AI Summary
✦ ClarthaL&T Finance is an Indian non-banking finance company offering housing, personal, and two-wheeler loans. Rural and farmer lending, including tractor finance, also drive its consumer-focused revenue base. The Supreme Industries-to-Shriram Finance development offers limited direct operating relevance, leaving growth dependent on continued loan expansion. Revenue grew 10% year-on-year, while profit increased 12.8%. Margins remained stable, but ROE is unavailable, limiting assessment of capital efficiency. Debt-to-equity of 393.44 materially magnifies leverage impact on shareholder returns and increases funding sensitivity. At 24.3 times earnings, valuation appears fair relative to reported growth, rather than discounted. The key open question is whether loan growth can offset leverage and credit-cycle risks.
Valuation Metrics
Trading 87.5% above historical median. Valuation is rising — currently in the strongly overvalued zone (z-score: +1.9). Confidence: 68%.
Live forward EPS implies next-12-month EPS of ₹19.54. Applying the stock's normalized valuation corridor produces a fair range of ₹223.15 to ₹398.81, with base value near ₹255.39 (-19.0% vs current price).
Live forward estimate anchored to the company's historical valuation corridor.
Forward EPS
₹19.54
Forward P/E
16.1x
Base Fair Value
₹255.39
Fair Range
₹223.15 - ₹398.81
Upside To Base
-19.0%
Estimate Source
Live forward EPS
Growth Estimate
+28.2%
5Y Average
2.46
Current
2.81
Overvalued
2.82
Undervalued
2.09
5Y Average
11.99
Current
24.51
Overvalued
20.41
Undervalued
11.42
5Y Average
4.02
Current
8.21
Overvalued
4.84
Undervalued
2.15
Peers & Comparison
Sector: Financials · Theme: Consumer Finance
| Company | Rev. Growth | Margin | P/E | vs Avg | 52W Perf. |
|---|---|---|---|---|---|
MUTHOOT FINANCE LIMITED MUTHOOTFINConsumer Finance | +35.3% | 55.5% | 10.3x Undervalued | -68% vs avg | +14.7% |
SHRIRAM FINANCE LIMITED SHRIRAMFINConsumer Finance | +39.1% | 50.1% | 19.5x Undervalued | -39% vs avg | +85.9% |
TATA CAPITAL LIMITED TATACAPConsumer Finance | +40.3% | 39.7% | 28.9x Fair | -10% vs avg | +11.3% |
SUNDARAM FINANCE LTD SUNDARMFINConsumer Finance | +26.8% | 46.1% | 22.4x Undervalued | -30% vs avg | +1.3% |
POONAWALLA FINCORP LTD POONAWALLAConsumer Finance | +100.3% | 22.7% | 51.0x Premium | +59% vs avg | +6.7% |
JIO FIN SERVICES LTD JIOFINConsumer Finance | +208.2% | 55.0% | 79.5x Premium | +148% vs avg | -22.3% |
INDIAN RENEWABLE ENERGY IREDASpecialized Finance | +23.7% | 46.0% | 16.9x Undervalued | -47% vs avg | -17.2% |
CHOLAMANDALAM IN & FIN CO CHOLAFINConsumer Finance | +34.6% | 40.5% | 27.3x Fair | -15% vs avg | +32.3% |
L&T FINANCE LIMITED trades at a discount (24.5x vs peer avg 32.0x), suggesting potential undervaluation relative to the Consumer Finance cohort. Peers include MUTHOOT FINANCE LIMITED, SHRIRAM FINANCE LIMITED, TATA CAPITAL LIMITED — selected based on business model, industry classification, market cap similarity, and business theme alignment.
Financials
Real statement data for revenue, earnings quality, conversion, and balance-sheet coverage. Monetary values are shown in Rs crore.
Latest revenue
₹5.21K CrJun 2026Latest net profit
₹895 CrJun 2026Free cash flow
₹-14.47K CrMar 2026Net Profit
₹895 CrProfit conversionPerformance
Bars show revenue and net profit. The line shows net margin.
- Revenue
- Net income
- Net margin %
Revenue to profit conversion
Bridge from operating numbers to profit for the latest reported period.
Latest reported period: Jun 2026
Debt level and coverage
Debt, cash and free cash flow compared on the same crore scale.
- Free cash flow
- Cash & equivalents
Results
| Metric | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue + | 3,158 | 3,214 | 3,533 | 3,670 | 3,782 | 4,015 | 4,095 | 4,020 | 4,257 | 4,333 | 4,578 | 4,921 | 5,213 |
| Interest | 1,364 | 1,325 | 1,353 | 1,335 | 1,351 | 1,476 | 1,569 | 1,600 | 1,636 | 1,634 | 1,703 | 1,747 | 1,970 |
| Expenses + | 1,215 | 1,343 | 1,381 | 1,632 | 1,491 | 1,583 | 1,684 | 1,587 | 1,649 | 1,671 | 1,812 | 1,903 | 1,999 |
| Financing Profit | 578 | 546 | 799 | 703 | 940 | 956 | 842 | 833 | 972 | 1,028 | 1,064 | 1,270 | 1,244 |
| Financing Margin % | 18% | 17% | 23% | 19% | 25% | 24% | 21% | 21% | 23% | 24% | 23% | 26% | 24% |
| Other Income + | 154 | 262 | 48 | 6 | 1 | 5 | 8 | 5 | 0 | 0 | -25 | 0 | 31 |
| Depreciation | 28 | 27 | 28 | 26 | 27 | 32 | 35 | 39 | 39 | 49 | 56 | 59 | 62 |
| Profit before tax | 704 | 781 | 818 | 683 | 913 | 929 | 815 | 798 | 934 | 979 | 983 | 1,211 | 1,213 |
| Tax % | 26% | 26% | 22% | 20% | 26% | 26% | 24% | 21% | 26% | 26% | 26% | 22% | 26% |
| Net Profit + | 524 | 581 | 636 | 545 | 679 | 689 | 619 | 631 | 694 | 728 | 731 | 947 | 895 |
| EPS in Rs | 2.11 | 2.34 | 2.56 | 2.19 | 2.73 | 2.76 | 2.48 | 2.53 | 2.78 | 2.91 | 2.92 | 3.78 | 3.57 |
| Gross NPA % | |||||||||||||
| Net NPA % | |||||||||||||
| Raw PDF |
All values in ₹ Crores unless otherwise stated. Source: Screener Master (Standalone).
Events Timeline
Announcement under Regulation 30 (LODR)-Analyst / Investor Meet - Intimation
Announcement under Regulation 30 (LODR)-Allotment of ESOP / ESPS
Announcement under Regulation 30 (LODR)-Earnings Call Transcript