SAMMAANCAP - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 20 Dec 25, 11:16 pm

Fundamental Rating: 2.7

📊 Financials: SammaanCap has a market cap of ₹12,024 Cr. Current price is ₹145 with a 52-week high/low of ₹193/₹97.6. PAT this quarter is ₹275 Cr vs ₹297 Cr in the previous quarter, showing slight decline. ROCE at 9.12% and ROE at 4.63% reflect weak efficiency. Debt-to-equity ratio of 1.85 indicates high leverage risk.

💹 Valuation: Stock P/E is 10.5, below industry PE of 18.0, suggesting undervaluation. Book value is ₹281, giving a P/B ratio of ~0.52, which is attractive. PEG ratio at 0.98 indicates fair growth alignment with valuation. EPS is ₹14.3, showing moderate profitability.

🏭 Business Model: SammaanCap operates in financial services and capital management. Competitive advantage lies in scale and institutional participation, but high debt levels and weak return ratios reduce resilience. Business model depends on efficient capital allocation and risk management.

📈 Entry Zone: Technically, DMA 50 (₹156) and DMA 200 (₹146) suggest support zones. Entry is favorable near ₹140–₹150 if price consolidates. Current RSI at 36.0 indicates oversold conditions, offering potential accumulation opportunity.

🕰️ Long-Term Holding: Attractive valuation and institutional inflows support accumulation, but high debt and weak return ratios limit compounding potential. Suitable for cautious long-term investors who can tolerate risk, with accumulation on dips.

Positive

• ✅ Low P/B ratio (~0.52) indicates undervaluation
• ✅ Quarterly profit variation strong (+149%)
• ✅ DII holding increased (+10.9%)

Limitation

• ⚠️ High debt-to-equity ratio (1.85)
• ⚠️ Weak ROCE (9.12%) and ROE (4.63%)
• ⚠️ No dividend yield (0.00%)

Company Negative News

• 📉 FII holding reduced (-5.35%)
• 📉 Quarterly PAT decline (297 Cr → 275 Cr)

Company Positive News

• 📈 Strong quarterly profit variation (+149%)
• 📈 Robust DII inflows (+10.9%)

Industry

• 🏭 Financial services industry PE at 18.0
• 🏭 Sector growth supported by institutional participation

Conclusion

🔎 SammaanCap trades at attractive valuations with strong institutional support, but high debt and weak return ratios pose risks. Entry zone lies near ₹140–₹150. Long-term investors may accumulate cautiously on dips, while monitoring debt levels and profitability trends.

Would you like me to extend this with a basket overlay comparing SammaanCap against other financial service firms, or a sector scan to highlight undervalued peers in capital management?