Emkay Global Financial Services Limited (EMKAY) AI Stock Analysis

• Market Cap: ₹5.98B
• Dividend Yield: 0.56%
• Average Volume (3M): 13.47K
• Price to Earnings (P/E): 42.7
• Beta (1Y): 0.51
• Revenue Growth: -19.22%
• EPS Growth: -65.09%
• Country: IN
• Employees: 513
• Sector: Services
• Sector Strength: N/A
• Industry: Financial - Capital Markets
• EPS (TTM): 1.66
• Shares Outstanding: 25,910,763
• 10 Day Avg. Volume: 1,542
• 30 Day Avg. Volume: 13,470
• PEG Ratio: 0.13
• Price to Book (P/B): 1.78
• Price to Sales (P/S): 1.70
• P/FCF Ratio: -60.31
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹222.00 ▼(-22.58% Downside)
• Action: Reiterated Date: 03/14/26
• Date: Action: Reiterated 03/14/26

The score is primarily supported by solid financial performance led by balance sheet strength and operational profitability, but it is pulled down by weak technical momentum (below major moving averages, negative MACD) and an expensive valuation (high P/E with low yield).

Positive Factors

Balance sheet strength

A robust balance sheet with low leverage and a stable equity ratio gives Emkay durable financial flexibility. This supports underwriting, working capital for capital markets activity, and resilience through market slowdowns, reducing refinancing and solvency risk over the medium term.

Diversified capital markets franchise

A multi-segment business model spanning equities, advisory, capital raising and wealth distribution provides multiple fee pools and cross-sell opportunities. This structural diversification mitigates single-segment volatility and supports more stable revenue generation across cycles.

Operational margin resilience

Sustained healthy EBIT/EBITDA and strong gross margins indicate effective cost management and scalable operations. Even with top-line pressure, margin strength helps preserve profitability, support return on equity, and sustain reinvestment or shareholder returns over the coming months.

Negative Factors

Declining revenue

Material year-over-year revenue decline signals deteriorating client activity or loss of pipeline. Sustained top-line contraction can erode scale, reduce fee income, and limit the firm’s ability to invest in distribution or research, weighing on medium-term growth prospects.

Weak cash-flow quality

Negative free cash flow growth and a weak operating cash flow to net income conversion suggest earnings do not reliably convert to cash. This constrains capital allocation, dividend capacity and balance-sheet resilience, and elevates funding risk during market stress.

Earnings volatility

A large EPS decline reflects volatile profitability, likely linked to cyclical trading and advisory income. Earnings volatility increases forecasting risk, can impair reinvestment planning, and makes sustained return metrics less predictable over the medium term.

Emkay Global Financial Services Limited Business Overview & Revenue Model

Company Description

Emkay Global Financial Services Limited, through its subsidiaries, provides stock broking, investment banking, portfolio management, and wealth management services in India. The company offers institutional equities, private wealth management and investment banking, commodities, currency derivatives, and retail broking services. It also provides investment solutions, such as portfolio creation, investment planning, portfolio monitoring, transactional support, MIS and information support, and advisory services; and estate and succession planning. It serves institutional investors, mutual funds, hedge funds, banks, insurance companies, private equity firms, corporate houses, small and medium sized enterprises, and high net worth individuals. The company was formerly known as Emkay Share and Stock Brokers Private Limited and changed its name to Emkay Global Financial Services Limited in June 2008. Emkay Global Financial Services Limited was incorporated in 1995 and is based in Mumbai, India.

How the Company Makes Money

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Emkay Global Financial Services Limited Financial Statement Overview

Summary

Overall fundamentals are solid but mixed: strong balance sheet strength (low leverage, strong ROE) and healthy EBIT/EBITDA margins are offset by negative revenue growth and weaker cash-flow quality (negative free cash flow growth and a concerning operating cash flow to net income ratio).

