Onemi Technology Solutions
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
OnEMI Technology Solutions (KISSHT) is navigating a complex landscape marked by a commitment to long-term growth and strategic innovation. Management's focus on AI-driven underwriting and collections is enhancing asset quality, evidenced by a notable reduction in credit costs and a shift towards higher-quality borrowers. This strategic pivot is expected to support the company's ambitious 40% AUM growth target and profitability goals, including a 5% ROA and 20% ROE. Vista's financial outlook reflects a stable margin environment, with revenue growth moderating but still aligned with intrinsic value. The company's strong capital position and disciplined approach to scaling the Loan Against Property segment are critical to maintaining competitive advantage. However, the competitive landscape and potential regulatory changes pose challenges. The NBFC lending industry is experiencing a favorable growth phase, driven by increasing demand for MSME financing and gold-backed loans, which aligns with KISSHT's strategic initiatives. Over the next 12-24 months, key opportunities include leveraging digital infrastructure and expanding product offerings, while watchpoints include managing credit discipline and navigating regulatory pressures
Why We Like This Stock
- Management's focus on AI-driven underwriting is improving asset quality and reducing credit costs
- The strategic shift towards higher-quality borrowers supports long-term profitability and growth targets
- KISSHT's strong capital position and disciplined approach to scaling the Loan Against Property segment enhance its competitive edge
Things To Watch Out For
- Intense competition in the digital lending space may pressure margins and profitability
- Potential regulatory changes could impose constraints on lending practices and operational flexibility
- Economic fluctuations and inflationary pressures may impact borrowers' repayment capacity
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 1,700 | 1,352 | 2,179 | 3,001 | 3,802 |
| Profit Before Tax (Cr.) | 267 | 216 | 377 | 561 | 697 |
| PBT Margin | 15.7% | 16.0% | 17.3% | 18.7% | 18.3% |
| Net Profit (Cr.) | 173 | 179 | 278 | 416 | 517 |
| Earnings Per Share | 10.3 | 10.6 | 16.5 | 24.7 | 30.7 |
Analyst Recommendations
No analyst recommendations available.
Company Overview
Show Company Profile
OnEMI Technology Solutions Limited operates as a digital lending platform in India and internationally. It offers financial technology solutions. The company also provides personal loans and loans against property products, leveraging data analytics, alternative credit scoring, and technology infrastructure. In addition, it offers Kissht, a trusted financial platform; and PaywithRING, a cutting-edge digital app designed to provide instant loans in just minutes. The company serves salaried and self-employed individuals. The company was formerly known as OnEMI Technology Solutions Private Limited and changed its name to OnEMI Technology Solutions Limited. The company was incorporated in 2016 and is based in Mumbai, India.