Cholamandalam Investment & Finance Company Ltd logo

Cholamandalam Investment & Finance Company Ltd

CHOLAFIN NSE

Cholamandalam Investment & Finance Company is one of the premier diversified non-banking finance companies in India, engaged in providing vehicle finance, home loans and Loan against property.[1]

AI Verdict: BUY Confidence: 7%

Cholamandalam delivers consistent 28% profit CAGR over 5 years with 20% ROE, supported by 73.5% buy ratings from 34 analysts. At a PE of 27.5x, valuation is rich but justified by superior growth and execution in the NBFC space.

Key Fundamentals

LargecapNBFCFinancial Services
Market Cap
1.5L Cr
Volatility
High Risk
P/E Ratio
29.07
EBITDA
₹21,175 Cr
Return on Equity
17.41%
Debt to Equity
7.15
Book Value
₹357.25
EPS
₹43.53
52W High
₹1,831.5
52W Low
₹1,299.4

Technical Indicators

Key Insights

Strengths

2
  • Company has delivered good profit growth of 28.0% CAGR over last 5 years
  • Company's median sales growth is 21.3% of last 10 years

Weaknesses

4
  • Stock is trading at 5.02 times its book value
  • Company has low interest coverage ratio.
  • Promoter holding has decreased over last quarter: -0.47%
  • Company might be capitalizing the interest cost

Growth Rate

Revenue Growth
18.81% ↗
Net Income Growth
16.50% ↘
Cash Flow Change
9.16% ↗
ROE
3.39% ↘
ROCE
2.13% ↘
EBITDA Margin (Avg.)
-5.00% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 3d ago
BUY
Risk medium

Cholamandalam delivers consistent 28% profit CAGR over 5 years with 20% ROE, supported by 73.5% buy ratings from 34 analysts. At a PE of 27.5x, valuation is rich but justified by superior growth and execution in the NBFC space.

Bull Case 8
  • Compounded profit growth of 28% CAGR over 5 years demonstrates strong earnings momentum
  • Consistent ROE of 19-20% across 3, 5, and 10-year periods shows durable capital efficiency
  • 73.5% of 34 analysts rate the stock a BUY, with only 5.88% recommending SELL
  • Sales CAGR of 34% over 3 years indicates accelerating business growth and market share gains
  • 10-year stock CAGR of 25% reflects long-term wealth creation track record
  • TTM sales growth of 20% and profit growth of 23% show continued operational strength
  • Market cap of Rs 1,44,227 crore provides institutional-grade liquidity and index inclusion benefits
  • Median sales growth of 21.3% over last 10 years demonstrates consistency through multiple credit cycles
Bear Case 8
  • Stock trades at 4.73x book value, significantly above NBFC sector average of 2-3x, limiting margin of safety
  • Low interest coverage ratio raises concerns about debt servicing capacity in a rising rate environment
  • Promoter holding decreased by 0.47% in the last quarter, signaling potential dilution or reduced insider confidence
  • Dividend yield of just 0.12% offers negligible income return to shareholders
  • Potential capitalization of interest costs may be flattering reported profitability metrics
  • 1-year stock CAGR of only 9% versus 5-year CAGR of 26% suggests near-term growth deceleration in stock price
  • PE of 27.5x prices in significant future growth, leaving limited room for earnings disappointment
  • As an NBFC, the company faces inherent asset quality risks that ROE of 19% in the last year (down from 20%) may hint at

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 1d ago
Neutral 2
  • ₹5000 cr NCD private placement May 27

    Cholamandalam allotted ₹5000 cr secured non-convertible securities via private placement on NSE EBP with a tenure of 2 years 9 months.

  • ₹100 cr NCD at 8.08% Jun 18

    Allotted secured NCDs worth ₹100 cr via private placement at 8.08% coupon rate with 1083-day tenure.

