Piramal Enterprises Ltd’s fundamental analysis highlights key financial metrics: Market Cap of ₹22,067.92 crore, PE Ratio of 0, Debt to Equity of 201.87, and Return on Equity of -5.84%. These indicators reflect the company’s financial health and market valuation.
Content:
- Piramal Enterprises Ltd Overview
- Piramal Enterprises Limited Financial Results
- Piramal Enterprises Ltd Financial Analysis
- Piramal Enterprises Limited Company Metrics
- Piramal Enterprises Ltd Stock Performance
- Piramal Enterprises Peer Comparison
- Piramal Enterprises Limited Shareholding Pattern
- Piramal Enterprises Ltd History
- How To Invest In Piramal Enterprises Share?
- Piramal Enterprises Limited Fundamental Analysis – FAQs
Piramal Enterprises Ltd Overview
Piramal Enterprises Ltd is an Indian company primarily engaged in providing financial services. It operates in the financial sector, offering wholesale and retail financing solutions, including real estate and corporate lending, as well as alternative investments.
The company is listed on both the NSE and BSE. With a market capitalization of ₹22,067.92 crore, it’s currently 15.90% away from its 52-week high and 33.53% away from its 52-week low.
Piramal Enterprises Limited Financial Results
Piramal Enterprises Ltd reported a total income of ₹10,178 crores in FY 24, increasing from ₹9,087 crores in FY 23. Total expenses stood at ₹8,056 crores, while the company achieved a net profit of ₹4,604 crores, up from ₹7,400 crores last year. The company’s balance sheet reflects consistent growth in assets and liabilities.
1. Revenue Trend:
Total income increased from ₹9,087 crores in FY 23 to ₹10,178 crores in FY 24. However, FY 22 saw a significantly higher total income of ₹14,713 crores.
2. Equity and Liabilities:
Equity capital remained stable at ₹45 crores, while reserves declined from ₹31,011 crores in FY 23 to ₹26,512 crores in FY 24. Total liabilities decreased from ₹83,752 crores to ₹82,605 crores.
3. Profitability:
Net profit decreased from ₹7,400 crores in FY 23 to ₹4,604 crores in FY 24. Pre-provisioning operating profit also fell from ₹2,878 crores to ₹2,122 crores.
4. Earnings per Share (EPS):
EPS dropped significantly from ₹418 in FY 23 to a negative ₹73 in FY 24, signaling a decline in overall profitability.
5. Return on Net Worth (RoNW):
RoNW is reflected in the declining EPS and profitability metrics, indicating a decrease in returns for shareholders over the period.
6. Financial Position:
Total assets decreased slightly from ₹83,752 crores in FY 23 to ₹82,605 crores in FY 24, with current assets declining from ₹78,181 crores to ₹74,696 crores.
Piramal Enterprises Ltd Financial Analysis
| FY 24 | FY 23 | FY 22 | |
| Total Income | 10,178 | 9,087 | 14,713 |
| Total Expenses | 8,056 | 6,209 | 9,462 |
| Pre-Provisioning Operating Profit | 2,122 | 2,878 | 5,252 |
| PPOP Margin (%) | 20.85 | 31.67 | 35.69 |
| Provisions and Contingencies | -733 | -156 | 696 |
| Profit Before Tax | 2,856 | 3,033 | 4,556 |
| Tax % | -56 | -131 | 11 |
| Net Profit | 4,604 | 7,400 | 4,698 |
| EPS | -73 | 418 | 81 |
| Net Interest Income | 5,676 | 4,940 | 9,513 |
| NIM (%) | 8 | 12 | 93 |
| Dividend Payout % | -13.73 | 7.42 | 40.89 |
* Consolidated Figures in Rs. Crores
Piramal Enterprises Limited Company Metrics
Piramal Enterprises Ltd’s company metrics include a market capitalization of ₹22,067.92 crore, a book value per share of ₹1,182, and a face value of ₹2. With a debt-to-equity ratio of 201.87, a return on equity of -5.84%, and a 1.02% dividend yield, these figures underscore the company’s financial position and investment profile.
Market Capitalization:
Market Capitalization represents the total market value of Piramal Enterprises’ outstanding shares, amounting to ₹22,067.92 crore.
Book Value:
The book value per share of Piramal Enterprises is ₹1,182, indicating the value of the company’s net assets divided by its outstanding shares.
Face Value:
The face value of Piramal Enterprises’ shares is ₹2, which is the original cost of the shares as stated on the certificate.
Asset Turnover Ratio:
The asset turnover ratio of 0.12 measures how efficiently Piramal Enterprises uses its assets to generate revenue.
Total Debt:
The total debt of ₹53,611.08 crore represents the sum of all short-term and long-term debt obligations of Piramal Enterprises.
Return on Equity (ROE):
The ROE of -5.84% indicates that Piramal Enterprises is currently experiencing losses relative to its equity investments.
EBITDA (Q):
The quarterly EBITDA of ₹298.95 crore represents Piramal Enterprises’ earnings before interest, taxes, depreciation, and amortization.
Dividend Yield:
The dividend yield of 1.02% shows the annual dividend payment as a percentage of Piramal Enterprises’ current share price, indicating the return on investment from dividends alone.
