Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Credit Services

Cholamandalam Investment and Finance Company Limited, operates as a non-banking finance company in India. The company operates through Vehicle Finance, Loan Against Property, Home Loans, and Other Loans segments. It offers loans for commercial vehicles, passenger vehicles, two- and three- wheelers, and tractors, as well as construction equipment. The company also provides secured loans against property, and home and SME loans, as well as consumer and small enterprise loans, including personal loans, professional loans, and business loans to salaried, self-employed professional and non-professional customers, and micro and small businesses. In addition, it offers portfolio management services, such as investment solutions to individual clients; stock broking services to retail and institutional investors; and distributes insurance products and mutual funds. Further, the company provides dealer portal services under the Gaadi Bazaar brand, that acts as a hub for dealers in listing vehicles, generating leads, and applying for loans and trade advances. Additionally, it operates Payswiff, an omni channel payment transaction solution that lets business owners accept payments from their customers in-store, at home deliveries, online and on-the-go using mPOS and POS solutions. The company was incorporated in 1978 and is based in Chennai, India.

Revenue projections:

Revenue projections for CHOLAFIN
Revenue projections for CHOLAFIN

Cholamandalam Investment and Finance Company Limited's projected revenue decline from last year is likely to make investors cautious. Lower revenues often hurt a company's bottom line, leading investors to be concerned about the company's ability to maintain profitability and deliver strong financial results in the future.

Financial Ratios:

currentRatio 91.943000
forwardPE 18.202534
debtToEquity 740.728000
earningsGrowth 0.181000
revenueGrowth 0.141000
grossMargins 1.000000
operatingMargins 0.555710
trailingEps 50.590000
forwardEps 0.000000

Cholamandalam Investment and Finance Company Limited's current ratio of 91.943 reflects its strong liquidity position. The company has enough cash reserves and current assets to service its short-term debt obligations, signaling that Cholamandalam Investment and Finance Company Limited is financially well-prepared to meet its liabilities without difficulty.
Cholamandalam Investment and Finance Company Limited's Forward PE is in a strong range, indicating that its stock price compares well with its earnings. The stock is not considered overpriced, leaving ample room for growth and making it a promising option for investors looking for value and future returns.
Cholamandalam Investment and Finance Company Limited's elevated debt-to-equity ratio suggests the company is highly leveraged, meaning it has significant debt compared to equity. This can be risky, particularly if Cholamandalam Investment and Finance Company Limited's cash flow or profits decrease, making it harder to meet debt obligations.
CHOLAFIN's positive earnings and revenue growth indicate that the company is well-positioned for business expansion. This growth suggests a strong financial trajectory, with CHOLAFIN expected to continue increasing its profits and revenue in the coming periods.
With positive gross and operating margins, Cholamandalam Investment and Finance Company Limited demonstrates its profitability and efficiency. These metrics show that the company is managing costs well while generating strong revenue, highlighting robust financial health.

Price projections:

Price projections for CHOLAFIN
Price projections for CHOLAFIN

The price of CHOLAFIN has regularly been close to the lower end of projections, suggesting that it might be struggling to meet market expectations. This trend raises questions about the company's future performance.

Recommendation changes over time:

Recommendations trend for CHOLAFIN
Recommendations trend for CHOLAFIN


CHOLAFIN has recently received a buy bias from analysts, indicating that the stock is being perceived as a favorable investment. This positive sentiment could encourage investors to see CHOLAFIN as a wise place to allocate their funds, potentially leading to increased interest in the company's stock.