Fundamental Analysis of Cholamandalam Financial Holdings Ltd

About the Company - Cholamandalam Financial Holdings Ltd

Cholamandalam Financial Holdings Ltd. is a Public Limited Listed company incorporated on 09/09/1949 and has its registered office in the State of Tamil Nadu, India. Company’s Corporate Identification Number(CIN) is L65100TN1949PLC002905 and registration number is 002905. Currently Company is involved in the business activities of Trusts, funds and other financial vehicles. Company’s Total Operating Revenue is Rs. 83.51 Cr. and Equity Capital is Rs. 18.77 Cr. for the Year ended 31/03/2022.

INDUSTRY	ADDRESS	CONTACT
Finance & Investments	'Dare House', No. 234, NSC Bose Road, Chennai (Madras) Tamil Nadu 600001	investorservices@cfhl.murugappa.com http://www.cholafhl.com

Management
Name	Position Held
Mr. M M Murugappan	Chairman & Non-Exe.Director
Mr. Vellayan Subbiah	Non Executive Director
Mr. Sridharan Rangarajan	Non Executive Director
Mr. B Ramaratnam	Independent Director
Mrs. Vasudha Sundararaman	Independent Director
Mr. K Balasubramanian	Independent Director

Basic Stock Data of Cholamandalam Financial Holdings Ltd

Last Updated: July 6, 2024, 12:16 pm

Market Cap	27,370 Cr.
Current Price	1,458
High / Low	1,650/881
Stock P/E	15.4
Book Value	545
Dividend Yield	0.04 %
ROCE	10.7 %
ROE	19.8 %
Face Value	1.00
PEG Ratio	0.68

Cholamandalam Financial Holdings Ltd Quarterly Results

Month	Dec 2020	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023
Sales	3,645	3,523	3,591	3,583	3,726	3,743	3,937	4,298	4,725	5,186	5,626	6,300	6,795
Expenses	1,847	2,099	1,963	1,589	1,921	1,719	1,999	2,153	2,212	2,244	2,588	2,898	2,978
Operating Profit	1,798	1,423	1,628	1,995	1,805	2,023	1,938	2,145	2,513	2,942	3,038	3,402	3,816
OPM %	49%	40%	45%	56%	48%	54%	49%	50%	53%	57%	54%	54%	56%
Other Income	2	57	0	1	18	52	26	57	52	97	89	73	48
Interest	1,149	1,128	1,109	1,085	1,054	1,079	1,137	1,347	1,551	1,743	2,013	2,209	2,445
Depreciation	38	39	38	37	38	42	41	42	44	50	52	52	55
Profit before tax	613	313	481	874	732	954	786	813	970	1,246	1,062	1,213	1,363
Tax %	26%	32%	26%	25%	26%	28%	26%	25%	26%	28%	25%	27%	25%
Net Profit	455	214	357	652	543	687	582	606	720	901	792	888	1,027
EPS in Rs	11.34	4.47	8.86	16.14	13.26	16.23	14.25	15.07	17.69	21.72	19.78	22.41	24.88

Last Updated: July 7, 2024, 5:37 am

Cholamandalam Financial Holdings Ltd Quarterly Chart

Cholamandalam Financial Holdings Ltd Profit & Loss

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	6,408	7,724	8,807	9,696	8,004	2,688	8,909	10,926	13,135	13,900	14,644	18,154	21,836
Expenses	4,774	5,422	5,991	6,542	7,029	2,377	4,490	5,147	6,588	6,807	7,210	8,597	9,942
Operating Profit	1,635	2,302	2,815	3,154	975	311	4,419	5,778	6,547	7,093	7,434	9,558	11,894
OPM %	26%	30%	32%	33%	12%	12%	50%	53%	50%	51%	51%	53%	54%
Other Income	75	25	29	123	1,538	1	0	21	1	60	92	221	310
Interest	1,072	1,520	1,896	2,103	976	0	2,655	3,587	4,592	4,608	4,328	5,778	7,516
Depreciation	101	133	159	171	163	17	70	78	150	145	154	176	198
Profit before tax	536	674	789	1,003	1,374	295	1,695	2,135	1,806	2,400	3,044	3,824	4,491
Tax %	34%	32%	34%	32%	27%	30%	34%	34%	36%	27%	26%	26%
Net Profit	352	458	518	684	1,181	538	1,127	1,415	1,165	1,764	2,239	2,810	3,301
EPS in Rs	14.43	15.45	16.66	22.68	55.47	24.26	29.32	37.12	29.34	43.93	54.49	68.71	81.60
Dividend Payout %	21%	13%	12%	9%	9%	1%	4%	3%	2%	1%	1%	1%

