Sundaram Finance Holdings Ltd: Share Price Analysis, Intrinsic Value & Fundamentals (2025)

Share Price and Basic Stock Data

Last Updated: February 21, 2025, 9:34 pm

Market Cap	5,831 Cr.
Current Price	263
High / Low	433/173
Stock P/E	10.2
Book Value	253
Dividend Yield	2.93 %
ROCE	5.85 %
ROE	12.8 %
Face Value	5.00
PEG Ratio	0.22

Stock P/E, Current Price, and Intrinsic Value Over Time

Stock P/E Current Price Intrinsic Value

View Share Price Target for Sundaram Finance Holdings Ltd

Competitors of Sundaram Finance Holdings Ltd

Stock Name ⇩	Market Cap ⇩	Current Price ⇩	High / Low ⇩	Stock P/E ⇩	Book Value ⇩	Dividend Yield ⇩	ROCE ⇩	ROE ⇩	Face Value ⇩
Monarch Networth Capital Ltd	2,787 Cr.	355	501/226	18.0	93.0	0.14 %	51.8 %	43.4 %	10.0
Monotype India Ltd	55.6 Cr.	0.79	2.42/0.54	6.95	0.13	0.00 %	438 %	%	1.00
Multipurpose Trading & Agencies Ltd	5.20 Cr.	10.5	13.3/7.81	27.4	10.2	0.00 %	4.44 %	3.91 %	10.0
Munoth Financial Services Ltd	33.1 Cr.	64.4	75.5/54.6		21.2	0.00 %	1.71 %	1.79 %	10.0
Naperol Investments Ltd	490 Cr.	852	2,041/801	2,578	3,204	0.00 %	0.08 %	0.05 %	10.0
Industry Average	3,197.53	N/A		59.21	N/A	N/A	17.99	15.43	N/A

All Competitor Stocks of Sundaram Finance Holdings Ltd

Quarterly Result

Metric	Mar 2021	Jun 2021	Sep 2021	Dec 2021	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Sales	18	18	14	15	37	19	17	20	35	24	24	25	218
Expenses	11	10	19	13	19	12	13	10	10	14	11	12	11
Operating Profit	7	8	-4	1	18	7	4	10	24	10	13	13	207
OPM %	39%	46%	-30%	9%	48%	38%	22%	51%	70%	41%	54%	52%	95%
Other Income	0	0	-0	3	1	1	1	1	1	1	2	2	0
Interest	0	0	0	0	0	0	0	0	0	0	0	0	0
Depreciation	0	0	0	1	3	0	0	0	1	1	1	1	1
Profit before tax	7	8	-5	3	16	8	4	10	24	10	14	15	206
Tax %	43%	22%	-27%	82%	-5%	41%	103%	34%	18%	133%	37%	24%	15%
Net Profit	37	32	19	34	76	41	33	65	99	71	91	102	269
EPS in Rs	1.66	1.42	0.87	1.53	3.53	1.85	1.50	2.91	4.44	3.18	4.08	4.61	12.13

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

Metric	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Sales	69	100	93	59	85	91	291
Expenses	49	59	62	48	61	45	48
Operating Profit	21	41	31	10	24	46	243
OPM %	30%	41%	33%	18%	28%	50%	83%
Other Income	3	2	5	6	3	3	6
Interest	0	0	0	0	1	0	1
Depreciation	1	1	1	2	4	2	3
Profit before tax	23	42	35	14	22	47	245
Tax %	22%	28%	16%	32%	21%	32%	21%
Net Profit	130	137	78	74	161	238	533
EPS in Rs	5.84	6.19	3.52	3.33	7.35	10.70	24.00
Dividend Payout %	17%	19%	24%	10%	37%	37%	32%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year	2018-2019	2019-2020	2020-2021	2021-2022	2022-2023	2023-2024
YoY Net Profit Growth (%)	5.38%	-43.07%	-5.13%	117.57%	47.83%	123.95%
Change in YoY Net Profit Growth (%)	0.00%	-48.45%	37.94%	122.70%	-69.74%	76.12%

Sundaram Finance Holdings Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 6 years from 2018-2019 to 2023-2024.

