STRONG 73/100

financial_services · TATACAP

Tata Capital

Tata Capital: PE above historical average. NARROW LEADERSHIP regime.

Price

₹350.15

Price 2026-07-06

5 day

-3.15%

Short-term move

1 month

+11.23%

Medium-term

Regime

NARROW LEADERSHIP

62% confidence

Market cap

₹148.7k Cr

neutral sector flow

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Price chart

349

+5.72% over period

2025-10-13292 – ₹3752026-07-03

About Tata Capital

Nifty Next 50financial_services

Tata Capital Limited, through its subsidiaries, provides various financial services to retail, SME, corporate, and institutional customers in India, Singapore, and the United Kingdom. The company operates through three segments: Financing Activity, Investment Activity, and Others. It offers loans for retail and corporate borrowers, including asset financing, term loans, channel financing, credit substitutes, investments linked to/arising out of lending business, bill and invoice discounting, and power project finance. It also offers home loans, loans against property, personal loans, business loans, two wheeler loans, car loans, commercial vehicle loans, construction equipment loans, loans against securities, microfinance loans, and education loans. Additionally it provides supply chain finance, equipment finance, cleantech and infrastructure finance, and developer finance. The company also engages in the provision of corporate investment, advisory, wealth management, private equity fund management, and leasing services, as well as the distribution of financial products. In addition, it offers insurance and credit card distribution services. Tata Capital Limited was formerly kno...

Credit ServicesMumbai, IndiaWebsite →

At a Glance

ValuationPE 30.0 (50%ile of 4 quarterly points (limited history), range 22-31). Trading near median.
Sector Positionfinancial_services sector. Flow: neutral. is not among current leaders. Regime: NARROW LEADERSHIP (62%).
Fundamental Score73/100 (STRONG). 2 positive flags, 3 concerns.
Revenue TrendRevenue growing at 700.0% YoY. Strong revenue growth — 700.0% YoY
Bank HealthROA 1.31% · PB 3.2 · Asset growth undefined%.

52-week position

Trading at 92.2% of 52-week high

52W low ₹29652W high ₹379.95

Technicals

RSI 14

56.6

Trend

uptrend

50 DMA

Above

200 DMA

Key metrics

P/E ratio

30.0

50th pct · 4 quarterly points (limited history)

P/B

3.3

ROE

12.0%

Moderate profitability — 12.0% ROE

Market cap

₹148.7k Cr

Revenue growth

700.0% YoY

Promoter

86.0%

52-week range

₹296 – ₹379.95

92.2% of high

RSI (14)

56.6

uptrend

vs 50 DMA

Above

DMA ₹329.29

Fundamental

73/100

STRONG

Trust

75/100

Verification

Coverage

100/100

HIGH

Quick Take

Tata Capital scores 73/100 on fundamentals (strong). Tata Capital: PE above historical average. NARROW LEADERSHIP regime.

Fundamental Score: 73/100 · STRONG · 1 signals detected

DuPont Analysis

ROE 8.3% broken into three drivers. Each shows how efficiently the company generates returns.

ROE8.3%=
12.5%Net Margin
×
0.1xTurnover
×
6.3xLeverage

ROE of 8.31% is modest leverage-driven and stable. Net margin 12.5%, asset turnover 0.1x, leverage 6.3x. High leverage amplifies returns but increases risk. Low asset turnover is normal for banks.

What This Means

Net margin of 12.5% means the company keeps ₹12.5 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.10x means the company generates ₹0.10 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 6.3x means the company uses significant debt. Higher leverage amplifies returns but also risk.

Margin Structure

Gross

54.0%

Operating

15.4%

Net

12.5%

improving

Gross margin 54.0% → operating margin 15.4% → net margin 12.5%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.

Financial Health

Peer comparison

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

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360ONE

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ANGELONE

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

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APTUS

Aptus Value Housing

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

Tata Capital

₹350.15-5.1%3012%700%₹1.5L Cr

Bank Metrics

Return on Assets

1.31%

Benchmark: >1%

Efficiency Ratio

87.5%

Lower is better

Asset Growth

%

Year over year

PB Ratio

3.2x

Price to book

ROA of 1.31% is strong (benchmark: >1% for banks). Strong asset utilization. P/B of 3.24x — trading above book. Premium valuation — market pricing in high growth expectations.

Key Watchpoints

🟢

Breaks above ₹368 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹333 (-5%)

Further downside risk

🟡

PE reverts to median of 29.4 (4 quarterly points (limited history))

Valuation normalization

🟢

Financial_Services sector entering leadership

Sector rotation signal

Detected Patterns

✅ Strong ROA: ROA of 1.31% — above 1% benchmark for banks

Risk Flags

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

OCF is only -10.0x net income. Profit not converting to cash — aggressive accounting possible.

⚠️Working capital changes are 121% of operating cash flow
Cash Flow

Working capital is consuming significant cash. Operational efficiency declining.

⚠️Price/Sales: 11.9x — expensive on revenue basis
Valuation

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

Receivables decreasing — 156.9% of revenue
Cash Flow

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

High promoter holding: 86%
Governance

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

⚠️ 1 critical + 2 warning flags. Exercise caution.

Data Quality

75/100All ratios self-computed from verified sources. Multi-year data.

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
30.0MODERATE
P/B Ratio
3.3HIGH
ROE
1201.0%HIGH
Market Cap
₹14868059.3L CrHIGH
From 52W High
92% of high
Promoter Holding
86.0%MODERATE
Institutional
4.2%
Sector Peers
10

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