Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Credit Services

Power Finance Corporation Limited, a non-banking finance company, provides financial products and related advisory, and other services to the power sector in India. The company offers fund based financial policies/products, including guidelines for solar and wind power generation projects, as well as for funding private sector independent transmission projects; debt refinancing and prepayment policy for solar wind projects; and takeout financing, asset acquisition, bridge loan, buyer's line of credit, credit facility for purchase of power through power exchange, energy saving project, and project and short-term loan services. Its fund based financial policies/products also include financing for purchase of equipment; grants/interest free loans for studies/consultancies; lease financing for the purchase of equipment and wind power projects; line of credit for import of coal; policy for underwriting of debt; and financial assistance to distribution franchisee. In addition, the company provides non-fund based policies/products comprising guarantees, letter of comfort, and policy for guarantee for credit enhancement; and non-fund based consultancy services. Power Finance Corporation Limited was incorporated in 1986 and is headquartered in New Delhi, India.

Revenue projections:

Revenue projections for PFC
Revenue projections for PFC

PFC's revenue projections indicate a decrease from last year's performance, which could lead to investor caution. A fall in revenue is likely to negatively impact the company's profitability, causing concern for shareholders who may view this as a signal of declining financial health.

Financial Ratios:

currentRatio 36.447000
forwardPE 6.027487
debtToEquity 603.342000
earningsGrowth 0.083000
revenueGrowth 0.120000
grossMargins 0.993890
operatingMargins 0.949020
trailingEps 75.030000
forwardEps 59.502410

Power Finance Corporation Limited's current ratio of 36.447, indicating that the company can meet its short-term debt obligations with ease. This high liquidity level is a positive sign, as Power Finance Corporation Limited has enough cash and current assets to handle its immediate liabilities comfortably.
PFC'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.
PFC's positive gross and operating margins highlight its strong profitability. The company's ability to control costs while generating revenue indicates efficient operations and a healthy financial position.
PFC's forward EPS being less than its trailing EPS indicates the company may be less profitable this year than last. This signals potential challenges in maintaining earnings growth and could lead to concerns about future performance.

Price projections:

Price projections for PFC
Price projections for PFC

Power Finance Corporation Limited's price has frequently been situated near the lower end of analysts' projections. This trend indicates that the stock is struggling to meet expectations, which could signal a need for improvements in performance or investor confidence.

Recommendation changes over time:

Recommendations trend for PFC
Recommendations trend for PFC


Analysts' buy bias for Power Finance Corporation Limited signals that the stock is considered a favorable investment. This outlook might prompt investors to allocate funds to Power Finance Corporation Limited, seeing it as a solid and profitable choice to park their money and potentially benefit from the company's long-term growth.