Poonawalla Fincorp Limited (IN:POONAWALLA)
:POONAWALLA
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Poonawalla Fincorp Limited
(POONAWALLA)
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Rating:49Neutral
Price Target:
₹398.00
▼(-17.17% Downside)
Action:ReiteratedDate:02/10/26
The score is held back primarily by weak financial performance (declining revenue, negative profitability, high leverage, and sustained negative operating/free cash flow). Technicals are mixed and provide only modest support, while valuation is a clear headwind due to the very high P/E and no dividend yield data.
Positive Factors
Lending business model
The company’s core NBFC model—earning interest spreads supplemented by fee and treasury income—creates recurring revenue streams tied to lending activity. This structural model supports predictable cash inflows when underwriting standards hold, providing a durable foundation for earnings over months.
Negative Factors
High leverage
Very high leverage materially reduces financial flexibility and increases sensitivity to interest rate or funding disruptions. For an NBFC, D/E >3 raises refinancing and liquidity risk, constrains capital allocation for growth, and amplifies downside during credit stress over the coming months.
Read all positive and negative factors
Positive Factors
Negative Factors
Lending business model
The company’s core NBFC model—earning interest spreads supplemented by fee and treasury income—creates recurring revenue streams tied to lending activity. This structural model supports predictable cash inflows when underwriting standards hold, providing a durable foundation for earnings over months.
Read all positive factors
Poonawalla Fincorp Limited (POONAWALLA) vs. iShares MSCI India ETF (INDA)
Market Cap
₹325.29B
Dividend YieldN/A
Average Volume (3M)338.05K
Price to Earnings (P/E)64.9
Beta (1Y)1.33
Revenue Growth34.63%
EPS Growth-48.50%
CountryIN
Employees2,384
SectorFinancial
Sector Strength70
IndustryFinancial - Credit Services
Share Statistics
EPS (TTM)1.90
Shares Outstanding812,817,700
10 Day Avg. Volume217,284
30 Day Avg. Volume338,053
Financial Highlights & Ratios
PEG Ratio2.60
Price to Book (P/B)3.31
Price to Sales (P/S)6.76
P/FCF Ratio-2.55
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)14.77
Revenue Forecast (FY)₹61.97B
Poonawalla Fincorp Limited Business Overview & Revenue Model
Company Description
Poonawalla Fincorp Limited, a non-banking financial company, provides asset finance services in India. It offers loans for CA, CS, doctors, salaried and government employees, home renovation, wedding, travel, and medical emergency; business loans ...
How the Company Makes Money
Poonawalla Fincorp primarily makes money by lending funds and earning interest income on its loan portfolio (the spread between the interest it charges borrowers and its own cost of funds). Key revenue streams typically include: (1) Interest incom...
Poonawalla Fincorp Limited Financial Statement Overview
Summary
Income Statement
60
Neutral
Balance Sheet
55
Neutral
Cash Flow
45
Neutral
| Breakdown | TTM | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 | Mar 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 48.84B | 40.00B | 29.51B | 18.72B | 15.15B | 22.29B |
| Gross Profit | 24.41B | 20.14B | 17.04B | 9.92B | 7.05B | 8.72B |
| EBITDA | -281.20M | -540.10M | 22.13B | 8.63B | 5.08B | -5.89B |
| Net Income | 2.18B | -983.40M | 16.83B | 6.84B | 3.75B | -5.59B |
Balance Sheet | ||||||
| Total Assets | 469.60B | 350.30B | 240.87B | 232.21B | 164.43B | 132.12B |
| Cash, Cash Equivalents and Short-Term Investments | 1.26B | 14.42B | 2.69B | 13.99B | 7.30B | 8.77B |
| Total Debt | 359.79B | 260.81B | 152.16B | 112.09B | 99.73B | 104.75B |
| Total Liabilities | 370.86B | 268.55B | 159.20B | 163.47B | 103.84B | 110.18B |
| Stockholders Equity | 98.73B | 81.75B | 81.67B | 68.61B | 60.56B | 21.94B |
Cash Flow | ||||||
| Free Cash Flow | -107.37B | -106.13B | 13.42B | -53.18B | -31.12B | 16.22B |
| Operating Cash Flow | -106.93B | -105.69B | -78.01B | -52.37B | -30.49B | 16.44B |
| Investing Cash Flow | -4.50B | -4.82B | 29.69B | -1.10B | 1.43B | 813.46M |
| Financing Cash Flow | 112.36B | 108.21B | 43.31B | 57.48B | 29.03B | -15.74B |
Poonawalla Fincorp Limited Technical Analysis
Negative
480.50
Price Trends
425.41
Negative
444.38
Negative
454.82
Negative
Market Momentum
-8.68
Negative
46.67
Neutral
63.26
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:POONAWALLA, the sentiment is Negative. The current price of 480.5 is above the 20-day moving average (MA) of 398.33, above the 50-day MA of 425.41, and above the 200-day MA of 454.82, indicating a neutral trend. The MACD of -8.68 indicates Negative momentum. The RSI at 46.67 is Neutral, neither overbought nor oversold. The STOCH value of 63.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:POONAWALLA.
