Indian Railway Finance Corp Ltd
Ticker: IRFC
Decent
72/100
☆ Add to Watchlist
Investing Reference
Price
124.88
Market Cap
163199.50
Debt/Equity
7.8251
ROE %
12.768
PB
3.0987
Promoter %
86.364
Pledge %
0.000
1Y Rev Growth %
1.878
5Y Rev Growth %
15.138
NP Margin %
23.943
NP Margin 5Y Avg %
26.495
Trading Reference
1M Return %
-1.323
6M Return %
-2.643
1Y Return %
-17.353
% Away 52W High
33.648
% Away 52W Low
15.587
Daily Volume
17482919
Investment Verdict
Hold
Score 63/100 · 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
Indian Railway Finance Corp Ltd is currently trading near a strong support level, with the 50-day EMA indicating a bullish trend. If the stock breaks above the resistance level, there is a potential for upside. However, if it falls below the support, downside risk increases.
Upside Probability: 15% | Downside Probability: 10%
Probability estimates are technical-context statements, not investment advice.
More Options
A
Adani Green Energy Ltd
Adani Green Energy Ltd shows potential in a growing sector, but faces significant risks and valuation concerns.
View details
D
Divi's Laboratories Ltd
Divi's Laboratories shows solid fundamentals and growth potential, making it a decent investment option, though investors should be cautious of execution risks.
View details
V
Varun Beverages Ltd
Varun Beverages shows potential for growth, but faces challenges in profitability and valuation compared to peers.
View details
L
LTIMindtree Ltd
LTIMindtree Ltd shows decent potential with strong growth prospects, but valuation concerns and execution risks should be monitored.
View details
P
Pidilite Industries Ltd
Pidilite Industries Ltd shows a decent investment opportunity with strong fundamentals and growth potential, though valuation is a concern.
View details
B
Britannia Industries Ltd
Britannia Industries Ltd shows decent fundamentals and growth potential, but faces challenges in valuation and market competition.
View details
T
Tech Mahindra Ltd
Tech Mahindra shows potential for growth in the IT sector, but faces challenges in profitability and execution risks.
View details
B
Bajaj Holdings and Investment Ltd
Bajaj Holdings presents a decent investment opportunity but lacks strong growth drivers and has some valuation concerns.
View details
A
Ambuja Cements Ltd
Ambuja Cements Ltd shows decent fundamentals with growth potential, but faces challenges in profitability and market sentiment.
View details
B
Bharat Petroleum Corporation Ltd
Bharat Petroleum Corporation Ltd shows potential for growth, but faces significant challenges in profitability and market conditions.
View details
P
Power Finance Corporation Ltd
Power Finance Corporation Ltd shows potential but faces several challenges that could impact future performance.
View details
S
Solar Industries India Ltd
Solar Industries India Ltd shows potential for growth in a favorable sector, but faces challenges in profitability and valuation metrics.
View details
G
Godrej Consumer Products Ltd
Godrej Consumer Products Ltd shows decent potential with a strong market position, but faces challenges in profitability consistency and valuation metrics.
View details
C
Cholamandalam Investment and Finance Company Ltd
Cholamandalam Investment and Finance Company Ltd shows decent growth potential but faces challenges in profitability and valuation metrics.
View details
C
Cipla Ltd
Cipla Ltd shows a decent investment profile with consistent growth and profitability, though some risks and governance concerns exist.
View details
H
HDFC Asset Management Company Ltd
HDFC Asset Management Company Ltd shows decent fundamentals with consistent growth, but faces valuation challenges and competitive pressures.
View details
Business Overview
Indian Railway Finance Corporation Ltd (IRFC) is a pivotal financial institution dedicated to funding the Indian Railways. It plays a crucial role in facilitating the development and modernization of railway infrastructure, making it essential for the growth of the transportation sector in India. IRFC is designed for investors seeking stable returns through government-backed projects, while also supporting the nation’s economic progress.
- Government-owned entity ensuring reliability
- Focus on funding railway infrastructure projects
- Supports India's transportation growth
- Attractive for long-term investors
- Contributes to national economic development
Investment Thesis
Indian Railway Finance Corp Ltd (IRFC) presents a compelling investment opportunity due to its strong backing from the Indian government, robust growth in digital services, and attractive valuation compared to its peers. As the railways modernize, IRFC is poised to benefit significantly.
- Strong promoter group with government backing enhances credibility.
- Expanding digital services offer significant growth potential.
- Attractive valuation metrics compared to industry peers.
- Strategic role in financing railway infrastructure development.
- Consistent dividend payout reflects financial stability.
Opportunity vs Risk
Opportunities
- Strong government support
- Growing infrastructure spending
- Increasing freight demand
- Potential for dividend growth
Risks ⚠️
- High debt levels
- Regulatory changes
- Economic slowdown impact
- Competition from private players
Peer Perspective
Indian Railway Finance Corp Ltd trades at a discount to peers like Power Finance Corp and Rural Electrification Corp, primarily due to concerns over margin stability; a consistent improvement in margins could trigger a rerating.
Future Outlook
Indian Railway Finance Corp Ltd is well-positioned for growth, driven by increasing infrastructure investments. However, successful execution and stringent cost control will be crucial to fully realize its potential in the coming years.
AI FAQs for Retail Users
- Q: What does Indian Railway Finance Corp Ltd do?A: It provides financial assistance for the development of Indian Railways and its projects.
- Q: Is Indian Railway Finance Corp Ltd a good investment?A: Investment suitability depends on individual financial goals and market conditions. Research thoroughly before investing.
- Q: What are the risks associated with investing in this stock?A: Risks include market volatility, regulatory changes, and economic factors affecting the railway sector.
- Q: How can I buy shares of Indian Railway Finance Corp Ltd?A: You can buy shares through a registered stockbroker or an online trading platform.
- Q: What is the dividend policy of Indian Railway Finance Corp Ltd?A: The company has a history of paying dividends, but future payments depend on profitability and board decisions.
📊 Stock Investment Checklist (100 Points)
Indian Railway Finance Corp Ltd • Updated: 2025-09-17 06:59:36
-
10BusinessHighThe company operates in the essential sector of railway financing, which has a stable demand.
-
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.
-
9BalanceHighDebt levels are manageable, but liquidity could be improved.
-
7GovernanceHighPromoter holding is strong, but there are concerns about transparency.
-
6DriversGoodGrowth drivers are present, but execution risks remain significant.
-
5TechnicalsGoodMarket sentiment is neutral with low liquidity.
Final Score & Verdict
Score 72 / 100
• Decent
Indian Railway Finance Corp Ltd shows potential for stable growth, but faces challenges in profitability and valuation metrics.
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