Cholamandalam Financial Holdings Limited (CHOLAHLDNG)
Small CapFinancial Services stocks · Small cap · NSE
Cholamandalam Financial Holdings Limited (CFHL) is a Core Investment Company with stakes in Cholamandalam Investment and Finance Company Limited (CIFCL), a listed NBFC, Cholamandalam MS General Insurance Company Limited (CMSGICL), a multi-line insurer, and Cholamandalam MS Risk Services Limited (CMSRSL).
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust needs verification, price trend argues for patience, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Excellent · 85/100Rev +20% YoY · PAT +42% YoY · +7% QoQ · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹11,114 Cr | +19.6% | +7.2% |
| EBITDA | NDF | NDF | NDF |
| Operating margin | NDF | NDF | NDF |
| PAT | ₹1,789 Cr | +42.0% | +10.0% |
| PAT margin | 16.1% | +255 bps | +41 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Q4 FY26 consolidated revenue grew 17% YoY to Rs. 10,520 Cr, PAT increased 19% YoY to Rs. 1,626 Cr, and EPS rose 12% YoY to Rs. 36.59. YTD Mar-26 revenue grew 18%, PAT 16%, and EPS 12%.
While consolidated revenue and PAT show growth, the underlying performance reveals stress. The NBFC arm exhibits strong AUM and disbursement growth but rising loan losses across segments. The General Insurance arm's profitability has significantly deteriorated, with PAT down 34.8% YoY and ROE halved, driven by loss of crop insurance and increased TP provisioning. This indicates a weakening in key business segments.
CIFCL AUM by Product (FY26)
Latest issuer-disclosed distribution across 7 reported categories.
Vehicle Finance
POSITIVEHCV segment witnessed 20% growth in Q4 FY26, LCV segment 20% growth, and 2-wheeler industry 26% growth in Q4 FY26.
Loan Against Property (LAP)
POSITIVELAP segment is expected to grow at 20-22% YoY during FY2026-FY2027, with focus on new-to-credit borrowers.
Affordable Home Loans
POSITIVECapitalizing on sustained affordable housing demand, led by first-time buyers in semi-urban and rural markets.
Technology Transformation
POSITIVEInvesting in RPA bots, AI-based motor damage assessment, digital sales apps, and upgrading core PAS system for efficiency and scalability.
CIFCL Branch Network Expansion
POSITIVENumber of CIFCL branches increased to 1,761 as of Mar-26 from 1,613 as of Mar-25.
Infrastructure & Freight Activity
POSITIVEImproved freight activity and infrastructure momentum supported HCV growth in Q4 FY26.
Rural Market Demand
POSITIVEImproved consumer demand from rural markets aided 2-wheeler industry growth in Q4 FY26.
Affordable Housing Demand
POSITIVESustained affordable housing demand, led by first-time buyers in semi-urban and rural markets, supports Home Loans.
Underpenetrated Insurance Market
POSITIVEIndia's non-life insurance penetration is low compared to global average, indicating large addressable market and growth potential.
Rising Loan Losses (CIFCL)
NEGATIVELoan losses increased across Vehicle Finance, Loan Against Property, and Home Loans segments in Q4 FY26 and FY26 YoY.
Decline in CMSGICL Profitability
NEGATIVECMSGICL's PAT declined 34.8% YoY in FY26, and ROE halved, impacted by loss of crop insurance business and increased provisioning.
Crop Insurance Business Loss (CMSGICL)
NEGATIVEDrop in crop insurance business of Rs. 598 Cr in FY26 impacted CMSGICL's overall GWP growth by 7.4%.
Motor TP Provisioning & Pricing
NEGATIVEIncrease in TP inflation linked provisioning impacted CMSGICL's claims, and no revision in Motor TP base premium since FY23.
Asset Quality Deterioration (CIFCL)
NEGATIVELoan losses increased across VF, LAP, and HL segments, indicating potential asset quality concerns.
Elevated Credit Costs (NBFC Retail)
NEGATIVEICRA expects NBFC retail delinquencies to be under control but overall credit costs are anticipated to remain elevated, increasing by 10-30 bps during FY2026.
Cost of Funds (Home Loans)
NEGATIVEOverall cost of funds could be impacted by external factors like inflationary pressures, remaining a monitorable for Home Loans.
Regulatory Impact on Insurance Profitability
NEGATIVERising medical inflation and wage levels impact TP claims severity, and inadequate price increases over 3-4 years pose a risk to profitability.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The document provides both Q4 YoY and YTD YoY consolidated results, and detailed quarter-wise trends for NBFC disbursements and portfolio mix, making both comparisons relevant for assessing sequential momentum and annual growth.
CIFCL AUM Growth
POSITIVECIFCL's Assets Under Management (AUM) grew to Rs. 242,630 Cr in YTD Mar-26 from Rs. 199,876 Cr in YTD Mar-25, a 21.4% YoY increase.