TL;DR: Cholamandalam continues routine debt fundraising through private placements totaling ₹5100 cr across two recent issuances. No operational or strategic headwinds or positive catalysts emerged in this period. The NCD issuances reflect steady balance sheet management and ongoing capital needs to fund loan book growth. Outlook remains stable pending upcoming quarterly results or business updates.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Revenue
3,741
4,100
4,623
5,007
5,410
5,812
6,255
6,733
7,046
7,267
7,491
7,898
8,417
Expenses
902
1,174
1,391
1,412
1,417
1,727
1,897
2,038
2,010
2,286
2,460
2,554
2,597
Financing Profit
1,105
920
1,028
1,155
1,414
1,289
1,300
1,420
1,671
1,512
1,514
1,698
2,067
Fin. Margin %
30%
22%
22%
23%
26%
22%
21%
21%
24%
21%
20%
22%
25%
Other Income
93
71
73
47
105
45
68
105
92
87
123
111
148
Interest
1,734
2,006
2,204
2,441
2,579
2,796
3,059
3,275
3,365
3,468
3,517
3,646
3,753
Depreciation
36
39
39
46
75
59
63
59
64
67
71
74
72
PBT
1,163
952
1,062
1,156
1,444
1,275
1,305
1,466
1,699
1,532
1,566
1,736
2,143
Tax %
26%
25%
27%
25%
26%
26%
26%
26%
26%
26%
26%
26%
23%
Net Profit
855
710
773
872
1,065
947
968
1,088
1,260
1,138
1,160
1,290
1,645
EPS in Rs
10.4
8.64
9.4
10.39
12.68
11.27
11.52
12.94
14.98
13.53
13.78
15.28
19.31
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Revenue
3,715
4,214
4,694
5,559
7,108
8,712
9,583
10,148
12,884
19,163
25,890
31,073
Expenses
1,061
1,266
1,322
1,451
1,632
2,421
2,858
2,926
3,621
5,385
7,670
9,898
Financing Profit
696
899
1,143
1,451
1,888
1,699
2,150
2,924
3,515
4,548
5,725
6,791
Fin. Margin %
19%
21%
24%
26%
27%
20%
22%
29%
27%
24%
22%
22%
Other Income
0
2
3
0
1
0
0
84
220
255
261
469
Interest
1,958
2,048
2,228
2,657
3,588
4,592
4,576
4,298
5,748
9,231
12,495
14,384
Depreciation
30
22
39
51
57
111
102
101
121
198
245
284
PBT
666
879
1,107
1,401
1,832
1,588
2,048
2,908
3,615
4,605
5,741
6,977
Tax %
33%
35%
35%
34%
35%
34%
26%
26%
26%
26%
26%
25%
Net Profit
444
575
718
918
1,197
1,054
1,521
2,154
2,665
3,420
4,263
5,233
EPS in Rs
6.18
7.36
9.21
11.76
15.32
12.86
18.55
26.23
32.42
40.72
50.69
61.41
Div. Payout %
11%
12%
12%
11%
8%
13%
11%
8%
6%
5%
4%
3%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
144
156
156
156
156
164
164
164
164
168
168
170
Reserves
2,531
3,514
4,142
4,969
6,052
8,036
9,436
11,605
14,182
19,425
23,500
30,288
Borrowing
19,950
22,546
24,071
38,330
50,567
55,005
63,730
69,174
97,358
1,34,475
1,75,036
2,11,070
Other Liabilities
1,243
1,673
2,230
711
715
853
1,314
1,536
1,923
2,618
3,182
3,920
Total Liabilities
23,868
27,889
30,598
44,167
57,490
64,058
74,644
82,478
1,13,627
1,56,686
2,01,887
2,45,448
Fixed Assets
69
120
150
170
167
283
228
259
403
1,563
1,780
1,883
CWIP
0
0
0
4
14
11
10
37
60
13
11
28
Investments
25
16
182
23
42
33
1,583
2,055
3,562
4,036
6,367
6,646
Other Assets
23,775
27,753
30,266
43,970
57,267
63,732
72,823
80,127
1,09,602
1,51,075
1,93,729
2,36,892
Total Assets
23,868
27,889
30,598
44,167
57,490
64,058
74,644
82,478
1,13,627
1,56,686
2,01,887
2,45,448
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
-2,264
-2,809
-1,468
-7,926
-9,317
-2,075
-8,842
-5,571
-27,105
-35,683
-32,413
-30,021
Investing
-40
-137
-222
-60
-11
-54
-1,572
1,640
-2,148
-2,855
-2,948
-2,554
Financing
1,819
3,031
1,692
8,009
12,191
2,452
8,516
5,150
27,466
38,471
39,795
35,610
Net Cash Flow
-485
85
2
22
2,862
323
-1,898
1,218
-1,787
-66
4,434
3,035
Free Cash Flow
-2,294
-2,885
-1,525
-7,994
-9,391
-2,145
-8,873
-5,665
-27,293
-36,754
-32,600
-30,263
CFO/OP
-75
-82
-29
-179
-157
-24
-121
-65
-283
-249
-169
-133
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
ROE %
18%
18%
18%
20%
21%
15%
17%
20%
20%
20%
20%
19%

