Tourism Finance Corporation of India Limited (TFCILTD) AI Stock Analysis

• Market Cap: ₹30.21B
• Dividend Yield: 0.92%
• Average Volume (3M): 922.69K
• Price to Earnings (P/E): 25.0
• Beta (1Y): 1.32
• Revenue Growth: 5.73%
• EPS Growth: 12.29%
• Country: IN
• Employees: 35
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 0.69
• Shares Outstanding: 462,977,230
• 10 Day Avg. Volume: 584,246
• 30 Day Avg. Volume: 922,692
• PEG Ratio: 1.42
• Price to Book (P/B): 1.32
• Price to Sales (P/S): 6.58
• P/FCF Ratio: 23.08
• 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): N/A
• Revenue Forecast (FY): N/A

• Rating: 66 Neutral
• Price Target: ₹66.00 ▲(1.03% Upside)

The score is primarily supported by strong profitability and improving leverage, but is held back by weaker operating cash flow conversion. Technicals are neutral-to-mixed (positive vs key moving averages but MACD slightly negative), and valuation looks less attractive with a higher P/E and a low dividend yield.

Positive Factors

Top-line Growth

Sustained 12.4% revenue growth reflects expanding loan originations and stronger demand for tourism financing. Over a 2–6 month horizon, continued top-line expansion supports stable interest income and scalability of core lending products, bolstering long-term earnings visibility.

High Profitability

Exceptionally high margins indicate an efficient interest-margin business with low operating overhead. Durable profitability provides buffers for credit losses and reinvestment into origination capabilities, supporting resilient earnings generation across business cycles.

Improved Capital Structure

A lower debt-to-equity ratio and stable ROE signal a stronger balance sheet and reduced financial leverage. This improvement enhances funding flexibility, lowers refinancing risk, and gives room to expand the loan book while maintaining credit stability over the medium term.

Negative Factors

Weak Cash Conversion

Persistent gap between net income and operating cash flow suggests earnings are not fully converting to cash. Over months this can constrain ability to self-fund loan growth, increase reliance on external financing, and elevate liquidity risk if collections deteriorate.

Sector Concentration Risk

Concentration in tourism exposes the loan portfolio to sector-specific cyclicality, seasonality and external shocks (travel demand, policy changes). This structural concentration can amplify credit volatility and downside risk to asset quality across a 2–6 month horizon.

Lean Operational Capacity

A very small workforce may limit origination, underwriting capacity and geographic reach as loan volumes grow. Reliance on a compact team increases key-person risk and could strain risk controls and execution, impacting sustainable growth and portfolio oversight.

Tourism Finance Corporation of India Limited Business Overview & Revenue Model

Company Description

Tourism Finance Corporation of India Limited provides financial assistance to tourism-related activities/projects in India. The company offers rupee term loans, project loans, corporate loans, loans against securities, bridge loans, subscription in equity shares/debentures, etc.; structured solutions to corporate clients; advisory/investment solutions to manage, leverage, and enhance capital structure by various offerings, such as convertible preference shares, mezzanine loans, venture capital debt, convertible bonds, etc.; and structured finance, PE placement, mergers and acquisitions, project and infrastructure finance, debt syndication, and debt restructuring services. It also provides research and consultancy services; financial assistance to greenfield, as well as for expansion, diversification, and modernization projects; and financial assistance for small and medium businesses. Tourism Finance Corporation of India Limited was incorporated in 1989 and is based in New Delhi, India.

How the Company Makes Money

TFCILTD generates revenue primarily through interest income from loans and advances provided to entities in the tourism sector. The company offers a range of financial products, including term loans, working capital facilities, and project financing, which are tailored to the unique needs of tourism-related projects. Additionally, TFCILTD may earn fees from advisory services, project appraisals, and consultancy provided to clients in the industry. Strategic partnerships with governmental bodies and tourism boards can also enhance its revenue through collaborative funding initiatives and grant opportunities aimed at boosting tourism infrastructure development.

Tourism Finance Corporation of India Limited Financial Statement Overview

Summary

Solid income statement strength (revenue growth 12.4% and very high profitability), and a healthier balance sheet with improved leverage (debt-to-equity 0.71). Cash flow is the main drag: while free cash flow turned positive, operating cash flow is materially weaker than net income, raising cash conversion concerns.

