Case study

IRFC

Indian Railway Finance Corporation Limited

Worth a closer look1y model +7.0%

Each stock's 10,000-path forecast, rendered as light.

61Score

Indian Railway Finance Corporation Limited (IRFC) Stock Analysis & Case Study

Is IRFC a good buy? The data-driven verdict.

Indian Railway Finance Corporation Limited (IRFC) trades at ₹89,on the numbers it worth a closer look, a Downstox Snapshot Score of 61/100.

On the numbers, Indian Railway Finance Corporation Limited (IRFC) worth a closer look, a Downstox Snapshot Score of 61/100, weighing fairly valued at 16.1× earnings, ROE of 12.8%, a 58% model probability of trading higher in a year. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 2027-2031.

Last updated . Data snapshot for research, not investment advice.

IRFC fundamentals at a glance, PE, PB, ROE, ROCE, market cap, dividend yield

Market cap
₹1.16L Cr
Current price
₹89
P/E ratio
16.1×
P/B ratio
2.05×
Book value
₹43
Dividend yield
2.37%
ROCE
5.6%
ROE
12.8%
Piotroski F-Score
6/8

How IRFC ranks against the 2,373 companies in our screener

We do not hold a debt-to-equity ratio figure for IRFC, as of 9 Aug 2026, so it is not ranked here.

Is IRFC overvalued? IRFC P/E vs its NBFC

IRFC's P/E of 16.1× sits below the NBFC peer median of 23.2×, so on earnings it screens cheaper than peers, while its 2.37% dividend yield is above the peer median of 0.97%.

IRFC P/E
16.1×
Peer median P/E
23.2×
IRFC div yield
2.37%
Peer median yield
0.97%

IRFC share price target 2027, 2028, 2029, 2030, 2031, a probability view

Unlike a single guessed number, this is a probability-weighted range from a 10,000-path Monte-Carlo simulation on 5.4y of IRFC history (24%/yr drift, 33%/yr volatility).

YearLow (P10)Median target (P50)High (P90)Upside vs today
IRFC 2027₹62₹95₹145+7%
IRFC 2028₹56₹102₹184+14%
IRFC 2029₹52₹109₹226+22%
IRFC 2030₹50₹116₹272+31%
IRFC 2031₹48₹124₹319+40%

Median (P50) is the central estimate; the P10-P90 band is the 80% confidence range. Probabilities, not promises.

What is the probability IRFC goes up, or doubles?

58%
Higher in 1 year
Modelled chance the price is above today in 12 months
67%
Higher in 5 years
Modelled chance the price is above today in 5 years
32%
Doubles in 5 years
Modelled chance of reaching ₹178 within 5 years

The bull case for IRFC

  • IRFC's P/E of 16.1x is lower than 71% of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • IRFC's return on equity of 12.8% ranks in the 63rd percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • IRFC's dividend yield of 2.4% ranks in the 90th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • Upside scenario: the model's optimistic (P90) 3-year path reaches ₹226.

The bear case & risks

  • No model or past record guarantees future returns, treat this as one input, not a decision.
  • Downside scenario: the model's pessimistic (P10) 3-year path falls to ₹52.

IRFC volatility & expected range, how bumpy is the ride?

Over the last 5.4 years IRFC compounded at 24%/year with annualized volatility of 33%. That volatility implies a 1-year 80% range of ₹62-₹145, the honest backbone behind any single price target.

IRFC price forecast, the full 60-month probability fan

Spot Price · Today
₹0
Based on 5.4 years of daily NSE data ·0.0% annualised volatility
5-yr median forecast
₹0
P(price ↑ in 5y)
0%
1-Year Forecast
2027
₹0
Median (P50)
7.0%
80% range₹62-₹145
P(price ↑)58%
P(price 2×)3%
3-Year Forecast
2029
₹0
Median (P50)
22.4%
80% range₹52-₹226
P(price ↑)64%
P(price 2×)20%
5-Year Forecast
2031
₹0
Median (P50)
40.0%
80% range₹48-₹319
P(price ↑)67%
P(price 2×)32%

IRFC price probability fan

Each band shows where 10,000 simulated paths land. The wider the fan, the more uncertainty.

