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Fundamentals for IIFL Finance Limited
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Fundamentals for IIFL Finance Limited
Business Operations:
Sector: Financial ServicesIndustry: Credit Services
IIFL Finance Limited, a non-banking financial company, engages in financing activities in India and internationally. It offers home and gold loans; business loans, including business loan for manufacturers, women, and e-commerce; loans to micro, small, and medium enterprise; loans against securities; and digital finance loans, as well as supply chain finance. The company also provides construction and real estate financing; capital market financing; and lending, investment, and wealth management services. The company was formerly known as IIFL Holdings Limited and changed its name to IIFL Finance Limited in May 2019. IIFL Finance Limited was incorporated in 1995 and is based in Mumbai, India.
Revenue projections:
Investors may be wary of IIFL Finance Limited as its revenues are expected to fall below the prior year's levels. A revenue decrease often leads to concerns about profitability, as it is likely to affect the company's bottom line, prompting investors to take a more cautious approach.
Financial Ratios:
| currentRatio | 238.982000 |
|---|---|
| forwardPE | 7.367583 |
| debtToEquity | 446.240000 |
| earningsGrowth | 1.831000 |
| revenueGrowth | -0.141000 |
| grossMargins | 1.000000 |
| operatingMargins | 0.398390 |
| trailingEps | 38.740000 |
| forwardEps | 69.100000 |
IIFL Finance Limited's current ratio of 238.982 means the company has enough liquidity to meet its short-term debt obligations. With sufficient cash reserves and current assets, IIFL Finance Limited can comfortably cover its liabilities, reflecting a strong financial outlook.
IIFL Finance Limited's elevated debt-to-equity ratio suggests the company is leveraging debt heavily, increasing its financial risk. While this can support growth, it could also lead to challenges if the company's profitability or cash flow weakens.
IIFL's positive gross and operating margins reflect its ability to generate profits from operations. These margins demonstrate efficient cost control and profitability, indicating strong financial health for the company.
IIFL's forward EPS is higher than its trailing EPS, which signals that the company is expected to achieve greater profitability this financial year. This suggests improved earnings performance, indicating a positive outlook for IIFL's financial growth.
Price projections:
The price of IIFL has consistently been close to the lower limit of expectations. This trend may point to challenges in the company's performance, leading to concerns about its future growth potential.
Recommendation changes over time:
A recent buy bias from analysts toward IIFL indicates strong confidence in the stock's future performance. This could encourage investors to park their money in IIFL, viewing it as a stable and potentially rewarding investment opportunity with promising long-term growth prospects.
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