Aditya Birla Capital Ltd. (ABCAPITAL) AI Stock Analysis

• Market Cap: ₹783.92B
• Dividend Yield: N/A
• Average Volume (3M): 234.25K
• Price to Earnings (P/E): 22.9
• Beta (1Y): 1.45
• Revenue Growth: 14.14%
• EPS Growth: -1.33%
• Country: IN
• Employees: 59,000
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Conglomerates
• EPS (TTM): 3.17
• Shares Outstanding: 2,612,629,600
• 10 Day Avg. Volume: 199,770
• 30 Day Avg. Volume: 234,249
• PEG Ratio: -7.58
• Price to Book (P/B): 1.59
• Price to Sales (P/S): 1.18
• P/FCF Ratio: -1.70
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹324.50
• Price Target Upside: 8.47% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 64 Neutral
• Price Target: ₹307.00 ▲(2.62% Upside)

Aditya Birla Capital Ltd. shows strong technical momentum, which is the most significant positive factor. However, financial performance concerns, particularly in cash flow and leverage, weigh down the overall score. The valuation is neutral, with a fair P/E ratio but no dividend yield.

Aditya Birla Capital Ltd. Business Overview & Revenue Model

Company Description

Aditya Birla Capital Limited, through its subsidiaries, provides various financial products and services in India and internationally. It operates through NBFC, Housing Finance, Life Insurance, Asset Management, General Insurance Broking, Stock and Securities Broking, Health Insurance, and Other Financial Services segments. The company offers protecting solutions, which include life, health, motor, and travel insurance; multiply wellness, and group and corporate general insurance; and investing solution, such as mutual funds, stocks and securities, wealth, portfolio management services, pension funds, and real estate investment. It also provides financing solutions comprising personal, home, small and medium-sized enterprise, and mortgage finance, as well as loan against securities; and debt capital markets and loan syndication services. In addition, the company offers asset management; and other financial services, such as depository, risk advisory, asset reconstruction, and other business support services. The company was formerly known as Aditya Birla Financial Services Limited and changed its name to Aditya Birla Capital Limited in June 2017. The company was incorporated in 2007 and is headquartered in Mumbai, India. Aditya Birla Capital Limited is a subsidiary of Grasim Industries Limited.

How the Company Makes Money

Aditya Birla Capital generates revenue through multiple streams. The primary sources include interest income from its lending activities across retail and corporate segments, premium income from its insurance products, and management fees from its asset management division. Additionally, the company earns commissions from distributing third-party financial products. Strategic partnerships, including collaborations with banks and financial institutions, enhance its distribution capabilities and broaden its customer base, further contributing to its earnings.

Aditya Birla Capital Ltd. Financial Statement Overview

Summary

Aditya Birla Capital Ltd. demonstrates moderate revenue growth and strong gross margins, but faces challenges in profitability and cash flow management. High leverage on the balance sheet increases financial risk, while negative cash flows highlight liquidity concerns.

Income Statement

Aditya Birla Capital Ltd. shows a stable revenue growth rate of 4.78% in the latest year, with a strong gross profit margin of 71.90%. However, the net profit margin has decreased to 8.11% from 13.03% the previous year, indicating pressure on profitability. The EBIT margin is healthy at 34.40%, but the EBITDA margin has seen a decline. Overall, the income statement reflects moderate growth with some profitability concerns.

Balance Sheet

The company has a high debt-to-equity ratio of 4.59, indicating significant leverage, which poses a risk. Return on equity has decreased to 10.97%, reflecting reduced efficiency in generating profits from shareholders' equity. The equity ratio is not explicitly provided, but the high leverage suggests a lower equity proportion in total assets. The balance sheet indicates financial stability concerns due to high leverage.

Cash Flow

Aditya Birla Capital Ltd. has negative operating and free cash flows, with a free cash flow to net income ratio of 1.02, indicating cash flow challenges. The operating cash flow to net income ratio is zero, highlighting inefficiencies in converting income into cash. The cash flow statement reflects significant liquidity issues and operational cash flow challenges.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	378.00B	410.74B	255.99B	275.63B	221.89B	145.98B
Gross Profit	199.03B	295.32B	94.85B	124.59B	96.81B	87.10B
EBITDA	110.58B	144.84B	121.22B	103.20B	60.11B	57.00B
Net Income	34.09B	33.32B	33.35B	47.96B	17.06B	11.27B
Balance Sheet
Total Assets	0.00	2.79T	2.32T	1.81T	1.41T	1.24T
Cash, Cash Equivalents and Short-Term Investments	0.00	60.03B	35.79B	17.31B	139.37B	125.39B
Total Debt	0.00	1.39T	1.10T	847.38B	584.14B	530.44B
Total Liabilities	-323.47B	2.47T	2.03T	1.59T	1.24T	1.09T
Stockholders Equity	323.47B	303.89B	268.17B	203.11B	154.92B	137.43B
Cash Flow
Free Cash Flow	0.00	-283.92B	-245.03B	-242.74B	-52.49B	-4.58B
Operating Cash Flow	0.00	-279.35B	-241.00B	-240.29B	-50.70B	-3.08B
Investing Cash Flow	0.00	9.35B	-45.90B	-26.50B	-14.46B	24.29B
Financing Cash Flow	0.00	297.78B	285.14B	263.85B	58.36B	-25.81B

Aditya Birla Capital Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 299.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ABCAPITAL, the sentiment is Positive. The current price of 299.15 is above the 20-day moving average (MA) of 295.29, above the 50-day MA of 287.26, and above the 200-day MA of 226.76, indicating a bullish trend. The MACD of 4.03 indicates Positive momentum. The RSI at 55.36 is Neutral, neither overbought nor oversold. The STOCH value of 61.82 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ABCAPITAL.

Aditya Birla Capital Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
NAM.INDIA	73 Outperform	₹565.25B	41.68	―	2.03%	19.78%	11.11%
ICICIGI	72 Outperform	₹1.00T	35.59	―	0.62%	14.43%	25.13%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
ABCAPITAL	64 Neutral	₹783.92B	22.88	―	―	14.14%	-1.33%
MFSL	57 Neutral	₹535.36B	197.06	―	―	-3.50%	-28.98%
ICICIPRULI	54 Neutral	₹849.55B	64.96	―	0.14%	-42.13%	48.75%