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

Power Finance Corporation 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 421.855000
forwardPE 6.872396
debtToEquity 627.888000
earningsGrowth 0.123000
revenueGrowth 0.076000
grossMargins 0.994930
operatingMargins 0.946250
trailingEps 69.660000
forwardEps 54.990000

PFC's current ratio of 421.855 indicates strong liquidity, meaning the company can comfortably meet its short-term debt obligations. This financial position reflects PFC's ability to use its cash reserves and current assets to cover liabilities without facing any cash flow issues.
PFC'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 PFC's cash flow or profits decrease, making it harder to meet debt obligations.
With positive gross and operating margins, Power Finance Corporation Limited demonstrates its profitability and efficiency. These metrics show that the company is managing costs well while generating strong revenue, highlighting robust financial health.
With forward EPS less than trailing EPS, Power Finance Corporation Limited is expected to see reduced earnings. This suggests the company may face profitability challenges in the current financial year compared to the previous one.

Price projections:

Price projections for PFC
Price projections for PFC

Power Finance Corporation Limited's price projections have steadily risen over time, pointing to increasing optimism about the company's prospects. This upward revision suggests that analysts expect Power Finance Corporation Limited to continue delivering solid performance in the future.

Recommendation changes over time:

Recommendations trend for PFC
Recommendations trend for PFC


Analysts are favoring Power Finance Corporation Limited with a buy bias, highlighting the stock's potential as a solid investment. This recommendation might drive more investors to consider Power Finance Corporation Limited as a secure and profitable option for their money, contributing to a broader positive sentiment in the market.