Growth

Compounded Sales Growth
10 Years:	%
5 Years:	24%
3 Years:	71%
TTM:	197%

Compounded Profit Growth
10 Years:	%
5 Years:	31%
3 Years:	93%
TTM:	58%

Stock Price CAGR
10 Years:	%
5 Years:	37%
3 Years:	53%
1 Year:	17%

Return on Equity
10 Years:	%
5 Years:	8%
3 Years:	9%
Last Year:	13%

Last Updated: Unknown

Balance Sheet

Last Updated: November 14, 2024, 7:34 pm

Month	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024	Sep 2024
Equity Capital	76	76	76	76	111	111	111	111
Reserves	2,736	2,290	1,782	2,119	2,891	3,459	4,682	5,500
Borrowings	0	0	2	4	3	18	18	17
Other Liabilities	128	87	63	107	90	46	137	244
Total Liabilities	2,940	2,453	1,922	2,306	3,096	3,635	4,948	5,872
Fixed Assets	6	6	9	10	9	41	40	39
CWIP	0	0	0	0	0	0	0	0
Investments	2,910	2,420	1,879	2,269	3,053	3,553	4,708	5,805
Other Assets	24	27	35	27	34	40	200	28
Total Assets	2,940	2,453	1,922	2,306	3,096	3,635	4,948	5,872

Reserves and Borrowings Chart

Cash Flow

Month	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Cash from Operating Activity +	147	58	62	19	30	100	132
Cash from Investing Activity +	-146	-30	-11	-10	-345	-25	136
Cash from Financing Activity +	-1	-28	-46	-8	319	-73	-103
Net Cash Flow	1	1	5	1	3	2	166

Free Cash Flow

Month	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Free Cash Flow	21.00	41.00	29.00	6.00	21.00	28.00	225.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

Month	Mar 2018	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	Mar 2024
Debtor Days	55	38	30	33	22	28	8
Inventory Days
Days Payable
Cash Conversion Cycle	55	38	30	33	22	28	8
Working Capital Days	61	60	69	34	52	69	13
ROCE %		2%	2%	1%	1%	1%	6%

Financial Efficiency Indicators Chart

Share Holding Pattern

Month	Mar 2022	Jun 2022	Sep 2022	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024	Jun 2024	Sep 2024	Dec 2024
Promoters	55.59%	55.59%	55.59%	55.59%	55.59%	55.59%	55.59%	55.29%	54.97%	54.97%	54.97%	54.97%
FIIs	0.00%	0.00%	0.18%	0.22%	0.19%	0.19%	0.22%	0.29%	0.23%	0.79%	1.04%	1.02%
DIIs	6.17%	5.89%	5.57%	5.57%	5.57%	5.58%	5.46%	5.46%	5.45%	5.30%	5.19%	5.19%
Public	37.61%	37.89%	38.03%	37.99%	38.01%	38.01%	38.09%	38.32%	38.72%	38.31%	38.17%	38.19%
Others	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.64%	0.64%
No. of Shareholders	31,091	31,227	31,253	31,333	30,885	30,407	32,104	33,559	33,201	34,448	37,142	39,448

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund Name	No of Shares	AUM (%)	Amount Invested (Cr)	Previous Number of Shares	Previous Date	Percentage Change
Nippon India Small Cap Fund	9,378,006	0.31	136.97	9,378,006	2025-02-19	0%

