Cholamandalam Investment and Finance
Market Cap
₹231.8b
Last Updated
2019/11/13 12:50 UTC
Data Sources
Company Financials +
Executive Summary
Cholamandalam Investment and Finance Company Limited, a non-banking finance company, provides various financial services in India.
Snowflake
Fundamentals
Moderate growth potential with acceptable track record.
Similar Companies
Share Price & News
How has Cholamandalam Investment and Finance's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: CHOLAFIN has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-1.7%
CHOLAFIN
-1.7%
IN Consumer Finance
-0.6%
IN Market
1 Year Return
16.0%
CHOLAFIN
42.4%
IN Consumer Finance
5.0%
IN Market
Return vs Industry: CHOLAFIN underperformed the Indian Consumer Finance industry which returned 42.4% over the past year.
Return vs Market: CHOLAFIN exceeded the Indian Market which returned 5% over the past year.
Shareholder returns
| CHOLAFIN | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.7% | -1.7% | -0.6% |
| 30 Day | 4.3% | 4.6% | 5.9% |
| 90 Day | 12.0% | 18.5% | 8.2% |
| 1 Year | 17.3%16.0% | 43.4%42.4% | 7.0%5.0% |
| 3 Year | 55.5%52.2% | 147.2%141.5% | 36.1%29.2% |
| 5 Year | 227.8%217.3% | 255.5%239.2% | 38.6%25.8% |
Price Volatility Vs. Market
How volatile is Cholamandalam Investment and Finance's share price compared to the market and industry in the last 5 years?
Simply Wall St News
Valuation
Is Cholamandalam Investment and Finance undervalued compared to its fair value and its price relative to the market?
18.74x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: CHOLAFIN (₹297.3) is trading above our estimate of fair value (₹142.11)
Significantly Below Fair Value: CHOLAFIN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: CHOLAFIN is poor value based on its PE Ratio (18.7x) compared to the Consumer Finance industry average (14.9x).
PE vs Market: CHOLAFIN is poor value based on its PE Ratio (18.7x) compared to the Indian market (13.3x).
Price to Earnings Growth Ratio
PEG Ratio: CHOLAFIN is poor value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: CHOLAFIN is overvalued based on its PB Ratio (3.4x) compared to the IN Consumer Finance industry average (0.7x).
Next Steps
Future Growth
How is Cholamandalam Investment and Finance forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
18.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: CHOLAFIN's forecast earnings growth (18.5% per year) is above the savings rate (7.6%).
Earnings vs Market: CHOLAFIN's earnings (18.5% per year) are forecast to grow slower than the Indian market (19% per year).
High Growth Earnings: CHOLAFIN's earnings are forecast to grow, but not significantly.
Revenue vs Market: CHOLAFIN's revenue (16.1% per year) is forecast to grow faster than the Indian market (11.2% per year).
High Growth Revenue: CHOLAFIN's revenue (16.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: CHOLAFIN's Return on Equity is forecast to be high in 3 years time (20%)
Next Steps
Past Performance
How has Cholamandalam Investment and Finance performed over the past 5 years?
24.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: CHOLAFIN has a high level of non-cash earnings.
Growing Profit Margin: CHOLAFIN's current net profit margins (32.5%) are higher than last year (31.8%).
Past Earnings Growth Analysis
Earnings Trend: CHOLAFIN's earnings have grown significantly by 24.1% per year over the past 5 years.
Accelerating Growth: CHOLAFIN's earnings growth over the past year (16.5%) is below its 5-year average (24.1% per year).
Earnings vs Industry: CHOLAFIN earnings growth over the past year (16.5%) exceeded the Consumer Finance industry 12.1%.
Return on Equity
High ROE: CHOLAFIN's Return on Equity (18.3%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Cholamandalam Investment and Finance's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: CHOLAFIN has a low level of unsold assets or inventory.
Debt Coverage by Assets: CHOLAFIN's debt is covered by short term assets (assets are 1.1x debt).
Financial Institutions Analysis
Asset Level: CHOLAFIN's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if CHOLAFIN has a sufficient allowance for bad loans.
Low Risk Liabilities: CHOLAFIN reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if CHOLAFIN has an acceptable proportion of non-loan assets held.
Low Risk Deposits: CHOLAFIN has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if CHOLAFIN has an appropriate level of bad loans.
Next Steps
Dividend
What is Cholamandalam Investment and Finance's current dividend yield, its reliability and sustainability?
0.44%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: CHOLAFIN's dividend (0.44%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.56%).
High Dividend: CHOLAFIN's dividend (0.44%) is low compared to the top 25% of dividend payers in the Indian market (2.36%).
Stability and Growth of Payments
Stable Dividend: CHOLAFIN's dividend payments have been volatile in the past 10 years.
Growing Dividend: CHOLAFIN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (8.2%), CHOLAFIN's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: CHOLAFIN's dividends in 3 years are forecast to be thoroughly covered by earnings (6.1% payout ratio).
Next Steps
Management
What is the CEO of Cholamandalam Investment and Finance's salary, the management and board of directors tenure and is there insider trading?
1.2yrs
Average board tenure
CEO
Cholamandalam Investment and Finance has no CEO, or we have no data on them.
