India Finsec Limited

Financial Services — Credit Services · BSE

₹250.00+₹0.05 (+0.02%)

DalalBaazaar Score

80 / 100

🟢 Strong

Verdict

ATTRACTIVE

Risk

Moderate

Driven by micro-cap size, which brings thin liquidity.

In simple words: The business is earning a fairly low return on the money invested in it, 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, 6:53 pm

Understanding the Business

Company site ↗

The 60-second version of India Finsec Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

India Finsec Limited operates as a core investment company in India. The company was incorporated in 1994 and is based in New Delhi, India.

IndustryCredit Services

SectorFinancial Services

Employees2

Annual revenue₹84 Cr

How does it make money?

Turns over ₹84 Cr a year. Of every ₹100 of sales, about ₹18 reaches shareholders as profit, with ₹40 left at the operating level before interest, tax and depreciation. Each of its 2 employees supports ₹42.04 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹42.04 Cr

Who are its competitors?

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

Compared side by side in Peers ↓

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.

Peer median ROE16.5%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +92% while net margin moved +163% 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+92%

Margin effect+163%

DalalBaazaar Score

80/ 100

Strong

Weighted across six categories. Every point is explained below.

✓ Beta of 0.29 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

86/ 100

Excellent

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

Valuation

64/ 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

18.7x

3Y Median

30.8x

40 monthly readings · mean 39.6x · range 22.3x–111.0x

Sector Median

17.0x

median of 4 sector peers

🟢Current valuation is approximately 39% below its 3y median of 30.8x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟡Against its sector it is priced broadly in line with the peer median of 17.0x.

vs. its own history

Cheap

30.8x median over 40 months · -39%

vs. sector peers

Fair

17.0x median of 4 peers · +10%

vs. generic bands

Fair

15x–35x

EV/EBITDA

31.7x

PEG

0.26

What's Good / What's Bad

🟢 What's Going Well4

Margins are improving
EBITDA margin is up from 22.9% to 40.2% over 3 years.
Return on equity is rising
ROE has improved from 5.0% to 11.9%.
Return on capital is rising
ROCE has improved from 2.6% to 6.7%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

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 22.9% to 40.2%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 39% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
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?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

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

1Revenue growth stays above 18% a year✓ 24.2% CAGR
Latest reported year was 27.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 38%✓ 40.2%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 10%✓ 11.9%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 30.8x✓ 18.7x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

7 / 10 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ 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
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

3 good · 6 neutral · 2 weak

Market Cap

₹730 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

18.7x

Fair

Fairly valued against the generic band

P/B Ratio

3.88x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹13.4

Profitable

Profitable on a per-share basis

ROE

11.9%

Moderate

Moderate capital efficiency

ROCE

6.7%

Weak

Low return on total capital employed

Debt/Equity

2.20x

High

High leverage

Revenue Growth (YoY)

27.9%

Healthy

Healthy top-line growth

Profit Growth (YoY)

28.3%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

Not available

No data

Source didn't return this field

More Metrics

Operating Margin

60.2%

Good

Healthy core-business profitability

Net Margin

29.6%

Good

Strong bottom-line conversion

Current Ratio

3.82

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.29

Defensive

Steadier than the market

52W Range Position

76%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

249.3 / 239.6

Bullish alignment (short > long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

66.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹44 Cr	₹62 Cr	₹70 Cr	₹84 Cr	+24.2%
EBITDA	₹10 Cr	₹19 Cr	₹28 Cr	₹34 Cr	+50.0%
EBITDA Margin	22.9%	30.9%	39.4%	40.2%	—
PAT (Net Profit)	₹3 Cr	₹8 Cr	₹12 Cr	₹15 Cr	+71.4%
EPS	₹1.23	₹4.88	₹7.12	₹7.42	+82.3%
ROE	5.0%	11.2%	10.3%	11.9%	—
ROCE	2.6%	5.6%	6.9%	6.7%	—
Total Debt	₹178 Cr	₹190 Cr	₹198 Cr	₹401 Cr	+31.2%
Free Cash Flow	-₹91 Cr	-₹16 Cr	-₹31 Cr	—	—

🟢 Revenue has grown at 24.2% a year over 3 years.

🟢 EBITDA has grown at 50.0% a year over 3 years.

🟢 EBITDA Margin has risen from 22.9% to 40.2% over 3 years (+17.4 pts).

🟢 PAT (Net Profit) has grown at 71.4% a year over 3 years.

🟢 EPS has grown at 82.3% a year over 3 years.

🟢 ROE has risen from 5.0% to 11.9% over 3 years (+6.9 pts).

🟢 ROCE has risen from 2.6% to 6.7% over 3 years (+4.2 pts).

🔴 Total Debt has grown at 31.2% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹590 Cr

Total Liabilities

₹408 Cr

Cash & Equivalents

₹57 Cr

Operating Cash Flow

—

Capex

—

Shareholding (proxy)

Institutional Holding

6.9%

Insider Holding

83.7%

Peer Comparison

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

Recent News

2 positive2 mixed2 general

India Finsec Share Price rises as NBFC valuation is reviewed

Univest, 31 AugPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

India Finsec Ltd Upgraded to Hold as Technicals and Financials Show Improvement

MarketsMojo, 10 OctAnalyst view

🟢Potentially positiveAn analyst opinion changing, which moves the price without changing the business.

India Finsec FY26 Results Published in Newspapers Under Regulation 30

scanx.trade, 14 MayResults

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

India Finsec vs Emkay Global vs Wealth First: Which Stock Should You Track

Univest, 12 Oct

NATIONAL STOCK EXCHANGE OF INDIA LTD. Stock/Share price , NSE/BSE Forecast News and Live Quotes

Equitymaster, 26 Sept

South India Paper Mills standalone net profit rises 408.16% in the June 2026 quarter

Business Standard, 31 JulResults

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

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.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability · Valuation

WeakRisk

Points for each in the Score ↑

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.

All 4 tripwires holding · see Key things to watch ↑