Sundaram Finance Limited

NSEI:SUNDARMFIN Stock Report

Market Cap: ₹459.3b

Sundaram Finance Valuation

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

Valuation Score

0/6

Valuation Score 0/6

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

Below Fair Value: SUNDARMFIN (₹4086.9) is trading above our estimate of fair value (₹1112.56)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for SUNDARMFIN. This is calculated by dividing SUNDARMFIN's market cap by their current earnings.
What is SUNDARMFIN's PE Ratio?
PE Ratio29x
Earnings₹15.66b
Market Cap₹459.31b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for SUNDARMFIN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.7x
CHOLAHLDNG Cholamandalam Financial Holdings
14.2xn/a₹284.7b
M&MFIN Mahindra & Mahindra Financial Services
14.7x17.0%₹318.8b
SBICARD SBI Cards and Payment Services
29.5x20.7%₹644.1b
MUTHOOTFIN Muthoot Finance
16.3x14.3%₹757.0b
SUNDARMFIN Sundaram Finance
29x13.3%₹459.3b

Price-To-Earnings vs Peers: SUNDARMFIN is expensive based on its Price-To-Earnings Ratio (29x) compared to the peer average (18.7x).

Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
523384 Maha Rashtra Apex
0.6xn/aUS$25.38m
No more companies available in this PE range
SUNDARMFIN 29.0xIndustry Avg. 20.9xNo. of Companies10PE01224364860+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SUNDARMFIN is expensive based on its Price-To-Earnings Ratio (29x) compared to the Indian Consumer Finance industry average (20.9x).

Price to Earnings Ratio vs Fair Ratio

What is SUNDARMFIN'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.

SUNDARMFIN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio29x
Fair PE Ratio21.8x

Price-To-Earnings vs Fair Ratio: SUNDARMFIN is expensive based on its Price-To-Earnings Ratio (29x) compared to the estimated Fair Price-To-Earnings Ratio (21.8x).

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 SUNDARMFIN forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹4,086.90
₹4,480.33
+9.6%
11.4%₹5,431.00₹3,910.00n/a9
Nov ’25₹4,870.65
₹4,291.11
-11.9%
12.5%₹5,282.00₹3,450.00n/a9
Oct ’25₹5,250.85
₹4,291.11
-18.3%
12.5%₹5,282.00₹3,450.00n/a9
Sep ’25₹5,050.60
₹4,219.00
-16.5%
10.2%₹4,940.00₹3,450.00n/a9
Aug ’25₹4,328.20
₹4,287.50
-0.9%
12.0%₹4,940.00₹3,450.00n/a8
Jul ’25₹4,625.75
₹4,287.63
-7.3%
12.0%₹4,940.00₹3,450.00n/a8
Jun ’25₹4,287.55
₹4,287.63
+0.002%
12.0%₹4,940.00₹3,450.00n/a8
May ’25₹4,745.95
₹3,818.13
-19.5%
9.4%₹4,400.00₹3,250.00n/a8
Apr ’25₹4,136.60
₹3,811.88
-7.9%
9.7%₹4,400.00₹3,200.00n/a8
Mar ’25₹4,178.35
₹3,745.63
-10.4%
8.0%₹4,100.00₹3,200.00n/a8
Feb ’25₹3,523.50
₹3,572.86
+1.4%
5.5%₹3,870.00₹3,250.00n/a7
Jan ’25₹3,496.35
₹3,402.50
-2.7%
12.5%₹3,870.00₹2,446.00n/a8
Dec ’24₹3,355.25
₹3,340.00
-0.5%
14.2%₹3,870.00₹2,446.00n/a8
Nov ’24₹3,182.35
₹2,926.13
-8.1%
8.5%₹3,377.00₹2,446.00₹4,870.658
Oct ’24₹3,070.95
₹2,883.88
-6.1%
8.5%₹3,377.00₹2,446.00₹5,250.858
Sep ’24₹2,594.20
₹2,845.75
+9.7%
6.3%₹3,072.00₹2,446.00₹5,050.608
Aug ’24₹2,615.90
₹2,750.63
+5.2%
6.0%₹2,915.00₹2,446.00₹4,328.208
Jul ’24₹2,610.00
₹2,738.13
+4.9%
6.5%₹2,915.00₹2,446.00₹4,625.758
Jun ’24₹2,529.15
₹2,738.13
+8.3%
6.5%₹2,915.00₹2,446.00₹4,287.558
May ’24₹2,355.35
₹2,581.71
+9.6%
6.1%₹2,750.00₹2,249.00₹4,745.957
Apr ’24₹2,299.50
₹2,573.14
+11.9%
6.3%₹2,750.00₹2,249.00₹4,136.607
Mar ’24₹2,306.40
₹2,509.57
+8.8%
8.1%₹2,750.00₹2,200.00₹4,178.357
Feb ’24₹2,281.95
₹2,504.00
+9.7%
8.4%₹2,750.00₹2,200.00₹3,523.506
Jan ’24₹2,305.10
₹2,504.00
+8.6%
8.4%₹2,750.00₹2,200.00₹3,496.356
Dec ’23₹2,250.25
₹2,504.00
+11.3%
8.4%₹2,750.00₹2,200.00₹3,355.256
Nov ’23₹2,360.70
₹2,317.00
-1.9%
5.5%₹2,560.00₹2,200.00₹3,182.356

Analyst Forecast: Target price is less than 20% higher than the current share price.

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