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

Cholamandalam Investment and Finance Company Limited

CHOLAFINNSEFinancial Services
₹1,849.9
+76.10 (+4.29%)
Hold

Financial trend (84/100) does the heavy lifting; valuation (13/100) is the drag.

ExpensiveOvervalued
The bottom line

StocksWizard rates Cholamandalam Investment and Finance Company Limited a Hold, scoring 45/100 on our blended model. We put fair value near ₹1,221.92; at ₹1,849.9 that leaves roughly 34% downside, so the stock screens overvalued by 34%. On 29.0x trailing earnings it sits pricier than the Financial Services median of about 24.3x. It's trading right at its 52-week high of ₹1,852.67. Financial health scores 98/100, with a Piotroski F-score of 3/9. The average analyst target of ₹1,850.56 is roughly in line with the current price across 34 analysts. It clears 7 of 12 investability checks, with durability 73, valuation 25 and momentum 83 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
₹1,221.92down 33.95%
Overvalued by 34%
Price ₹1,849.9Range ₹924.95₹1,572.46
Relative (financials)high confidence

With a 20% margin of safety, our buy-below price is ₹977.54.

Analyst views

34 analysts27 buy · 6 hold · 1 sell
12-month consensus target₹1,850.56up 0.04%

1-year price

EOD · 2026-07-31
1D
up 4.29%
1W
up 7.28%
1M
up 3.47%
3M
up 11.66%
6M
up 12.32%
1Y

52-week range

-0.15% from the 52-week high.

Trend check
Above 50-DMA₹1,692Above 200-DMA₹1,655

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

Verdict pillars

Hold45
A
Financial health 98/100
From profitability & returns (bank/NBFC)

Piotroski F-score 3/9 — quality of earnings & balance sheet.

Our scores

Durability73
Valuation25
Momentum83

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

Investability checklist

Passed 7 of 12 checks
Each check screens one fundamentals, valuation or trend signal.
  • Pass: ROE above 15%: 19.3%
  • Fail: Low debt (D/E < 0.5): 6.93x
  • Fail: Positive free cash flow
  • Pass: Revenue growth > 10%: 24%
  • Pass: Earnings growing: 29%
  • Pass: Net margin ≥ 10%: 39.8%
  • Pass: Current ratio > 1.5: 93.30
  • 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: 3/9

Quarterly results

Revenue · 1Q2026
₹4,789 Cr
Net profit
₹1,645 Cr
Margin
34%
2Q2025
3Q2025
4Q2025
1Q2026
Revenue Net profitLatest revenue QoQ +10%

Annual financials

Revenue · 2026
₹17,155 Cr
Net profit
₹5,233 Cr
Margin
31%
2023
2024
2025
2026
Revenue Net profitLatest revenue YoY +26%

Shareholding

  • Promoter49.3%
  • Institutions37.8%
  • Public & other12.9%

Promoter holding via insider stake; institutional via reported holdings.

Key fundamentals

Market cap
₹1.53 L Cr
P/E ratio
29.0
P/B ratio
5.01
EPS (TTM)
₹61.79
ROE
19.3%
Debt / Equity
6.93x
Profit margin
39.8%
Free cash flow
₹-30,286 Cr
52-week high
₹1,852.67
-0.15% from high
52-week low
₹1,354.17
Dividend yield
0.1%
Beta
0.55
SWOT snapshot

Bull case vs bear case

Bull case

Strengths

  • Strong return on equity (19.3%).
  • Healthy profit margin (39.8%).
  • Trading near its 52-week high.

Opportunities

  • Earnings growing (29% YoY).
  • Revenue growing (24% YoY).

Bear case

Weaknesses

  • High debt relative to equity.
  • Weak Piotroski score (3/9).

Threats

  • Rich valuation versus sector peers.
  • Trades ~34% above our estimated fair value.

About Cholamandalam Investment and Finance Company Limited

Cholamandalam Investment and Finance Company Limited is a non-banking finance company in India that provides vehicle financing across commercial vehicles, passenger vehicles, two- and three-wheelers, and tractors, along with construction equipment loans. The company also offers loans against property and home loans through its multiple operating segments.

Cholamandalam Investment and Finance Company Limited — frequently asked questions

Is Cholamandalam Investment and Finance Company Limited a buy, hold or sell?

StocksWizard currently rates Cholamandalam Investment and Finance Company Limited (CHOLAFIN) 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 Cholamandalam Investment and Finance Company Limited's fair value?

Our blended DCF and relative-valuation model estimates Cholamandalam Investment and Finance Company Limited's fair value at about ₹1,221.92, versus a current price of ₹1,849.9 — roughly 34% downside. On that basis the stock looks overvalued by 34%.

Is Cholamandalam Investment and Finance Company Limited financially healthy?

Cholamandalam Investment and Finance Company Limited scores 98/100 on our financial-health model, with a Piotroski F-score of 3/9.

How has Cholamandalam Investment and Finance Company Limited's share price performed?

Cholamandalam Investment and Finance Company Limited is up 12% over three months, and last traded at ₹1,849.9. 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.