Sundaram Finance Limited
Quality (63/100) does the heavy lifting; valuation (20/100) is the drag.
Fair valueOvervaluedOur blended model reads Sundaram Finance Limited as a Sell at 44/100. We put fair value near ₹2,730.29; at ₹4,665.6 that leaves roughly 41% downside, so the stock screens overvalued by 41%. On 24.6x trailing earnings it sits roughly in line with the Financial Services median of about 24.3x. The price is about 16% below its 52-week high of ₹5,552.22 and 15% above the low of ₹4,047.76. Financial health scores 72/100, with a Piotroski F-score of 4/9. The average analyst target of ₹4,941.89 implies about 6% upside across 9 analysts. It clears 4 of 12 investability checks, with durability 63, valuation 40 and momentum 50 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.
With a 20% margin of safety, our buy-below price is ₹2,184.23.
Analyst views
1-year price
EOD · 2026-07-3152-week range
-15.97% from the 52-week high.
Price above both moving averages reads as an intact uptrend; below both, the trend is against you.
Verdict pillars
Sell44Piotroski F-score 4/9 — quality of earnings & balance sheet.
Our scores
Durability rewards strong, low-debt, profitable businesses; Valuation rewards stocks cheap vs their sector; Momentum rewards strong price trends.
Investability checklist
- Fail: ROE above 15%: 14.7%
- Fail: Low debt (D/E < 0.5): 4.08x
- Fail: Positive free cash flow
- Fail: Revenue growth > 10%: 10%
- Pass: Earnings growing: 0%
- Pass: Net margin ≥ 10%: 45.6%
- Pass: Current ratio > 1.5: 8.23
- Fail: Below our fair value
- Fail: Margin of safety ≥ 20%
- Fail: 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
Annual financials
Shareholding
- Promoter0.0%
- Institutions15.5%
- Public & other84.5%
Promoter holding via insider stake; institutional via reported holdings.
Key fundamentals
Bull case vs bear case
Bull case
Strengths
- Healthy profit margin (45.6%).
Bear case
Weaknesses
- High debt relative to equity.
- Price below its 200-day moving average (downtrend).
Threats
- Trades ~42% above our estimated fair value.
About Sundaram Finance Limited
Sundaram Finance Limited operates as a non-banking finance company in India, accepting fixed, cumulative, and NRI deposits. The company provides financing for automobiles, commercial vehicles, construction equipment, and farm equipment, along with diesel finance for commercial vehicle operators, tire and insurance finance, and SME working capital solutions.
Sundaram Finance Limited — frequently asked questions
Is Sundaram Finance Limited a buy, hold or sell?
StocksWizard currently rates Sundaram Finance Limited (SUNDARMFIN) a Sell, based on a blended score of 44/100 across valuation, quality, momentum and price trend. This is our own model-based view, not investment advice.
What is Sundaram Finance Limited's fair value?
Our blended DCF and relative-valuation model estimates Sundaram Finance Limited's fair value at about ₹2,730.29, versus a current price of ₹4,665.6 — roughly 41% downside. On that basis the stock looks overvalued by 41%.
Is Sundaram Finance Limited financially healthy?
Sundaram Finance Limited scores 72/100 on our financial-health model, with a Piotroski F-score of 4/9.
How has Sundaram Finance Limited's share price performed?
Sundaram Finance Limited is up 2% over three months, and last traded at ₹4,665.6. Past performance doesn't predict future returns.
More in Financial Services
View allOur 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.