Choice International Limited (CHOICEIN) AI Stock Analysis

• Market Cap: ₹156.88B
• Dividend Yield: N/A
• Average Volume (3M): 24.51K
• Price to Earnings (P/E): 67.7
• Beta (1Y): 1.11
• Revenue Growth: 12.17%
• EPS Growth: 19.00%
• Country: IN
• Employees: 4,096
• Sector: Services
• Sector Strength: N/A
• Industry: Financial - Capital Markets
• EPS (TTM): 2.82
• Shares Outstanding: 222,776,500
• 10 Day Avg. Volume: 23,802
• 30 Day Avg. Volume: 24,508
• PEG Ratio: 2.58
• Price to Book (P/B): 9.87
• Price to Sales (P/S): 11.15
• P/FCF Ratio: -39.64
• 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): 10.96
• Revenue Forecast (FY): ₹11.49B

• Rating: 65 Neutral
• Price Target: ₹757.00 ▼(-11.02% Downside)
• Action: Downgraded Date: 10/23/25
• Date: Action: Downgraded 10/23/25

Choice International Limited's overall stock score is driven by strong financial performance and positive technical indicators. However, the high P/E ratio and lack of dividend yield suggest potential overvaluation, which tempers the overall score. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Sustained ~23% revenue growth indicates an expanding client base or greater wallet share in core capital markets operations. Over a 2–6 month horizon this supports durable top-line momentum, funds incremental investment in products and scale benefits that underpin future margin resilience.

Margin Sustainability

High gross and net margins point to efficient cost structure and pricing power within its services. Margin strength provides a buffer against episodic revenue swings, enables reinvestment in technology or distribution, and supports long-term profitability even if growth moderates.

Strong Equity Position

A high equity ratio and commendable ROE signal a conservative balance sheet and effective capital deployment. This structural strength enhances financial flexibility for acquisitions, product investment or market stress, reducing default risk and supporting multi-quarter strategic initiatives.

Negative Factors

Weak Cash Generation

Persistent negative operating and free cash flow despite reported profits creates a durable funding challenge. Over several quarters this can constrain capital spending, slow product development, and limit the firm's ability to self-fund growth or return capital to shareholders without external financing.

Poor Cash Conversion

An unfavorable OCF-to-net-income ratio signals earnings quality issues where accounting profits are not translating to cash. Structurally, this raises the risk that reported margins and ROE may be overstated relative to cash generation, complicating sustainable dividend or buyback policies.

Reliance on Financing

The company’s use of financing to supply liquidity indicates dependence on external funding to support operations. If market credit conditions tighten or funding costs rise, this reliance could pressure capital availability and increase long-term financing costs, limiting strategic optionality.

Choice International Limited Business Overview & Revenue Model

Company Description

Choice International Limited, together with its subsidiaries, provides various financial services in India. The company operates through four segments: NBFC & Other Services, Broking & Distribution services, Consulting & Outsourcing Services, and Technical Services. It offers investment banking services, such as mergers and acquisitions, private equity, venture capital, angel investments, pipe deals, management and leverage buyouts, and strategic advisory; corporate finance, including working capital finance, corporate loans, bank guarantee, letter of credit, trade finance, project finance, mezzanine finance, and corporate debt restructuring advisory; and merchant banking comprising initial public offering (IPO), qualified institutional placement, rights issue, follow on issues, buy backs, takeovers, institutional trading platform, and pre-IPO placement. The company also provides IPO readiness services, including pre-IPO due diligence, ROC compliance, corporate governance, DHRP documentation, financial statements, promoter group and group entities, timing the market, and expedite the IPO journey; management consulting services comprising business and transaction advisory, taxation, governance, risk and compliance, business process management, and corporate services; government advisory services; tax advisory services; and IT solutions, such as cloud and enterprise software, ERP/CRM/SAAS integration, managed database and security, bot development, system integration, and managed services. In addition, it offers equity and equity derivative, currency derivative, and commodity derivative trading; wealth management services, which include research and advisory, financial planning, and capital gain bonds; insurance broking services; housing, personal, and business loans; and depository, mutual fund distribution, and portfolio management services. Choice International Limited was incorporated in 1993 and is based in Mumbai, India.