Cholamandalam Financial Holdings Ltd Profit & Loss Yearly Chart

Cholamandalam Financial Holdings Ltd Growth

Compounded Sales Growth
10 Years:	11%
5 Years:	19%
3 Years:	23%
TTM:	42%

Compounded Profit Growth
10 Years:	19%
5 Years:	21%
3 Years:	29%
TTM:	37%

Stock Price CAGR
10 Years:	23%
5 Years:	27%
3 Years:	34%
1 Year:	69%

Return on Equity
10 Years:	18%
5 Years:	18%
3 Years:	19%
Last Year:	20%

Last Updated: June 29, 2024, 1:20 pm

Cholamandalam Financial Holdings Ltd Balance Sheet

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Sep 2023
Equity Capital	37	37	37	37	37	19	19	19	19	19	19	19	19
Reserves	1,273	1,622	1,914	2,290	3,287	2,745	3,291	3,925	4,572	5,367	6,427	7,642	8,457
Preference Capital	0	0	0	500	0	0	0	0	0	0	0	0
Borrowings	12,284	16,604	19,464	20,931	1,441	0	38,200	50,447	55,117	63,797	69,229	97,191	119,254
Other Liabilities	3,256	4,837	5,887	7,079	4,900	5,129	11,897	13,546	16,147	19,432	22,097	26,181	28,895
Total Liabilities	16,850	23,100	27,302	30,338	9,665	7,892	53,407	67,937	75,855	88,616	97,771	131,033	156,624
Fixed Assets	792	1,258	1,318	1,521	1,336	102	311	306	479	447	464	623	710
CWIP	42	164	201	40	56	0	4	14	11	10	40	60	0
Investments	1,130	1,688	2,116	2,665	5,141	6,536	6,211	7,552	8,893	11,678	13,282	17,536	18,367
Other Assets	14,886	19,990	23,667	26,112	3,131	1,254	46,881	60,065	66,472	76,481	83,984	112,813	137,547
Total Assets	16,850	23,100	27,302	30,338	9,665	7,892	53,407	67,937	75,855	88,616	97,771	131,033	156,624

Cholamandalam Financial Holdings Ltd Reserves and Borrowings Chart

Cholamandalam Financial Holdings Ltd Cash Flow

Month	Mar 2012	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Cash from Operating Activity	-3,094	-3,228	-1,872	-1,685	-500	594	-6,302	-9,274	-1,914	-9,719	-5,738	-29,329
Cash from Investing Activity	-263	-838	-499	-461	193	-1,263	-1,825	-94	-96	-62	-135	-257
Cash from Financing Activity	3,595	4,465	2,643	1,704	748	-69	8,287	12,171	2,427	7,688	7,073	27,840
Net Cash Flow	239	398	272	-443	441	-738	160	2,803	417	-2,093	1,199	-1,746

Cholamandalam Financial Holdings Ltd Financial Efficiency Indicators

Month	Mar 2013	Mar 2014	Mar 2015	Mar 2016	Mar 2017	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	25	25	25	31	32	3	1	1	1	2	2	3
Inventory Days	71	78	87	86
Days Payable	104	135	125	99
Cash Conversion Cycle	-8	-32	-12	18	32	3	1	1	1	2	2	3
Working Capital Days	-14	-13	14	-90	-257	-255	-225	-221	-262	-284	-274	-150
ROCE %	13%	13%	13%	10%	7%	18%	11%	10%	10%	9%	10%

