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Motilal Oswal Financial Services is a prominent Stockbroking & Allied company, identified by its stock ticker MOTILALOFS. With a market capitalization of Rs. 36,283.3 Crores, it operates extensively within the financial services sector in India.
The company provides a diverse range of services across various segments, including:
Motilal Oswal offers broking and distribution services that encompass equities, derivatives, commodities, currencies, mutual funds, and insurance products. Additionally, it provides depository, portfolio management, and asset management services.
Furthermore, the company specializes in private wealth management, offering services such as:
In the institutional sector, it provides broking services in cash and derivatives, private equity services, and investment banking advisory, including equity private placements, mergers and acquisitions advisory, and equity capital markets transaction services.
The client base of Motilal Oswal Financial Services includes high net worth individuals, mutual funds, foreign institutional investors, financial institutions, and corporate clients. Established in 1987, the company is headquartered in Mumbai, India.
Financially, Motilal Oswal has reported a trailing 12-month revenue of Rs. 9,324.3 Crores and has distributed dividends to its investors, boasting a dividend yield of 1.4% per year. In the past 12 months, it returned Rs. 8.5 per share in dividends.
With a history of slightly diluting shareholder holdings by 1.8% over the last three years, the company remains profitable, having earned Rs. 3,296 Crores in profit during the past four quarters. Notably, it has achieved a robust revenue growth of 111.5% in the last three years.
Profitability: Very strong Profitability. One year profit margin are 35%.
Growth: Awesome revenue growth! Revenue grew 55.2% over last year and 111.5% in last three years on TTM basis.
Size: Market Cap wise it is among the top 20% companies of india.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Balance Sheet: Reasonably good balance sheet.
Smart Money: Smart money looks to be reducing their stake in the stock.
Comprehensive comparison against sector averages
MOTILALOFS metrics compared to Capital
| Category | MOTILALOFS | Capital |
|---|---|---|
| PE | 12.63 | 14.31 |
| PS | 4.47 | 4.03 |
| Growth | 55.2 % | 26 % |
MOTILALOFS vs Capital (2021 - 2025)
Valuation | |
|---|---|
| Market Cap | 41.64 kCr |
| Price/Earnings (Trailing) | 12.63 |
| Price/Sales (Trailing) | 4.47 |
| EV/EBITDA | 7.52 |
| Price/Free Cashflow | -153.75 |
| MarketCap/EBT | 9.96 |
Fundamentals | |
|---|---|
| Revenue (TTM) | 9.32 kCr |
| Rev. Growth (Yr) | 11.79% |
| Rev. Growth (Qtr) | -29.64% |
| Earnings (TTM) | 3.3 kCr |
| Earnings Growth (Yr) | -14.4% |
| Earnings Growth (Qtr) | -49.55% |
Profitability | |
|---|---|
| Operating Margin | 44.86% |
| EBT Margin | 44.86% |
| Return on Equity | 29.66% |
| Return on Assets | 8.9% |
| Free Cashflow Yield | -0.65% |
Understand Motilal Oswal Financial Services ownership landscape with insights into key distribution patterns, offering investors a clear view of stakeholder dynamics.
| Shareholder Name | Holding % |
|---|---|
| Motilal Oswal Family Trust | 23.73% |
| Raamdeo Ramgopal Agrawal | 21.53% |
| Vaibhav Raamdeo Agrawal | 5.15% |
| Navin Agarwal | 5.1% |
| Suneeta Raamdeo Agrawal | 4.25% |
| Raamdeo Agarwal HUF | 3% |
| Motilal Gopilal Oswal | 2.25% |
| Vimla Motilal Oswal | 1.96% |
| Parag Parikh Flexi Cap Fund | 1.93% |
| Pratik Ranjit Mehta | 1.49% |
| Natasha Aniruddha Malpani | 1.48% |
| Pratik Motilal Oswal | 1.48% |
| Pratiksha Pratik Mehta | 1.48% |
| Rajat Rajgarhia | 1.15% |
| Dhairya Agrawal | 0.15% |
| Suman Agrawal | 0.07% |
| Vedika Vaibhav Agrawal | 0.07% |
| Vinay Agrawal | 0.07% |
| Satish Agrawal | 0.05% |
| Karoon Ramgopal Agarawal | 0.05% |
Distribution across major stakeholders
Distribution across major institutional holders
Analysis of Motilal Oswal Financial Services's financial performance, highlighting revenue trends, growth patterns, and key metrics through quarterly analysis.
