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Prime Securities (BOM:500337) Financial Strength : 10 (As of Mar. 2025)


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What is Prime Securities Financial Strength?

Prime Securities has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.

Good Sign:

Prime Securities Ltd shows strong financial strength.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.

A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Prime Securities's Interest Coverage for the quarter that ended in Mar. 2025 was 6.71. Prime Securities's debt to revenue ratio for the quarter that ended in Mar. 2025 was 0.00. As of today, Prime Securities's Altman Z-Score is 20.78.


Competitive Comparison of Prime Securities's Financial Strength

For the Capital Markets subindustry, Prime Securities's Financial Strength, along with its competitors' market caps and Financial Strength data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Prime Securities's Financial Strength Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Prime Securities's Financial Strength distribution charts can be found below:

* The bar in red indicates where Prime Securities's Financial Strength falls into.


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Prime Securities Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Prime Securities's Interest Expense for the months ended in Mar. 2025 was ₹-0.7 Mil. Its Operating Income for the months ended in Mar. 2025 was ₹4.7 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2025 was ₹0.0 Mil.

Prime Securities's Interest Coverage for the quarter that ended in Mar. 2025 is

Interest Coverage=-1*Operating Income (Q: Mar. 2025 )/Interest Expense (Q: Mar. 2025 )
=-1*4.7/-0.7
=6.71

The higher the ratio, the stronger the company's financial strength is.

Good Sign:

Prime Securities Ltd has no debt.

2. Debt to revenue ratio. The lower, the better.

Prime Securities's Debt to Revenue Ratio for the quarter that ended in Mar. 2025 is

Debt to Revenue Ratio=Total Debt (Q: Mar. 2025 ) / Revenue
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / Revenue
=(0 + 0) / 431.6
=0.00

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Prime Securities has a Z-score of 20.78, indicating it is in Safe Zones. This implies the Z-Score is strong.

Good Sign:

Altman Z-score of 20.78 is strong.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Prime Securities  (BOM:500337) Financial Strength Explanation

The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.

Prime Securities has the Financial Strength Rank of 10. It shows strong financial strength and is unlikely to fall into distressed situations.


Prime Securities Financial Strength Related Terms

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Prime Securities Business Description

Traded in Other Exchanges
Address
1109/1110, Maker Chambers V, Nariman Point, Mumbai, MH, IND, 400021
Prime Securities Ltd is engaged in the provision of investment banking and corporate advisory services. The business activity of the group is operated through - Financial Advisory & Intermediation services. The company is in providing value-added advice and services to clients on complex strategic and financial decisions and transactions focused on fundraising, mergers and acquisitions, equity and debt private placements, initial public offerings, corporate advisory, and capital restructuring. The company's business segment is providing merchant banking and advisory services. Geographically, all the activities function throughout the region of India.

Prime Securities Headlines

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