Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Credit Services

Shriram Finance Limited, a non-banking finance company, primarily engages in the provision of financing services in India. It offers fixed and recurring deposits; commercial vehicle loans for commercial goods vehicles, passenger vehicles, tractors and farm equipment, and construction equipment; and multi-utility vehicle, two-wheeler, gold, and personal loans. The company also provides business loans, such as small and medium enterprise loans; working capital loans, including tyre, tax, fuel, and toll financing, and repair/top-up loans and challan discounting; insurance products life, motor, personal accident, and home insurance products; and payment services. It serves first time buyers, small road transport operators, and individuals; and micro, small, and medium enterprises (MSMEs) customers consisting of self-employed professionals, wholesale and retail dealers, merchants, builders, small and medium scale manufacturing concerns, and service providers. The company was formerly known as Shriram Transport Finance Company Limited and changed its name to Shriram Finance Limited in November 2022. Shriram Finance Limited was incorporated in 1979 and is based in Mumbai, India.

Revenue projections:

Revenue projections for SHRIRAMFIN
Revenue projections for SHRIRAMFIN

Shriram Finance 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 0.000000
forwardPE 16.810423
debtToEquity 279.083000
earningsGrowth -0.221000
revenueGrowth 0.214000
grossMargins 0.958810
operatingMargins 0.612740
trailingEps 48.570000
forwardEps 59.698080

SHRIRAMFIN's Forward PE is at a healthy level, indicating that the stock price is well-positioned relative to its earnings. With the stock not being overvalued, there remains room for future growth, suggesting a balanced opportunity for investors seeking potential upside.
SHRIRAMFIN's high debt-to-equity ratio indicates a strong reliance on debt, meaning the company is heavily leveraged. This could increase financial risks if cash flow or earnings decline, making it more difficult for SHRIRAMFIN to manage its debt obligations.
SHRIRAMFIN's low growth in both earnings and revenue indicates a likely decrease in profits. This suggests the company may be facing financial challenges, and investors should be cautious about its future performance.
Shriram Finance Limited's positive gross and operating margins indicate a profitable and efficient business model. These metrics highlight the company's ability to generate income while controlling operational costs, reflecting strong financial performance.
SHRIRAMFIN's forward EPS being higher than its trailing EPS signals anticipated growth in profitability for the current financial year. This suggests that SHRIRAMFIN is on track to improve its earnings, outpacing the previous year's performance and reflecting positive market expectations.

Price projections:

Price projections for SHRIRAMFIN
Price projections for SHRIRAMFIN

Price projections for Shriram Finance Limited have consistently been revised upward, indicating positive sentiment toward the company. This gradual adjustment reflects growing confidence in Shriram Finance Limited's future potential and financial outlook among analysts.

Recommendation changes over time:

Recommendations trend for SHRIRAMFIN
Recommendations trend for SHRIRAMFIN


SHRIRAMFIN has been receiving a buy bias from analysts, indicating confidence in its investment potential. This could drive more investors to view SHRIRAMFIN as a reliable choice for their money, offering a promising avenue for future growth and financial gains.