GCM Capital Advisors Stock Price Analysis and Quick Research Report. Is GCM Capital Advisors an attractive stock to invest in?

Around 2% of India's total population invests in financial assets. The penetration of the mutual fund industry in India is close to 7% (Based on the number of PAN cardholders). This under penetration of the mutual fund industry offers a huge opportunity for the industry to grow.

Migration to financial savings, wider distribution and sustainable performance are expected to enable growth in the industry. Also, increasing financial literacy among investors, digitization and the number of mediums available tend to attract more investors to invest in the financial markets.

GCM Capital Advisors stock price today is Rs 6.28. To understand the functions of the GCM Capital Advisors better, you must go through the following points:

Key Financials –

• Profitability: Profit margin (PAT margin) of the company shows how well a company controls its cost. It is one of the important indicators to show the financial health of the company. Net profit of GCM Capital Advisors is Rs 0.5154 Cr and the compounded growth of profit in the past 3 years is 80.7343991943967 %. The PAT margin of GCM Capital Advisors is 36.6103 %.

• EPS growth: Investors should ensure the EPS figure is growing faster than revenue numbers because it indicates company management is increasing the efficiency with which it runs the company. In GCM Capital Advisors , the EPS grew by 107.135 % YOY. 

 Financial Ratios –

•  Return on Equity (ROE): GCM Capital Advisors has a poor ROE track record. The ROE of GCM Capital Advisors is at 1.862 % for the latest year.

• P/E Ratio: Relative valuation metrics like the P/E ratio can be used to see if the stock of GCM Capital Advisors is worth at the current levels at Rs 6.28. GCM Capital Advisors is trading at a current P/E ratio of 17.5813 and the average historical P/E for the last 5 years was 16.3475088517686.

• P/B ratio can be one of the best metrics to value such companies. Currently, GCM Capital Advisors is trading at a P/B of 0.3808 . The average historical P/B for the last 5 years was 0.211233067278171. This can be compared with the Market price per share in order to know if the stock is undervalued or overvalued.

• Share Price: - The current share price of GCM Capital Advisors is Rs 6.28. One can use valuation calculators of ticker to know if GCM Capital Advisors share price is undervalued or overvalued.