Anand Rathi Wealth Ltd. (ANANDRATHI) AI Stock Analysis

• Market Cap: ₹261.12B
• Dividend Yield: 0.43%
• Average Volume (3M): 17.80K
• Price to Earnings (P/E): 76.0
• Beta (1Y): 0.36
• Revenue Growth: 22.46%
• EPS Growth: 30.82%
• Country: IN
• Employees: 1,161
• Sector: Financial
• Sector Strength: 70
• Industry: Asset Management
• EPS (TTM): 11.97
• Shares Outstanding: 83,020,640
• 10 Day Avg. Volume: 41,874
• 30 Day Avg. Volume: 17,802
• PEG Ratio: 1.53
• Price to Book (P/B): 22.62
• Price to Sales (P/S): 15.54
• P/FCF Ratio: 73.19
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: ₹3,553.00 ▲(13.70% Upside)

Anand Rathi Wealth Ltd. scores well due to its strong financial performance and positive technical indicators. However, the high P/E ratio suggests potential overvaluation, which could be a risk if growth expectations are not met. The absence of earnings call data and corporate events limits additional insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding market reach and effective client acquisition strategies, strengthening long-term business prospects.

Profitability Margins

High profitability margins reflect strong cost management and operational efficiency, enhancing the company's ability to reinvest in growth.

Balance Sheet Health

A strong balance sheet with low leverage provides financial stability and flexibility, supporting sustainable growth and risk management.

Negative Factors

Cash Flow Management

Declining free cash flow may limit the company's ability to fund growth initiatives and manage financial obligations, impacting long-term operations.

Cash Conversion Efficiency

While cash conversion is effective, further improvement is needed to ensure robust cash flow supports ongoing business needs and growth opportunities.

Growth Sustainability

Sustaining growth momentum is crucial; challenges in cash flow optimization could hinder the company's ability to capitalize on growth opportunities.

Anand Rathi Wealth Ltd. Business Overview & Revenue Model

Company Description

Anand Rathi Wealth Limited, a non-bank wealth solution company, engages in the distribution and sale of financial products in India. The company distributes equity and debt mutual funds, non-convertible market linked debentures, and other financial products. It also operates a technology platform for independent financial advisors, which include client reporting, business dashboard, client engagement, online mutual fund transactions, and goal planning products. The company was formerly known as Anand Rathi Wealth Services Limited and changed its name to Anand Rathi Wealth Limited in January 2021. Anand Rathi Wealth Limited was incorporated in 1995 and is based in Mumbai, India.

How the Company Makes Money

Anand Rathi Wealth generates revenue primarily through fees charged for its wealth management and financial advisory services. This includes advisory fees, management fees from portfolio management services, and commissions from mutual fund sales. The company also earns income from distribution of financial products and performance-based fees tied to the success of clients' investments. Significant partnerships with various financial institutions and asset management companies enhance its service offerings, allowing Anand Rathi to diversify its revenue streams and improve client acquisition. The firm's strong brand reputation and extensive client base further contribute to its financial performance.

Anand Rathi Wealth Ltd. Financial Statement Overview

Summary

Anand Rathi Wealth Ltd. demonstrates strong financial health with robust revenue growth, impressive profitability margins, and a stable balance sheet. The company is well-positioned with low leverage and high return on equity, indicating effective management and operational efficiency. However, maintaining growth momentum and optimizing cash flow conversion are key focus areas.

Income Statement

Anand Rathi Wealth Ltd. has shown strong revenue growth with a 30.38% increase from 2024 to 2025, along with improving profitability metrics. The gross profit margin and net profit margin for 2025 are impressive at 57.18% and 30.57% respectively, indicating effective cost management and operational efficiency. Additionally, the EBIT margin of 53.73% and EBITDA margin of 43.31% highlight robust core business performance. Despite strong performance, continued focus on sustaining revenue growth and managing costs will be critical.

Balance Sheet

The company's balance sheet reflects a healthy financial position with a debt-to-equity ratio of 0.12, indicating low leverage and reduced financial risk. The equity ratio of 70.11% in 2025 further underscores a stable capital structure. Return on equity stands at a strong 44.48%, showcasing high profitability relative to shareholder investment. While the financial stability is commendable, monitoring debt levels and maintaining this low leverage will be crucial to mitigating financial risks.

