STRONG 100/100

financial_services · HDFCAMC

HDFC AMC

HDFC AMC: PE above historical average. NARROW LEADERSHIP regime.

Price

₹2,773.4

Price 2026-07-06

5 day

+1.01%

Short-term move

1 month

+11.12%

Medium-term

Regime

NARROW LEADERSHIP

62% confidence

Market cap

₹119.3k Cr

neutral sector flow

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Price chart

2,760

+16.63% over period

2025-06-022,295 – ₹2,9602026-07-02

About HDFC AMC

Nifty Next 50financial_services

HDFC Asset Management Company Limited is a publicly owned investment manager. The firm launches and manages equity, fixed income, and balanced mutual funds for its clients. It manages equity, fixed income, balanced, and real estate portfolios. The firm invests in public equity and fixed income markets. The firm employs fundamental analysis to make its investments. HDFC Asset Management Company Limited was founded on December 10,1999 and is based in Mumbai, Maharashtra. HDFC Asset Management Company Limited operates as a subsidiary of HDFC Bank Limited.

Asset ManagementMumbai, India1,713 employeesWebsite →

At a Glance

ValuationPE 41.8 (88%ile of 8 quarterly points (~2.0y), range 33-42). Trading above historical range.
Sector Positionfinancial_services sector. Flow: neutral. is not among current leaders. Regime: NARROW LEADERSHIP (62%).
Fundamental Score100/100 (STRONG). 2 positive flags, 4 concerns.
Historical ContextRSI oversold bounces for this stock succeeded only 0% of the time (avg -9.3% over 14 days) — not a reliable pattern.
Revenue TrendRevenue growing at 360.0% YoY. Strong revenue growth — 360.0% YoY
Bank HealthROA 21.41% · PB 12.9 · Asset growth 14.2%.

RSI pattern warning

RSI oversold bounces for this stock succeeded only 0% of the time (avg -9.3% over 14 days) — not a reliable pattern.

52-week position

Trading at 93.5% of 52-week high

52W low ₹2,205.652W high ₹2,967.25

Technicals

RSI 14

62.5

Trend

uptrend

50 DMA

Above

200 DMA

Above

Key metrics

P/E ratio

41.8

88th pct · 8 quarterly points (~2.0y)

P/B

12.9

ROE

32.9%

Strong profitability — 32.9% return on equity

Market cap

₹119.3k Cr

Revenue growth

360.0% YoY

Promoter

56.6%

52-week range

₹2,205.6 – ₹2,967.25

93.5% of high

RSI (14)

62.5

uptrend

vs 50 DMA

Above

DMA ₹2,669.64

Fundamental

100/100

STRONG

Trust

90/100

Verification

Coverage

89/100

HIGH

Quick Take

HDFC AMC scores 100/100 on fundamentals (strong). HDFC AMC: PE above historical average. NARROW LEADERSHIP regime.

Fundamental Score: 100/100 · STRONG · 2 signals detected

DuPont Analysis

ROE 23.2% broken into three drivers. Each shows how efficiently the company generates returns.

ROE23.2%=
69.1%Net Margin
×
0.3xTurnover
×
1.1xLeverage

ROE of 23.18% is strong margin-driven and stable. Net margin 69.1%, asset turnover 0.31x, leverage 1.1x.

What This Means

Net margin of 69.1% means the company keeps ₹69.1 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.31x means the company generates ₹0.31 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 1.1x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

88.2%

Operating

91.9%

Net

69.1%

declining

Gross margin 88.2% → operating margin 91.9% → net margin 69.1%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.

Financial Health

Debt Sustainability

COMFORTABLE

Interest covered 280.7x — very comfortable. Debt service is not a concern.

Peer comparison

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BAJAJFINSV

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₹1,870.7+6.4%30.914.6%530%₹3.0L Cr
BAJAJHLDNG

Bajaj Holdings

₹10,819+3.4%12.412.6%-4830%₹1.2L Cr
ABCAPITAL

Aditya Birla Capital

₹409.75+6.3%28.411.2%770%₹1.1L Cr
360ONE

360 ONE WAM

₹1,133.3+4.0%39.314.4%2690%₹46.8k Cr
ANANDRATHI

Anand Rathi Wealth

₹2,095.5+5.4%87.446.7%4760%₹34.1k Cr
ANGELONE

Angel One

₹345.95+5.2%34.115.5%3350%₹30.7k Cr
AADHARHFC

Aadhar Housing Finance

₹556.5+7.3%2215.8%2090%₹23.9k Cr
APTUS

Aptus Value Housing

₹285.5+6.9%15.220.1%2210%₹14.3k Cr
HDFCAMC

HDFC AMC

₹2,773.4+6.4%41.832.9%360%₹1.2L Cr

Bank Metrics

Return on Assets

21.41%

Benchmark: >1%

Efficiency Ratio

30.9%

Lower is better

Asset Growth

+14.2%

Year over year

PB Ratio

12.9x

Price to book

ROA of 21.41% is strong (benchmark: >1% for banks). Strong asset utilization. P/B of 12.93x — trading above book. Premium valuation — market pricing in high growth expectations.

Key Watchpoints

🟢

Breaks above ₹2912 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹2635 (-5%)

Further downside risk

🟡

PE reverts to median of 37.8 (8 quarterly points (~2.0y))

Valuation normalization

🟢

Financial_Services sector entering leadership

Sector rotation signal

Detected Patterns

✅ Strong ROA: ROA of 21.41% — above 1% benchmark for banks
✅ Strong Loan Book Growth: Assets growing 14.2% — loan book expansion

Risk Flags

🔴 1 Critical⚠️ 3 Warning2 Positive6 total flags
🔴Cash covers only 4% of current liabilities
Balance Sheet

Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.

⚠️Unusual items are 21% of net income
Earnings Quality

One-off gains contributing to profit. Check sustainability of earnings without these items.

⚠️Audit risk elevated: 9/10
Governance

Potential accounting concerns. Cross-check with earnings quality flags.

⚠️Price/Sales: 25.8x — expensive on revenue basis
Valuation

High revenue multiple. Market pricing in significant growth or margins expansion.

High promoter holding: 57%
Governance

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

Strong analyst consensus: strong_buy (28 analysts)
Valuation

Mean recommendation: 1.4/5 (1=Strong Buy, 5=Strong Sell). Institutional confidence is high.

⚠️ 1 critical + 3 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

revenue growth (1)margin pressure (1)capex expansion (1)debt reduction (2)management outlook (4)

50 articles scanned for fundamental themes

Facts

P/E Ratio
41.8HIGH
P/B Ratio
12.9HIGH
ROE
3293.0%HIGH
Market Cap
₹11931134.2L CrHIGH
From 52W High
93% of high
Promoter Holding
56.6%MODERATE
Institutional
26.4%
Sector Peers
10

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