Time period given by analyst is one year when Multi Commodity Exchange of India Ltd. price can reach defined target.
Multi Commodity Exchange of India Ltd., incorporated in the year 2002, is a Mid Cap company (having a market cap of Rs 8600.87 Crore) operating in Financial Services sector.
Multi Commodity Exchange of India Ltd. key Products/Revenue Segments include Fees & Other Charges and Other Operating Revenue for the year ending 31-Mar-2021.
Financials
For the quarter ended 30-09-2021, the company reported a Consolidated Total Income of Rs 99.26 Crore, down -8.89 % from last quarter Total Income of Rs 108.94 Crore and down -27.82 % from last year same quarter Total Income of Rs 137.52 Crore. Company reported net profit after tax of Rs 33.20 Crore in latest quarter.
Investment Rationale
The brokerage maintains BUY on , following in-line revenue and margin performance. ADTV declined (-8% QoQ) sequentially for the fourth consecutive quarter due to an increase in upfront margin requirements (phase-4 at 100% implemented in Sep-21). Trading volume was down 5.1% QoQ due to continued weakness in bullion (-19% QoQ) and decline in metals (-16% QoQ), while energy volumes were robust (+26% QoQ). The brokerage maintains positive stance, based on (1) increase in algo trading (~50% of volume); (2) strong traction in energy volumes; (3) implementation of cross margin benefits; (4) regulatory approval to launch new products; and (5) additional revenue stream from option contracts.
Promoter/FII Holdings
Promoters held 0 per cent stake in the company as of 30-Sep-2021, while FIIs owned 36.03 per cent, DIIs 41.87 per cent.
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