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Fino Payments Bank
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The Bank was incorporated as Fino Fintech Foundation on 23 June 2007.Pursuant to surrender of the license under section 8 of Companies Act, 2013, the name was changed to Fino Fintech Private Limited and a fresh certificate of incorporation dated 15 December 2015 was issued by Registrar of Companies, Maharashtra at Mumbai. Thereafter, pursuant to the conversion of the Bank to a public limited company, the name of the Bank was changed to Fino Fintech Limited on 03 February 2017. The Promoter, Fino PayTech Limited, was granted an in-principle approval to establish a payments bank ('Payments Bank'), by the RBI, pursuant to its letter dated 07 September 2015. Subsequently, the Bank received the final approval of the RBI to carry on the business as a Payments Bank on 30 March 2017. Pursuant to receipt of approval by RBI, the name of the Bank was changed to Fino Payments Bank Limited on 04 April 2017. The Bank commenced its business operations on 30 June 2017.The bank is a wholly owned subsidiary of FINO PayTech Ltd which is engaged in providing business and banking technology platform based solutions and services related to financial inclusion.
The bank is engaged in providing a wide range of financial services to the rural,poor and underserved and unserved classes. Fino Payments Bank offers a diverse range of financial products and services that are primarily digital and have a payments focus, and operates an asset light business model that principally relies on fee and commission based income generated from merchant network and strategic commercial relationships.
In the FY2021 and the three months ended 30 June 2021, its platform facilitated approximately 43.5 crore and 12.33 crore transactions, respectively and had gross transaction value of Rs 1,32,930.69 crore and Rs 39,035.99 crore, respectively.
In the month of October 2021,the bank come out with an Rs 1200.29-crore IPO comprised a fresh issue of Rs 300 crore and an offer for sale of Rs 900.29 crore by the promoter.The proceeds from the fresh issue will get utilised for augmenting bank's tier-1 capital base to meet its future capital requirements.The IPO shares were issued and allotted at a price of Rs 577 per share including the premium of Rs 567 per share.The allotted shares were listed on the BSE Ltd and National Stock Exchange of India Ltd(NSE) on 12 November 2021.
Fino Payments Bank share price reflects investor sentiment toward the company and is impacted by various factors such as financial performance, market trends, and economic conditions. Share price is an indicator which shows the current value of the company's shares at which buyers or sellers can transact.
Market capitalization of Fino Payments Bank indicates the total value of its outstanding shares. Marketcap is calculated by multiplying share price and outstanding shares of the company. It is a helpful metric for assessing the company's size and market Valuation. It also helps investors understand how Fino Payments Bank is valued compared to its competitors.
Fino Payments Bank PE ratio helps investors understand what is the market value of each stock compared to Fino Payments Bank 's earnings. A PE ratio higher than the average industry PE could indicate an overvaluation of the stock, whereas a lower PE compared to the average industry PE could indicate an undervaluation.
The PEG ratio of Fino Payments Bank evaluates its PE ratio in relation to its growth rate. A PEG ratio of 1 indicates a fair value, a PEG ratio of less than 1 indicates undervaluation, and a PEG ratio of more than 1 indicates overvaluation.
Return on Equity (ROE) measures how effectively Fino Payments Bank generates profit from shareholders' equity. A higher ROE of more than 20% indicates better financial performance in terms of profitability.
Return on Capital Employed (ROCE) evaluates the profitability of Fino Payments Bank in relation to its capital employed. In simple terms, ROCE provides insight to investors as to how well the company is utilizing the capital deployed. A high ROCE of more than 20% shows that the business is making profitable use of its capital.
Total debt of Fino Payments Bank shows how much the company owes to either banks or individual creditors. In simple terms, this is the amount the company has to repay. Total debt can be a very useful metric to show the financial health of the company. Total debt more than equity is considered to be a bad sign.
The Debt-to-Equity (DE) ratio of Fino Payments Bank compares its total debt to shareholders' equity. A higher Debt to Equity ratio could indicate higher financial risk, while a lower ratio suggests that the company is managing its debt efficiently.
CAGR shows the consistent growth rate of Fino Payments Bank over a specific period, whether it is over a month, a year, or 10 years. It is a key metric to evaluate the company’s long-term growth potential. Main metrics for which CAGR is calculated are net sales, net profit, operating profit, and stock returns.
Technical analysis of Fino Payments Bank helps investors get an insight into when they can enter or exit the stock. Key components of Fino Payments Bank Technical Analysis include:
There are usually multiple support levels, but the main support levels for a stock are S1, S2, S3. Support levels indicate price points where stock might get support from buyers, helping the stock stop falling and rise.
There are usually multiple resistance levels, but the main resistance levels for a stock are R1, R2, R3. Resistance levels represent price points where Fino Payments Bank shares often struggle to rise above due to selling pressure.
Dividends refer to the portion of the company’s profits distributed to its shareholders. Dividends are typically paid out in cash and reflect Fino Payments Bank ’s financial health and profitability.
Bonus shares are usually given by companies to make the stock more affordable, increase liquidity, boost investor confidence, and more.
Stock split increases the number of its outstanding shares by dividing each existing share into multiple shares. When the company offers a stock split, the face value of the stock reduces in the same proportion as the split ratio.
The financials of Fino Payments Bank provide a complete view to investors about its net sales, net profit, operating profits, expenses, and overall financial health. Investors can analyze financial data to assess the company’s stability and also understand how the company has been growing financially.
The profit and loss statement of Fino Payments Bank highlights its net sales, net profit, total expenditure, and operating profits in the current financial year. This Profit and Loss statement is crucial for evaluating the profitability and financial stability of Fino Payments Bank .
The balance sheet presents a snapshot of Fino Payments Bank ’s assets, liabilities, and equity of shareholders, providing insights into the financials of the company.
Cashflow statements track the company's cash inflows and outflows over a period. It is an essential tool for understanding how well the company manages its liquidity and finances.
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