Monarch Networth Capital Limited (MONARCH) AI Stock Analysis

• Market Cap: ₹23.76B
• Dividend Yield: 0.33%
• Average Volume (3M): 6.53K
• Price to Earnings (P/E): 15.2
• Beta (1Y): 1.43
• Revenue Growth: -7.85%
• EPS Growth: -11.22%
• Country: IN
• Employees: 395
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Capital Markets
• EPS (TTM): 5.67
• Shares Outstanding: 79,268,340
• 10 Day Avg. Volume: 4,165
• 30 Day Avg. Volume: 6,525
• PEG Ratio: 1.64
• Price to Book (P/B): 3.32
• Price to Sales (P/S): 9.42
• P/FCF Ratio: 12.76
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 64 Neutral
• Price Target: ₹354.00 ▲(18.10% Upside)

The overall stock score is primarily influenced by strong financial performance, despite challenges in revenue growth and cash flow stability. Technical analysis indicates potential bearish trends, while valuation remains reasonable. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Profitability

High profit margins indicate efficient operations and a strong ability to convert revenue into profit, supporting long-term financial health.

Balance Sheet Health

A low debt-to-equity ratio reduces financial risk and enhances the company's ability to withstand economic downturns, ensuring stability.

Cash Flow Improvement

Improved free cash flow enhances the company's ability to invest in growth opportunities and meet financial obligations, supporting long-term viability.

Negative Factors

Revenue Growth Challenges

A decline in revenue growth can hinder the company's ability to scale operations and compete effectively, impacting future profitability.

Cash Flow Volatility

Volatile cash flows can lead to uncertainty in financial planning and limit the company's ability to invest consistently in strategic initiatives.

Earnings Decline

A decline in earnings per share indicates reduced profitability and may affect investor confidence, impacting the company's market position.

Monarch Networth Capital Limited Business Overview & Revenue Model

Company Description

Monarch Networth Capital Limited, together with its subsidiaries, provides financial services to corporate, institutional, and retail clients in India. The company operates through three segments: Broking & other Finance Market Services, Non Banking Finance Business, and Insurance Business. Its products and services include trading of equity and derivatives, commodities, currency derivatives, initial public offering, and mutual funds; bonds and FDs; life and general insurance; and depository services. The company also offers merchant banking services comprising capital/fund raising and financial advisory services, including services for initial public offer/follow-on public offer/offer for sale/rights issue/takeover/ buyback, etc. on main board and SME platform of BSE/NSE; and private equity/venture capital funding/angel investing/QIBs, as well as equity raising through private placement. It operates through a network of 65 branches, as well as 521 business associates in India with presence in 159 cities and 19 states. The company was formerly known as Networth Stock Broking Limited and changed its name to Monarch Networth Capital Limited in December 2015. Monarch Networth Capital Limited was incorporated in 1993 and is based in Ahmedabad, India.

How the Company Makes Money

Monarch Networth Capital Limited generates revenue through multiple streams. The primary revenue sources include brokerage fees from stock and commodity trading, management fees from portfolio management services, and commissions from mutual fund distribution. Brokerage fees are earned by facilitating trades for clients in various securities markets, while management fees are charged for actively managing clients' investment portfolios. Additionally, MONARCH may earn advisory fees for providing financial consulting services. The company may also benefit from strategic partnerships with financial institutions and technology providers, enhancing its service offerings and operational efficiency, which contributes to its overall profitability.

Monarch Networth Capital Limited Financial Statement Overview

Summary

Monarch Networth Capital Limited demonstrates strong profitability with high margins and a solid balance sheet with low leverage. However, challenges in revenue growth and cash flow stability could impact future performance.

Income Statement

Monarch Networth Capital Limited shows strong profitability with a high gross profit margin of 82.99% and a net profit margin of 45.51% in the latest year. However, the revenue growth rate has declined significantly by 56.5%, indicating potential challenges in expanding revenue streams. The EBIT and EBITDA margins remain robust, suggesting efficient operations despite the revenue drop.

Balance Sheet

The company maintains a solid financial position with a low debt-to-equity ratio of 0.0115, indicating minimal leverage and financial risk. The return on equity is healthy at 18.73%, reflecting effective use of equity to generate profits. The equity ratio stands at 64.5%, showcasing a strong equity base relative to total assets.

Cash Flow

Cash flow analysis reveals a significant improvement in free cash flow, with a growth rate labeled as 'Infinity' due to a previous negative base. The operating cash flow to net income ratio is 0.66, indicating decent cash generation relative to net income. However, historical volatility in cash flows suggests potential risks in cash management.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.97B	2.62B	2.39B	1.51B	1.42B	1.02B
Gross Profit	2.23B	1.96B	1.79B	988.40M	906.23M	610.18M
EBITDA	2.24B	2.15B	1.77B	629.69M	744.50M	374.04M
Net Income	1.54B	1.49B	1.23B	429.72M	540.50M	243.46M
Balance Sheet
Total Assets	0.00	12.36B	8.08B	6.08B	6.47B	4.10B
Cash, Cash Equivalents and Short-Term Investments	0.00	6.32B	667.61M	518.14M	977.97M	3.12B
Total Debt	0.00	91.99M	1.13B	28.47M	170.24M	35.60M
Total Liabilities	-7.97B	4.39B	4.62B	3.86B	4.79B	3.02B
Stockholders Equity	7.97B	7.97B	3.46B	2.26B	1.68B	1.08B
Cash Flow
Free Cash Flow	0.00	2.07B	-1.14B	-248.22M	433.96M	-2.38B
Operating Cash Flow	0.00	2.24B	392.88M	-207.75M	450.60M	-2.35B
Investing Cash Flow	0.00	-2.36B	155.23M	-177.36M	-3.13M	1.26B
Financing Cash Flow	0.00	1.87B	937.00M	-47.22M	136.93M	-103.86M

Monarch Networth Capital Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 299.75
• 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:MONARCH, the sentiment is Negative. The current price of 299.75 is below the 20-day moving average (MA) of 306.11, below the 50-day MA of 306.52, and below the 200-day MA of 322.71, indicating a bearish trend. The MACD of -0.61 indicates Positive momentum. The RSI at 42.74 is Neutral, neither overbought nor oversold. The STOCH value of 23.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MONARCH.

Monarch Networth Capital Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GEOJITFSL	73 Outperform	₹20.23B	17.18	―	1.88%	-11.33%	-40.39%
SMCGLOBAL	70 Outperform	₹18.23B	18.65	―	0.70%	-5.03%	-54.73%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
MONARCH	64 Neutral	₹23.76B	15.18	―	0.33%	-7.85%	-11.22%
AADHARHFC	64 Neutral	₹206.83B	20.82	―	―	―	―
BIRLAMONEY	63 Neutral	₹7.91B	13.95	―	―	-6.37%	-24.10%
RGL	55 Neutral	₹12.98B	16.73	―	―	12.34%	-6.61%