CRISIL Limited (CRISIL) AI Stock Analysis

• Market Cap: ₹315.89B
• Dividend Yield: 1.38%
• Average Volume (3M): 4.38K
• Price to Earnings (P/E): 41.3
• Beta (1Y): 0.78
• Revenue Growth: 6.61%
• EPS Growth: 11.88%
• Country: IN
• Employees: 4,666
• Sector: Services
• Sector Strength: N/A
• Industry: Financial - Data & Stock Exchanges
• EPS (TTM): N/A
• Shares Outstanding: 73,130,020
• 10 Day Avg. Volume: 6,165
• 30 Day Avg. Volume: 4,375
• PEG Ratio: 3.45
• Price to Book (P/B): 10.42
• Price to Sales (P/S): 8.66
• P/FCF Ratio: 45.21
• 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): 127.07
• Revenue Forecast (FY): ₹41.77B

• Rating: 68 Neutral
• Price Target: ₹4,842.00 ▲(2.72% Upside)
• Action: Reiterated Date: 02/18/26
• Date: Action: Reiterated 02/18/26

The score is primarily supported by strong financial performance (durable margins, solid ROE, and generally healthy cash generation). It is tempered by weaker technical positioning (trading below major moving averages with subdued momentum) and a demanding valuation (high P/E with only a modest dividend yield).

Positive Factors

Diversified analytics business model

CRISIL combines credit ratings, subscription research, data analytics and advisory services across corporates, financial institutions and governments. That diversified fee mix creates recurring client relationships and steady contract revenues, supporting durable cash flows and reducing concentration risk across multi-quarter horizons.

High and stable margins

CRISIL has maintained robust operating profitability with net margins near 20% and EBITDA margins near 30%, enabling strong return on equity and internal funding capacity. Durable margins support reinvestment, sustain operating leverage benefits, and provide resilience to moderate cost or mix pressures over several quarters.

Healthy cash generation

Free cash flow generally tracks net income closely and operating cash flow is positive annually, improving in 2025. Reliable cash generation underpins dividend capacity, debt servicing and reinvestment, giving management financial flexibility to support growth or strategic moves despite some year-to-year variability.

Negative Factors

Step-up in debt

A recent increase in total debt erodes the company’s prior ultra-low leverage buffer. Higher leverage raises interest and refinancing risks, reduces headroom for discretionary capital allocation, and narrows the margin of safety if macro conditions deteriorate over the next several quarters.

Uneven cash conversion

Cash-flow conversion has been uneven, with notable FCF declines in 2021 and 2024, implying working-capital or timing swings. This variability can constrain predictable reinvestment or shareholder returns and makes the firm more sensitive to earnings shocks in the medium term.

Revenue cyclicality tied to capital markets

CRISIL’s revenues are materially exposed to capital-markets activity and demand for debt issuance and ratings. This structural cyclicality can produce periods of muted growth or volatility in revenues and fees, reducing near-term predictability across several quarters when market issuance softens.

CRISIL Limited Business Overview & Revenue Model

Company Description

CRISIL Limited, an analytical company, together with its subsidiaries, provides ratings, data, research, and analytics and solutions in India, Europe, North America, and internationally. It operates through three segments: Ratings, Research, and Advisory. The Ratings services segment offers credit ratings for corporates, banks, bank loans, and small and medium enterprises; credit analysis services; grading services; and analytical services. The Research segment provides research and risk solutions, industry reports, customized research assignments, subscription to data services, independent equity research, initial public offering grading, and training services. The Advisory segment offers advisory services; and a range of risk management tools, analytics, and solutions to financial institutions, banks, and corporates. The company was formerly known as The Credit Rating Information Services of India Limited and changed its name to CRISIL Limited in December 2003. CRISIL Limited was incorporated in 1987 and is headquartered in Mumbai, India.

How the Company Makes Money

CRISIL generates revenue through multiple streams, primarily from its Ratings, Research, Risk, and Policy Advisory services. The Ratings segment earns income from fees charged for credit ratings and related services, which are essential for entities seeking to raise capital. The Research segment derives revenue from providing market analysis, industry reports, and economic forecasts to clients in various sectors. The Risk segment offers risk management solutions and analytics, which are increasingly crucial for financial institutions and corporations. Additionally, CRISIL has established partnerships with various financial institutions and regulatory bodies, enhancing its service offerings and contributing to its revenue growth. The company also benefits from its global presence, allowing it to tap into international markets for its services.

