Five-Star Business Finance Valuation

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

Valuation Score

2/6

Valuation Score 2/6

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 FIVESTAR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: FIVESTAR (₹742.75) is trading above our estimate of fair value (₹312.77)

Significantly Below Fair Value: FIVESTAR is trading above our estimate of fair value.

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for FIVESTAR. This is calculated by dividing FIVESTAR's market cap by their current earnings.
What is FIVESTAR's PE Ratio?
PE Ratio	22.3x
Earnings	₹9.72b
Market Cap	₹217.25b

FIVESTAR key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	1.4x

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for FIVESTAR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	20.3x
531595 Capri Global Capital	50.1x	37.5%	₹162.1b
531213 Manappuram Finance	6.8x	11.5%	₹153.6b
CREDITACC CreditAccess Grameen	10.4x	17.0%	₹138.9b
CHOLAHLDNG Cholamandalam Financial Holdings	13.8x	n/a	₹282.9b
FIVESTAR Five-Star Business Finance	22.3x	16.1%	₹217.2b

Price-To-Earnings vs Peers: FIVESTAR is expensive based on its Price-To-Earnings Ratio (22.3x) compared to the peer average (20.3x).

Price to Earnings Ratio vs Industry

How does FIVESTAR's PE Ratio compare vs other companies in the IN Consumer Finance Industry?

1 Company	Price / Earnings	Estimated Growth	Market Cap
523384 Maha Rashtra Apex	0.7x	n/a	US$27.43m

No more companies available in this PE range

1 Company		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: FIVESTAR is good value based on its Price-To-Earnings Ratio (22.3x) compared to the Indian Consumer Finance industry average (23.6x).

Price to Earnings Ratio vs Fair Ratio

What is FIVESTAR'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.

FIVESTAR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	22.3x
Fair PE Ratio	21x

Price-To-Earnings vs Fair Ratio: FIVESTAR is expensive based on its Price-To-Earnings Ratio (22.3x) compared to the estimated Fair Price-To-Earnings Ratio (21x).

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 FIVESTAR forecast and predictions for the stock price in 12 month’s time.
Date	Share Price	Average 1Y Price Target	Dispersion	High	Low	1Y Actual price	Analysts
Current	₹742.75	₹898.73 +21.0%	6.1%	₹990.00	₹802.00	n/a	11
Dec ’25	₹655.80	₹898.64 +37.0%	6.1%	₹990.00	₹802.00	n/a	11
Nov ’25	₹716.65	₹913.64 +27.5%	6.8%	₹1,015.00	₹802.00	n/a	11
Oct ’25	₹825.35	₹924.00 +12.0%	4.3%	₹1,020.00	₹857.00	n/a	11
Sep ’25	₹758.85	₹918.91 +21.1%	5.5%	₹1,020.00	₹801.00	n/a	11
Aug ’25	₹764.40	₹915.82 +19.8%	6.2%	₹1,020.00	₹772.00	n/a	11
Jul ’25	₹822.60	₹899.18 +9.3%	6.6%	₹1,020.00	₹772.00	n/a	11
Jun ’25	₹757.05	₹899.18 +18.8%	6.6%	₹1,020.00	₹772.00	n/a	11
May ’25	₹758.30	₹894.00 +17.9%	8.7%	₹1,010.00	₹721.00	n/a	9
Apr ’25	₹738.65	₹902.00 +22.1%	9.3%	₹1,010.00	₹721.00	n/a	8
Mar ’25	₹704.60	₹904.50 +28.4%	9.2%	₹1,010.00	₹721.00	n/a	8
Feb ’25	₹757.10	₹884.38 +16.8%	10.0%	₹1,010.00	₹710.00	n/a	8
Jan ’25	₹734.70	₹863.13 +17.5%	8.7%	₹1,000.00	₹710.00	n/a	8
Dec ’24	₹733.35	₹865.83 +18.1%	2.6%	₹900.00	₹840.00	₹655.80	6
Nov ’24	₹741.50	₹865.83 +16.8%	2.6%	₹900.00	₹840.00	₹716.65	6
Oct ’24	₹696.70	₹838.33 +20.3%	2.8%	₹870.00	₹800.00	₹825.35	6
Sep ’24	₹728.25	₹838.33 +15.1%	2.8%	₹870.00	₹800.00	₹758.85	6
Aug ’24	₹721.85	₹838.33 +16.1%	2.8%	₹870.00	₹800.00	₹764.40	6
Jul ’24	₹647.75	₹723.00 +11.6%	4.3%	₹765.00	₹680.00	₹822.60	5
Jun ’24	₹544.30	₹700.00 +28.6%	2.3%	₹720.00	₹680.00	₹757.05	3
May ’24	₹515.00	₹705.00 +36.9%	0.7%	₹710.00	₹700.00	₹758.30	2
Apr ’24	₹540.60	₹705.00 +30.4%	0.7%	₹710.00	₹700.00	₹738.65	2
Mar ’24	₹546.30	₹705.00 +29.0%	0.7%	₹710.00	₹700.00	₹704.60	2

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