financial_services

Aditya Birla Capital

ABCAPITAL · Nifty 50

₹372.45

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionfinancial_services sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).

Fundamental Score92/100 (STRONG). 2 positive flags, 2 concerns.

Historical Context32 similar technical setups. Average outcome: -7.6% decline. 0% positive.

Bank HealthROA 1.13% · PB 2.7 · Asset growth 20.2%.

Fundamental

92/100

STRONG

Trust

90/100

Verification

Coverage

44/100

LIMITED

Quick Take

Aditya Birla Capital scores 92/100 on fundamentals (strong). Aditya Birla Capital: BROAD EXPANSION regime.

Fundamental Score: 92/100 · STRONG · 3 signals detected

DuPont Analysis

ROE 11.0% broken into three drivers. Each shows how efficiently the company generates returns.

ROE11.0%=

8.3%Net Margin

0.1xTurnover

9.7xLeverage

ROE of 10.97% is moderate leverage-driven and stable. Net margin of 8.3% × asset turnover of 0.14x × leverage of 9.7x. High leverage amplifies returns but increases risk. Low asset turnover is normal for banks.

What This Means

Net margin of 8.3% means the company keeps ₹8.3 as profit for every ₹100 of revenue. This is a moderate-margin business. Asset turnover of 0.14x means the company generates ₹0.14 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 9.7x means the company uses significant debt. Higher leverage amplifies returns but also risk.

Margin Structure

Gross

100.0%

Operating

37.0%

Net

8.3%

improving

Gross margin 100.0% → operating margin 37.0% → net margin 8.3%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.

Financial Health

Debt Sustainability

STRETCHED

Interest covered only 1.5x — stretched. Rising rates could pressure profitability.

Peer Comparison

Aditya Birla Capital is compared against 10 peers in the financial_services sector.

360ONE AADHARHFC ANANDRATHI ANGELONE APTUS BAJAJFINSV BAJAJHLDNG BAJFINANCE BSE CAMS

Bank Metrics

Return on Assets

1.13%

Benchmark: >1%

Efficiency Ratio

91.7%

Lower is better

Asset Growth

+20.2%

Year over year

PB Ratio

2.7x

Price to book

ROA of 1.13% is strong (benchmark: >1% for banks). Adequate but room for improvement. P/B of 2.73x — trading above book. Premium valuation — market pricing in high growth expectations.

Key Watchpoints

🟢

Breaks above ₹391 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹354 (-5%)

Further downside risk

🟢

Financial_Services sector entering leadership

Sector rotation signal

Detected Patterns

➡️ Leverage Slowly Rising: Debt growing faster (28.4%) than equity (13.3%)

✅ Strong ROA: ROA of 1.13% — above 1% benchmark for banks

✅ Strong Loan Book Growth: Assets growing 20.2% — loan book expansion

Risk Flags

🔴 1 Critical⚠️ 1 Warning✅ 2 Positive4 total flags

🔴Operating cash flow significantly below net income

Cash Flow

OCF is only -9.7x net income. Profit not converting to cash — aggressive accounting possible.

⚠️Working capital changes are 136% of operating cash flow

Cash Flow

Working capital is consuming significant cash. Operational efficiency declining.

✅Minimal unusual items — clean earnings

Earnings Quality

Profits are from core operations, not one-offs. High quality.

✅High promoter holding: 68%

Governance

Strong insider alignment. Promoters have significant skin in the game.

⚠️ 1 critical + 1 warning flags. Exercise caution.

Data Quality

90/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)

⚠️ Our margin analysis (improving) contradicts news reports of margin pressure — investigate

50 articles scanned for fundamental themes

Facts

P/E Ratio

25.1UNAVAILABLE

P/B Ratio

2.7HIGH

Market Cap

₹9388856.4L CrHIGH

From 52W High

99% of high

Sector Peers

← All Stocks Market GPS Daily Brief financial_services Sector