Aditya Birla Sun Life AMC Limited

Financial Services — Asset Management · NSE

₹971.50−₹10.10 (−1.03%)

DalalBaazaar Score

78 / 100

🟢 Good

Verdict

ATTRACTIVE

Risk

Low

No individual risk factor stands out on this snapshot.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:10 pm

Mixed / neutral. No major red flags jump out, but nothing here screams "obviously cheap" either. This is a name that needs a peer comparison and a view on near-term earnings triggers before sizing a position.

Understanding the Business

Company site ↗

The 60-second version of Aditya Birla Sun Life AMC Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Aditya Birla Sun Life AMC Limited is privately owned investment manager. The firm provides its services to individuals including high net worth individuals and institutional clients. It manages separate equity and fixed income portfolios.

IndustryAsset Management

SectorFinancial Services

Employees1,501

Annual revenue₹1,845 Cr

How does it make money?

Turns over ₹1,845 Cr a year. Of every ₹100 of sales, about ₹53 reaches shareholders as profit, with ₹63 left at the operating level before interest, tax and depreciation. Each of its 1,501 employees supports ₹1.23 Cr of revenue a year, the signature of a capital- or asset-led business.

EBITDA margin63.5%

Net margin52.8%

Revenue / employee₹1.23 Cr

Who are its competitors?

The closest listed comparisons in its industry are BAJAJ FINANCE LIMITED, HDFC BANK LTD, ICICI BANK LTD., STATE BANK OF INDIA. These are the companies its valuation and returns are measured against elsewhere in this report.

BAJAJ FINANCE LIMITEDP/E 30.2x · ROE 17.8%

HDFC BANK LTDP/E 15.9x · ROE 13.8%

ICICI BANK LTD.P/E 18.1x · ROE 16.5%

STATE BANK OF INDIAP/E 10.3x · ROE 15.2%

What is its competitive advantage?Not assessable from these ratios

For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.

ROCE30.7%

ROE24.1%

Peer median ROE16.5%

What is the outlook?

12 analysts covering the stock expect revenue to grow about 20.6% and earnings to grow about 14.2% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+20.6%

Est. earnings growth+14.2%

Analysts12

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +50% while net margin moved +9% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+50%

Margin effect+9%

DalalBaazaar Score

78/ 100

Good

Weighted across six categories. Every point is explained below.

• P/E of 27.9x already prices in growth
• P/E is close to its own historical median of 26.6x
✗ P/B of 6.94x is a steep premium to book
✓ Dividend yield of 2.62% pays you to wait

Quality vs. Valuation

Company Quality

84/ 100

Excellent

How good the business is, ignoring the share price entirely.

Valuation

45/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

27.9x

3Y Median

26.6x

40 monthly readings · mean 26.9x · range 18.9x–35.9x

Sector Median

17.0x

median of 4 sector peers

🟡Currently trading close to its 3y median of 26.6x — the market is paying about what it usually pays for this company.

⚠️Against its sector it trades 64% above the peer median of 17.0x.

vs. its own history

Fair

26.6x median over 40 months · +5%

vs. sector peers

Expensive

17.0x median of 4 peers · +64%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

27.9x

P/B

6.94x

EV/EBITDA

24.0x

PEG

1.57

Dividend Yield

2.62%

What's Good / What's Bad

🟢 What's Going Well2

Margins are improving
EBITDA margin is up from 59.0% to 63.5% over 3 years.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Receivables growing faster than sales
Receivables are up 123% against revenue growth of 50% — customers are taking longer to pay.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 59.0% to 63.5%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

A premium to the sector to defend
It trades 64% above the peer median. That premium needs a reason that persists, or it closes.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 11% a year✓ 14.6% CAGR
Latest reported year was 10.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 61%✓ 63.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 22%✓ 24.1%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 26.6x✓ 27.9x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

10 / 12 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

7 good · 2 neutral · 2 weak

Market Cap

₹28,113 Cr

Mid Cap

Mid-sized — more growth headroom, but sharper swings than large caps

P/E (Trailing)

27.9x

Fair

Fairly valued against the generic band

P/B Ratio

6.94x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹34.8

Profitable

Profitable on a per-share basis

ROE

24.1%

Strong

Strong capital efficiency

ROCE

30.7%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

1.58x

High

High leverage

Revenue Growth (YoY)

10.6%

Healthy

Healthy top-line growth

Profit Growth (YoY)

