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

Investors are expected to be cautious with CHOLAFIN, as its revenues are projected to fall compared to last year. A decline in revenue often results in a negative impact on profitability, prompting concerns about the company's financial stability and making investors more conservative in their approach.

Financial Ratios:

currentRatio 112.664000
forwardPE 21.096325
debtToEquity 724.311000
earningsGrowth 0.197000
revenueGrowth 0.196000
grossMargins 0.999130
operatingMargins 0.508520
trailingEps 55.110000
forwardEps 0.000000

Cholamandalam Investment and Finance Company Limited's current ratio, being 112.664, demonstrates that the company has the liquidity necessary to service its short-term debt. With strong cash reserves and current assets, Cholamandalam Investment and Finance Company Limited is well-equipped to meet its immediate financial obligations without any difficulties.
Cholamandalam Investment and Finance Company Limited's Forward PE ratio is in a good range, reflecting a reasonable balance between stock price and earnings. The stock is not overpriced, leaving room for growth, which suggests potential for investors looking to capitalize on future value appreciation.
CHOLAFIN's high debt-to-equity ratio signals that the company is heavily leveraged. This suggests CHOLAFIN may be relying more on debt than equity to finance its operations, which could expose the company to greater financial risk in challenging economic conditions.
With earnings and revenue growth in positive territory, CHOLAFIN is projected to expand its business. This strong financial performance suggests the company will continue to grow, as increased profitability and sales drive future success.
Positive gross and operating margins for CHOLAFIN highlight the company's profitability. These metrics reflect CHOLAFIN's efficiency in controlling costs while generating strong revenue from its core operations, signaling robust financial health.

Price projections:

Price projections for CHOLAFIN
Price projections for CHOLAFIN

Price projections for CHOLAFIN have consistently been revised upward, suggesting that analysts are increasingly optimistic about the company's performance. This trend reflects a positive outlook for CHOLAFIN's future.

Recommendation changes over time:

Recommendations trend for CHOLAFIN
Recommendations trend for CHOLAFIN


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