Morarka Finance Ltd

Morarka Finance Ltd (MORARKFI) is a micro-cap Financial Services company valued at ₹27 crore operating in NBFC on the NSE and BSE.

Recent price move

Morarka Finance Ltd last traded at ₹59.79, up 3.09% on the day.

Recent developments

2026-09-07: The DocStoX score increased to 9.6, with the verdict changing to buy from hold. 2026-07-16: The score was 6.7, indicating lower confidence in the stock's potential.

Financial performance

The company's annual net profit fell 48.9% to ₹1 crore, while revenue remained flat at ₹2 crore. Profit margins stayed strong at 63.6%, but returns on equity and capital employed are very low at 1.4% and 1.6% respectively. The 3-year profit CAGR is negative at -32.6%, but the 5-year CAGR is positive at 15.7%.

Valuation multiples

The stock trades at 9.6 times earnings, a discount to the Financial Services median of 19.3, 0.25 times book value. It yields 2.3%.

Things to watch

The company's return on equity and capital employed are extremely low, suggesting poor efficiency in generating returns. The stock is significantly below its 52-week high, down 33.1%, which could indicate lack of investor confidence. The company's profit has declined sharply in recent years, raising concerns about sustainability.

Where it stands

The DocStoX verdict of buy follows from strong earnings growth and positive price momentum. The most important factor is the recent improvement in the score and verdict, which suggests renewed confidence in the stock's potential despite historical profit declines.

Summarised by DocStoX's model on 2026-09-08 from company filings, exchange data and news. This is a factual summary, not a rating or a recommendation. Informational only, not investment advice. Consult a SEBI-registered adviser before investing.