 | 15.93 | 204.54 | 86.91 | 11.27 | 1.26 |
| Cholaman.Inv.&Fn | 1590.15 | 133679.02 | 36.55 | 20.16 | 43.74 | 33.23 | 10.41 | 0.13 |
| Bajaj Holdings | 10793 | 120123.99 | 16.1 | 14.77 | 670.49 | 49.28 | 13.07 | 1.21 |
| HDFC AMC | 4432.25 | 94598.45 | 45.65 | 29.51 | 97.06 | 67.35 | 37.72 | 1.58 |
| Max Financial | 1140.55 | 39413.47 | 103.8 | 9.21 | 11 | 21.38 | 9.77 | 0 |
Max Financial Services Shareholding Pattern
Max Financial Services Ltd’s shareholding pattern as of June 2024 shows that promoters held 6.52%, consistent with March and December 2023. FIIs held 46.6%, down from 47.70% in March. DIIs increased their stake to 40.74%, while retail and others held 6.14%.
| All values in % | Jun-24 | Mar-24 | Dec-23 |
| Promoters | 6.52 | 6.52 | 6.52 |
| FII | 46.6 | 47.70 | 50.89 |
| DII | 40.74 | 39.92 | 36.89 |
| Retail & others | 6.14 | 5.84 | 5.69 |
Max Financial Services Limited History
Max Financial Services Limited is an India-based holding company, primarily focused on investments and management advisory services. Its main business revolves around its subsidiary, Max Life Insurance Company Limited, positioning it as a key player in the life insurance sector.
The company operates through two main segments: Life Insurance and Business Investments. This structure allows Max Financial Services to leverage its expertise in the insurance industry while also exploring other investment opportunities to diversify its portfolio and enhance shareholder value.
Max Financial Services boasts a diverse and prestigious investor base, including global financial institutions such as KKR, Baron, Ward Ferry, New York Life, Vanguard, Blackrock, Jupiter and Norges. This strong backing from renowned investors underscores the company’s credibility and potential in the financial services sector.
How To Invest In Max Financial Services Share?
To invest in Max Financial Services shares, open a demat account with Alice Blue. Research the company’s fundamentals, financial performance and position in the financial services sector. Analyze historical stock data and compare it with industry peers.
Determine your investment strategy based on your financial goals and risk tolerance. Consider factors such as the performance of Max Life Insurance, the regulatory environment and overall market trends. Decide on the investment amount and timing.
Place your order through the broker’s platform. Regularly monitor your investment, staying updated on company news, quarterly results and financial sector trends. Consider seeking advice from a financial advisor for personalized guidance and to ensure your investment aligns with your overall portfolio strategy.
Max Financial Services Fundamental Analysis – FAQs
Max Financial Services Ltd’s fundamental analysis reveals a Market Cap of ₹34,218.13 crore, PE Ratio of 100.61, Debt to Equity of 11.96 and Return on Equity of 8.16%. These metrics provide insights into the company’s financial health, profitability and market valuation.
Max Financial Services’ market capitalization is ₹34,218.13 crore. This figure represents the total value of the company’s outstanding shares in the stock market, calculated by multiplying the current stock price by the number of outstanding shares.
Max Financial Services Limited is an Indian holding company primarily engaged in investments and management advisory services. Its main focus is on the life insurance sector through its subsidiary, Max Life Insurance Company Limited.
Max Financial Services is a public limited company with diverse ownership. The promoter group, including the Max Group founders, holds a significant stake. As a listed entity, ownership is distributed among various institutional and individual shareholders through stock market participation.
The main shareholders of Max Financial Services Ltd include the promoter group (Max Group founders), along with institutional investors like KKR, Baron, Ward Ferry and public shareholders. For the most current information, refer to the company’s latest shareholding pattern disclosure.
Max Financial Services operates in the financial services industry, specifically focusing on life insurance through its subsidiary Max Life Insurance. The company also engages in investment activities and provides management advisory services in the financial sector.
To invest in Max Financial Services shares, open a demat account with Alice Blue. Research the company’s performance and financial sector trends. Decide on your investment strategy. Place your order through the broker’s platform. Regularly monitor your investment, staying informed about market conditions. Consider seeking financial advice for personalized guidance.
Determining if Max Financial Services is overvalued or undervalued requires analyzing its financials, growth prospects, industry position, and peer comparison. Consider factors like PE ratio, future earnings potential and financial sector trends. Consult recent analyst reports for expert opinions on the company’s valuation.
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Disclaimer: The above article is written for educational purposes and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.