ROCE Trend

EPS Trend

Key Financial Ratios

Month	Mar 24	Mar 23	Mar 22	Mar 21	Mar 20
FaceValue	5.00	5.00	5.00	5.00	5.00
Basic EPS (Rs.)	24.00	10.70	7.72	4.89	5.17
Diluted EPS (Rs.)	24.00	10.70	7.72	4.89	5.17
Cash EPS (Rs.)	8.78	1.49	0.97	0.73	2.03
Book Value[Excl.RevalReserv]/Share (Rs.)	215.80	160.74	135.16	145.27	122.91
Book Value[Incl.RevalReserv]/Share (Rs.)	215.80	160.74	135.16	145.27	122.91
Revenue From Operations / Share (Rs.)	13.12	4.07	3.78	3.93	6.13
PBDIT / Share (Rs.)	11.20	2.19	1.22	1.05	2.41
PBIT / Share (Rs.)	11.07	2.12	1.02	0.95	2.32
PBT / Share (Rs.)	11.02	2.10	0.98	0.94	2.30
Net Profit / Share (Rs.)	8.65	1.42	0.77	0.63	1.94
NP After MI And SOA / Share (Rs.)	24.00	10.70	7.35	4.89	5.17
PBDIT Margin (%)	85.39	53.89	32.30	26.72	39.30
PBIT Margin (%)	84.38	52.10	27.06	24.20	37.86
PBT Margin (%)	83.97	51.62	26.05	23.94	37.57
Net Profit Margin (%)	65.95	34.84	20.60	16.26	31.64
NP After MI And SOA Margin (%)	183.00	262.65	194.49	124.35	84.41
Return on Networth / Equity (%)	11.12	6.65	5.43	3.36	4.20
Return on Capital Employeed (%)	4.98	1.30	0.73	0.62	1.82
Return On Assets (%)	10.77	6.53	5.27	3.20	4.06
Asset Turnover Ratio (%)	0.06	0.02	0.03	0.02	0.04
Current Ratio (X)	242.66	171.91	541.48	258.12	444.38
Quick Ratio (X)	242.66	171.91	541.48	258.12	444.38
Dividend Payout Ratio (NP) (%)	8.33	14.02	13.61	10.22	14.50
Dividend Payout Ratio (CP) (%)	8.28	13.92	13.25	10.02	14.26
Earning Retention Ratio (%)	91.67	85.98	86.39	89.78	85.50
Cash Earning Retention Ratio (%)	91.72	86.08	86.75	89.98	85.74
Interest Coverage Ratio (X)	210.04	111.99	32.14	103.43	132.19
Interest Coverage Ratio (Post Tax) (X)	163.23	73.41	21.50	63.93	107.44
Enterprise Value (Cr.)	4251.74	1734.73	1524.68	1137.05	617.85
EV / Net Operating Revenue (X)	14.59	19.18	18.17	19.14	6.68
EV / EBITDA (X)	17.09	35.59	56.25	71.62	16.98
MarketCap / Net Operating Revenue (X)	15.22	19.36	18.34	19.33	6.78
Retention Ratios (%)	91.66	85.97	86.38	89.77	85.49
Price / BV (X)	0.92	0.49	0.51	0.52	0.33
Price / Net Operating Revenue (X)	15.22	19.36	18.35	19.33	6.78
EarningsYield	0.12	0.13	0.10	0.06	0.12

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Sundaram Finance Holdings Ltd as of February 23, 2025 is: ₹272.00

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.

As of February 23, 2025, Sundaram Finance Holdings Ltd is Undervalued by 3.42% compared to the current share price ₹263.00

Intrinsic Value of Sundaram Finance Holdings Ltd as of February 23, 2025 is: 399.30

Calculation basis:

Intrinsic 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 intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of February 23, 2025, Sundaram Finance Holdings Ltd is Undervalued by 51.83% compared to the current share price ₹263.00

Last 5 Year EPS CAGR: 46.80%

*Investments are subject to market risks

Strength and Weakness

Strength	Weakness
The company has higher reserves (3,182.38 cr) compared to borrowings (7.75 cr), indicating strong financial stability. The company has shown consistent growth in sales (112.57 cr) and profit (61.14 cr) over the years.	The stock has a low average ROCE of 1.86%, which may not be favorable. The stock has a high average Working Capital Days of 51.14, which may not be favorable. The stock has a high average Cash Conversion Cycle of 30.57, which may not be favorable.

