IFCI Limited (IFCI) AI Stock Analysis

• Market Cap: ₹148.46B
• Dividend Yield: N/A
• Average Volume (3M): 871.17K
• Price to Earnings (P/E): 37.6
• Beta (1Y): 2.48
• Revenue Growth: -12.62%
• EPS Growth: 175.71%
• Country: IN
• Employees: 136
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): -0.06
• Shares Outstanding: 2,694,314,200
• 10 Day Avg. Volume: 894,688
• 30 Day Avg. Volume: 871,170
• PEG Ratio: 1.24
• Price to Book (P/B): 1.34
• Price to Sales (P/S): 5.95
• P/FCF Ratio: -11.29
• 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: 55 Neutral
• Price Target: ₹59.00 ▲(9.99% Upside)

The score is primarily held back by weak cash flow performance and high leverage despite improved profitability/equity metrics. Technicals are supportive (price above key DMAs with positive momentum), but valuation is a headwind due to the elevated P/E and lack of dividend yield data.

Positive Factors

Improved profitability and ROE

Margins and ROE improving in 2025 indicate the business is translating revenue into retained earnings more effectively. Sustained margin recovery can strengthen internal capital generation, support loan growth, and reduce reliance on external equity over the medium term.

Strengthened equity base

A materially stronger equity base improves the firm’s loss-absorbing capacity and regulatory capital metrics. This provides durable headroom for incremental infrastructure and project lending, reducing the chance of forced deleveraging during stress periods.

Diversified revenue streams

Multiple income sources (interest, advisory fees, fund returns) reduce dependence on any single market cycle. Fee-heavy advisory and fund-management revenue is less capital intensive, helping stabilize margins and cash generation across economic swings over months.

Negative Factors

High leverage

Elevated leverage increases refinancing and interest-rate sensitivity, constraining the company’s ability to expand lending without raising new capital. Persistent high debt ratios magnify downside in credit cycles and limit strategic flexibility over the medium term.

Negative operating and free cash flow

Negative OCF and FCF undermine organic funding for the loan book and operations, forcing reliance on external financing or asset disposals. Over several months this pressures liquidity, raises funding costs, and constrains sustainable growth or capital return plans.

Volatile revenue trend

Large swings in revenue reduce predictability of net interest and fee income, complicating underwriting, provisioning and capital planning. Persistent volatility can impair long-term margin planning and increase the risk of earnings surprises across economic cycles.

IFCI Limited Business Overview & Revenue Model

Company Description

IFCI Limited provides non-banking financial services to the public sector in India. The company offers project finance for the power sector, including renewable energy, telecommunications, roads, oil and gas, ports, airports, basic metals, chemicals, pharmaceuticals, electronics, textiles, real estate, smart cities, urban infrastructure, etc. It also provides corporate finance, such as balance sheet funding, loan against shares, lease rental discounting, promoter funding, long-term working capital requirement, capital expenditure, and regular maintenance capex services, as well as short term loans for various businesses that include bridge financing and short-term working capital to small, mid, and large corporates. In addition, the company offers financial/investment appraisal, business reengineering, and advisory services for various corporate houses and companies; and structured debt/mezzanine products, as well as assistance in sponsor financing, acquisition financing, pre-IPO financing, off-balance sheet structured solutions, and others. Further, it provides sales and resolution services for non-performing assets; nodal agency services; and credit enhancement guarantee scheme for scheduled castes, as well as acts as debenture trustee for debenture issues. Additionally, the company offers stock broking, commodities broking, currency trading, portfolio management and depository participant services, merchant banking, insurance corporate agency, mutual fund products distribution, IPO distribution, and corporate advisory services. It provides financial support services for airports, roads, telecom, power, real estate, manufacturing, and services sectors; and other allied industries. The company was formerly known as Industrial Finance Corporation of India and changed its name to IFCI Limited in October 1999. IFCI Limited was founded in 1948 and is headquartered in New Delhi, India.

How the Company Makes Money

IFCI generates revenue through multiple streams including interest income from loans and advances provided to various industries, fees and commissions from investment banking services, and returns from its portfolio of investments. The company primarily earns money by lending to businesses at interest rates higher than its own borrowing costs, thus creating a profit margin. Additionally, IFCI engages in financial advisory services and manages funds that contribute to its revenue. Strategic partnerships with governmental and non-governmental organizations also bolster its financing capabilities, while diversification into infrastructure projects and venture capital management further enhances its earnings potential.

IFCI Limited Financial Statement Overview

Summary

Mixed fundamentals: profitability margins improved in 2025 and the equity base strengthened with ROE turning positive, but leverage remains high and cash flow quality deteriorated with negative operating and free cash flow in 2025.

Income Statement

The company has shown a volatile revenue trend with a decline from 2020 to 2024, but a significant increase in 2025. Gross profit margin and EBIT margin improved in 2025, indicating better cost management. However, net profit margins remain low, and there was a significant drop in revenue growth rate in 2024, followed by a recovery in 2025.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio, indicating potential leverage risk. However, the equity base has strengthened significantly in 2025, improving the equity ratio. Return on equity has improved from negative in previous years to positive in 2025, reflecting better utilization of equity.

