- Cholamandalam’s net income for the first quarter was 11.4 billion rupees, which is a 21% increase compared to the previous year, but it missed the market estimate of 12 billion rupees.
- The company’s revenue significantly rose by 25% year-over-year to 72.4 billion rupees, exceeding the market estimate of 37.51 billion rupees.
- Total costs reached 58 billion rupees, marking a 27% increase from the previous year.
- Other income surged by 94% year-over-year to 858.6 million rupees, slightly surpassing the estimate of 849.9 million rupees.
- Gross non-performing assets increased to 4.29%, up from 3.97% in the previous quarter.
- The Stage 3 ratio rose to 3.16% from 2.81% in the preceding quarter.
- Cholamandalam maintained a strong capital adequacy ratio at 20%, compared to 19.8% in the last quarter.
- The company has approved a bond issue of up to INR 550 billion.
- Market analysis shows 24 buy recommendations, 14 hold recommendations, and 4 sell recommendations for Cholamandalam’s stock.
A look at Cholamandalam Investment and Finance Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Cholamandalam Investment and Finance, a financial services provider, is positioned with a strong long-term outlook based on the Smartkarma Smart Scores. With a solid Growth score of 4, the company is primed for expansion and increasing profitability over time. Additionally, its Resilience and Momentum scores of 3 suggest that it has the ability to weather market fluctuations and maintain a steady growth trajectory. While its Value and Dividend scores are moderate at 3 and 2 respectively, the company’s focus on growth and resilience bodes well for its future prospects.
Cholamandalam Investment and Finance Company Limited, known for offering a range of financial services such as vehicle finance, home equity loans, investment advisory, and stock broking, stands out as a promising investment opportunity. The Smartkarma Smart Scores highlight its growth potential, resilience in challenging market conditions, and positive momentum, positioning the company well for long-term success in the financial services sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
