Akme Fintrade (India) Limited

Financial Services — Credit Services · NSE

₹8.01−₹0.08 (−0.99%)

DalalBaazaar Score

74 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

Driven by negative free cash flow, micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, with modest growth. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:52 pm

Understanding the Business

Company site ↗

The 60-second version of Akme Fintrade (India) Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Akme Fintrade (India) Limited, a non-banking financial company, provides lending services in India.

IndustryCredit Services

SectorFinancial Services

Employees348

Annual revenue₹141 Cr

How does it make money?

Turns over ₹141 Cr a year. Of every ₹100 of sales, about ₹30 reaches shareholders as profit, with ₹41 left at the operating level before interest, tax and depreciation. Each of its 348 employees supports ₹40.4 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹40.4 lakh

Who are its competitors?

The closest listed comparisons in its industry are BAJAJ FINANCE LIMITED, STATE BANK OF INDIA, HDFC BANK LTD, ICICI BANK LTD.. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Not assessable from these ratios

For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.

Peer median ROE16.5%

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +117% while net margin moved +34% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+117%

Margin effect+34%

DalalBaazaar Score

74/ 100

Good

Weighted across six categories. Every point is explained below.

• Beta of 0.89 — moves roughly with the market
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Negative free cash flow means dependence on external funding

Quality vs. Valuation

Company Quality

75/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

84/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

7.9x

3Y Median

19.4x

30 monthly readings · mean 47.6x · range 8.0x–129.4x

Sector Median

17.0x

median of 4 sector peers

🟢Current valuation is approximately 59% below its 3y median of 19.4x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 54% below the peer median of 17.0x.

vs. its own history

Cheap

19.4x median over 30 months · -59%

vs. sector peers

Cheap

17.0x median of 4 peers · -54%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

14.0x

PEG

0.18

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 30.1% to 40.6% over 3 years.
Return on capital is rising
ROCE has improved from 5.1% to 7.5%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

1 item require attention · 1 watch

🟡Shareholders have been dilutedOwnership
Shares outstanding are up 35% over 3 years — each existing share owns a smaller slice of the company.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 30.1% to 40.6%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 59% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 54% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 22% a year✓ 29.4% CAGR
Latest reported year was 23.0%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 39%✓ 40.6%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 8%✓ 10.0%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 19.4x✓ 7.9x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

6 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✗ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

4 good · 5 neutral · 2 weak

Market Cap

₹342 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

7.9x

Cheap

Cheap against the generic band

P/B Ratio

0.81x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹1.02

Profitable

Profitable on a per-share basis

ROE

10.0%

Moderate

Moderate capital efficiency

ROCE

7.5%

Weak

Low return on total capital employed

Debt/Equity

1.19x

Moderate

Moderate leverage

Revenue Growth (YoY)

23.0%

Healthy

Healthy top-line growth

Profit Growth (YoY)

8.7%

Modest

Slow profit growth

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

-₹175 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

Operating Margin

62.3%

Good

Healthy core-business profitability

Net Margin

48.8%

Good

Strong bottom-line conversion

Current Ratio

1.76

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.89

Market-like

Moves roughly in line with the market

52W Range Position

57%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

8.0 / 8.8

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

48.8

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹65 Cr	₹71 Cr	₹98 Cr	₹141 Cr	+29.4%
EBITDA	₹20 Cr	₹28 Cr	₹46 Cr	₹57 Cr	+43.1%
EBITDA Margin	30.1%	39.9%	47.0%	40.6%	—
PAT (Net Profit)	₹15 Cr	₹19 Cr	₹33 Cr	₹42 Cr	+42.8%
EPS	₹0.34	₹0.58	₹0.08	₹0.99	+42.8%
ROE	7.1%	8.3%	8.7%	10.0%	—
ROCE	5.1%	5.7%	6.5%	7.5%	—
Total Debt	₹158 Cr	₹195 Cr	₹282 Cr	₹503 Cr	+47.2%
Free Cash Flow	₹9 Cr	-₹46 Cr	-₹179 Cr	-₹175 Cr	—

🟢 Revenue has grown at 29.4% a year over 3 years.

🟢 EBITDA has grown at 43.1% a year over 3 years.

🟢 EBITDA Margin has risen from 30.1% to 40.6% over 3 years (+10.6 pts).

🟢 PAT (Net Profit) has grown at 42.8% a year over 3 years.

🟢 EPS has grown at 42.8% a year over 3 years.

🟢 ROE has risen from 7.1% to 10.0% over 3 years (+2.9 pts).

🟢 ROCE has risen from 5.1% to 7.5% over 3 years (+2.4 pts).

🔴 Total Debt has grown at 47.2% a year over 3 years.

🔴 Free Cash Flow has turned negative, from ₹9 Cr to -₹175 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹934 Cr

Total Liabilities

₹510 Cr

Cash & Equivalents

₹45 Cr

Operating Cash Flow

-₹167 Cr

Capex

-₹8 Cr

Shareholding (proxy)

Institutional Holding

1.9%

Insider Holding

56.1%

Peer Comparison

Company	P/E	ROE
BAJAJ FINANCE LIMITED	30.2x	17.8%
STATE BANK OF INDIA	10.3x	15.2%
HDFC BANK LTD	15.9x	13.8%
ICICI BANK LTD.	18.1x	16.5%

Recent News

3 mixed3 general

Akme Fintrade (India) Share Price Target 2027, 2028 and 2030: Long Term Analyst Forecast

Univest, 07 AugAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Compare with BOM.OXYGEN

Equitymaster, 07 Oct

Akme Fintrade board approves ₹50 crore NCD issuance on private placement

scanx.trade, 10 Oct

Akme Fintrade NCD Issue; Shares Dip 0.71% After Board Move

HDFC Sky, 20 AprPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

AKME FINTRADE (INDIA) LTD Share Price

Upstox, 03 Dec

Why Is Akme Fintrade India Share Price Falling: Key Reasons and Investor Analysis 2026

Univest, 14 MayPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Watch Items

This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Valuation

MiddlingProfitability

WeakRisk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last.

All 4 tripwires holding · see Key things to watch ↑