Manipal Finance Corporation Limited

Financial Services — Credit Services · BSE

₹20.72₹0.00 (0.00%)

DalalBaazaar Score

21 / 100

🔴 Weak

Verdict

HIGH RISK

Risk

Very High

Driven by negative shareholders' equity — the company owes more than it owns, short-term liabilities exceed short-term assets, micro-cap size, which brings thin liquidity.

In simple words: The company owes more than it owns — years of losses have wiped out its net worth, but sales are shrinking. Solvency — whether it can keep funding itself at all — is 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 Manipal Finance Corporation Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Manipal Finance Corporation Limited does not have significant operations. Previously, it was engaged in hire purchase and lease financing business. Manipal Finance Corporation Limited was incorporated in 1984 and is based in Udupi, India.

IndustryCredit Services

SectorFinancial Services

Employees2

Annual revenue₹0 Cr

How does it make money?

Turns over ₹0 Cr a year. Of every ₹100 of sales, about ₹96 reaches shareholders as profit, with ₹-85 left at the operating level before interest, tax and depreciation. Each of its 2 employees supports ₹9.7 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹9.7 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?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +17% while net margin moved -183% 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+17%

Margin effect-183%

DalalBaazaar Score

21/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Shareholders' equity is negative — accumulated losses exceed the capital in the business

Quality vs. Valuation

Company Quality

21/ 100

Weak

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

Valuation

30/ 100

Expensive

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

Weak on business quality and not cheap enough to compensate.

Historical Valuation

Current P/E

82.9x

1.3Y Median

1.8x

16 monthly readings · mean 22.7x · range 1.1x–94.2x

Sector Median

17.0x

median of 4 sector peers

⚠️Current valuation is approximately 4467% above its 1.3y median of 1.8x. Paying more than usual needs a reason — faster growth, a better balance sheet, or a re-rating you believe in.

⚠️Against its sector it trades 388% above the peer median of 17.0x.

vs. its own history

Expensive

1.8x median over 16 months · +4467%

vs. sector peers

Expensive

17.0x median of 4 peers · +388%

vs. generic bands

N/A

Multiples unreliable — equity base is negative

EV/EBITDA

—

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Margins are improving
EBITDA margin is up from -153.3% to -85.1% over 3 years.

🔴 What Needs Attention1

Short-term liquidity is tight
Current ratio of 0.15 — near-term obligations exceed near-term assets.

Red Flags

1 item require attention · 1 high

🔴Negative shareholders' equityFinancial
Liabilities exceed assets — accumulated losses have wiped out the company's net worth.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from -153.3% to -85.1%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.

🔴 Bear CaseWhat could go wrong?

Solvency comes before everything else
Liabilities exceed assets. Until net worth is rebuilt, the equity is a claim on a business that owes more than it owns, and further losses or a funding squeeze can leave shareholders with nothing.
The price already assumes success
The stock trades 4467% above its own median multiple. At this level the business has to deliver just to stand still, and a stumble is repriced twice — lower earnings on a lower multiple.
Growth barely outpaces inflation
Revenue compounding at 5.5% a year is close to the rate prices rise, so the business is gaining little ground in real terms. That leaves the share price dependent on a re-rating rather than on earnings growth.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
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

1EBITDA margin holds above -87%✓ -85.1%
Two points below today's level — enough room for noise, tight enough to catch real compression.
2Revenue growth stays above 4% a year✓ 5.5% CAGR
Latest reported year was -9.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
3Valuation vs its own median of 1.8x✗ 82.9x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

5 / 10 checks passed

✗ Shareholders' equity is positive (assets exceed liabilities)
✓ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ 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

2 good · 4 neutral · 5 weak

Market Cap

₹17 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

82.9x

Expensive

Expensive — verify against sector peers

P/B Ratio

Not available

No data

Source didn't return this field

EPS (TTM)

₹0.25

Profitable

Profitable on a per-share basis

ROE

Not meaningful

Negative equity

Return on equity can't be read when equity itself is negative

ROCE

95.1%

Distorted

Distorted by the negative net worth — read this alongside the solvency flag, not on its own

