BSE:504973

Stock Analysis Report

Cholamandalam Financial Holdings

Executive Summary

Cholamandalam Financial Holdings Limited, an investment company, provides insurance products and financial services in India.

Snowflake

Fundamentals

Proven track record and fair value.

Risks

  • Cholamandalam Financial Holdings is not covered by any analysts.

Share Price & News

How has Cholamandalam Financial Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.9%

BSE:504973

-1.5%

IN Insurance

-1.8%

IN Market


1 Year Return

-24.2%

BSE:504973

-1.7%

IN Insurance

-1.3%

IN Market

504973 underperformed the Insurance industry which returned -1.7% over the past year.

504973 underperformed the Market in India which returned -1.3% over the past year.


Share holder returns

504973IndustryMarket
7 Day-3.9%-1.5%-1.8%
30 Day-4.0%5.6%3.6%
90 Day2.1%10.1%-0.005%
1 Year-24.0%-24.2%-1.4%-1.7%0.6%-1.3%
3 Yearn/a214.3%213.8%38.9%31.8%
5 Yearn/a528.5%521.5%55.9%41.4%

Price Volatility Vs. Market

How volatile is Cholamandalam Financial Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Cholamandalam Financial Holdings undervalued based on future cash flows and its price relative to the stock market?

13.11x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Cholamandalam Financial Holdings's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Cholamandalam Financial Holdings's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Cholamandalam Financial Holdings is good value based on earnings compared to the IN Insurance industry average.

Cholamandalam Financial Holdings is good value based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Cholamandalam Financial Holdings, we can't assess if its growth is good value.


Price Based on Value of Assets

Cholamandalam Financial Holdings is good value based on assets compared to the IN Insurance industry average.


Next Steps

Future Growth

How is Cholamandalam Financial Holdings expected to perform in the next 1 to 3 years based on estimates from 0 analysts?

17.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Unable to determine if Cholamandalam Financial Holdings is high growth as no revenue estimate data is available.

Cholamandalam Financial Holdings's earnings are expected to grow by 17.3% yearly, however this is not considered high growth (20% yearly).

Unable to compare Cholamandalam Financial Holdings's revenue growth to the India market average as no estimate data is available.

Cholamandalam Financial Holdings's earnings growth is expected to exceed the India market average.

Cholamandalam Financial Holdings's earnings growth is expected to exceed the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Cholamandalam Financial Holdings will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has Cholamandalam Financial Holdings performed over the past 5 years?

14.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Cholamandalam Financial Holdings's year on year earnings growth rate has been positive over the past 5 years.

Cholamandalam Financial Holdings's 1-year earnings growth exceeds its 5-year average (16.3% vs 14.4%)

Cholamandalam Financial Holdings's earnings growth has exceeded the IN Insurance industry average in the past year (16.3% vs 15.4%).


Return on Equity

Cholamandalam Financial Holdings has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Cholamandalam Financial Holdings used its assets more efficiently than the IN Insurance industry average last year based on Return on Assets.


Return on Capital Employed

Cholamandalam Financial Holdings's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Cholamandalam Financial Holdings's financial position?


Financial Position Analysis

Cholamandalam Financial Holdings is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Cholamandalam Financial Holdings's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Cholamandalam Financial Holdings's level of debt (641.5%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (587.1% vs 641.5% today).

Unable to verify if debt is well covered by operating cash flow as Cholamandalam Financial Holdings has not reported sufficient balance sheet data.

Interest payments on debt are not well covered by earnings (EBIT is 1.7x annual interest expense, ideally 3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is not covered by short term assets, assets are 0.1x debt.


Next Steps

Dividend

What is Cholamandalam Financial Holdings's current dividend yield, its reliability and sustainability?

0.26%

Current Dividend Yield


Upcoming Dividend Payment

Purchase Cholamandalam Financial Holdings before the 'Buy Limit' to receive their next dividend payment.


Dividend Yield and Payments Analysis

Cholamandalam Financial Holdings's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.53%).

Cholamandalam Financial Holdings's dividend is below the markets top 25% of dividend payers in India (2.04%).

Cholamandalam Financial Holdings is not paying a notable dividend for India, therefore no need to check if the payments are stable.