Last Updated: Dec 31, 2024
| Description | Share | Value |
|---|---|---|
| Wealth Management | 43.4% | 961 Cr |
| Asset and Private Wealth Management | 34.1% | 755.5 Cr |
| Treasury Investments | 8.0% | 176.6 Cr |
| Home Finance | 7.4% | 162.8 Cr |
| Capital Markets | 7.2% | 158.5 Cr |
| Total | 2.2 kCr |
Detailed comparison of Motilal Oswal Financial Services against industry peers, highlighting key financial metrics, valuation ratios, and performance indicators to provide competitive context within the sector.
Ticker | Name | Mkt Cap | Revenue | Price %, 1M | Returns, 1Y | P/E | P/S | Rev 1-Yr | Inc 1-Yr |
|---|---|---|---|---|---|---|---|---|---|
| ANGELONE | ANGEL ONEStockbroking & Allied | 21.01 kCr | 5.55 kCr | +0.16% | -17.93% | 15.71 | 3.79 | +47.87% | +27.08% |
| JMFINANCIL | JM FinancialHolding Company | 9.79 kCr | 4.7 kCr | +5.36% | +24.42% | -72.26 | 2.08 | +6.20% | -118.38% |
| GEOJITFSL | Geojit Financial ServicesStockbroking & Allied | 2.17 kCr | 780.41 Cr | +10.95% | -16.61% | 11.27 | 2.78 | +46.63% | +50.60% |
| 5PAISA | 5paisa CapitalStockbroking & Allied | 1.18 kCr | 401.32 Cr | +2.85% | -29.72% | 18.41 | 2.93 | +7.51% | +1.37% |
| IIFLSEC | IIFLSECOther | 6.86 kCr | 2.7 kCr | -1.40% | +89.07% | 8.97 | 2.54 | +39.66% | +82.60% |
Summary of Motilal Oswal Financial Services's latest earnings call, featuring management's outlook on business performance, financial results, and analyst Q&A sessions that highlight key strategic initiatives and market challenges.
Last updated: Feb 25
Management Outlook:
Motilal Oswal's management expressed a highly positive outlook, driven by India's financialization trend, projecting cumulative household savings to rise from $14 tn to $126 tn over 25 years. This mega-trend is expected to benefit their wealth management, asset management, private wealth, and capital markets businesses. The group anticipates continued consolidation in the broking industry, positioning itself as India's leading full-service broker. Strong growth in recurring revenue (56% of group revenues) and fee-based income (41% of total revenues) underscores a shift toward sustainable, high-margin streams.
Key Highlights:
Financial Performance:
Segment Growth:
Strategic Initiatives:
Market Trends:
Management reiterated confidence in sustained growth, leveraging a strong brand, balance sheet, and India's structural shift toward financial assets.
Last updated: Feb 25
Question 1 (Uday Pai, Investec):
This quarter, you saw a mix of your APs and direct revenue shifting towards more of direct. And simultaneously, you saw a quarter-on-quarter decline in market share, both in terms of cash ADTO and F&O premium. Can you give some color on that? Have we changed pricing in F&O due to regulatory changes? On Private Wealth, while distribution income rose, AUM did not. Are transactional products excluded from AUM?