Board Age and Tenure
1.2yrs
Average Tenure
63yo
Average Age
Experienced Board: CHOLAFIN's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: CHOLAFIN insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Head of Human Resources Vice President of Human Resources |
| Shares | 40,000 |
| Max Price | ₹308.70 |
| Entity | Individual |
| Role | Senior Key Executive Business Head of Home Equity and Senior Vice President |
| Shares | 35,000 |
| Max Price | ₹319.11 |
| Entity | Individual |
| Shares | 4,202 |
| Max Price | ₹309.07 |
| Entity | Individual |
| Role | Chief Operating Officer Vice President of Operations |
| Shares | 3,655 |
| Max Price | ₹317.00 |
| Entity | Individual |
| Shares | 5,275 |
| Max Price | ₹309.26 |
| Entity | Company |
| Shares | 875,000 |
| Max Price | ₹276.25 |
| Entity | Company |
| Shares | 875,000 |
| Max Price | ₹277.25 |
| Entity | Individual |
| Shares | 752,890 |
| Max Price | ₹306.48 |
| Entity | Company |
| Shares | 776,565 |
| Max Price | ₹306.48 |
| Entity | Company |
| Shares | 1,601,300 |
| Max Price | ₹306.48 |
| Entity | Individual |
| Shares | 10,000 |
| Max Price | ₹307.20 |
| Entity | Individual |
| Shares | 5,000 |
| Max Price | ₹310.00 |
| Entity | Individual |
| Shares | 36,125 |
| Max Price | ₹289.28 |
| Entity | Individual |
| Shares | 36,125 |
| Max Price | ₹288.76 |
| Entity | Company |
| Shares | 36,125 |
| Max Price | ₹288.84 |
| Entity | Individual |
| Shares | 8,750 |
| Max Price | ₹283.26 |
| Entity | Company |
| Shares | 122,550 |
| Max Price | ₹265.88 |
| Entity | Individual |
| Shares | 333,000 |
| Max Price | ₹276.44 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 25,000 |
| Max Price | ₹276.44 |
| Entity | Company |
| Shares | 25,000 |
| Max Price | ₹276.44 |
| Entity | Company |
| Shares | 333,000 |
| Max Price | ₹276.44 |
| Entity | Company |
| Shares | 46,055 |
| Max Price | ₹251.94 |
| Entity | Individual |
| Shares | 46,620 |
| Max Price | ₹251.94 |
| Entity | Individual |
| Shares | 474,130 |
| Max Price | ₹251.94 |
| Entity | Individual |
| Shares | 474,130 |
| Max Price | ₹251.94 |
| Entity | Individual |
| Role | Chairman of the Board Chairman of the Board |
| Shares | 46,055 |
| Max Price | ₹251.94 |
| Entity | Company |
| Shares | 520,750 |
| Max Price | ₹251.94 |
| Entity | Company |
| Shares | 474,130 |
| Max Price | ₹251.94 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Pilli Sujatha (51yo)
VP, Compliance Officer & Company Secretary
- Tenure: 0yrs
Arul Selvan D. (56yo)
Executive VP & CFO
- Tenure: 0yrs
Rohit Phadke (54yo)
Business Head of Home Equity and Senior Vice President
- Tenure: 0yrs
- Compensation: ₹4.10m
V. Venkatesan (58yo)
Head of Information Technology and Vice President
- Tenure: 0yrs
- Compensation: ₹3.64m
Mahesh Waikar (54yo)
Vice President of Operations
- Tenure: 0yrs
Shankar Subramanian (51yo)
Chief Risk Officer and Vice President
- Tenure: 0yrs
- Compensation: ₹3.43m
R. Chandrasekar (54yo)
Vice President of Human Resources
- Tenure: 0yrs
- Compensation: ₹2.56m
J. Raman (48yo)
Head of Cross Sell and Associate Vice President
- Tenure: 0yrs
- Compensation: ₹2.66m
Arun Alagappan (43yo)
Executive Director
- Tenure: 2.3yrs
- Compensation: ₹36.96m
Sudhir Rao
Head of Marketing and Corporate Communications
- Tenure: 6.6yrs
Board Members
Murugappan Murugappan (64yo)
Chairman of the Board
- Tenure: 1.3yrs
- Compensation: ₹912.00k
Ashok Barat (63yo)
Independent Director
- Tenure: 2.1yrs
- Compensation: ₹1.24m
Rohan Verma (34yo)
Independent Director
- Tenure: 0.7yrs
- Compensation: ₹14.00k
Arun Alagappan (43yo)
Executive Director
- Tenure: 2.3yrs
- Compensation: ₹36.96m
Bhama Krishnamurthy (64yo)
Independent Director
- Tenure: 0.3yrs
N. Rajan (63yo)
Additional Independent Director
- Tenure: 1.1yrs
- Compensation: ₹444.00k
Company Information
Cholamandalam Investment and Finance Company Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Cholamandalam Investment and Finance Company Limited
- Ticker: CHOLAFIN
- Exchange: NSEI
- Founded: 1978
- Industry: Consumer Finance
- Sector: Diversified Financials
- Market Cap: ₹231.778b
- Shares outstanding: 781.85m
- Website: https://www.cholamandalam.com
Number of Employees
Location
- Cholamandalam Investment and Finance Company Limited
- Dare House
- 1st Floor
- Chennai
- Tamil Nadu
- 600001
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 511243 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Jul 1994 |
| CHOLAFIN | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Jul 1994 |
Biography
Cholamandalam Investment and Finance Company Limited, a non-banking finance company, provides various financial services in India. The company operates through three segments: Vehicle Finance Loans, Home E ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/13 12:50 |
| End of Day Share Price | 2019/11/13 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2019/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.