Income Statement

Tourism Finance Corporation of India Limited shows a strong revenue growth rate of 12.4% in the latest year, indicating robust top-line expansion. The gross profit margin is exceptionally high at 98.4%, suggesting efficient cost management. However, the net profit margin has shown a significant increase to 67%, reflecting improved profitability. The EBIT and EBITDA margins are not available for the latest period, but historical data indicates healthy operational efficiency.

Balance Sheet

The company has improved its debt-to-equity ratio to 0.71, indicating a more balanced capital structure compared to previous years. Return on equity is stable at 8.5%, showing consistent shareholder returns. The equity ratio is not explicitly provided, but the reduction in total debt and increase in stockholders' equity suggest a strengthening balance sheet.

Cash Flow

The free cash flow has turned positive, showing significant improvement from previous negative figures, with a free cash flow to net income ratio close to 1, indicating strong cash generation relative to net income. However, the operating cash flow remains a concern, as it is significantly lower than net income, suggesting potential cash flow management issues.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.46B	2.44B	2.26B	2.26B	2.49B	2.58B
Gross Profit	1.72B	1.69B	1.52B	1.73B	1.87B	1.94B
EBITDA	1.67B	1.63B	1.51B	1.56B	1.78B	1.81B
Net Income	1.09B	1.04B	911.08M	879.50M	853.19M	807.13M
Balance Sheet
Total Assets	21.56B	21.02B	21.06B	20.45B	22.45B	21.85B
Cash, Cash Equivalents and Short-Term Investments	927.30M	3.37B	335.50M	3.75B	3.60B	1.32B
Total Debt	8.87B	8.62B	9.78B	9.99B	12.72B	13.60B
Total Liabilities	9.10B	8.86B	10.16B	10.28B	13.08B	13.93B
Stockholders Equity	12.47B	12.16B	10.90B	10.17B	9.37B	7.92B
Cash Flow
Free Cash Flow	0.00	696.92M	-70.62M	-1.37B	1.37B	-1.72B
Operating Cash Flow	0.00	703.36M	-66.37M	-1.37B	1.39B	-1.71B
Investing Cash Flow	0.00	122.22M	-2.02M	-109.00K	-20.91M	-1.45M
Financing Cash Flow	0.00	260.16M	-220.42M	-116.58M	566.26M	-7.34M

Tourism Finance Corporation of India Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 65.33
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:TFCILTD, the sentiment is Positive. The current price of 65.33 is above the 20-day moving average (MA) of 64.96, below the 50-day MA of 65.37, and above the 200-day MA of 59.11, indicating a neutral trend. The MACD of -0.52 indicates Negative momentum. The RSI at 51.30 is Neutral, neither overbought nor oversold. The STOCH value of 62.92 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:TFCILTD.

Tourism Finance Corporation of India 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%
TFCILTD	66 Neutral	₹30.21B	25.03	―	0.92%	5.73%	12.29%
PFS	66 Neutral	₹21.07B	6.35	―	―	-17.15%	124.47%
GICHSGFIN	65 Neutral	₹8.74B	6.19	―	2.54%	1.07%	-13.63%
PAISALO	65 Neutral	₹31.13B	14.60	―	0.29%	11.75%	-6.52%
REPCOHOME	62 Neutral	₹25.25B	5.45	―	1.61%	8.10%	2.97%
CENTRUM	39 Underperform	₹11.27B	-7.86	―	―	47.88%	11.61%

Tourism Finance Corporation of India Limited Corporate Events

TFCI to Anchor Two Category II AIFs in Hospitality and Real Estate

Tourism Finance Corporation of India Limited has decided to participate as co-sponsor and anchor investor in the Holystone Hospitality Fund, an equity-focused Category II Alternative Investment Fund, committing up to 5% of the fund’s corpus, while the fund’s registration application has been filed with the Securities and Exchange Board of India. The company has also resolved to act as an anchor investor in the Certus Real Estate Fund, another Category II AIF, with a commitment of up to 10% of its total fund size, signaling a strategic push into alternative investments in hospitality and real estate that could deepen TFCI’s sectoral presence and diversify its revenue streams once these funds receive regulatory approval.