Stock Analysis

Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Sundaram Finance Holdings Ltd:
1. Net Profit Margin: 65.95%
  - Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
2. ROCE: 4.98% (Industry Average ROCE: 17.99%)
  - ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
3. ROE%: 11.12% (Industry Average ROE: 15.43%)
  - ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
4. Interest Coverage Ratio (Post Tax): 163.23
  - Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
5. Quick Ratio: 242.66
  - Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
6. Stock P/E: 10.2 (Industry average Stock P/E: 59.21)
  - Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
7. Total Debt / Equity: 0
  - Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
Stock Rating:

About the Company - Qualitative Analysis

Sundaram Finance Holdings Ltd. is a Public Limited Listed company incorporated on 13/10/1993 and has its registered office in the State of Tamil Nadu, India. Company's Corporate Identification Number(CIN) is L65100TN1993PLC025996 and registration number is 025996. Currently Company is involved in the business activities of Financial service activities, except insurance and pension funding. Company's Total Operating Revenue is Rs. 388.19 Cr. and Equity Capital is Rs. 111.05 Cr. for the Year ended 31/03/2024.

INDUSTRY	ADDRESS	CONTACT
Finance & Investments	21, Patullos Road, Chennai (Madras) Tamil Nadu 600002	investorservices@sundaramholdings.in http://www.sundaramholdings.in

Management
Name	Position Held
Mr. Harsha Viji	Chairman
Mr. R Venkatraman	Director
Ms. Shobhana Ramachandhran	Director
Ms. Sripriya Kumar	Director
Mr. Srivats Ram	Director
Mr. Ananth Ramanujam	Director
Ms. Priyamvada Ramkumar	Director
Mr. Sriram Viji	Director

FAQ

What is the latest intrinsic value of Sundaram Finance Holdings Ltd?

Let's break down Sundaram Finance Holdings Ltd's intrinsic value simply:

We calculate intrinsic value using the PE Ratio Method - comparing the company's current price-to-earnings ratio with its historical average and industry peers. Think of it like checking if a stock is "on sale" compared to its typical pricing.

As of 23 February 2025:

Calculated Fair Value: ₹272.00
Current Market Price: ₹263.00
Variance: 3.42% higher

This suggests Sundaram Finance Holdings Ltd is currently undervalued by 3.42%. For context:

Market Cap: 5,831 Cr.
52-Week Range: 433/173
Reserves (Sep 2024): ₹5,500 Cr
Liabilities: 5,872 Cr

Remember: The PE method gives a snapshot based on earnings multiples. While useful for quick comparisons, investors should also consider growth prospects, industry trends, and economic conditions. This calculation assumes historical PE ratios remain relevant - always verify with current market dynamics.

What is the Market Cap of Sundaram Finance Holdings Ltd?

The Market Cap of Sundaram Finance Holdings Ltd is 5,831 Cr..

What is the current Stock Price of Sundaram Finance Holdings Ltd as on 23 February 2025?

The current stock price of Sundaram Finance Holdings Ltd as on 23 February 2025 is ₹263.

What is the High / Low of Sundaram Finance Holdings Ltd stocks in FY 2024-2025?

In FY 2024-2025, the High / Low of Sundaram Finance Holdings Ltd stocks is 433/173.

What is the Stock P/E of Sundaram Finance Holdings Ltd?

The Stock P/E of Sundaram Finance Holdings Ltd is 10.2.

What is the Book Value of Sundaram Finance Holdings Ltd?

The Book Value of Sundaram Finance Holdings Ltd is 253.

What is the Dividend Yield of Sundaram Finance Holdings Ltd?

The Dividend Yield of Sundaram Finance Holdings Ltd is 2.93 %.

What is the ROCE of Sundaram Finance Holdings Ltd?

The ROCE of Sundaram Finance Holdings Ltd is 5.85 %.

What is the ROE of Sundaram Finance Holdings Ltd?

The ROE of Sundaram Finance Holdings Ltd is 12.8 %.

What is the Face Value of Sundaram Finance Holdings Ltd?

The Face Value of Sundaram Finance Holdings Ltd is 5.00.