financial_services

Jio Financial Services

JIOFIN · Nifty 50

242.98

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

ValuationPE 97.9 (33%ile of 5Y range 95-176). Trading near median.
Sector Positionfinancial_services sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score76/100 (STRONG). 2 positive flags, 3 concerns.
Historical Context64 similar technical setups. Average outcome: -8.1% decline. 0% positive.
Revenue TrendRevenue growing at 39.4% YoY. Strong revenue growth — 39.4% YoY
Bank HealthROA 0.72% · PB 1.2 · Asset growth 22.5%.

Fundamental

76/100

STRONG

Trust

90/100

Verification

Coverage

89/100

HIGH

Quick Take

Jio Financial Services scores 76/100 on fundamentals (strong). Jio Financial Services: PE below historical average. BROAD EXPANSION regime.

Fundamental Score: 76/100 · STRONG · 2 signals detected

DuPont Analysis

ROE 0.9% broken into three drivers. Each shows how efficiently the company generates returns.

ROE0.9%=
51.8%Net Margin
×
0.0xTurnover
×
1.2xLeverage

ROE of 0.89% is modest margin-driven and stable. Net margin of 51.8% × asset turnover of 0.01x × leverage of 1.2x. Low asset turnover is normal for banks.

What This Means

Net margin of 51.8% means the company keeps ₹51.8 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.01x means the company generates ₹0.01 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 1.2x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

84.8%

Operating

93.8%

Net

51.8%

declining

Gross margin 84.8% → operating margin 93.8% → net margin 51.8%. Margins are DECLINING. Check if input costs are rising or competition is pressuring pricing.

Financial Health

Debt Sustainability

ADEQUATE

Interest covered 3.5x — adequate buffer. Debt is manageable. Debt/EBITDA at 10.0x is high — monitor leverage.

Peer Comparison

Jio Financial Services is compared against 10 peers in the financial_services sector.

Bank Metrics

Return on Assets

0.72%

Benchmark: >1%

Efficiency Ratio

48.2%

Lower is better

Asset Growth

+22.5%

Year over year

PB Ratio

1.2x

Price to book

ROA of 0.72% is adequate (benchmark: >1% for banks). P/B of 1.16x — trading above book. Reasonable valuation for a bank.

Key Watchpoints

🟢

Breaks above ₹255 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹231 (-5%)

Further downside risk

🟡

PE reverts to 5Y median of 113.6

Valuation normalization

🟢

Financial_Services sector entering leadership

Sector rotation signal

Detected Patterns

➡️ Leverage Slowly Rising: Debt growing faster (448.3%) than equity (8.4%)
✅ Strong Loan Book Growth: Assets growing 22.5% — loan book expansion

Risk Flags

🔴 1 Critical⚠️ 2 Warning2 Positive5 total flags
🔴Operating cash flow significantly below net income
Cash Flow

OCF is only -13.1x net income. Profit not converting to cash — aggressive accounting possible.

⚠️Working capital changes are 98% of operating cash flow
Cash Flow

Working capital is consuming significant cash. Operational efficiency declining.

⚠️Price/Sales: 59.7x — expensive on revenue basis
Valuation

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

Minimal unusual items — clean earnings
Earnings Quality

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

Receivables decreasing — 700.1% of revenue
Cash Flow

Collection cycle changing. Collection improving — positive for cash flow.

⚠️ 1 critical + 2 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 (declining) matches news reports of cost/margin pressure

50 articles scanned for fundamental themes

Facts

P/E Ratio
97.9HIGH
P/B Ratio
1.1HIGH
ROE
1.2%HIGH
Market Cap
₹15576150.8L CrHIGH
From 52W High
72% of high
Promoter Holding
50.2%MODERATE
Institutional
21.6%
Sector Peers
10
Jio Financial Services Stock Analysis, Valuation, Fundamentals & Intelligence | FynSight