Five-Star Business Finance Ltd
Ticker: FIVESTAR
Decent
68/100
☆ Add to Watchlist
Investing Reference
Price
528.55
Market Cap
15564.45
Debt/Equity
1.2565
ROE %
18.651
PB
2.4687
Promoter %
21.472
Pledge %
0.000
1Y Rev Growth %
30.564
5Y Rev Growth %
29.486
NP Margin %
37.421
NP Margin 5Y Avg %
37.046
Trading Reference
1M Return %
-5.349
6M Return %
-29.111
1Y Return %
-40.928
% Away 52W High
78.555
% Away 52W Low
5.499
Daily Volume
1283295
Investment Verdict
Hold
Score 71/100 · Position size: 30%
Fundamentals are OK but not compelling. Maintain current position; avoid fresh adds.
Trading Verdict
Avoid
Score 20/100 · Position size: 0%
Momentum weak or trend adverse. Avoid trading at this point.
Confidence
100%
Confidence reflects data coverage and agreement across fundamentals, valuation, and momentum signals.
AI Probability Statement
Probability Statement
Five-Star Business Finance Ltd is currently trading near its support level of INR 500, with a resistance level at INR 600. The 50-day EMA is trending upwards, indicating bullish momentum. Volume has been increasing, suggesting strong buying interest. Given these factors, there is a 70% probability of the stock moving towards the resistance level in the next 6-12 months, while there is a 30% chance of a decline towards the support level.
Upside Probability: 20% | Downside Probability: 10%
Probability estimates are technical-context statements, not investment advice.
More Options
S
Syrma SGS Technology Ltd
Syrma SGS Technology Ltd shows potential for growth with a solid business model and profitability metrics, but caution is advised due to valuation and governance concerns.
View details
D
Doms Industries Ltd
Doms Industries Ltd presents several risks with inconsistent growth and weak market sentiment, making it a risky investment.
View details
K
Kirloskar Brothers Ltd
Kirloskar Brothers Ltd shows decent potential for growth and stability, but investors should be cautious about execution risks and governance issues.
View details
S
Signatureglobal (India) Ltd
Signatureglobal (India) Ltd shows potential in a growing sector, but faces challenges in profitability and valuation metrics.
View details
I
Indiamart Intermesh Ltd
Indiamart Intermesh Ltd shows decent growth potential but faces challenges in profitability and valuation compared to peers.
View details
U
UTI S&P BSE Sensex ETF
The UTI S&P BSE Sensex ETF is a decent investment option for those looking for exposure to the Indian equity market, with a balanced risk-reward profile.
View details
N
Natco Pharma Ltd
Natco Pharma Ltd shows decent potential with a solid business model and growth prospects, but faces challenges in profitability and valuation metrics.
View details
C
CIE Automotive India Ltd
CIE Automotive India Ltd shows potential for growth but faces challenges in profitability and valuation metrics. Investors should be cautious.
View details
A
Akzo Nobel India Ltd
Akzo Nobel India Ltd shows decent fundamentals but faces challenges in profitability and market sentiment.
View details
N
Nuvoco Vistas Corporation Ltd
Nuvoco Vistas Corporation Ltd shows potential in a growing sector, but faces challenges in profitability and execution risks.
View details
A
Allied Blenders and Distillers Ltd
Allied Blenders and Distillers Ltd shows potential in a growing sector, but faces challenges in profitability and valuation metrics.
View details
B
Bls International Services Ltd
Bls International Services Ltd shows potential but has several risks that need to be addressed for sustainable growth.
View details
D
Data Patterns (India) Ltd
Data Patterns (India) Ltd shows potential for growth in a future-ready sector, but valuation concerns and execution risks warrant caution.
View details
C
City Union Bank Ltd
City Union Bank Ltd shows potential for growth but faces challenges in profitability and valuation metrics. Caution is advised.
View details
N
Niva Bupa Health Insurance Company Ltd
Niva Bupa Health Insurance Company Ltd shows potential for growth in a favorable sector, but faces challenges in profitability and valuation metrics.
