Five Star Business Stock Price Analysis and Quick Research Report. Is Five Star Business an attractive stock to invest in?

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

Five Star Business stock price today is Rs 768.3. To understand the functions of the Five Star Business 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 Five Star Business is Rs 835.9163 Cr and the compounded growth of profit in the past 3 years is 32.5431570942049 %. The PAT margin of Five Star Business is 38.2948 %.

• 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 Five Star Business , the EPS grew by 37.9996 % YOY. 

 Financial Ratios –

•  Return on Equity (ROE): Five Star Business has a average ROE track record. The ROE of Five Star Business is at 17.7512 % for the latest year.

• P/E Ratio: Relative valuation metrics like the P/E ratio can be used to see if the stock of Five Star Business is worth at the current levels at Rs 768.3. The stock is trading at a current P/E ratio of 25.1615 and the average historical P/E for the last 5 years was 10.22818.

• P/B ratio can be one of the best metrics to value such companies. Currently, Five Star Business is trading at a P/B of 3.5865 . The average historical P/B of Five Star Business for the last 5 years was 1.55136. 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 Five Star Business is Rs 768.3. One can use valuation calculators of ticker to know if Five Star Business share price is undervalued or overvalued.