MAPMYINDIA - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 20 Dec 25, 11:15 pm

Fundamental Rating: 3.6

📊 Core Financials

• Quarterly PAT declined sharply from 50.4 Cr. to 18.5 Cr. (-40.9%), showing earnings pressure.
• ROE at 19.8% and ROCE at 27.6% indicate strong profitability and capital efficiency.
• Debt-to-equity ratio of 0.01 reflects an almost debt-free balance sheet.
• Dividend yield at 0.21% is minimal, reflecting reinvestment focus.

💹 Valuation Indicators

• P/E Ratio: 60.7 vs Industry PE of 39.9 → Overvalued compared to peers.
• P/B Ratio: Current Price / Book Value ≈ 10.6 → Expensive relative to assets.
• PEG Ratio: 1.99 → Suggests moderate growth potential but valuation is stretched.
• Intrinsic Value Zone: ₹1,550–₹1,600 (near 52-week low and below DMA 200).

🏭 Business Model & Competitive Advantage

• Core operations in digital mapping, navigation, and geospatial technology solutions.
• Strong presence in automotive, logistics, and government contracts.
• Competitive advantage lies in proprietary mapping technology and integration with smart mobility solutions.

📈 Entry Zone & Long-Term Guidance

• Entry Zone: Attractive accumulation between ₹1,550–₹1,600.
• Long-Term Holding: Suitable for investors seeking exposure to digital mapping and smart mobility, but earnings volatility is a concern.

✅ Positive

• Strong ROCE (27.6%) and ROE (19.8%).
• Debt-free balance sheet (Debt-to-equity 0.01).
• Increase in DII holdings (+1.01%).
• Strong positioning in geospatial and navigation technology.

⚠️ Limitation

• High P/E ratio (60.7) compared to industry average.
• P/B ratio of 10.6 suggests expensive valuation relative to assets.
• Quarterly PAT decline (-40.9%).
• Low dividend yield (0.21%).

📉 Company Negative News

• Sharp decline in quarterly profits (18.5 Cr. vs 50.4 Cr.).
• Reduction in FII holdings (-0.73%).

📈 Company Positive News

• Strong EPS at ₹27.6.
• Increase in domestic institutional investor confidence (+1.01%).
• Debt-free structure supports financial stability.

🌐 Industry

• Digital mapping and geospatial sector driven by smart mobility, logistics, and government initiatives.
• Industry PE at 39.9 indicates moderate valuation compared to MapmyIndia’s premium.
• Sector outlook supported by rising demand for navigation and location-based services.

🔎 Conclusion

• MapmyIndia is financially strong with high efficiency metrics but currently trades at a premium valuation.
• Profit volatility and high P/E ratio suggest caution in near term.
• Accumulation recommended near ₹1,550–₹1,600 for favorable long-term exposure to digital mapping growth.