financial_services · CHOLAFIN
Cholamandalam Investment
Cholamandalam Investment: PE above historical average. NARROW LEADERSHIP regime.
Price
₹1,850.5
Price 2026-07-06
5 day
+2.62%
Short-term move
1 month
+23.10%
Medium-term
Regime
NARROW LEADERSHIP
62% confidence
Market cap
₹158.0k Cr
neutral sector flow
FinGenie AI
Get an intelligence answer grounded in today's published data
“How does today's NARROW LEADERSHIP regime affect Cholamandalam Investment (CHOLAFIN) in the financial_services sector?”
Price chart
₹1,789
+13.26% over period
About Cholamandalam Investment
Cholamandalam Investment and Finance Company Limited, operates as a non-banking finance company in India. The company operates through Vehicle Finance, Loan Against Property, Home Loans, and Other Loans segments. It offers loans for commercial vehicles, passenger vehicle, two- and three- wheelers, and tractors and farm equipment, as well as construction equipment. The company also provides secured loans against property, and home and SME loans, as well as consumer and small enterprise loans, including personal loans, professional loans, and business loans to salaried, self-employed professionals, and proprietorship, partnership, and private limited companies. In addition, it offers gold loans, consumer durable loans, corporate insurance agencies, stockbroking and depository participants, offline payment aggregator, home extension, balance transfer of existing loans, supply chain finance, and secured term loans. Further, the company provides dealer platform services under the Gaadi Bazaar brand, which integrates vehicle trading, auctions, and trade advances. Additionally, it operates Payswiff, an omnichannel payment transaction solution that lets business owners accept payments f...
At a Glance
RSI pattern warning
RSI oversold bounces for this stock succeeded only 0% of the time (avg -11.6% over 14 days) — not a reliable pattern.
52-week position
Trading at 98.7% of 52-week high
Technicals
RSI 14
83.7
Trend
uptrend
50 DMA
Above
200 DMA
Above
Key metrics
P/E ratio
30.0
71th pct · 7 quarterly points (limited history)
P/B
5.2
ROE
19.3%
Moderate profitability — 19.3% ROE
Market cap
₹158.0k Cr
Revenue growth
2410.0% YoY
Promoter
49.3%
52-week range
₹1,299.4 – ₹1,875
98.7% of high
RSI (14)
83.7
uptrend
vs 50 DMA
Above
DMA ₹1,616.1
Fundamental
92/100
STRONG
Trust
90/100
Verification
Coverage
100/100
HIGH
Quick Take
Cholamandalam Investment scores 92/100 on fundamentals (strong). Cholamandalam Investment: PE above historical average. NARROW LEADERSHIP regime.
Fundamental Score: 92/100 · STRONG · 2 signals detected
DuPont Analysis
ROE 17.5% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 17.51% is moderate leverage-driven and stable. Net margin 31.7%, asset turnover 0.07x, leverage 8.1x. High leverage amplifies returns but increases risk. Low asset turnover is normal for banks.
What This Means
Net margin of 31.7% means the company keeps ₹31.7 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.07x means the company generates ₹0.07 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 8.1x means the company uses significant debt. Higher leverage amplifies returns but also risk.
Margin Structure
Gross
100.0%
Operating
%
Net
31.7%
Financial Health
Peer comparison
| Stock | Price | 5D | P/E | ROE | Rev growth | Mcap |
|---|---|---|---|---|---|---|
| BAJAJFINSV Bajaj Finserv | ₹1,870.7 | +6.4% | 30.9 | 14.6% | 530% | ₹3.0L Cr |
| BAJAJHLDNG Bajaj Holdings | ₹10,819 | +3.4% | 12.4 | 12.6% | -4830% | ₹1.2L Cr |
| ABCAPITAL Aditya Birla Capital | ₹409.75 | +6.3% | 28.4 | 11.2% | 770% | ₹1.1L Cr |
| 360ONE 360 ONE WAM | ₹1,133.3 | +4.0% | 39.3 | 14.4% | 2690% | ₹46.8k Cr |
| ANANDRATHI Anand Rathi Wealth | ₹2,095.5 | +5.4% | 87.4 | 46.7% | 4760% | ₹34.1k Cr |
| ANGELONE Angel One | ₹345.95 | +5.2% | 34.1 | 15.5% | 3350% | ₹30.7k Cr |
| AADHARHFC Aadhar Housing Finance | ₹556.5 | +7.3% | 22 | 15.8% | 2090% | ₹23.9k Cr |
| APTUS Aptus Value Housing | ₹285.5 | +6.9% | 15.2 | 20.1% | 2210% | ₹14.3k Cr |
| CHOLAFIN Cholamandalam Investment | ₹1,850.5 | +4.3% | 30 | 19.3% | 2410% | ₹1.6L Cr |
Tensions to watch
Promoter holding at 49.3% — neither distress selling nor aggressive buying
No strong insider signal. Watch for changes in promoter stake as a leading indicator.
Bank Metrics
Return on Assets
2.17%
Benchmark: >1%
Efficiency Ratio
68.3%
Lower is better
Asset Growth
+21.6%
Year over year
PB Ratio
5.2x
Price to book
ROA of 2.17% is strong (benchmark: >1% for banks). Strong asset utilization. P/B of 5.19x — trading above book. Premium valuation — market pricing in high growth expectations.
Key Watchpoints
Breaks above ₹1943 (+5%)
Trend reversal confirmation
Breaks below ₹1758 (-5%)
Further downside risk
PE reverts to median of 27.9 (7 quarterly points (limited history))
Valuation normalization
Financial_Services sector entering leadership
Sector rotation signal
Detected Patterns
Risk Flags
OCF is only -5.6x net income. Profit not converting to cash — aggressive accounting possible.
Working capital is consuming significant cash. Operational efficiency declining.
High revenue multiple. Market pricing in significant growth or margins expansion.
⚠️ 1 critical + 2 warning flags. Exercise caution.
Data Quality
News Correlation
50 articles scanned for fundamental themes