Debt/Equity

Not meaningful

Negative equity

Shareholders' equity is negative, so this ratio can't be read

Revenue Growth (YoY)

-9.8%

Shrinking

Sales are contracting

Profit Growth (YoY)

-97.4%

Falling

Profits are shrinking

Dividend Yield

None

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

Free Cash Flow

₹0 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

-97.9%

Weak

Thin margins leave little room for error

Net Margin

117.9%

Good

Strong bottom-line conversion

Current Ratio

0.15

Tight

Tight short-term liquidity

Beta (vs Nifty)

-0.10

Defensive

Steadier than the market

52W Range Position

80%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

18.3 / 17.2

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

100.0

Overbought zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹0 Cr	₹0 Cr	₹0 Cr	₹0 Cr	+5.5%
EBITDA	-₹0 Cr	-₹0 Cr	-₹0 Cr	-₹0 Cr	—
EBITDA Margin	-153.3%	-154.5%	-119.3%	-85.1%	—
PAT (Net Profit)	-₹0 Cr	-₹0 Cr	₹7 Cr	₹0 Cr	—
EPS	₹-0.22	₹-0.16	₹8.64	₹0.22	—
ROCE	—	—	2786.7%	95.1%	—
Total Debt	₹1 Cr	₹2 Cr	₹1 Cr	₹1 Cr	-16.7%
Free Cash Flow	-₹0 Cr	-₹0 Cr	-₹7 Cr	₹0 Cr	—

🟢 Revenue has grown at 5.5% a year over 3 years.

🟢 EBITDA Margin has risen from -153.3% to -85.1% over 3 years (+68.1 pts).

🟢 PAT (Net Profit) has turned positive, from -₹0 Cr to ₹0 Cr.

🟢 EPS has turned positive, from ₹-0.22 to ₹0.22.

🔴 ROCE has fallen from 2786.7% to 95.1% over 3 years (-2691.6 pts).

🟢 Total Debt has shrunk at 16.7% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹0 Cr to ₹0 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹1 Cr

Total Liabilities

₹8 Cr

Cash & Equivalents

₹0 Cr

Operating Cash Flow

₹0 Cr

Capex

—

Shareholding (proxy)

Institutional Holding

0.0%

Insider Holding

34.3%

Corporate Actions

Ex-Dividend Date

13 Aug 1997

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

6 general

Manipal Health Enterprises Ltd. Share Price Live Today

CNBC TV18, 16 Oct

Manipal Finance Corporation Ltd. Key Financial Ratios – Valuation, Profitability & More

Value Research, 02 Sept

Manipal Finance holds 43rd AGM on September 25, 2026

scanx.trade, 07 Sept

Company FD rates: Muthoot Capital, Manipal Housing offer up to 8.95%; check the rates offered by 10 firms

Livemint, 11 Oct

Manipal Payment shares make muted market debut; down nearly 3 pc

bfsi.economictimes.indiatimes.com, 17 Sept

Stocks to Watch Today: Amagi Media Labs, Manipal Health, Saatvik Green Energy, RailTel Corp, Kfin...

Moneycontrol.com, 21 Aug

Watch Items

Revenue growth is negative (-9.8%) on the latest reported period — check if this is one-off or a trend.
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.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.
RSI is in overbought territory — momentum entries here carry more short-term pullback risk.

DalalBaazaar Thesis

WeakBusiness Quality · Financial Health · Growth · Profitability · Valuation · Risk

Points for each in the Score ↑

Avoid until solvency is resolved

Manipal Finance Corporation Limited owes more than it owns. Whatever the operating numbers show, the equity is a residual claim on a business with negative net worth, and that question has to be settled before any of the rest is worth weighing. 1 high-severity red flag sits above this conclusion and should be read first.

1 of 3 tripwires tripped — Valuation vs its own median of 1.8x · see Key things to watch ↑