Cash Flow

Cash flows have been inconsistent, with operating cash flow and free cash flow turning negative in 2025. The company shows a declining trend in free cash flow growth rate, and the free cash flow to net income ratio is unfavorable. The operating cash flow to net income ratio also remains negative.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	19.95B	19.56B	20.16B	16.17B	17.97B	20.21B
Gross Profit	14.90B	14.21B	14.45B	9.75B	8.54B	8.73B
EBITDA	8.96B	8.32B	8.32B	1.00B	-14.57B	-20.12B
Net Income	3.19B	1.71B	1.04B	-2.08B	-18.31B	-19.42B
Balance Sheet
Total Assets	0.00	257.24B	189.18B	169.39B	154.87B	203.64B
Cash, Cash Equivalents and Short-Term Investments	0.00	55.15B	50.46B	38.77B	9.66B	27.46B
Total Debt	0.00	37.14B	53.67B	60.20B	71.62B	111.10B
Total Liabilities	-150.79B	106.45B	112.38B	102.70B	104.33B	153.40B
Stockholders Equity	150.79B	86.91B	45.34B	37.67B	28.18B	37.38B
Cash Flow
Free Cash Flow	0.00	-10.31B	-321.70M	-4.01B	-2.88B	-5.45B
Operating Cash Flow	0.00	-9.84B	118.70M	-3.36B	-2.57B	-4.38B
Investing Cash Flow	0.00	-697.30M	-1.55B	-589.60M	-300.10M	-1.03B
Financing Cash Flow	0.00	4.15B	4.04B	4.65B	731.80M	1.93B

IFCI Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 53.64
• 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:IFCI, the sentiment is Neutral. The current price of 53.64 is below the 20-day moving average (MA) of 55.93, above the 50-day MA of 52.54, and below the 200-day MA of 55.07, indicating a neutral trend. The MACD of 1.18 indicates Positive momentum. The RSI at 49.45 is Neutral, neither overbought nor oversold. The STOCH value of 26.48 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:IFCI.

IFCI Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
IIFL	64 Neutral	₹225.07B	17.55	―	―	8.01%	-20.87%
FIVESTAR	59 Neutral	₹134.09B	11.76	―	0.36%	20.44%	13.10%
CREDITACC	56 Neutral	₹212.06B	41.77	―	0.77%	0.75%	-90.03%
IFCI	55 Neutral	₹148.46B	37.59	―	―	-12.62%	175.71%
CGCL	52 Neutral	₹169.00B	19.28	―	0.11%	43.41%	109.52%
MANAPPURAM	49 Neutral	₹241.06B	61.55	―	0.80%	-3.68%	-80.12%

IFCI Limited Corporate Events

IFCI Says No Undisclosed Events Behind Surge in Share Trading Volume

IFCI Limited has clarified to the National Stock Exchange of India that it is not aware of any undisclosed information or specific corporate event that would explain the recent significant increase in trading volume and price movement of its shares. The company stated that there is no material development in its possession that could be influencing the market activity in its security, a disclosure aimed at safeguarding investor interests and ensuring transparency amid heightened trading in the stock.

Exchange Seeks Clarification from IFCI After Surge in Trading Volume

The stock exchange has reported a significant increase in trading volume in the shares of IFCI Limited and has sought clarification from the company to ensure that investors have access to the latest relevant information. The move underscores regulatory efforts to safeguard investor interests and maintain market transparency, with the market currently awaiting IFCI’s response on the reasons, if any, behind the unusual activity in its stock.

IFCI Limited Opens Special Window for Physical Share Transfer Requests

IFCI Limited has announced the opening of a Special Window for the re-lodgement of transfer requests for physical shares, in accordance with a SEBI circular. This window, available from July 1, 2025, to January 6, 2026, allows shareholders to resubmit transfer deeds that were previously rejected or unattended due to document deficiencies. The shares re-lodged during this period will be issued in demat mode, which aligns with regulatory requirements and enhances the company’s compliance with SEBI guidelines.

IFCI Limited Opens Special Window for Physical Share Transfers

IFCI Limited has announced the opening of a Special Window for the re-lodgement of transfer requests for physical shares, in compliance with a SEBI circular. This window, open from July 7, 2025, to January 6, 2026, allows shareholders to resubmit transfer deeds that were previously rejected or unattended due to document deficiencies. The shares re-lodged during this period will be issued in demat mode, which aligns with regulatory requirements and aims to streamline the transfer process.

IFCI Limited Conducts 32nd AGM via Video Conference

IFCI Limited held its 32nd Annual General Meeting on October 29, 2025, through video conferencing, in compliance with regulatory requirements. The meeting included the introduction of key company officials and auditors, confirmation of the quorum, and instructions for electronic voting, highlighting the company’s adherence to corporate governance and stakeholder engagement.

IFCI Limited Receives Extension for 2025 AGM

IFCI Limited has announced an extension for holding its Annual General Meeting (AGM) for the financial year ending March 31, 2025. The Registrar of Companies has granted a three-month extension, allowing the AGM to be held by December 30, 2025, due to difficulties faced by the company. This extension is crucial for IFCI to ensure compliance with regulatory requirements and maintain its operational schedule.