CRISIL Limited Financial Statement Overview

Summary

Strong and consistent profitability (net margins ~20%, EBITDA margins ~30%) with steady revenue growth and strong ROE. Key risks are a recent step-up in debt and some variability in gross margin and cash-flow conversion, though overall cash generation remains healthy.

Income Statement

CRISIL shows steady top-line expansion over the period, with revenue rising from 2020 to 2025 and accelerating again in 2025 (after a near-flat 2024). Profitability is consistently strong, with net margins holding around ~20% across multiple years and EBITDA margins staying near ~30%, supporting resilient earnings growth. The main watch-out is some variability in reported gross margin (notably lower in 2025 versus 2024), suggesting mix or cost pressures in certain periods, but overall operating profitability remains solid.

Balance Sheet

The balance sheet looks conservatively positioned with low-to-moderate leverage overall (debt-to-equity generally below 0.20), and equity has grown meaningfully over time. Returns on equity are strong where provided (roughly high-20s to low-30s in 2020–2024), indicating efficient capital use. The key weakness is a noticeable step-up in total debt in 2024–2025 versus prior years, which reduces some of the prior ultra-low leverage buffer even though leverage remains manageable.

Cash Flow

Cash generation is healthy, with free cash flow generally tracking net income closely (free cash flow is ~77% to ~94% of net income across the period) and improving again in 2025 after a weaker 2024. Operating cash flow is positive each year and relatively stable, but the cash conversion from earnings is not consistently strong based on the provided coverage figures (mid-range and uneven), and free cash flow growth has shown volatility (notably declines in 2021 and 2024). Overall, cash flow quality is good but not perfectly steady year to year.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	33.81B	36.49B	32.60B	31.40B	27.69B	23.01B
Gross Profit	17.83B	12.77B	16.81B	13.92B	13.78B	11.39B
EBITDA	10.87B	10.85B	10.00B	9.75B	8.52B	7.33B
Net Income	7.28B	7.66B	6.84B	6.58B	5.64B	4.66B
Balance Sheet
Total Assets	42.31B	46.32B	39.42B	32.97B	28.31B	25.04B
Cash, Cash Equivalents and Short-Term Investments	13.06B	10.10B	13.74B	11.52B	8.43B	7.42B
Total Debt	2.98B	5.44B	2.50B	473.20M	834.60M	1.32B
Total Liabilities	14.14B	15.98B	13.77B	11.08B	10.39B	9.25B
Stockholders Equity	28.17B	30.33B	25.65B	21.89B	17.92B	15.78B
Cash Flow
Free Cash Flow	0.00	6.99B	5.92B	7.17B	4.15B	3.80B
Operating Cash Flow	0.00	7.72B	7.65B	7.80B	4.56B	4.03B
Investing Cash Flow	0.00	-2.85B	-3.86B	-3.27B	-616.40M	-882.50M
Financing Cash Flow	0.00	-4.70B	-4.42B	-4.08B	-3.68B	-2.91B

CRISIL Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4713.95
• 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:CRISIL, the sentiment is Negative. The current price of 4713.95 is above the 20-day moving average (MA) of 4588.15, above the 50-day MA of 4555.93, and below the 200-day MA of 4955.31, indicating a bearish trend. The MACD of -51.79 indicates Positive momentum. The RSI at 36.88 is Neutral, neither overbought nor oversold. The STOCH value of 19.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:CRISIL.

CRISIL Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CARERATING	75 Outperform	₹46.89B	33.44	―	1.23%	19.50%	33.27%
ICRA	72 Outperform	₹53.89B	37.64	―	0.97%	8.06%	24.52%
CRISIL	68 Neutral	₹315.89B	41.26	―	1.38%	6.61%	11.88%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

CRISIL Limited Corporate Events

CRISIL Discloses GST Penalty Order, Plans to Appeal

CRISIL Limited has disclosed that it received an assessment order under the GST Act, 2017 from the Office of the Assistant Commissioner of CGST & Central Tax, Division-VIII, Mumbai East, relating to a show cause notice over an alleged disagreement on the admissibility of credit notes for the financial year 2018-19. The order imposes a penalty demand of ₹40.72 lakh for FY 2018-19, but CRISIL has stated that the matter has no material impact on its financials, operations or other activities, and the company intends to file an appeal against the demand, signalling that it views the issue as a manageable tax dispute rather than a development affecting its core business or strategic position.

CRISIL Opens Special Window for Physical Share Transfers

CRISIL Limited has announced the opening of a special window for the re-lodgement of transfer requests for physical shares. This move, disclosed under Regulation 30 of the SEBI Listing Regulations, is aimed at facilitating shareholders in transferring their physical shares, as communicated through newspaper advertisements in Financial Express and Sakal.