Probability Fan
IRFC simulated paths · 60 months · 10,000 trials
P10-P90 (80%)P25-P75 (50%)Median (P50)

Probability of key outcomes

What are the odds IRFC hits common targets within the simulated horizon?

0%
P(↑ 1Y)
Above today's price in 1 year
0%
P(↑ 5Y)
Above today's price in 5 years
0%
P(2×)
Doubles within 5 years
0%
P(↓)
Falls below today in 5 years

Full multi-horizon detail on the IRFC price target & forecast page.

IRFC Piotroski F-Score: 6/8, how financially strong is it?

6/8

The Piotroski F-Score grades financial strength on profitability, leverage and efficiency checks. Downstox scores the eight checks it can verify from published filings, so 8 is full marks. IRFC scores 6/8, mixed financial health.

IRFC MTF margin & leverage across 11 brokers

Margin Trading Facility lets you buy IRFC with part of the capital. Lower margin % = higher leverage. Rates compared across 11 brokers (no competitor publishes this):

BrokerMargin requiredApprox. leverage
Upstox27.37%3.7×
Zerodha26.30%3.8×
Groww26.38%3.8×
DhanCHEAPEST24.00%4.2×
Kotak Neo25.00%4.0×
Paytm Money24.12%4.1×
Pocketful31.32%3.2×
Fyers32.26%3.1×
Anand Rathi30.84%3.2×
Bajaj Broking27.00%3.7×
Share India30.97%3.2×

Compare every broker on the IRFC MTF page.

IRFC vs peers,NBFC comparison

StockP/EDiv yieldMarket cap
IRFC (this stock)16.1×2.37%₹1.16L Cr
BAJFINANCE32.8×0.50%₹6.71L Cr
BAJAJFINSV31.3×0.07%₹3.22L Cr
RECLTD6.0×5.05%₹96,639 Cr
PFC5.3×4.42%₹1.39L Cr
SHRIRAMFIN23.2×0.97%₹2.62L Cr
CHOLAFIN27.7×0.11%₹1.59L Cr

Fundamentals from Screener.in, as of 9 Aug 2026

About Indian Railway Finance Corporation Limited: sector, index & market-cap context

Indian Railway Finance Corporation Limited (IRFC) is a large-cap NSE-listed company in the NBFC sector, and a constituent of the Nifty 500 index, with a market capitalisation of ₹1.16L Cr. See more stocks on our screener.

How the IRFC Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of Indian Railway Finance Corporation Limited's public fundamentals plus a statistical forecast, not an analyst opinion. It rewards low-to-fair valuation, high ROE/ROCE, a strong Piotroski F-Score, a dividend, low volatility and a favourable probability of upside; it penalises rich valuations, weak capital efficiency, a low F-Score and high volatility. The price target is a 10,000-path Monte-Carlo simulation on real historical volatility, a distribution, not a single guess. The bull and bear cases are generated from the same data, so you always see both sides.

This is information, not investment advice. Do your own due diligence and consult a SEBI-registered adviser before investing.

IRFC analysis, FAQs

Is Indian Railway Finance Corporation Limited (IRFC) a good buy?

On the numbers, Indian Railway Finance Corporation Limited (IRFC) worth a closer look, a Downstox Snapshot Score of 61/100, weighing fairly valued at 16.1× earnings, ROE of 12.8%, a 58% model probability of trading higher in a year. This is a data snapshot for research, not investment advice.

Is IRFC overvalued or undervalued?

IRFC trades at 16.1× earnings versus a peer median of 23.2×, so it screens cheaper than its NBFC peers.

What is the IRFC share price target for 2031?

IRFC's probability-weighted 2031 median target is ₹124, with an 80% range of ₹48-₹319 (10,000-path Monte-Carlo).

What is the probability IRFC doubles in 5 years?

The modelled probability of IRFC reaching ₹178 (2×) within 5 years is 32%.

What is the bull case for IRFC?

IRFC's P/E of 16.1x is lower than 71% of the 2,373 NSE companies in our screener, as of 9 Aug 2026. IRFC's return on equity of 12.8% ranks in the 63rd percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026. IRFC's dividend yield of 2.4% ranks in the 90th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.

What are the risks in IRFC?

No model or past record guarantees future returns, treat this as one input, not a decision.

More on IRFC