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Arman Financial Services Limited (ARMANFIN) Fair Value & Analysis

Financial Services · IN · Market cap ₹17.5B

AF Arman Financial Services Limited ARMANFIN · NSE
Price₹2,011
Fair Value₹699.84
Upside-65.2%
Quality34/100
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Expensive Growth
Solidly profitable · 19.4% net margin
High debt · negative free cash flow
Trails peers (2/12)
Moderate moat 50/100
Evidence: High Range ₹524.88 – ₹874.80 Share as image

Fair value as of: Aug 2, 2026

From 7 valuation models · updated 11 days ago

Share price +2.3% over the past month.

Below-average quality, and screening another 65% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹874.80). The favourable scenario is already priced in.
  • Weak quality (34/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

₹2,641 ₹523.75 Fair Value ₹699.84 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 2, 2026.

How to read this chart

60‑month range ₹523.75 – ₹2,641 · fair‑value band ₹524.88 – ₹874.80 · the ₹2,011 price screens above the ₹699.84 fair value. Dashed = 300-day average. As of Aug 2, 2026.

Full chart & analysis →

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Analysis

Arman Financial Services Limited (ARMANFIN) currently trades at ₹2,011, while our model-based Fair Value estimate is ₹699.84, implying the stock looks roughly 65.2% overvalued today. The Quality Score stands at 34/100 (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, Arman Financial Services Limited generated revenue of ₹2.9B at a net margin of 19.4%. Revenue grew 36.8% year over year. It earns a return on equity of 6.3%. Net debt stands at ₹16.9B. Fundamentals as of Aug 2, 2026

Our scenario range runs from ₹524.88 (bear case) to ₹874.80 (bull case); at ₹2,011, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 58% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -41% fair-value upside, at -65%, ARMANFIN screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income ₹701.12 ₹724.12 ₹736.85 76
P/E Multiple ₹524.88 ₹699.84 ₹874.80 63
P/B Multiple ₹686.39 ₹915.18 ₹1,144 55
All 7 models by family
DCF Models
Owner Earnings ₹269.48 ₹2,476 31
Earnings-Based
Graham-Dodd ₹366.07 ₹2,553 ₹3,583 54
Lynch FV ₹1,189 ₹1,698 ₹2,208 50
Multiples
P/E Multiple ₹524.88 ₹699.84 ₹874.80 63
P/B Multiple ₹686.39 ₹915.18 ₹1,144 55
Asset-Based
NCAV (Graham) ₹443.82 ₹594.72 ₹887.64 50
Economic Profit
Residual Income ₹701.12 ₹724.12 ₹736.85 76

Widest divergence: Earnings-Based (₹1,698) versus DCF Models (₹269.48). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) ₹2.9B
Revenue growth (YoY) +36.8%
Net margin 19.4%
Return on equity 6.3%
Free cash flow −₹4.8B FY2026
P/E ratio 31.2
More key figures
Operating margin 39.9%
EPS (TTM) ₹53.54
EPS growth (YoY) +222%
Net debt ₹16.9B FY2026

Figures from reported company fundamentals · as of Aug 2, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 34/100

Of which business quality 30 · Market factors (momentum, volatility) 70

Profitability 26
Margins and returns on capital today
Quality Growth 37
Are margins and returns improving?
Cashflow 0
Earnings quality: real cash, not paper profit
Fin. Strength 38
Balance sheet, leverage, solvency risk
Investment 48
Disciplined investing over empire-building
Low Volatility 71
Calm price path (market factor)
Momentum 63
Price trend over the last 3–12 months (market factor)
52W Momentum 81
Distance to the 52-week high (market factor)
Net Issuance 49
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Arman Financial Services Limited, together with its subsidiary, operates as a non-banking finance company in India. The company offers micro, small, and medium enterprise loans; two wheeler loans; and micro finance loans as well as individual business loans and loan against property.