Cash Flow

The company has demonstrated positive free cash flow, albeit with a decline in free cash flow from 2024 to 2025. Operating cash flow to net income ratio of 0.81 suggests effective conversion of income into cash, though there is room for improvement. The free cash flow to net income ratio of 0.69 indicates solid cash generation. Continued focus on cash flow management will enhance the company’s ability to fund growth initiatives and manage financial obligations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	10.60B	9.81B	7.52B	5.49B	4.17B	2.65B
Gross Profit	6.18B	5.61B	4.30B	3.23B	2.40B	1.30B
EBITDA	5.05B	4.25B	3.32B	2.49B	1.85B	835.02M
Net Income	3.43B	3.00B	2.25B	1.68B	1.27B	446.14M
Balance Sheet
Total Assets	11.20B	9.61B	8.80B	6.24B	4.80B	3.39B
Cash, Cash Equivalents and Short-Term Investments	6.41B	3.47B	5.74B	3.19B	1.60B	799.06M
Total Debt	815.72M	793.01M	516.68M	367.16M	392.47M	474.94M
Total Liabilities	2.97B	2.74B	2.18B	1.44B	1.25B	864.96M
Stockholders Equity	8.09B	6.74B	6.49B	4.68B	3.44B	2.41B
Cash Flow
Free Cash Flow	0.00	2.08B	2.73B	672.62M	1.30B	-223.09M
Operating Cash Flow	0.00	2.44B	2.78B	841.88M	1.46B	-210.13M
Investing Cash Flow	0.00	459.98M	-2.37B	-426.63M	-774.16M	747.54M
Financing Cash Flow	0.00	-2.79B	-720.11M	-641.57M	-464.95M	-166.77M

Anand Rathi Wealth Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 3124.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ANANDRATHI, the sentiment is Positive. The current price of 3124.9 is above the 20-day moving average (MA) of 3047.22, above the 50-day MA of 3006.37, and above the 200-day MA of 2519.14, indicating a bullish trend. The MACD of 48.83 indicates Negative momentum. The RSI at 64.75 is Neutral, neither overbought nor oversold. The STOCH value of 81.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ANANDRATHI.

Anand Rathi Wealth Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ANANDRATHI	73 Outperform	₹261.12B	75.99	―	0.43%	22.46%	30.82%
KFINTECH	70 Outperform	₹183.04B	52.81	―	0.68%	19.98%	15.04%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
JMFINANCIL	66 Neutral	₹132.93B	11.63	―	2.93%	-10.92%	152.70%
IIFL	66 Neutral	₹275.95B	32.13	―	―	8.01%	-20.87%
UTIAMC	65 Neutral	₹138.88B	23.51	―	2.30%	-9.65%	-30.52%
IFCI	45 Neutral	₹132.02B	34.88	―	―	-12.62%	175.71%

Anand Rathi Wealth Ltd. Corporate Events

Anand Rathi Wealth Expands UK Operations with New Capital Infusion

Anand Rathi Wealth Limited has announced a further capital infusion of GBP 499,900 into its wholly-owned subsidiary, Anand Rathi Wealth UK Limited. This move is part of the company’s strategic expansion into the UK market, despite the subsidiary not yet commencing business operations. The capital infusion underscores Anand Rathi Wealth’s commitment to strengthening its international presence and enhancing its market positioning in the financial intermediation sector.

Anand Rathi Wealth Expands into UK Market with Capital Infusion

Anand Rathi Wealth Limited has announced an infusion of initial capital into its wholly-owned subsidiary, Anand Rathi Wealth UK Limited. This move marks the company’s strategic expansion into the UK market, although the subsidiary has not yet commenced business operations. The capital infusion is aimed at establishing a foothold in the financial intermediation sector in the UK, with the transaction being conducted at arm’s length and involving directors from the promoter group.

Anand Rathi Wealth Changes Venue for Investor Meeting

Anand Rathi Wealth Limited announced a change in the venue for its scheduled meeting with a group of individual investors, now set to take place in Bengaluru on November 7, 2025. The meeting will focus on discussions based on publicly available information, ensuring compliance with SEBI regulations, and aims to maintain transparency with stakeholders.

Anand Rathi Wealth Approves Disinvestment of Subsidiary

Anand Rathi Wealth Limited’s Board of Directors has approved the disinvestment of its entire shareholding in Freedom Wealth Solutions Private Limited, a non-material subsidiary. This move will result in Freedom Wealth Solutions ceasing to be a subsidiary, potentially streamlining Anand Rathi’s operations and allowing it to focus on its core wealth management services.

Anand Rathi Wealth Announces Key Updates and Strategic Expansion

Anand Rathi Wealth Limited announced several key updates following a board meeting on October 13, 2025. The company reported its unaudited financial results for the second quarter and half-year ending September 30, 2025, and declared a first interim dividend of Rs. 6.00 per equity share. Additionally, Mr. Pravin Jogani has been appointed as the new Company Secretary and Compliance Officer. The company also plans to incorporate a subsidiary in GIFT City, Gujarat, pending regulatory approvals, which could expand its operational footprint and market presence.

Anand Rathi Wealth Limited Confirms Compliance with SEBI Regulations

Anand Rathi Wealth Limited has submitted a compliance certificate to the National Stock Exchange of India and BSE Limited, confirming adherence to Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018. The certificate, provided by MUFG Intime India Pvt. Ltd., indicates that there were no requests for dematerialization or rematerialization of equity shares during the second quarter ending September 30, 2025. This compliance ensures transparency and adherence to regulatory standards, which is crucial for maintaining investor trust and market integrity.