IBL Finance (IBLFL)

Score breakdown: P/E: 0/3 · ROCE: 0/2 · Growth: 0/2 · Dividend: 0/1

Key Financials

Strengths

• Promoter holding of 63.20% aligns management interests with minority shareholders.
• Sales growth of 38.78% shows strong demand for the company's lending products.
• Latest quarter net margin around 12.5% (₹1 Cr profit on ₹8 Cr sales) indicates decent operational efficiency.
• Small market cap of ₹119 Cr leaves room for organic expansion if managed well.

Concerns

• P/E of 53.05 is expensive, and profit growth is negative at -8.15% despite sales growth.
• ROCE of 7.53% is weak for an NBFC, suggesting poor capital deployment.
• Critical financials like book value, ROE, and debt/equity are unavailable, making analysis incomplete and risky.
• Piotroski F-Score of 4/9 signals underlying fundamental weakness.

AI Analysis

When I look at IBL Finance, I see a small NBFC with a market cap of just ₹119 Cr, trading at ₹54.20. The first thing that jumps out is the P/E of 53.05. For that price, you are paying a hefty premium for a company whose profit actually fell 8.15% in the latest year, even though sales grew 38.78%. That tells me growth is not translating to the bottom line – a big red flag. The latest quarter shows sales of ₹8 Cr and net profit of ₹1 Cr, a margin of about 12.5%, but the trend is not encouraging. ROCE of only 7.53% is far too low for a financial business that is supposed to earn a spread on capital. If the return on capital is that weak, what is the moat? I see none. The promoter holding of 63.20% means founders are aligned with shareholders, and that is a positive. But I cannot calculate book value, ROE, or debt-to-equity because the data is simply not available. That alone is disqualifying under Graham's rules – if the numbers are missing, I'll pass. The Piotroski F-Score of 4 out of 9 suggests poor financial health. A 52-week range of ₹43.95 to ₹74.00 shows volatility, but the stock is closer to the lower end. At this price, with falling profits and a P/E over 50, there is no margin of safety. This is not a business I would want to own unless profitability improves dramatically. I would wait and watch for better numbers.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer