Angel One Share price and Fundamental Analysis

Company History

Angel One Limited (formerly known as Angel Broking Limited) was originally incorporated on August 8, 1996. The Company converted into Public Limited Company w.e.f. 28 June, 2018 via a Certificate of Incorporation, issued by Registrar of Companies. The Company is the largest independent listed full-service retail broking house in India with more than 13.8 million clients and 4.3 million active clients on NSE. The Company is a member of National Stock Exchange of India Limited (NSE), Bombay Stock Exchange Limited (BSE), National Commodities and Derivatives Exchange Limited (NCDEX), Multi Commodity Exchange of India Limited (MCX), Metropolitan Stock Exchange of India Limited (MSEI) and a depository participant with Central Depository Services (India) Limited (CDSL).

Presently, the Company is engaged in the business of stock, currency and commodity broking, providing margin trading facility, depository services and distribution of mutual funds, to its clients; and earns brokerage, fees, commission and interest income thereon. It has also been providing Portfolio Management Services (PMS). Their broking services include equity (cash-delivery, intra-day, futures and options), commodity and currency segments and depository operations. These services are provided through Mobile App, Tablet and Web Platform, Desktop Application. It leverage proprietary rule-based recommendation engine ARQ in building these products. It has created Angel NXT, a digital platform for wide network of Authorized Persons to enable them to leverage social media networks for client acquisitions, activation, and engagement, among others.

The Company provides a wide range of financial services to their clients including and in relation to:

Broking and Advisory: The Company provides broking services across equity (cash-delivery, intra-day, futures and options), commodity and currency segments, along with debt products. The Company facilitates participation of clients in initial public offerings undertaken by various companies. As a part of the broking and advisory services offered by the company, it also facilitates opening of demat accounts for their clients. The Company is a member of BSE, NSE, MSEI, MCX and NCDEX in order to provide broking services. To complement its broking and advisory services, it also provides the following additional services to their clients:

(i) Research Services: The Company has a dedicated research team which publishes research reports on a daily, weekly and monthly basis for their clients, to enable them to make informed investment decisions across equity, commodity and currency segments.

(ii) Investment Advisory: The Company provides investment advisory services to its retail clients with customized investment recommendations which the company believes assists its clients in achieving their investment goals across various investment avenues such as equities, debt, currency, commodities, derivatives, mutual funds and insurance products.

(iii) Investor Education: The Company's website, www.angelbroking.com, is also a knowledge center which aims to empower investors, including its clients, with an understanding in respect of trading and investments products. As part of its investor awareness initiative, the company regularly undertake sessions through various digital mediums, to enhance its retail clients' knowledge regarding its products, research and market trends.

Other Financial Services: In addition to Broking and Advisory services, the company also provides the following financial services that may enable its clients to achieve their financial goals:

(i) Margin Trading Facility: The Company provides margin trading facility to its clients for leveraging their eligible collaterals by funding their requirements on the cash delivery segment of equities. Such funding is subject to exposure against margins that are mandated by the stock exchanges, with the securities forming a part of the collateral for such funding.

(ii) Distribution: The Company undertakes distribution of third-party financial products such as mutual funds, and health and life insurance products, according to our clients' requirements. Such distribution is undertaken through both its offline channels and digital platforms, 'Angel Broking' and 'Angel BEE'. The Company believes that its distribution business helps clients to achieve their financial and risk mitigation objectives by providing them with personal wealth management services.

(iii) Loans against shares: Through its Subsidiary, AFPL, which is registered as an NBFC, the company provides loans against shares to their retail clients.

The Company's primary focus is to profitably grow its retail broking, margin funding and distribution businesses through its online and digital platforms, 'Angel Broking App', 'trade.angelbroking.com', 'Angel SpeedPro', 'Angel BEE', which are powered by 'ARQ', a rule-based investment engine.

In FY 2021, the Company crossed 4 million unique Demat accounts. It achieved 17.6% market share in incremental Demat accounts between Jan - Mar 2021. It was 4th largest broking Company in terms of NSE Active Clients as on March, 2021. It crossed Rs. 4 trillion mark in ADTO (Average Daily Turnover) in February, 2021. It achieved peak of 5 million trades.

As on 31 March, 2022, Company had 5 direct subsidiaries.

As of 31 March, 2022, the Company distributed mutual funds schemes of 46 AMCs. Asset Under Management (AUM) of Rs. 17.5 billion mutual funds were distributed by the Company as of 31 March, 2022.

As of 31 March, 2023, the Company distributed mutual funds schemes of 40 AMCs. Asset Under Management (AUM) of Rs. 21 billion mutual funds were distributed by the Company as of 31 March, 2023. The Company launched NXT 2.0, its new partner platform for Authorised Persons, with revamped sales module and wealth products features. In FY 23, it launched the Direct Mutual Fund offering on our digital platforms, doubling the monthly unique SIP count to ~41,000.