11.3%

Healthy

Profits growing at a healthy clip

Dividend Yield

2.62%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

₹764 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹971.5

P/E (Forward)

22.5x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

65.1%

Good

Healthy core-business profitability

Net Margin

47.6%

Good

Strong bottom-line conversion

Current Ratio

10.88

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.37

Defensive

Steadier than the market

52W Range Position

51%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

1003.9 / 1022.9

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

40.7

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1,227 Cr	₹1,353 Cr	₹1,685 Cr	₹1,845 Cr	+14.6%
EBITDA	₹724 Cr	₹789 Cr	₹1,032 Cr	₹1,171 Cr	+17.4%
EBITDA Margin	59.0%	58.3%	61.2%	63.5%	—
PAT (Net Profit)	₹596 Cr	₹780 Cr	₹931 Cr	₹975 Cr	+17.8%
EPS	₹20.65	₹27.02	₹32.18	₹33.68	+17.7%
ROE	23.7%	24.6%	25.0%	24.1%	—
ROCE	30.8%	30.8%	32.4%	30.7%	—
Total Debt	₹48 Cr	₹79 Cr	₹68 Cr	₹64 Cr	+9.9%
Free Cash Flow	₹418 Cr	₹654 Cr	₹677 Cr	₹764 Cr	+22.3%

🟢 Revenue has grown at 14.6% a year over 3 years.

🟢 EBITDA has grown at 17.4% a year over 3 years.

🟢 EBITDA Margin has risen from 59.0% to 63.5% over 3 years (+4.5 pts).

🟢 PAT (Net Profit) has grown at 17.8% a year over 3 years.

🟢 EPS has grown at 17.7% a year over 3 years.

🟡 ROE has held roughly flat at 24.1% over 3 years.

🟡 ROCE has held roughly flat at 30.7% over 3 years.

🔴 Total Debt has grown at 9.9% a year over 3 years.

🟢 Free Cash Flow has grown at 22.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹4,415 Cr

Total Liabilities

₹374 Cr

Total Debt

₹64 Cr

Cash & Equivalents

₹58 Cr

Operating Cash Flow

₹812 Cr

Capex

-₹47 Cr

Shareholding (proxy)

Institutional Holding

45.2%

Insider Holding

44.8%

Corporate Actions

Dividend Rate

₹25.5

Ex-Dividend Date

22 Jul 2026

Analyst Consensus

Recommendations

10 Buy · 4 Hold · 1 Sell

Target Price (Mean)

₹1,144.6

+17.8% vs CMP

Target Range

₹1,010 – ₹1,260

Peer Comparison

Company	P/E	ROE
BAJAJ FINANCE LIMITED	30.2x	17.8%
HDFC BANK LTD	15.9x	13.8%
ICICI BANK LTD.	18.1x	16.5%
STATE BANK OF INDIA	10.3x	15.2%

Recent News

2 positive2 mixed2 general

Aditya Birla Sun Life AMC: Here's How To Check Allotment Status Of The Initial Public Offering

NDTV Profit, 17 Oct

Aditya Birla Sun Life AMC Q1 Profit Rises 12 PC to Rs 309 Cr

HDFC Sky, 21 JulResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Aditya Birla Sun Life AMC Stock Signals to Watch This Week

Univest, 24 Sept

Aditya Birla Sun Life AMC sets Q2FY27 earnings call for Oct 21

scanx.trade, 13 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Is It Smart To Buy Aditya Birla Sun Life AMC Limited (NSE:ABSLAMC) Before It Goes Ex-Dividend?

Simply Wall Street, 18 JulCapital return

🟢Potentially positiveCash or shares returned to holders. A buyback is only good value if the shares were cheap when bought.

Earnings call transcript: Aditya Birla Sun Life AMC posts Q1 FY 2027 growth

Investing.com, 21 JulResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

Watch Items

This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

🟢Business QualityStrong15.9/20

🟢Financial HealthStrong17/20

🟢GrowthStrong16.1/20

🟢ProfitabilityStrong14.1/15

🟡ValuationFair7.8/15

🟢RiskLow7.5/10

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself.

This thesis breaks if

✓Revenue growth stays above 11% a year14.6% CAGR
✓EBITDA margin holds above 61%63.5%
✓Return on equity stays above 22%24.1%
✓Valuation vs its own median of 26.6x27.9x today