May 19, 2017

Capital Trust - A NBFC/Microfinance company: Value and Growth Stock

Capital Trust is a NBFC microfinance company who finance to small entrepreneurs and small enterprise companies.

Small entrepreneurs are any person who want to do some business and earn his livelihood. It is not about so called start-ups etc.

Finance to small buyers of vehicle, agri equipment, household loan, many kind of other small loans.

It’s been 25 years since the economic reforms in India…

…and yet, the 48 million MSMEs (micro, small and medium enterprises) who form the heart of Entrepreneurial India are still largely bypassed by traditional banking mechanisms.

These MSMEs represent the ‘missing middle’ segment that is un-catered by financial lenders who either prefer the top of the pyramid or the bottom. These MSMEs are the growth engines of the economy employing over 111.4 million people, contributing 37.5% to the country’s GDP, 45% to the total manufacturing output and 40% to the country’s exports. Not only is the Indian growth story fabricated around the triumphs of millions of MSMEs, but it is these MSMEs who will propel India’s progress and prosperity in the coming years

At Capital Trust, we focus on financing the dreams and aspirations of these entrepreneurial millions…by EMPOWERING ENTERPRISES. ENRICHING LIVES.

States covered:
Punjab: 9 districts, 39 branches.
Rajasthan: 6 districts, 20 branches.
Delhi: 5 branches.
UP: 13 districts, 59 branches.
MP: 5 districts, 18 branches.
Uttarakhand: 5 districts, 25 branches.

Uttar Pradesh should do well going forward seeing political change recently!
Punjab has elected new government too.

CMP: Rs 403.
PE: 18.16.
RoE: 23.

March quarter result on 23rd May, 2017.

On 23rd May, 2017, other than result, these important things will also be discussed:
  • Increase in Authorised Share Capital of the Company upto Rs. 30 crore.
  • Fund raising through various options including Qualified Institutional Placement/Preferential Allotment.
  • Takeover of a Company registered under Companies Act, 2013 and to register it as a Housing Finance Company with the National Housing Bank.
Liquidity of Capital Trust stock is low. Two week avg turnover is Rs 7,20,000 worth of shares. It should increase when it stops it's correction.