Shareholding Pattern

As of Mar 2026
Promoters 49.25%
FIIs 24.87%
DIIs 19.91%
Public 4.59%
Others 1.37%
Total 99.99%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
51.62%
51.61%
51.57%
51.55%
51.55%
51.52%
51.50%
51.49%
51.47%
51.46%
51.43%
50.37%
50.35%
50.33%
50.24%
49.93%
49.92%
49.90%
49.88%
49.72%
49.25%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.01%
0.01%
0.01%
0.01%
21.51%
24.73%
26.00%
26.62%
27.17%
27.43%
28.23%
27.96%
26.85%
26.55%
24.87%
DIIs
20.28%
17.95%
18.30%
18.39%
19.54%
19.20%
20.64%
21.24%
21.47%
18.60%
20.04%
18.38%
17.04%
16.86%
16.58%
16.10%
15.49%
16.06%
17.27%
17.55%
19.91%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
5.87%
6.05%
6.24%
6.18%
6.17%
6.28%
6.14%
6.06%
5.87%
5.69%
5.43%
5.11%
5.18%
4.91%
4.76%
5.20%
4.93%
4.80%
4.54%
4.48%
4.59%
Others
22.23%
24.40%
23.89%
23.88%
22.74%
23.00%
21.70%
21.20%
21.18%
24.25%
1.60%
1.41%
1.43%
1.28%
1.25%
1.35%
1.42%
1.27%
1.46%
1.69%
1.37%
No. of Shareholders
86,296
1,03,134
1,07,443
1,14,309
1,20,069
1,25,525
1,30,833
1,30,154
1,21,184
1,40,546
1,46,815
1,40,636
1,55,055
1,43,097
1,46,889
1,76,231
1,78,471
1,83,933
1,65,068
1,70,050
1,60,428

Documents

Frequently Asked Questions about Cholamandalam Investment & Finance Company Ltd

What does Cholamandalam Investment & Finance Company Ltd do?
Cholamandalam Investment & Finance Company is one of the premier diversified non-banking finance companies in India, engaged in providing vehicle finance, home loans and Loan against property.[1]
Where is Cholamandalam Investment & Finance Company Ltd (CHOLAFIN) listed?
Cholamandalam Investment & Finance Company Ltd is listed on the Indian stock exchanges. It is listed on NSE: CHOLAFIN and BSE: 511243. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Cholamandalam Investment & Finance Company Ltd belong to?
Cholamandalam Investment & Finance Company Ltd operates in the Financial Services sector within the Finance industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Cholamandalam Investment & Finance Company Ltd?
Cholamandalam Investment & Finance Company Ltd has a market capitalisation of approximately ₹152762.19 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Cholamandalam Investment & Finance Company Ltd?
The Price-to-Earnings (PE) ratio of Cholamandalam Investment & Finance Company Ltd is 29.07. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Cholamandalam Investment & Finance Company Ltd?
Over the past 52 weeks, Cholamandalam Investment & Finance Company Ltd has traded between a low of ₹1,299.4 and a high of ₹1,831.5. This range helps investors understand the stock's price volatility and recent trading levels.
Does Cholamandalam Investment & Finance Company Ltd pay dividends?
Yes, Cholamandalam Investment & Finance Company Ltd has a dividend yield of 0.11%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Cholamandalam Investment & Finance Company Ltd?
Cholamandalam Investment & Finance Company Ltd has a Return on Equity (ROE) of 17.41%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Cholamandalam Investment & Finance Company Ltd on Tapetide?
On Tapetide, you can view Cholamandalam Investment & Finance Company Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Cholamandalam Investment & Finance Company is one of the premier diversified non-banking finance companies in India, engaged in providing vehicle finance, home loans and Loan against property.[1]

Website cholamandalam.com
CEO Mr. Murugappan Vellayan Subbiah
Employees 45,194
Listed 1996-05-15
Face Value ₹ 2
Issued Size 84,39,52,471

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