Case study

SHRIRAMFIN

Shriram Finance

Worth a closer look
0Score

Shriram Finance (SHRIRAMFIN) Stock Analysis & Case Study

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

Shriram Finance (SHRIRAMFIN) trades at ₹993,on the numbers it worth a closer look, a Downstox Snapshot Score of 57/100.

On the numbers, Shriram Finance (SHRIRAMFIN) worth a closer look, a Downstox Snapshot Score of 57/100, weighing fairly valued at 23.3× earnings, ROE of 16.4%. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 20272031.

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

The Downstox take on SHRIRAMFIN

For an NBFC, the central tension here is funding cost versus lending spread, and the numbers hint at a wide gap between the two. A 16.4% ROE on equity sits well above an 11.5% ROCE, which is the signature of a leveraged lender earning more on its book than its blended cost of capital lets it keep. The 23.3 P/E asks you to trust that spread holds through a rate cycle. The middling Piotroski 4 of 9 is the flag to watch: see whether asset quality and the leverage that powers those returns are improving or quietly thinning.

Downstox editorial view, written by our own analysts. Information, not investment advice.

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

Market cap
₹2.33L Cr
Current price
₹993
P/E ratio
23.3×
P/B ratio
2.84×
Book value
₹350
Dividend yield
1.09%
ROCE
11.5%
ROE
16.4%
Piotroski F-Score
4/9

Is SHRIRAMFIN overvalued? SHRIRAMFIN P/E vs its NBFC

SHRIRAMFIN's P/E of 23.3× sits below the NBFC peer median of 25.6×, so on earnings it screens in line with peers, while its 1.09% dividend yield is above the peer median of 0.83%.

SHRIRAMFIN P/E
23.3×
Peer median P/E
25.6×
SHRIRAMFIN div yield
1.09%
Peer median yield
0.83%

The bull case for SHRIRAMFIN

  • A 23.3× P/E sits in the fair-value band, neither cheap nor stretched.
  • A healthy 16.4% return on equity.

The bear case & risks

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

SHRIRAMFIN Piotroski F-Score: 4/9, how financially strong is it?

4/9

The Piotroski F-Score grades financial strength on nine profitability, leverage and efficiency checks. SHRIRAMFIN scores 4/9,mixed financial health.

SHRIRAMFIN MTF margin & leverage, Upstox, Zerodha, Groww, Dhan

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

BrokerMargin requiredApprox. leverage
Upstox32.6%3.1×
Zerodha27.8%3.6×
DhanCHEAPEST25.6%3.9×

Compare every broker on the SHRIRAMFIN MTF page.

SHRIRAMFIN vs peers,NBFC comparison

StockP/EDiv yieldMarket cap
SHRIRAMFIN (this stock)23.3×1.09%₹2.33L Cr
BAJFINANCE31.4×0.56%₹6.03L Cr
BAJAJFINSV28.8×0.08%₹2.86L Cr
RECLTD6.0×4.87%₹97,417 Cr
PFC5.6×3.58%₹1.45L Cr
CHOLAFIN28.0×0.12%₹1.46L Cr

About Shriram Finance: sector, index & market-cap context

Shriram Finance (SHRIRAMFIN) is a large-cap NSE-listed company in the NBFC sector, and a constituent of the Nifty 50 index group, with a market capitalisation of ₹2.33L Cr. See more Nifty 50 stocks.

How the SHRIRAMFIN Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of Shriram Finance'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.

SHRIRAMFIN analysis, FAQs

Is Shriram Finance (SHRIRAMFIN) a good buy?

On the numbers, Shriram Finance (SHRIRAMFIN) worth a closer look, a Downstox Snapshot Score of 57/100, weighing fairly valued at 23.3× earnings, ROE of 16.4%. This is a data snapshot for research, not investment advice.

Is SHRIRAMFIN overvalued or undervalued?

SHRIRAMFIN trades at 23.3× earnings versus a peer median of 25.6×, so it screens cheaper than its NBFC peers.

What is the bull case for SHRIRAMFIN?

A 23.3× P/E sits in the fair-value band, neither cheap nor stretched. A healthy 16.4% return on equity.

What are the risks in SHRIRAMFIN?

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

More on SHRIRAMFIN