Cholamandalam Financial Holdings Ltd Financial Efficiency Indicators Chart

Cholamandalam Financial Holdings Ltd Share Holding Pattern

Month	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Promoters	48.80%	48.62%	48.62%	48.62%	48.62%	48.61%	48.61%	48.39%	48.39%	47.37%	47.37%	47.37%
FIIs	11.12%	11.35%	12.14%	11.66%	11.82%	11.76%	11.60%	11.99%	11.31%	12.92%	12.87%	13.78%
DIIs	27.25%	25.96%	25.32%	25.64%	25.64%	26.54%	26.57%	26.56%	27.15%	26.71%	25.96%	25.24%
Government	0.00%	0.00%	0.00%	0.00%	0.00%	0.46%	0.46%	0.46%	0.46%	0.46%	0.46%	0.46%
Public	12.83%	14.07%	13.92%	14.09%	13.93%	12.62%	12.78%	12.59%	12.68%	12.53%	13.34%	13.15%
No. of Shareholders	21,376	21,349	21,226	21,279	22,172	20,962	21,289	21,678	23,170	30,623	43,358	32,532

Cholamandalam Financial Holdings Ltd Shareholding Pattern Chart

No. of Cholamandalam Financial Holdings Ltd Shareholders

Cholamandalam Financial Holdings Ltd Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
Nippon India Growth Fund	6,827,420	4.12	792.29	1,345,233	2024-07-05	407.53%
Axis Small Cap Fund	5,339,897	3.83	619.67	1,345,233	2024-07-05	296.95%
ICICI Prudential India Opportunities Fund	3,728,107	3.52	432.63	1,345,233	2024-07-05	177.13%
HDFC Mid-Cap Opportunities Fund - Regular Plan	3,152,940	0.75	365.88	1,345,233	2024-07-05	134.38%
ICICI Prudential Banking and Financial Services	2,767,500	4.69	321.15	1,345,233	2024-07-05	105.73%
Nippon India Tax Saver Fund	1,480,788	1.35	171.84	1,345,233	2024-07-05	10.08%
ICICI Prudential Smallcap Fund	1,345,657	2.58	156.16	1,345,233	2024-07-05	0.03%
ICICI Prudential Value Discovery Fund	1,345,233	0.46	156.11	1,345,233	2024-07-05	0%
Nippon India Focused Equity Fund	1,159,427	1.88	134.55	1,345,233	2024-07-05	-13.81%
Aditya Birla Sun Life Midcap Fund	1,148,702	3.02	133.3	1,345,233	2024-07-05	-14.61%

Cholamandalam Financial Holdings Ltd ROCE Trend

Cholamandalam Financial Holdings Ltd EPS Trend

Cholamandalam Financial Holdings Ltd Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	1.00	1.00	1.00	1.00	1.00
Basic EPS (Rs.)	94.39	68.72	54.50	43.93	29.35
Diluted EPS (Rs.)	94.39	68.72	54.49	43.93	29.34
Cash EPS (Rs.)	217.57	159.44	127.67	101.72	69.98
Book Value[Excl.RevalReserv]/Share (Rs.)	1178.06	865.71	726.09	605.15	516.88
Book Value[Incl.RevalReserv]/Share (Rs.)	1178.06	865.71	726.09	605.15	516.88
Revenue From Operations / Share (Rs.)	1373.99	966.23	780.16	740.55	699.77
PBDIT / Share (Rs.)	782.58	520.69	400.94	381.12	348.85
PBIT / Share (Rs.)	769.40	511.31	392.72	373.37	340.86
PBT / Share (Rs.)	276.88	203.64	162.15	127.88	96.20
Net Profit / Share (Rs.)	204.39	150.07	119.46	93.97	62.00
NP After MI And SOA / Share (Rs.)	94.38	68.70	54.51	43.93	29.35
PBDIT Margin (%)	56.95	53.88	51.39	51.46	49.85
PBIT Margin (%)	55.99	52.91	50.33	50.41	48.71
PBT Margin (%)	20.15	21.07	20.78	17.26	13.74
Net Profit Margin (%)	14.87	15.53	15.31	12.68	8.86
NP After MI And SOA Margin (%)	6.86	7.11	6.98	5.93	4.19
Return on Networth / Equity (%)	17.30	16.84	15.87	15.31	11.99
Return on Capital Employeed (%)	50.28	20.70	40.03	21.70	25.46
Return On Assets (%)	1.00	0.98	1.04	0.93	0.72
Long Term Debt / Equity (X)	0.00	3.13	0.00	3.08	2.54
Total Debt / Equity (X)	13.09	12.69	10.74	11.85	12.01
Asset Turnover Ratio (%)	0.16	0.00	0.00	0.00	0.00
Current Ratio (X)	1.16	1.51	1.20	1.52	1.44
Quick Ratio (X)	1.16	1.51	1.20	1.52	1.44
Dividend Payout Ratio (NP) (%)	0.00	7.75	9.76	7.04	25.54
Dividend Payout Ratio (CP) (%)	0.00	6.82	8.48	5.98	20.08
Earning Retention Ratio (%)	0.00	92.25	90.24	92.96	74.46
Cash Earning Retention Ratio (%)	0.00	93.18	91.52	94.02	79.92
Interest Coverage Ratio (X)	1.59	1.69	1.74	1.55	1.43
Interest Coverage Ratio (Post Tax) (X)	1.41	1.49	1.52	1.38	1.25
Enterprise Value (Cr.)	162286.57	112757.51	82562.58	74822.44	58358.84
EV / Net Operating Revenue (X)	6.29	6.21	5.64	5.38	4.44
EV / EBITDA (X)	11.04	11.53	10.97	10.46	8.91
MarketCap / Net Operating Revenue (X)	0.81	0.55	0.79	0.80	0.41
Retention Ratios (%)	0.00	92.24	90.23	92.95	74.45
Price / BV (X)	2.04	1.32	1.80	2.09	1.19
Price / Net Operating Revenue (X)	0.81	0.55	0.79	0.80	0.41
EarningsYield	0.08	0.12	0.08	0.07	0.10