Poonawalla Fincorp Limited Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | ₹322.23B | 6.69 | ― | 1.58% | 6.84% | 31.01% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
64 Neutral | ₹193.66B | 13.98 | ― | ― | 8.01% | -20.87% | |
55 Neutral | ₹292.25B | 5.31 | ― | 1.87% | 4.79% | 13.08% | |
53 Neutral | ₹419.82B | 8.44 | ― | 2.83% | ― | ― | |
49 Neutral | ₹325.29B | 64.91 | ― | ― | 34.63% | -48.50% | |
49 Neutral | ₹226.34B | 27.09 | ― | 0.80% | -3.68% | -80.12% |
* Financial Sector Average
IN:POONAWALLA
Poonawalla Fincorp Limited
400.20
17.80
4.65%
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455.35
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531.30
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-8.07%
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18.71%
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43.37
19.36%
Poonawalla Fincorp Limited Corporate Events
Poonawalla Fincorp Posts ₹60,325 Crore AUM and Strong Liquidity for Q4 FY26
Apr 6, 2026
Poonawalla Fincorp reported that its Assets Under Management reached approximately ₹60,325 crore as of March 31, 2026, underscoring the scale of its lending franchise. The company also disclosed ample liquidity of about ₹7,550 crore, r...
Poonawalla Fincorp Sets May 5 Board Meet, Closes Trading Window Ahead of FY26 Results
Mar 27, 2026
Poonawalla Fincorp has scheduled a board meeting on May 5, 2026 to consider and approve its audited financial results for the quarter and full year ended March 31, 2026, along with the audited annual financial statements and a possible dividend re...
Poonawalla Fincorp Allots ESOP Shares, Expands Equity Capital
Mar 20, 2026
Poonawalla Fincorp Limited has allotted 28,850 equity shares of Rs. 2 each under its Employee Stock Option Plan 2021, following approval by the Nomination and Remuneration Committee on March 20, 2026. The newly allotted shares will rank pari passu...
CARE reaffirms top-tier ratings for Poonawalla Fincorp as group support and capital remain strong
Mar 20, 2026
CARE Ratings has reaffirmed its highest long-term credit rating of CARE AAA with a Stable outlook on Poonawalla Fincorp’s major bank facilities and non-convertible debentures, while also maintaining CARE A1+ on its short-term instruments and...
Poonawalla Fincorp Retains CRISIL’s Top-Tier Ratings Across Key Debt Instruments
Mar 20, 2026
Poonawalla Fincorp Limited has disclosed that CRISIL Ratings has reaffirmed its top-tier long-term rating at CRISIL AAA/Stable and short-term rating at CRISIL A1+ for various debt instruments, including substantial non-convertible debentures, subo...
Poonawalla Fincorp Shareholders Clear Fund-Raising Plan and Board Appointment via Postal Ballot
Feb 19, 2026
Poonawalla Fincorp Limited announced that shareholders have approved two special resolutions via a postal ballot conducted through remote e-voting, with the results declared on February 19, 2026, and hosted on the company’s website. Investor...
Poonawalla Fincorp Publishes Q3 FY26 Earnings Call Transcript in Line with SEBI Norms
Jan 21, 2026
Poonawalla Fincorp Limited has released the transcript of its Q3 FY26 earnings and quarterly analysts’ conference call, held on January 16, 2026, discussing its unaudited financial results for the quarter ended December 31, 2025. The company...
Poonawalla Fincorp Issues Revised Investor Presentation After AUM Chart Correction
Jan 18, 2026
Poonawalla Fincorp Limited has issued a revised investor presentation for the quarter and nine months ended December 31, 2025, correcting a year-labeling error in the assets under management chart, where data previously marked as 2026 has been cla...
Poonawalla Fincorp uploads Q3 FY26 earnings call recording to website
Jan 16, 2026
Poonawalla Fincorp Limited, a listed non-banking financial company providing financial services in India and trading on both BSE and NSE, operates under SEBI’s listing and disclosure regulations as part of the formal financial sector. The co...
Poonawalla Fincorp Releases Q3 FY26 Investor Presentation Highlighting Diversified Retail Lending Focus
Jan 16, 2026
Poonawalla Fincorp Limited has released its investor and analyst presentation for the quarter and nine months ended December 31, 2025, in compliance with SEBI’s disclosure norms, and has made the material available on its website for stakeho...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.