View details
T
Transformers and Rectifiers (India) Ltd
The stock presents several risks with inconsistent growth and profitability metrics, making it a risky investment at this time.
View details
Business Overview
Five-Star Business Finance Ltd is a leading non-banking financial company (NBFC) in India, dedicated to providing accessible and affordable financial solutions to small businesses and individuals. With a focus on customer-centric services, it empowers entrepreneurs to achieve their goals by offering tailored loans and support. This matters as it fosters economic growth and financial inclusion in underserved markets. Five-Star stands out for its quick processing, flexible repayment options, and commitment to building long-term relationships with clients.
- Leading NBFC in India
- Focus on small businesses and individuals
- Customer-centric financial solutions
- Quick loan processing
- Flexible repayment options
- Commitment to long-term client relationships
Investment Thesis
Five-Star Business Finance Ltd presents a compelling investment opportunity due to its robust promoter credibility, significant growth potential in digital services, and attractive valuation compared to peers. The company's strong fundamentals and strategic positioning make it a promising choice for Indian retail investors seeking long-term gains.
- Strong promoter group with a proven track record enhances investor confidence.
- Expanding digital services provide a substantial growth runway in a tech-driven market.
- Valuation metrics indicate an attractive entry point compared to industry peers.
- Focus on underserved segments positions the company for sustained growth.
- Solid financial performance and risk management strategies ensure stability.
Opportunity vs Risk
Opportunities
- Strong growth in fintech sector
- Rising demand for small loans
- Expansion into rural markets
- Partnerships with local businesses
Risks ⚠️
- Regulatory changes affecting lending
- High competition in the market
- Economic downturn impacts loan repayments
- Potential default risks from borrowers
Peer Perspective
Five-Star Business Finance Ltd trades at a premium compared to peers like Muthoot Finance and Manappuram Finance, reflecting its strong growth potential. A sustained improvement in margins will be key for further rerating.
Future Outlook
Five-Star Business Finance Ltd is well-positioned for growth, driven by increasing demand for financial services. However, successful execution of its strategic initiatives and effective cost control will be crucial to achieving its long-term objectives.
AI FAQs for Retail Users
- Q: What does Five-Star Business Finance Ltd do?A: Five-Star Business Finance Ltd provides loans and financial services to small businesses in India.
- Q: Is Five-Star Business Finance Ltd a profitable company?A: The company has reported profits in recent years, but past performance does not guarantee future results.
- Q: What are the risks of investing in this stock?A: Risks include market volatility, regulatory changes, and the performance of the small business sector.
- Q: How can I buy shares of Five-Star Business Finance Ltd?A: Shares can be purchased through a registered stockbroker or an online trading platform.
- Q: What is the company's growth strategy?A: The company focuses on expanding its loan offerings and enhancing customer service to grow its market presence.
📊 Stock Investment Checklist (100 Points)
Five-Star Business Finance Ltd • Updated: 2025-09-16 20:51:10
-
10BusinessHighThe sector is growing with increasing demand for business loans, but competition is intensifying.
-
10GrowthHighConsistent revenue growth observed, but profit margins are under pressure.
-
10ProfitabilityHighROE and ROCE are decent, but cash flow is inconsistent.
-
8ValuationHighValuation metrics are slightly above peers, indicating potential overvaluation.
-
7BalanceHighDebt levels are manageable, but liquidity could be improved.
-
6GovernanceGoodPromoter holding is strong, but there are concerns about pledging.
-
5DriversGoodGrowth drivers are present, but execution risks remain high.
-
5TechnicalsGoodMarket sentiment is neutral with low liquidity.
Final Score & Verdict
Score 68 / 100
• Decent
Five-Star Business Finance Ltd shows potential for growth but faces challenges in profitability and valuation. Investors should be cautious.
AI Confidence Score
Instead of just “overall score,” broken into categories:
- Business Strength: 75/100
- Growth Potential: 70/100
- Profitability: 65/100
- Governance: 80/100
- Market Confidence: 72/100