Cholamandalam Financial Holdings is not paying a notable dividend for India, therefore no need to check if the payments are increasing.


Current Payout to Shareholders

No need to calculate the sustainability of Cholamandalam Financial Holdings's dividends as it is not paying a notable one for India.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

What is the CEO of Cholamandalam Financial Holdings's salary, the management and board of directors tenure and is there insider trading?

0.8yrs

Average board tenure


CEO

Cholamandalam Financial Holdings has no CEO, or we have no data on them.


Board Age and Tenure

0.8yrs

Average Tenure

62yo

Average Age

The average tenure for the Cholamandalam Financial Holdings board of directors is less than 3 years, this suggests a new board.


Insider Trading

Cholamandalam Financial Holdings insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Sell₹249,807,89510 Jun 19
Murugappan Murugappan
EntityIndividual
Role
Chairman of the Board
Shares501,270
Max Price₹498.35
Buy₹166,538,59710 Jun 19
Saraswathi Trust
EntityCompany
Shares334,180
Max Price₹498.35
Buy₹297,684,37810 Jun 19
Shambho Trust
EntityCompany
Shares597,340
Max Price₹498.35
Buy₹182,202,41828 Mar 19
Lakshmi Venkatachalam Family Trust
EntityCompany
Shares379,905
Max Price₹479.60
Sell₹182,202,41828 Mar 19
Murugappan Murugappan
EntityIndividual
Role
Chairman of the Board
Shares379,905
Max Price₹479.60
Sell₹604,045,96204 Jan 19
Murugappan Murugappan
EntityIndividual
Role
Chairman of the Board
Shares1,147,940
Max Price₹526.20
Sell₹209,495,98304 Jan 19
Meenakshi Murugappan
EntityIndividual
Shares398,130
Max Price₹526.20
Buy₹409,401,97204 Jan 19
M/S. M M Muthiah Family Trust
EntityCompany
Shares778,035
Max Price₹526.20
Buy₹204,233,98404 Jan 19
M M Veerappan Family Trust
EntityCompany
Shares388,130
Max Price₹526.20
Buy₹199,905,98904 Jan 19
Subramanian Family Trust
EntityCompany
Shares379,905
Max Price₹526.20
Buy₹2,636,23303 Oct 18
MA Alagappan Holdings Pvt. Ltd.
EntityCompany
Shares4,623
Max Price₹570.24
Buy₹8,728,74101 Oct 18
MA Alagappan Holdings Pvt. Ltd.
EntityCompany
Shares15,377
Max Price₹567.65

Ownership Breakdown


Management Team

  • E. Krithika

    Company Secretary & Compliance Officer

    • Tenure: 1.8yrs

Board Members

  • Murugappan Murugappan (63yo)

    Chairman of the board

    • Tenure: 1.3yrs
    • Compensation: ₹10.18m
  • V. Ravichandran (62yo)

    Additional Director

    • Tenure: 0.3yrs
  • Ashok Barat (62yo)

    Independent Director

    • Tenure: 0.8yrs
  • Sridharan Rangarajan (52yo)

    Non-Executive Director

    • Tenure: 0.8yrs
  • B. Ramaratnam (63yo)

    Independent Director

    • Tenure: 0.3yrs

Company Information

Cholamandalam Financial Holdings Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Cholamandalam Financial Holdings Limited
  • Ticker: 504973
  • Exchange: BSE
  • Founded: 1949
  • Industry: property and casualty insurance
  • Sector: insurance
  • Market Cap: ₹91.081b
  • Shares outstanding: 187.70m
  • Website: Click here

Location

  • Cholamandalam Financial Holdings Limited
  • Dare House
  • 234, N.S.C. Bose Road
  • Chennai
  • Tamil Nadu
  • 600001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
504973BSE (Mumbai Stock Exchange)YesEquity SharesININRJan 1970
CHOLAHLDNGNSEI (National Stock Exchange of India)YesEquity SharesININRJan 1970

Biography

Cholamandalam Financial Holdings Limited, an investment company, provides insurance products and financial services in India. The company operates in two segments, Insurance and Allied Services, and Other  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/06/18 13:08
End of Day Share Price2019/06/17 00:00
Earnings2019/03/31
Annual Earnings2019/03/31


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.