Piramal Enterprises Ltd Stock Performance
Piramal Enterprises Ltd has shown mixed returns over the years. In the past year, the company recorded a -1.6% return on investment. Over the last three years, the return stood at -9.64%, while the five-year return was barely positive at 0.32%.
| Period | Return on Investment (%) |
| 1 Year | -1.6 |
| 3 Years | -9.64 |
| 5 Years | 0.32 |
Example: If an investor had invested ₹1,000 in Piramal Enterprises Ltd’s stock:
1 year ago, their investment would be worth ₹984.
3 years ago, their investment would have decreased to ₹903.60.
5 years ago, their investment would have slightly increased to ₹1,003.20.
Piramal Enterprises Peer Comparison
Piramal Enterprises Ltd faces stiff competition in the financial sector. While it has a market cap of ₹23,687.56 crores and a negative return of -1.63% for the past year, peers like Shriram Finance and Bajaj Holdings delivered stronger returns of 83.81% and 48.91%, respectively.
| Name | CMP Rs. | Mar Cap Rs.Cr. | P/E | ROE % | EPS 12M Rs. | 1Yr return % | ROCE % | Div Yld % |
| Bajaj Finance | 7590.35 | 469839.87 | 31.48 | 22.12 | 242.47 | 0.68 | 11.93 | 0.47 |
| Bajaj Finserv | 1890.4 | 301833 | 36.18 | 15.28 | 52.28 | 21.7 | 11.72 | 0.05 |
| Jio Financial | 346.65 | 220236.6 | 138.93 | 1.27 | 2.5 | 50.95 | 1.55 | 0 |
| Cholaman.Inv.&Fn | 1596.3 | 134156.92 | 36.68 | 20.16 | 43.74 | 33.14 | 10.41 | 0.13 |
| Shriram Finance | 3525.35 | 132549.38 | 17.53 | 15.93 | 204.54 | 83.81 | 11.27 | 1.28 |
| Bajaj Holdings | 10766.9 | 119824.83 | 16.06 | 14.77 | 670.49 | 48.91 | 13.07 | 1.22 |
| HDFC AMC | 4389.8 | 93773.29 | 45.25 | 29.51 | 97.06 | 63.55 | 37.72 | 1.59 |
| Piramal Enterp. | 1050.55 | 23687.56 | 0 | 1.25 | -89.53 | -1.63 | 3.91 | 0.95 |
Piramal Enterprises Limited Shareholding Pattern
Piramal Enterprises Ltd saw stable promoter holdings at 46.03% in June 2024, slightly down from 46.19% in March and December 2023. Foreign Institutional Investors (FIIs) held 16.19%, down from 16.97%, while Domestic Institutional Investors (DIIs) increased slightly to 13.35%. Retail and others held 24.44%.
| All values in % | Jun-24 | Mar-24 | Dec-23 |
| Promoters | 46.03 | 46.19 | 46.19 |
| FII | 16.19 | 16.97 | 17.19 |
| DII | 13.35 | 13.19 | 13.02 |
| Retail & others | 24.44 | 23.63 | 23.59 |
Piramal Enterprises Ltd History
Piramal Enterprises Limited (PEL) is a prominent Indian company specializing in financial services. The company offers a diverse range of financial products and solutions, with a focus on both wholesale and retail financing. PEL’s wholesale lending business provides financing to real estate developers and corporate clients.
In the retail lending segment, PEL is building a multi-product platform offering home loans, loans for small businesses, and working capital loans. The company has also ventured into alternative assets with the India Resurgence Fund (IndiaRF), a distressed asset investing platform that invests in equity and debt across non-real estate sectors.
PEL’s financial services portfolio extends to housing finance and other specialized financing solutions. These include private equity, structured debt, senior secured debt, construction finance, and flexi lease rental discounting for the real estate sector. Additionally, the company provides funding solutions for infrastructure and renewable energy projects, showcasing its diverse financial offerings.
How To Invest In Piramal Enterprises Share?
To invest in Piramal Enterprises 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 company’s loan book quality, diversification efforts, and growth in retail lending. 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.
Piramal Enterprises Limited Fundamental Analysis – FAQs
Piramal Enterprises Ltd’s fundamental analysis reveals a Market Cap of ₹22,067.92 crore, Debt to Equity of 201.87, and Return on Equity of -5.84%. These metrics provide insights into the company’s financial health, current challenges, and market valuation.
Piramal Enterprises’ market capitalization is ₹22,067.92 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.
Piramal Enterprises Limited is an Indian financial services company offering a range of products including wholesale and retail financing, real estate lending, and alternative investments. It also provides specialized financing solutions for various sectors including infrastructure and renewable energy.
Piramal Enterprises is owned by its shareholders, with the Piramal family, led by Ajay Piramal, holding a significant stake as promoters. As a publicly listed company, ownership is distributed among various institutional and individual investors through stock market participation.
The main shareholders of Piramal Enterprises Ltd include the Piramal family as promoters, along with institutional investors and public shareholders. For the most current and accurate information on major shareholders, refer to the company’s latest shareholding pattern disclosure.
Piramal Enterprises operates in the financial services industry. The company specializes in providing various financing solutions, including wholesale and retail lending, real estate financing, and alternative investments, catering to diverse sectors of the Indian economy.
To invest in Piramal Enterprises 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 Piramal Enterprises is overvalued or undervalued requires analyzing its financials, growth prospects, industry position, and peer comparison. Consider factors like debt levels, future earnings potential, and financial sector trends. Consult recent analyst reports for expert opinions on the company’s valuation.
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.