Income Statement

Emkay Global Financial Services Limited shows a mixed performance in its income statement. The company has maintained a strong gross profit margin, indicating effective cost management. However, the net profit margin has seen fluctuations, and the recent revenue growth rate is negative, suggesting potential challenges in revenue generation. The EBIT and EBITDA margins are healthy, reflecting operational efficiency, but the decline in revenue growth is a concern.

Balance Sheet

The balance sheet of Emkay Global is robust, with a low debt-to-equity ratio indicating conservative leverage. The return on equity is strong, showcasing effective use of shareholder funds. The equity ratio is stable, reflecting a solid financial foundation. Overall, the company maintains a healthy balance sheet with manageable debt levels and good equity utilization.

Cash Flow

Cash flow analysis reveals some weaknesses, particularly in free cash flow growth, which has been negative. The operating cash flow to net income ratio is concerning, indicating potential issues in cash generation from operations. However, the free cash flow to net income ratio is strong, suggesting that the company is still able to generate cash relative to its net income. Overall, cash flow management needs improvement to ensure sustainability.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	2.73B	3.17B	2.70B	1.95B	2.56B	1.39B
Gross Profit	670.14M	1.04B	668.71M	512.43M	1.26B	374.62M
EBITDA	365.93M	769.90M	556.69M	240.65M	552.82M	265.98M
Net Income	222.94M	568.31M	324.39M	140.76M	338.04M	111.33M
Balance Sheet
Total Assets	15.42B	12.33B	10.65B	7.31B	7.64B	5.65B
Cash, Cash Equivalents and Short-Term Investments	7.33B	10.05B	8.07B	4.20B	4.76B	3.36B
Total Debt	706.48M	551.45M	417.18M	375.70M	263.32M	253.28M
Total Liabilities	12.40B	9.30B	8.24B	5.21B	5.63B	3.98B
Stockholders Equity	3.02B	3.03B	2.41B	2.10B	2.01B	1.66B
Cash Flow
Free Cash Flow	-220.73M	-89.52M	135.22M	-712.57M	549.34M	580.89M
Operating Cash Flow	-175.44M	-20.90M	221.69M	-634.19M	597.42M	607.72M
Investing Cash Flow	-80.15M	-101.47M	-62.36M	50.73M	-40.20M	-30.00M
Financing Cash Flow	-76.21M	108.77M	24.10M	-69.00M	-72.85M	-57.00M

Emkay Global Financial Services Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 286.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:EMKAY, the sentiment is Negative. The current price of 286.75 is above the 20-day moving average (MA) of 228.93, above the 50-day MA of 251.80, and above the 200-day MA of 261.37, indicating a bearish trend. The MACD of -9.77 indicates Positive momentum. The RSI at 41.55 is Neutral, neither overbought nor oversold. The STOCH value of 29.13 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:EMKAY.

Emkay Global Financial Services Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARROWGREEN	71 Outperform	₹5.53B	14.33	―	0.78%	4.16%	-5.39%
INDBANK	71 Outperform	₹1.37B	20.15	―	―	-18.35%	-43.75%
EMKAY	62 Neutral	₹5.98B	42.74	―	0.56%	-19.22%	-65.09%
ALANKIT	58 Neutral	₹2.06B	9.79	―	―	19.69%	-33.44%
DHRUV	56 Neutral	₹557.81M	-0.73	―	0.42%	-9.83%	-5.90%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Emkay Global Financial Services Limited Corporate Events

Emkay Global Posts Higher Q3 Revenue but Lower Profit Year-on-Year

Emkay Global Financial Services Limited has published its consolidated unaudited financial results for the quarter and nine months ended 31 December 2025, reporting a rise in quarterly total income from operations to ₹8,707.65 lakh compared with the preceding quarter, and a consolidated net profit after tax of ₹430.15 lakh for the quarter. While profitability remains significantly lower than the strong prior-year period, the company’s net worth has increased to ₹36,915.26 lakh, supported by higher equity capital and reserves, and its debt-equity ratio stands at a moderate 0.22, indicating a relatively conservative leverage position that may reassure lenders and investors about balance sheet strength amid earnings volatility.