TSF Investments Limited

Financial Services — Asset Management · NSE

₹404.00+₹7.95 (+2.01%)

DalalBaazaar Score

72 / 100

🟢 Good

Verdict

NEUTRAL

Risk

Low

Driven by small-cap size, which brings sharper price swings, falling profits.

In simple words: The business is earning a fairly low return on the money invested in it, though profits are falling even as sales grow. The direction of profits is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:28 pm

Understanding the Business

Company site ↗

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

What does this company do?

TSF Investments Limited, together with its subsidiaries, invests in the auto component sector in India and internationally. It operates through Investments, Shared Services Domestic, Shared Services Overseas, Manufacturing, and Other segments.

IndustryAsset Management

SectorFinancial Services

Employees13

Annual revenue₹862 Cr

How does it make money?

Turns over ₹862 Cr a year. Of every ₹100 of sales, about ₹61 reaches shareholders as profit, with ₹25 left at the operating level before interest, tax and depreciation. Each of its 13 employees supports ₹66.29 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹66.29 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.

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?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +1070% while net margin moved -81% 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+1070%

Margin effect-81%

DalalBaazaar Score

72/ 100

Good

Weighted across six categories. Every point is explained below.

✗ ROE of 8.6% is weak

Quality vs. Valuation

Company Quality

73/ 100

Good

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

Valuation

61/ 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

18.4x

3Y Median

18.2x

40 monthly readings · mean 19.2x · range 10.1x–35.3x

Sector Median

17.0x

median of 4 sector peers

🟡Currently trading close to its 3y median of 18.2x — the market is paying about what it usually pays for this company.

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

vs. its own history

Fair

18.2x median over 40 months · +1%

vs. sector peers

Fair

17.0x median of 4 peers · +8%

vs. generic bands

Fair

15x–35x

EV/EBITDA

41.3x

PEG

0.61

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Receivables growing faster than sales
Receivables are up 2919% against revenue growth of 1070% — customers are taking longer to pay.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Significant margin compressionFinancial
EBITDA margin has fallen 41.7 points, from 67.1% to 25.5%.
🟡Low reported insider holdingOwnership
Reported insider holding is 0.0%. For Indian companies this field is an unreliable proxy — check the official promoter shareholding in the exchange filing.

Investment Thesis

🟢 Bull CaseWhat could make this work?

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?

Margins are being competed away
EBITDA margin has fallen from 67.1% to 25.5%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Size brings its own risk
Small 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 95% a year✓ 127.0% CAGR
Latest reported year was 70.9%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 23%✓ 25.5%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 8%✓ 8.6%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 18.2x✓ 18.4x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

7 / 11 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
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

5 good · 3 neutral · 3 weak

Market Cap

₹8,916 Cr

Small Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

18.4x

Fair

Fairly valued against the generic band

P/B Ratio

1.49x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹21.91

Profitable

Profitable on a per-share basis

ROE

8.6%

Moderate

Moderate capital efficiency

ROCE

3.2%

Weak

Low return on total capital employed

Debt/Equity

3.85x

High

High leverage

Revenue Growth (YoY)

70.9%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-22.3%

Falling

Profits are shrinking

Dividend Yield

2.76%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

₹257 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

Operating Margin

22.0%

Good

Healthy core-business profitability

Net Margin

44.6%

Good

Strong bottom-line conversion

Current Ratio

1.67

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.46

Defensive

Steadier than the market

52W Range Position

20%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

424.3 / 421.8

Bullish alignment (short > long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

24.8

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹74 Cr	₹81 Cr	₹91 Cr	₹862 Cr	+127.0%
EBITDA	₹49 Cr	₹249 Cr	₹121 Cr	₹219 Cr	+64.3%
EBITDA Margin	67.1%	308.2%	132.3%	25.5%	—
PAT (Net Profit)	₹238 Cr	₹533 Cr	₹412 Cr	₹522 Cr	+30.0%
EPS	₹10.7	₹24	₹18.55	₹23.49	+30.0%
ROE	6.7%	11.1%	7.4%	8.6%	—
ROCE	1.3%	5.0%	2.0%	3.2%	—
Total Debt	₹18 Cr	₹18 Cr	₹16 Cr	₹235 Cr	+134.3%
Free Cash Flow	₹82 Cr	₹131 Cr	₹187 Cr	₹257 Cr	+46.4%

🟢 Revenue has grown at 127.0% a year over 3 years.

🟢 EBITDA has grown at 64.3% a year over 3 years.

🔴 EBITDA Margin has fallen from 67.1% to 25.5% over 3 years (-41.7 pts).

🟢 PAT (Net Profit) has grown at 30.0% a year over 3 years.

🟢 EPS has grown at 30.0% a year over 3 years.

🟢 ROE has risen from 6.7% to 8.6% over 3 years (+2.0 pts).

🟢 ROCE has risen from 1.3% to 3.2% over 3 years (+1.9 pts).

🔴 Total Debt has grown at 134.3% a year over 3 years.

🟢 Free Cash Flow has grown at 46.4% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹6,748 Cr

Total Liabilities

₹654 Cr

Cash & Equivalents

₹86 Cr

Operating Cash Flow

₹266 Cr

Capex

-₹9 Cr

Shareholding (proxy)

Institutional Holding

6.0%

Insider Holding

0.0%

Corporate Actions

Dividend Rate

₹11.15

Ex-Dividend Date

07 Jul 2026

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 mixed4 general

TSF Investments Ltd. Peer Comparison – Compare with Others

Value Research, 31 Aug

Here's Why We Think TSF Investments (NSE:TSFINV) Is Well Worth Watching

Simply Wall Street, 26 May

Compare M.B.PARIKH with

Equitymaster, 16 Oct

Why Is TSF Investments Share Price Falling Key Reasons 2026

Univest, 24 JunPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

TSF Investments acquires 10.26 lakh Wheels India shares via preferential issue

scanx.trade, 18 Sept

15 stocks that Mukul Agrawal, Ashish Kacholia, RK Damani and others bought during March-quarter crash

The Economic Times, 14 AprResults

🟡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.
Reported insider holding is low — cross-check the official promoter shareholding % in the company's exchange filing.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Valuation

MiddlingGrowth · Profitability · Risk

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. 1 high-severity red flag sits above this conclusion and should be read first.

All 4 tripwires holding · see Key things to watch ↑