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Intrinsic value · Buy/Sell verdict · scores — free· 1049 Indian stocks· EOD 2026-07-31

CARE Ratings Limited

CARERATINGNSEFinancial Services
₹1,709.5
+1.90 (+0.11%)
Hold

Quality (92/100) does the heavy lifting; valuation (15/100) is the drag.

ExpensiveOvervalued
The bottom line

StocksWizard rates CARE Ratings Limited a Hold, scoring 45/100 on our blended model. We put fair value near ₹1,098.91; at ₹1,709.5 that leaves roughly 36% downside, so the stock screens overvalued by 36%. On 29.6x trailing earnings it sits pricier than the Financial Services median of about 24.3x. The price is about 4% below its 52-week high of ₹1,785.38 and 22% above the low of ₹1,400.72. Financial health scores 96/100, with a Piotroski F-score of 4/9. The average analyst target of ₹2,130 implies about 25% upside across 1 analysts. It clears 9 of 12 investability checks, with durability 92, valuation 29 and momentum 75 on our 0–100 scales.

Analysis by Ankit Sharma · StocksWizard's own estimates from end-of-day public data — see how we calculate them. For information only, not investment advice.

Intrinsic value
Our fair value
₹1,098.91down 35.72%
Overvalued by 36%
Price ₹1,709.5Range ₹854.75₹1,415.6
Relative (financials)high confidence

With a 20% margin of safety, our buy-below price is ₹879.13.

Analyst views

1 analysts1 buy · 0 hold · 0 sell
12-month consensus target₹2,130up 24.60%

1-year price

EOD · 2026-07-31
1D
up 0.11%
1W
up 1.76%
1M
up 2.47%
3M
up 3.09%
6M
up 9.76%
1Y

52-week range

-4.25% from the 52-week high.

Trend check
Above 50-DMA₹1,653Above 200-DMA₹1,596

Price above both moving averages reads as an intact uptrend; below both, the trend is against you.

Verdict pillars

Hold45
A
Financial health 96/100
From profitability & returns (bank/NBFC)

Piotroski F-score 4/9 — quality of earnings & balance sheet.

Our scores

Durability92
Valuation29
Momentum75

Durability rewards strong, low-debt, profitable businesses; Valuation rewards stocks cheap vs their sector; Momentum rewards strong price trends.

Investability checklist

Passed 9 of 12 checks
Each check screens one fundamentals, valuation or trend signal.
  • Pass: ROE above 15%: 19.8%
  • Pass: Low debt (D/E < 0.5): 0.03x
  • Pass: Positive free cash flow
  • Pass: Revenue growth > 10%: 19%
  • Pass: Earnings growing: 24%
  • Pass: Net margin ≥ 10%: 36.2%
  • Pass: Current ratio > 1.5: 5.75
  • Fail: Below our fair value
  • Fail: Margin of safety ≥ 20%
  • Pass: Above 200-day average
  • Pass: Above 50-day average
  • No data: Positive 1-year return
  • No data: Altman Z in safe zone
  • Fail: Piotroski ≥ 7: 4/9

Quarterly results

Revenue · 1Q2022
₹66 Cr
Net profit
₹23 Cr
Margin
35%
2Q2021
3Q2021
4Q2021
1Q2022
Revenue Net profitLatest revenue QoQ +17%

Annual financials

Revenue · 2026
₹473 Cr
Net profit
₹171 Cr
Margin
36%
2023
2024
2025
2026
Revenue Net profitLatest revenue YoY +18%

Shareholding

  • Promoter17.0%
  • Institutions35.4%
  • Public & other47.6%

Promoter holding via insider stake; institutional via reported holdings.

Key fundamentals

Market cap
₹5,046 Cr
P/E ratio
29.6
P/B ratio
5.41
EPS (TTM)
₹56.78
ROE
19.8%
Debt / Equity
0.03x
Profit margin
36.2%
Free cash flow
₹132 Cr
52-week high
₹1,785.38
-4.25% from high
52-week low
₹1,400.72
Dividend yield
1.3%
Beta
0.33
SWOT snapshot

Bull case vs bear case

Bull case

Strengths

  • Strong return on equity (19.8%).
  • Lightly leveraged balance sheet.
  • Healthy profit margin (36.2%).

Opportunities

  • Earnings growing (24% YoY).
  • Revenue growing (19% YoY).

Bear case

Threats

  • Rich valuation versus sector peers.
  • Trades ~36% above our estimated fair value.

About CARE Ratings Limited

CARE Ratings Limited is a credit rating agency operating in India and internationally. It rates bank loans, debt instruments, bonds, commercial papers, corporate bonds, debentures, InvITs, non-convertible debentures, certificates of deposit, mutual funds, hybrid instruments, and structured credit products.

CARE Ratings Limited — frequently asked questions

Is CARE Ratings Limited a buy, hold or sell?

StocksWizard currently rates CARE Ratings Limited (CARERATING) a Hold, based on a blended score of 45/100 across valuation, quality, momentum and price trend. This is our own model-based view, not investment advice.

What is CARE Ratings Limited's fair value?

Our blended DCF and relative-valuation model estimates CARE Ratings Limited's fair value at about ₹1,098.91, versus a current price of ₹1,709.5 — roughly 36% downside. On that basis the stock looks overvalued by 36%.

Is CARE Ratings Limited financially healthy?

CARE Ratings Limited scores 96/100 on our financial-health model, with a Piotroski F-score of 4/9.

How has CARE Ratings Limited's share price performed?

CARE Ratings Limited is up 3% over three months, and last traded at ₹1,709.5. Past performance doesn't predict future returns.

Our verdict, fair value, financial-health and checklist are StocksWizard's own estimates, computed from public end-of-day data using standard models (DCF, relative valuation, Altman Z, Piotroski). For information only — not investment advice or a recommendation. Verify independently before investing.