Full company description

Arman Financial Services Limited, together with its subsidiary, operates as a non-banking finance company in India. The company offers micro, small, and medium enterprise loans; two wheeler loans; and micro finance loans as well as individual business loans and loan against property. The company was formerly known as Arman Lease and Finance Limited and changed its name to Arman Financial Services Limited in November 2008. Arman Financial Services Limited was incorporated in 1992 and is headquartered in Ahmedabad, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Arman Financial Services Limited reported revenue of ₹6.1B in FY2026 versus ₹2.2B in FY2022, a compound +28.6%/yr. Reported net income was ₹566M in FY2026, compounding +15.6%/yr from FY2022.

Growth Quality 57/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹6.1B
Latest YoY
−1.2%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+16.2%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+26.5%
Avg. growth/yr (19Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+31.9%
Revenue +28.6%/yr
FY22 ₹2.2B
FY23 ₹3.9B
FY24 ₹5.9B
FY25 ₹6.2B
FY26 ₹6.1B
Net income +15.6%/yr
FY22 ₹317M
FY23 ₹938M
FY24 ₹1.7B
FY25 ₹521M
FY26 ₹566M
Character of growth · EPS growth decomposed (2015-2026) +28.4 % p.a.
Revenue per share +29.3 pp

of which total revenue +34.7 pp · buybacks/dilution −5.5 pp

EBIT margin +2.6 pp
Tax rate +1.6 pp
Residual (interest, one-offs) −5.0 pp

Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).

ARMANFIN screens 65% overvalued. Compare with Visa Inc →

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Cite: Fair Value Calculator (2026). "Arman Financial Services Limited Fair Value". https://www.fairvalue-calculator.com/stock/ARMANFIN

Peer Group

Credit Services · 334 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 33 · Bottom 25%
Fair Value upside −65% · Bottom 25%
Return on equity (TTM) 6% · Below median
Return on assets 2% · Below median
Net margin (TTM) 19% · Below median
Operating margin (TTM) 40% · Above median
Revenue growth 37% · Top 25%
Debt / equity 1.90× · Higher than median

Valuation Multiples vs Credit Services median · lower = cheaper

P/E (TTM) 31.2× · Pricier than 75% of peers
P/B 1.88× · Pricier than median
P/S (TTM) 6.00× · Pricier than 75% of peers
EV/EBITDA 18.1× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 39
FUTURE 100 · sector 39
PAST 25 · sector 32
HEALTH 5 · sector 59
DIVIDEND 0 · sector 49

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Credit Services stocks, each showing price versus our Fair Value estimate (as of Aug 2, 2026).

Stock Price Fair Value vs Fair Value
Visa Inc V $348.97 $204.19 -41%
Mastercard Incorporated MA $537.70 $221.87 -59%
American Express Company AXP $358.44 $206.40 -42%
Bajaj Finance Limited BAJFINANCE ₹1,056 ₹397.61 -62%
Shriram Finance Limited SHRIRAMFIN ₹1,024 ₹553.83 -46%
Cholamandalam Investment and Finance Company CHOLAFIN ₹1,808 ₹796.52 -56%
Tata Capital Limited TATACAP ₹360.60 ₹229.85 -36%
Power Finance Corporation PFC ₹405.10 ₹810.20 +100%
Muthoot Finance Limited MUTHOOTFIN ₹3,129 ₹3,463 +11%
Indian Railway Finance Corporation IRFC ₹88.41 ₹69.72 -21%

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Frequently asked questions

Is Arman Financial Services Limited (ARMANFIN) overvalued or undervalued?
As of Aug 2, 2026, our model estimates a fair value of ₹699.84 versus a price of ₹2,011, about −65% (overvalued).
What is the fair value of ARMANFIN?
Our model-based fair value for Arman Financial Services Limited is ₹699.84 (as of Aug 2, 2026), built from audited fundamentals. The current price is ₹2,011.
What is the quality score of ARMANFIN?
Arman Financial Services Limited has a Quality Score of 34/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Arman Financial Services Limited (ARMANFIN)?
Arman Financial Services Limited reported trailing-twelve-month revenue of about ₹2.9B (latest available figure, as of Aug 2, 2026).
What is the net profit margin of ARMANFIN?
The net profit margin of Arman Financial Services Limited is about 19.4%, meaning it keeps roughly 19.4% 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.

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