How the Company Makes Money

CHOICEIN generates revenue primarily through transaction fees from its digital payment systems, which charge merchants a percentage of each sale processed. Additionally, the company earns income from subscription services offered to businesses using its e-commerce and financial technology platforms. These subscriptions provide access to premium features and analytics tools that enhance business operations. Significant partnerships with banks and financial institutions also contribute to its earnings by expanding its service offerings and increasing user acquisition. Furthermore, CHOICEIN's investment in advertising and promotional services for businesses on its platforms creates an additional revenue stream, solidifying its position in the market.

Choice International Limited Financial Statement Overview

Summary

Choice International Limited shows strong growth and profitability in its income statement, with robust revenue growth and impressive profit margins. The balance sheet is stable with a strong equity position, though the cash flow statement reveals challenges with negative operating cash flows, indicating a need for improved cash conversion.

Income Statement

Choice International Limited has demonstrated robust revenue growth, with a substantial increase from 2024 to 2025. The Gross Profit Margin is impressive, indicating efficient cost management, and the Net Profit Margin remains strong, signaling profitability. EBIT and EBITDA margins are healthy, reflecting solid operational performance.

Balance Sheet

The company maintains a strong equity position, with a high Equity Ratio. The Debt-to-Equity Ratio is manageable, although it has increased slightly, suggesting a moderate level of leverage. Return on Equity is commendable, indicating good returns for shareholders.

Cash Flow

The cash flow statement reveals challenges, with negative Free Cash Flow and Operating Cash Flow in recent years. The Operating Cash Flow to Net Income Ratio is unfavorable, indicating that earnings are not translating into cash flow effectively. However, financing activities have provided liquidity.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	9.43B	9.10B	7.50B	3.89B	2.76B	1.65B
Gross Profit	4.62B	4.31B	4.34B	2.02B	1.55B	918.82M
EBITDA	3.21B	2.92B	2.24B	1.07B	912.06M	400.32M
Net Income	1.79B	1.63B	1.31B	600.68M	535.76M	167.10M
Balance Sheet
Total Assets	0.00	26.19B	18.06B	11.08B	9.78B	6.56B
Cash, Cash Equivalents and Short-Term Investments	0.00	5.18B	1.92B	5.86B	498.40M	389.74M
Total Debt	0.00	4.63B	4.55B	2.22B	2.20B	1.51B
Total Liabilities	-11.06B	15.14B	11.66B	6.26B	5.67B	3.93B
Stockholders Equity	11.06B	10.27B	6.31B	4.77B	4.10B	2.63B
Cash Flow
Free Cash Flow	0.00	-2.56B	-1.31B	2.16B	-569.67M	-460.30M
Operating Cash Flow	0.00	-2.26B	-1.48B	2.63B	-517.50M	-447.50M
Investing Cash Flow	0.00	-657.35M	-178.71M	-1.80B	-1.02B	150.35M
Financing Cash Flow	0.00	3.96B	2.24B	-212.78M	1.52B	226.33M

Choice International Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 850.80
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CHOICEIN, the sentiment is Negative. The current price of 850.8 is above the 20-day moving average (MA) of 754.10, above the 50-day MA of 784.65, and above the 200-day MA of 769.59, indicating a bearish trend. The MACD of -21.62 indicates Positive momentum. The RSI at 36.66 is Neutral, neither overbought nor oversold. The STOCH value of 12.41 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:CHOICEIN.

Choice International Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GEOJITFSL	73 Outperform	₹16.90B	40.70	―	1.88%	-11.33%	-40.39%
ANGELONE	72 Outperform	₹199.67B	19.80	―	1.88%	-12.65%	-42.72%
JMFINANCIL	66 Neutral	₹116.49B	11.48	―	2.93%	-10.92%	152.70%
CHOICEIN	65 Neutral	₹156.88B	67.67	―	―	12.17%	19.00%
RELIGARE	62 Neutral	₹68.62B	-45.03	―	―	8.35%	-50.99%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
EDELWEISS	55 Neutral	₹103.59B	9.45	―	1.37%	-19.77%	-11.03%

Choice International Limited Corporate Events

Choice International Re-attaches Unaudited December 2025 Results to Meet SEBI Disclosure Norms

Choice International Limited has re-attached its unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, originally disclosed on February 3, 2026, to ensure compliance with Regulation 30 of SEBI’s Listing Obligations and Disclosure Requirements. The board, acting on the audit committee’s recommendation, formally approved these results and noted the auditors’ limited review, with the company emphasizing that the re-submission does not alter the previously published figures but serves to regularize disclosures for stakeholders and exchanges.