FINANCIAL CONDITION
This is a financial condition report for AMIRA NATURE FOODS LTD. (NYSE:ANFI). In terms of financials, margins and growth we can look at several key indicators and compare the company to the broader S&P 500.


Amira Nature Foods has a trailing P/E of 6.33. To compare, the long-term average P/E for the S&P 500 is about 15. The S&P 500 shows median Price/Sales of 1.43 over the last fifteen years.


In terms of margins and returns, the company's financial condition reveals a Profit Margin of 5.14%, which compares to the S&P 500 average of 2.73%. The company has an Operating Margin of 12.42%. For context, the S&P 500 has an operating margin of 9.9%. Any measure that is positive reveals a company that is driving a profit and has a relatively healthy financial condition.


Amira Nature Foods Ltd. (NYSE:ANFI) has a Return on Assets of 11.46%. To compare, the S&P 500 oscillates between 1% and 4%. Return on assets measures the amount of after tax income the company generates for every one dollar in assets. This can be an excellent fundamental measure of a company's financial condition because it can be compared across market cap sizes for companies in the same industry. Return on assets is a powerful metric that is best used for peers in similar businesses because the structure of the balance sheets will be similar.


Here is a tabular summary of the financial condition data:
Metric ANFI S&P 500
P/E 6.33 15
Price/Sales 0.42 1.43
Profit Margin 5.14% 2.73%
Operating Margin 12.42% 9.90%
Return on Assets 11.46% About 2.5%


Amira Nature Foods reported Revenue of $651.80 million in the last year. For context, the company's market cap is $262.75 million. Quarterly Revenue Growth year-over-year came in at -18.00% and gross profit in the last year of $64.44 million. Any company that shows revenue growth and a positive gross profit exhibits signs of healthy financial condition.


FINANCIAL CONDITION: EARNINGS
Amira Nature Foods reported EBITDA of $83.11 million and net income of $33.51 million in the last year. That comes out to Diluted EPS of $1.16. Total Cash on hand sits at $29.90 million with $191.15 million in debt. When a firm has enough cash on hand to cover its debt it is in a much stronger financial position than a company that does not.


Finally the company reported Operating Cash Flow of $8.45 million and Levered Free Cash Flow of $-14.69 million in the last year. Positive cash flow measures are a sign of strong financial condition while negative cash flow numbers can be a sign of financial weakness unless revenue is growing rapidly.


STOCK PERFORMANCE
At the time of writing, Amira Nature Foods Ltd. (NYSE:ANFI) is $7.36. This represents a change from the open of $3.79. The 1 analysts included in the Thomson Reuters First Call have an average consensus recommendation of 3.0 on the stock. The scale goes from one to five, where a five rating signals a strong sell recommendation and a one rating indicates a strong buy recommendation.


On a consensus basis, Wall Street analysts price targets call for the stock moving to $8.00 within the next year.

For More Information: http://news.cmlviz.com/2016/06/08/amira-nature-foods-ltd--nyse-anfi-financial-condition-compared-to-s-p-500.html