Answer: Pricing adjustments in F&O followed contract size changes. Market share dip was due to market corrections and advisory-led client caution, but revenue remained resilient. Private Wealth AUM dipped marginally due to mark-to-market losses despite strong net flows.
Question 2 (Vivek Ramakrishnan, DSP Mutual Fund):
What is the trend in the lending book (Wealth Management and Housing Finance)? Are margins sustainable? Why were HFC credit costs negative?
Answer: Lending books dipped 5% sequentially due to market corrections, but NII rose on lower funding costs. HFC's negative credit costs stemmed from recoveries of pre-FY20 written-off assets. Asset quality remains strong.
Question 3 (Abhijeet Sakhare, Kotak Securities):
Can you provide a breakup of Private Wealth AUM, including equity/debt splits?
Answer: Private Wealth AUM includes ~Rs.32,000 cr in ARR assets (mutual funds/alternates), ~Rs.116,000 cr in transactional assets (Rs.46,000 cr custody), and Rs.2,700 cr lending. ARR assets include distribution (Rs.26,000 cr) and advisory (Rs.3,000 cr).
Question 4 (Manan Mundra, Individual Investor):
Does client vintage affect revenue? Are margin calls rising due to market volatility? Do regulatory restrictions hinder cross-selling?
Answer: Older clients yield higher revenue via cross-selling. Margin calls were minimal due to SEBI's revised margin rules and client cash buffers. Cross-selling adheres to open architecture and regulatory Chinese walls.
Question 5 (Umang Shah, Kotak Mutual Fund):
How are mutual fund flows/SIPs trending amid volatility? What's the AMC distribution strategy? HFC growth guidance?
Answer: AMC flows remained strong; Jan'25 was the second-best month ever. Distribution expansion targets 600+ salespeople. HFC maintains 20% AUM growth guidance, supported by RM additions.
Question 6 (Dipanjan Ghosh, Citi):
Why did Private Wealth's transactional income surge? How are IB deal pipelines and client sentiment?
Answer: Higher alternate asset sales and co-investments drove transactional income. IB pipelines remain strong, with increased coverage of monetization events. HNIs view corrections as investment opportunities.
Question 7 (Avinash Singh, Emkay Global):
What share of AMC AUM comes from internal distribution? What's Private Wealth's client focus?
Answer: 15% of AMC AUM is captive (Wealth/Private Wealth). Private Wealth targets families with Rs.25 cr+ net worth, onboarding at Rs.3 cr+.
Question 8 (Sanil Desai, ICICI Securities):
How have NFOs performed? Any strategy shifts due to market weakness?
Answer: NFOs contributed to scale-ups post-launch (e.g., Business Cycle Fund). No strategy shifts; product launches continue (e.g., Innovation Fund).
Question 9 (Lalit Deo, Equirus Securities):
Do new Private Wealth families invest upfront? RM productivity vs. hiring plans? AMC alternate flow outlook?
Answer: Families onboard with Rs.3 cr+ within a year. Hiring and productivity improvements continue. AMC alternates focus on growth strategies (e.g., mid-to-mega caps).
Question 10 (Sanjaya Satapathy, Ampersand Capital):
Brokerage market share strategy? AMC AUM split (debt/equity/ETF)?
Answer: Market share blip due to market corrections; long-term growth via digital/advisory focus. AMC AUM is equity-heavy (~Rs.27,000 cr passive; ~Rs.13,000 cr NASDAQ/S&P).
Question 11 (Mahek, Emkay):
Why did Private Wealth's employee costs rise?
Answer: Increased costs reflect senior hires for ultra-HNI/family office expansion and RM additions. Productivity improves with vintage.
Investor Care | |
|---|---|
| Dividend Yield | 1.22% |
| Dividend/Share (TTM) | 8.5 |
| Shares Dilution (1Y) | 0.87% |
| Diluted EPS (TTM) | 46.82 |
Financial Health | |
|---|---|
| Debt/Equity | 0.00 |
| Debt/Cashflow | 0.00 |