CARE Ratings Ltd (CARERATING) AI Stock Analysis

• Market Cap: ₹46.96B
• Dividend Yield: 1.23%
• Average Volume (3M): 1.86K
• Price to Earnings (P/E): 33.4
• Beta (1Y): 0.50
• Revenue Growth: 19.50%
• EPS Growth: 33.27%
• Country: IN
• Employees: 563
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Data & Stock Exchanges
• EPS (TTM): 11.96
• Shares Outstanding: 30,047,012
• 10 Day Avg. Volume: 3,452
• 30 Day Avg. Volume: 1,864
• PEG Ratio: 0.68
• Price to Book (P/B): 4.17
• Price to Sales (P/S): 8.36
• P/FCF Ratio: 31.08
• 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): 64
• Revenue Forecast (FY): ₹4.56B

• Rating: 75 Outperform
• Price Target: ₹1,586.00 ▼(-6.05% Downside)
• Action: Upgraded Date: 10/30/25
• Date: Action: Upgraded 10/30/25

CARE Ratings Ltd demonstrates strong financial performance with robust profitability and a stable balance sheet, which are the most significant factors contributing to the score. Technical analysis indicates short-term bullish momentum, although the valuation suggests the stock is fairly priced. The absence of earnings call data and corporate events does not impact the score.

Positive Factors

Strong margins and profitability

Consistently high EBIT/EBITDA and expanding gross and net margins indicate durable operational efficiency and pricing power in core rating services. This supports sustainable cash flow generation, funds reinvestment in analytics, and resilience through slower issuance periods over 2–6 months.

Negative Factors

Revenue tied to debt capital market activity

Issuer-paid model and heavy reliance on new issuance mean top-line is cyclical: lower capital markets activity or issuance freezes can materially reduce fee income. Over a 2–6 month horizon, issuance volatility directly affects revenue visibility and planning for staffing and tech investments.

CARE Ratings Ltd Business Overview & Revenue Model

Company Description

CARE Ratings Limited, a credit rating agency, provides various rating and grading services in India, Mauritius, and Nepal. The company provides rating services for debt instruments, such as bonds, debentures, hybrid instruments, preference shares,...

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CARE Ratings Limited, a credit rating agency, provides various rating and grading services in India, Mauritius, and Nepal. The company provides rating services for debt instruments, such as bonds, debentures, hybrid instruments, preference shares,...

How the Company Makes Money

CARE Ratings primarily earns revenue from fees charged for providing credit ratings and maintaining surveillance on rated instruments/entities. Key revenue streams generally include: (1) initial rating fees for evaluating new issuances or borrower...

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CARE Ratings primarily earns revenue from fees charged for providing credit ratings and maintaining surveillance on rated instruments/entities. Key revenue streams generally include: (1) initial rating fees for evaluating new issuances or borrower...

CARE Ratings Ltd Financial Statement Overview

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	4.36B	4.02B	3.32B	2.79B	2.47B	2.39B
Gross Profit	2.47B	2.29B	1.49B	1.55B	1.35B	1.31B
EBITDA	2.27B	2.06B	1.59B	1.37B	1.07B	1.27B
Net Income	1.53B	1.37B	1.01B	835.29M	751.08M	895.16M
Balance Sheet
Total Assets	10.37B	9.58B	8.42B	7.70B	7.27B	6.72B
Cash, Cash Equivalents and Short-Term Investments	6.49B	6.41B	6.26B	5.65B	5.21B	4.94B
Total Debt	254.25M	237.69M	195.54M	174.78M	89.13M	72.26M
Total Liabilities	1.65B	1.42B	1.17B	905.77M	745.98M	787.34M
Stockholders Equity	8.62B	8.06B	7.17B	6.72B	6.47B	5.89B
Cash Flow
Free Cash Flow	1.28B	1.08B	817.10M	707.36M	490.20M	816.84M
Operating Cash Flow	1.40B	1.23B	908.82M	822.42M	680.03M	861.74M
Investing Cash Flow	-1.25B	-584.28M	-390.66M	128.80M	-273.18M	-377.19M
Financing Cash Flow	-543.52M	-539.96M	-629.55M	-633.31M	-351.38M	-433.64M

CARE Ratings Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1688.20
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CARERATING, the sentiment is Positive. The current price of 1688.2 is above the 20-day moving average (MA) of 1541.24, above the 50-day MA of 1581.32, and above the 200-day MA of 1612.28, indicating a neutral trend. The MACD of -17.26 indicates Negative momentum. The RSI at 53.04 is Neutral, neither overbought nor oversold. The STOCH value of 75.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:CARERATING.

CARE Ratings Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CARERATING	75 Outperform	₹46.96B	33.44	―	1.23%	19.50%	33.27%
ICRA	72 Outperform	₹51.20B	37.64	―	0.97%	8.06%	24.52%
CRISIL	68 Neutral	₹287.04B	32.72	―	1.38%	6.61%	11.88%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

CARE Ratings Ltd Corporate Events