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ARC Finance Ltd (ARCFIN) Fair Value & Analysis

Financial Services · IN · Market cap ₹471M

AF ARC Finance Ltd ARCFIN · BSE
Price₹0.5400
Fair Value₹0.1700
Upside-68.5%
Quality38/100
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Evidence: High Range ₹0.1200 – ₹0.4000

Fair value as of: Jul 5, 2026

From 24 valuation models · updated today

Share price −1.8% over the past month.

Price vs Fair Value (12 months)

₹0.9800 ₹0.4500 Fair Value ₹0.1700 Jul 2025 Jul 2026

12‑month range ₹0.4500 – ₹0.9800 · fair‑value band ₹0.1200 – ₹0.4000 · the ₹0.5400 price screens above the ₹0.1700 fair value. As of Jul 5, 2026.

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Analysis

ARC Finance Ltd (ARCFIN) currently trades at ₹0.5400, while our model-based Fair Value estimate is ₹0.1700 — implying the stock looks roughly 68.5% overvalued today. We read business quality at 38/100 (below-average quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium — the entry price still matters most (evidence: high).

Over the trailing twelve months, ARC Finance Ltd generated revenue of ₹277M at a net margin of 2.6%. Revenue grew 45.8% year over year. It earns a return on equity of 0.7%. Net debt stands at ₹136M. Fundamentals as of Jul 5, 2026

Key figures & financial health

Revenue (TTM) ₹277M
Revenue growth (YoY) +45.8%
Net margin 2.6%
Return on equity 0.7%
Free cash flow ₹8.7M FY2026
P/E ratio 54.0
More key figures
Operating margin 11.7%
EPS (TTM) ₹0.0100
EPS growth (YoY) -98.5%
Net debt ₹136M FY2026

Figures from reported company fundamentals (EODHD) · as of Jul 5, 2026. TTM = trailing twelve months.

About the company

ARC Finance Ltd, a non-banking finance company, engages in the lending business in India. The company offers loans and advances; and various financial services. It also invests and trades in securities. The company was formerly known as ARC Modellors & Services Limited and changed its name to ARC Finance Ltd in February 1993. ARC Finance Ltd was incorporated in 1982 and is based in Kolkata, India.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

ARC Finance Ltd reported revenue of ₹281M in FY2026 versus −₹54.0M in FY2022. Reported net income was ₹7.2M in FY2026, compounding +26.4%/yr from FY2022.

Revenue
FY22 −₹54.0M
FY23 ₹1.3M
FY24 ₹92.4M
FY25 ₹233M
FY26 ₹281M
Net income +26.4%/yr
FY22 ₹2.8M
FY23 ₹3.3M
FY24 ₹2.7M
FY25 ₹33.1M
FY26 ₹7.2M

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Similar stocks

6 more Credit Services stocks, each showing price versus our Fair Value estimate (as of Jul 5, 2026).

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Visa Inc 3V64 €283.80 €135.27 -52%
Mastercard Incorporated MA C$29.95 C$17.84 -40%
M4I M4I €430.50 €367.81 -15%
American Express Company AXP C$28.87 C$17.03 -41%
Capital One Financial Corporation COF $183.20 $122.33 -33%
Bajaj Finance Limited BAJFINANCE ₹962.40 ₹397.61 -59%

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Frequently asked questions

Is ARC Finance Ltd (ARCFIN) undervalued?
As of Jul 5, 2026, our model estimates a fair value of ₹0.1700 versus a price of ₹0.5400 — about −69% (overvalued). Model-based estimate, not financial advice.
What is the fair value of ARCFIN?
Our model-based fair value for ARC Finance Ltd is ₹0.1700 (as of Jul 5, 2026), built from audited fundamentals. The current price is ₹0.5400.
What is the quality score of ARCFIN?
ARC Finance Ltd has a Quality Score of 38/100, measuring profitability, growth and balance-sheet strength from non-valuation factors.
What is the revenue of ARC Finance Ltd (ARCFIN)?
ARC Finance Ltd reported trailing-twelve-month revenue of about ₹277M (latest available figure, as of Jul 5, 2026).
What is the net profit margin of ARCFIN?
The net profit margin of ARC Finance Ltd is about 2.6%, meaning it keeps roughly 2.6% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data — nothing guessed.

Educational research only · not financial advice · no buy/sell recommendation. Model-based estimates are not certainties; their reliability depends on data quality and assumptions.