MAS FINANC SER (MASFIN)

FairStock Score: 42/100 — MIXED

Score breakdown: P/E: 2/3 · ROCE: 0/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

Strengths

• Strong growth: sales up 23.68% and profit up 20.32%, with latest quarter sales at ₹507 Cr and net profit at ₹93 Cr.
• PEG ratio of 0.76 suggests the stock is reasonably priced relative to its earnings growth.
• High promoter holding of 66.63% aligns management interests with minority shareholders.
• Piotroski F-Score of 7/9 indicates solid recent financial health and operational efficiency.
• ROE of 14.36% is respectable for a leveraged NBFC.

Concerns

• High debt/equity of 3.47 amplifies financial risk, especially in a rising interest rate or credit stress scenario.
• Dividend yield of only 0.52% offers negligible income cushion to investors.
• Price-to-book of 2.42 against book value of ₹132.34 leaves little margin of safety if growth slows.
• FairStock Score of 46/100 is mixed, and ROCE of 11.32% is only modest relative to the leverage used.

AI Analysis

Let me look at MASFIN as a business, not a ticker. It's an NBFC growing sales at 23.68% and profit at 20.32%. That's the kind of compounding that attracts me if it can be sustained. Latest quarter sales of ₹507 Cr and net profit of ₹93 Cr show momentum. At ₹320, I pay ₹5,885 Cr for the company, or 16.63 times earnings. For a 20% grower, the PEG is 0.76, so Mr. Market isn't asking a ridiculous price. But I don't buy growth alone. I need financial strength. Here the balance sheet worries me: debt/equity is 3.47. That is the nature of an NBFC, but it means the business is leveraged. ROE of 14.36% is decent, but ROCE is only 11.32%, and the spread between them comes from leverage, not magic. Book value is ₹132.34, so I'm paying 2.42 times book. That requires continued high returns and no bad loan blow-up. Promoter holding at 66.63% is a positive; their interests are tied to mine. Piotroski score of 7/9 suggests recent operational health. Dividend yield is just 0.52%, so I'm not being paid to wait. FairStock calls it mixed at 46, and I agree. It's a good, growing franchise in a leveraged industry. I'd want to know the quality of the loan book and how it behaves in a downturn. Price is within the 52-week range, not obviously cheap or crazy. I would only invest with a margin of safety, meaning a lower entry price or clear evidence that growth continues without deteriorating asset quality. Growth is excellent, but leverage makes me cautious.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer