Marathon Nextgen Realty Analysis

dividend

Pros

• Dividends per share have increased over the past 10 years.
• Dividends paid are thoroughly covered by earnings (15.8x coverage).
• Marathon Nextgen Realty's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).

Cons

• Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
• Marathon Nextgen Realty's dividend is below the markets top 25% of dividend payers in India (3.08%).

health

Pros

• Marathon Nextgen Realty is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
• Marathon Nextgen Realty is profitable, therefore cash runway is not a concern.
• Marathon Nextgen Realty is profitable, therefore cash runway is not a concern.
• Debt is well covered by operating cash flow (23.6%, greater than 20% of total debt).
• Debt is covered by short term assets, assets are 1.7x debt.
• Marathon Nextgen Realty's cash and other short term assets cover its long term commitments.

Cons

• Interest payments on debt are not well covered by earnings (EBIT is 1.7x annual interest expense, ideally 3x coverage).
• Marathon Nextgen Realty's level of debt (66.7%) compared to net worth is high (greater than 40%).
• High level of physical assets or inventory.

management

Pros

• The tenure for the Marathon Nextgen Realty board of directors is about average.
• Chetan's compensation has been consistent with company performance over the past year, both up more than 20%.

Cons

• Chetan's remuneration is higher than average for companies of similar size in India.

misc

Pros

Cons

• Marathon Nextgen Realty is not covered by any analysts.
• Marathon Nextgen Realty has significant price volatility in the past 3 months.

past

Pros

• Marathon Nextgen Realty's 1-year earnings growth exceeds its 5-year average (9.5% vs -5.9%)
• Marathon Nextgen Realty used its assets more efficiently than the IN Real Estate industry average last year based on Return on Assets.

Cons

• Marathon Nextgen Realty's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
• Marathon Nextgen Realty's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
• Marathon Nextgen Realty has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
• Marathon Nextgen Realty's earnings growth has not exceeded the IN Real Estate industry average in the past year (9.5% vs 9.7%).

value

Pros

• Marathon Nextgen Realty's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Marathon Nextgen Realty's share price is below the future cash flow value, and at a substantial discount (> 40%).
• Marathon Nextgen Realty is good value based on assets compared to the IN Real Estate industry average.
• Marathon Nextgen Realty is good value based on earnings compared to the IN Real Estate industry average.
• Marathon Nextgen Realty is good value based on earnings compared to the India market.
• NSEI:MARATHON is up 11.8% outperforming the market in India which returned 8% over the past month.

Cons

• MARATHON underperformed the Real Estate industry which returned -24.3% over the past year.
• MARATHON underperformed the Market in India which returned -14.5% over the past year.
• NSEI:MARATHON is up 11.8% underperforming the Real Estate industry which returned 13.9% over the past month.