Cholamandalam Financial Holdings Ltd Profitability Ratios (%)

Cholamandalam Financial Holdings Ltd Liquidity Ratios

Cholamandalam Financial Holdings Ltd Liquidity Ratios (%)

Cholamandalam Financial Holdings Ltd Interest Coverage Ratios (%)

Cholamandalam Financial Holdings Ltd Valuation Ratios

Fair Value

Fair Value: 1,662.48

Calculation basis:

Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

Undervalued: 14.02% compared to the current price 1458

Intrinsic Value: 2,039.87

Calculation basis:

Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators along with EPS growth.

Undervalued: 39.91% compared to the current price ₹1458

Last 5 Year EPS CAGR: 22.70%

*Investments are subject to market risks

Strength and Weakness of Cholamandalam Financial Holdings Ltd Stock

Strength	Weakness
The stock has a low average Working Capital Days of -169.25, which is a positive sign. The company has higher reserves (4,062.46 cr) compared to borrowings (38.46 cr), indicating strong financial stability. The company has shown consistent growth in sales (10.54 cr) and profit (177.85 cr) over the years.	The stock has a low average ROCE of 10.33%, which may not be favorable. The stock has a high average Cash Conversion Cycle of 0.92, which may not be favorable.

FAQ

What is the latest fair value of Cholamandalam Financial Holdings Ltd?

The latest fair value of Cholamandalam Financial Holdings Ltd is ₹1662.48.

What is the Market Cap of Cholamandalam Financial Holdings Ltd?

The Market Cap of Cholamandalam Financial Holdings Ltd is 27,370 Cr..

What is the current Stock Price of Cholamandalam Financial Holdings Ltd as on 06 July 2024?

The current stock price of Cholamandalam Financial Holdings Ltd as on 06 July 2024 is 1,458.

What is the High / Low of Cholamandalam Financial Holdings Ltd stocks in FY 2024?

In FY 2024, the High / Low of Cholamandalam Financial Holdings Ltd stocks is 1,650/881.

What is the Stock P/E of Cholamandalam Financial Holdings Ltd?

The Stock P/E of Cholamandalam Financial Holdings Ltd is 15.4.

What is the Book Value of Cholamandalam Financial Holdings Ltd?

The Book Value of Cholamandalam Financial Holdings Ltd is 545.

What is the Dividend Yield of Cholamandalam Financial Holdings Ltd?

The Dividend Yield of Cholamandalam Financial Holdings Ltd is 0.04 %.

What is the ROCE of Cholamandalam Financial Holdings Ltd?

The ROCE of Cholamandalam Financial Holdings Ltd is 10.7 %.

What is the ROE of Cholamandalam Financial Holdings Ltd?

The ROE of Cholamandalam Financial Holdings Ltd is 19.8 %.

What is the Face Value of Cholamandalam Financial Holdings Ltd?

The Face Value of Cholamandalam Financial Holdings Ltd is 1.00.