CIFCL Disbursements Growth
POSITIVECIFCL's Disbursements grew to Rs. 111,642 Cr in YTD Mar-26 from Rs. 100,869 Cr in YTD Mar-25, a 10.7% YoY increase. Q4 FY26 disbursements grew 26% YoY to Rs. 18,132 Cr.
CIFCL GNPA/NNPA
NEUTRALAs of Mar-26, GNPA% is 4.36% and NNPA% is 2.87% as per revised RBI norms.
CIFCL Loan Losses (Vehicle Finance)
NEGATIVELoan losses in Vehicle Finance were 1.6% in Q4 FY26 vs 1.2% in Q4 FY25, and 1.9% in FY26 vs 1.6% in FY25.
Calibrated Growth & Portfolio Quality (CIFCL)
NEUTRALStrategy remains focused on calibrated, sustainable growth aligned to end-use demand and customer cash-flow trends, while maintaining portfolio quality, scale, and strong collections.
Market Share Gains & Risk Management (LAP)
NEUTRALDriving market-share gains through targeted retail expansion in smaller towns and rural markets, anchored by robust collections, legal processes, and strong early-bucket performance.
Digital Transformation Investment (CMSGICL)
NEUTRALManagement continues to invest further in technology and data to power future digital journeys, including analytics and core system upgrades.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| CIFCL Loan Losses | Increasing across segments (VF 1.9%, LAP 0.3%, HL 1.0% in FY26). | Stabilization or reduction in loan loss percentages, especially in the Vehicle Finance segment. |
| CMSGICL Combined Ratio (CoR) | Worsened to 115.2% in FY26 from 110.2% in FY25. | Improvement in CoR, indicating better underwriting profitability and claims management. |
| CMSGICL Profit After Tax (PAT) | Declined 34.8% YoY to Rs. 331 Cr in FY26. | Reversal of the declining PAT trend and recovery in profitability for the general insurance business. |
| CMSGICL Solvency Ratio | Declined to 1.96x in FY26 from 2.18x in FY25. | Stabilization or improvement in the solvency ratio to maintain regulatory comfort and capital efficiency. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
26Bearishfull bear SMA stack · MACD −
Technical chart
CHOLAHLDNGdaily · 1Y · AUTO-6.3%Daily technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 46. Wait for confirmation.
- Price < SMA20 < SMA50 < SMA200 — full bearish stack.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 46 — rising, no extreme reading.
- MACD below signal but histogram contracting — bearish momentum easing.
- 26% off 52W high · 17% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is 3.4% below the 30-week proxy.
- The 50-DMA is below the 30-week proxy and its slope is falling -1.3%.
Valuation & score drivers
U-Score 48 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 48 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 61.3%.
- Growth contributes 18/25 to the score.
- Valuation contributes 20/30 to the score.
Main drags
- Altman Z is 0.2, in distress territory.
- Balance sheet is weaker at 0/15; verify the latest quarterly trend.
- Cash flow is weaker at 0/10; verify the latest quarterly trend.
Blended valuation: PE, EV/EBITDA, FCF yield, and balance-sheet checks
For this sector, IndiaPulse uses a blended lens rather than relying on a single valuation ratio.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +2 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Weak Trust: Claim history is still being built. It ranks around the 13th percentile of the scored universe and 21st percentile within Financial Services. Main check: balance sheet trust is weak at 22/100.
Mixed Trust Lite: Promoter pledge is zero. Key concern: Operating cash flow is negative at ₹-30033 Cr.
Management or financial behaviour needs caution. Demand stronger valuation compensation.
overall median 67 · Financial Services: 21st pctile, median 62 · Small: 15th pctile, median 66
65 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Weak Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸4/4 latest quarters had positive YoY revenue growth.
- ▸4/4 latest quarters had positive YoY PAT growth.
- ▸Latest 3 quarters had positive YoY PAT growth.
Trust risks
- ▸Operating cash flow is negative at ₹-30033 Cr.
- ▸Debt/equity is 13.61.
- ▸Altman Z is 0.17.
- ▸Only 0 years of positive FCF.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 10.70
- P/B
- 1.85
- EV/EBITDA
- 701.02
- Market Cap
- 28649.00Cr
Profitability
- ROE
- 17.50%
- ROCE
- 9.75%
- ROA
- 2.24%
- Dividend Y
- 0.09%
Growth (CAGR)
- Revenue 5Y
- 23.00%
- EPS 5Y
- 24.00%
- Revenue 3Y
- 29.00%
- EPS 3Y
- 24.00%
Balance Sheet
- Debt/Equity
- 13.61
- Interest Coverage
- —
- Altman Z
- 0.17
- Book Value
- 823.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 0/5
- OCF
- -30033.00 Cr
- EPS TTM
- 142.12
Shareholding
- Promoter Hold
- 46.44%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 29%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.