Power Finance Corporation Limited

BSE:532810 Stock Report

Market Cap: ₹1.6t

Power Finance Valuation

Is 532810 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

5/6

Valuation Score 5/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 532810 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 532810 (₹477.9) is trading below our estimate of fair value (₹521.06)

Significantly Below Fair Value: 532810 is trading below fair value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 532810?

Key metric: As 532810 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 532810. This is calculated by dividing 532810's market cap by their current earnings.
What is 532810's PE Ratio?
PE Ratio7.4x
Earnings₹211.97b
Market Cap₹1.58t

Price to Earnings Ratio vs Peers

How does 532810's PE Ratio compare to its peers?

The above table shows the PE ratio for 532810 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.2x
RECLTD REC
9x11.9%₹1.3t
IRFC Indian Railway Finance
28.6x2.0%₹1.9t
HUDCO Housing and Urban Development
16.7x22.4%₹412.4b
IREDA Indian Renewable Energy Development Agency
34.5xn/a₹498.6b
532810 Power Finance
7.4x-0.4%₹1.6t

Price-To-Earnings vs Peers: 532810 is good value based on its Price-To-Earnings Ratio (7.4x) compared to the peer average (22.2x).

Price to Earnings Ratio vs Industry

How does 532810's PE Ratio compare vs other companies in the IN Diversified Financial Industry?

8 CompaniesPrice / EarningsEstimated GrowthMarket Cap
531310 Available Finance
2.5xn/aUS$38.91m
538732 Vibrant Global Capital
5xn/aUS$17.88m
539217 Srestha Finvest
5xn/aUS$12.24m
531735 Prism Finance
2.8xn/aUS$2.43m
532810 7.4xIndustry Avg. 24.3xNo. of Companies19PE020406080100+
8 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 532810 is good value based on its Price-To-Earnings Ratio (7.4x) compared to the Indian Diversified Financial industry average (24.3x).

Price to Earnings Ratio vs Fair Ratio

What is 532810's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

532810 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio7.4x
Fair PE Ratio21.6x

Price-To-Earnings vs Fair Ratio: 532810 is good value based on its Price-To-Earnings Ratio (7.4x) compared to the estimated Fair Price-To-Earnings Ratio (21.6x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 532810 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹477.90
₹613.89
+28.5%
6.3%₹680.00₹560.00n/a9
Nov ’25₹458.90
₹601.25
+31.0%
5.3%₹670.00₹560.00n/a8
Oct ’25₹494.15
₹607.14
+22.9%
4.9%₹670.00₹570.00n/a7
Sep ’25₹550.10
₹607.14
+10.4%
4.9%₹670.00₹570.00n/a7
Aug ’25₹542.75
₹558.33
+2.9%
6.7%₹620.00₹520.00n/a6
Jul ’25₹501.15
₹546.00
+8.9%
5.1%₹580.00₹520.00n/a5
Jun ’25₹492.70
₹546.00
+10.8%
5.1%₹580.00₹520.00n/a5
May ’25₹441.40
₹532.00
+20.5%
2.2%₹550.00₹520.00n/a5
Apr ’25₹401.30
₹492.00
+22.6%
16.6%₹550.00₹330.00n/a5
Mar ’25₹413.10
₹492.00
+19.1%
16.6%₹550.00₹330.00n/a5
Feb ’25₹445.80
₹460.00
+3.2%
14.2%₹500.00₹330.00n/a5
Jan ’25₹395.05
₹311.20
-21.2%
22.1%₹380.00₹167.20n/a6
Dec ’24₹365.30
₹290.40
-20.5%
28.1%₹380.00₹165.60n/a7
Nov ’24₹242.70
₹231.69
-4.5%
24.3%₹295.00₹165.60₹458.907
Oct ’24₹251.90
₹220.69
-12.4%
21.2%₹280.00₹165.60₹494.157
Sep ’24₹205.92
₹220.69
+7.2%
21.2%₹280.00₹165.60₹550.107
Aug ’24₹207.08
₹181.47
-12.4%
13.6%₹236.00₹165.60₹542.756
Jul ’24₹172.60
₹174.67
+1.2%
5.9%₹196.00₹165.60₹501.156
Jun ’24₹146.48
₹174.67
+19.2%
5.9%₹196.00₹165.60₹492.706
May ’24₹135.92
₹158.40
+16.5%
9.7%₹180.00₹129.60₹441.406
Apr ’24₹121.40
₹151.73
+25.0%
12.0%₹180.00₹128.00₹401.306
Mar ’24₹119.52
₹151.73
+27.0%
12.0%₹180.00₹128.00₹413.106
Feb ’24₹109.08
₹140.64
+28.9%
11.0%₹160.00₹118.40₹445.805
Jan ’24₹112.84
₹140.64
+24.6%
11.0%₹160.00₹118.40₹395.055
Dec ’23₹110.80
₹140.64
+26.9%
11.0%₹160.00₹118.40₹365.305
Nov ’23₹92.68
₹139.20
+50.2%
10.4%₹160.00₹118.40₹242.706

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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