Five-Star Business Finance Limited (FIVESTAR) Fair Value & Analysis
Financial Services · IN · Market cap ₹146B
Fair value as of: Aug 2, 2026
From 13 valuation models · updated 11 days ago
Share price +2.3% over the past month.
A solid business, but screening 13% overvalued on our models.
What matters now
- The model range is unusually wide (₹294.07 to ₹787.70). The outcome hinges heavily on assumptions, so read the point estimate with caution.
- Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (4 years)
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
45‑month range ₹346.04 – ₹894.04 · fair‑value band ₹294.07 – ₹787.70 · the ₹554.40 price screens above the ₹483.90 fair value. Dashed = 300-day average. As of Aug 2, 2026.
Analysis
Five-Star Business Finance Limited (FIVESTAR) currently trades at ₹554.40, while our model-based Fair Value estimate is ₹483.90, implying the stock looks roughly 12.7% overvalued today. The Quality Score stands at 64/100 (solid 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, Five-Star Business Finance Limited generated revenue of ₹22.7B at a net margin of 48.5%. Revenue grew 4.2% year over year. It earns a return on equity of 16.1%. Net debt stands at ₹60.5B. Fundamentals as of Aug 2, 2026
Our scenario range runs from ₹294.07 (bear case) to ₹787.70 (bull case); at ₹554.40, the current price sits within 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 about 30% below its 52-week high and 64% 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 -13%, FIVESTAR screens cheaper 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.
All 13 models by family
Widest divergence: Earnings-Based (₹1,303) versus Dividend Discount (₹32.12). Highest evidence: Growth DCF (80).
Notify me when FIVESTAR reaches fair value
Free. You confirm by email (double opt-in) and can unsubscribe anytime in one click.
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 2, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 63 · Market factors (momentum, volatility) 56
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
Five-Star Business Finance Limited operates as a non-banking financial company in India. It offers small business and mortgage loans to micro-entrepreneurs and self-employed individuals for business purposes, as well as for asset creation, such as home renovation or improvement, marriage, healthcare, and education expenses.
Full company description
Five-Star Business Finance Limited operates as a non-banking financial company in India. It offers small business and mortgage loans to micro-entrepreneurs and self-employed individuals for business purposes, as well as for asset creation, such as home renovation or improvement, marriage, healthcare, and education expenses. The company was incorporated in 1984 and is headquartered in Chennai, India.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Five-Star Business Finance Limited reported revenue of ₹32.5B in FY2026 versus ₹12.3B in FY2022, a compound +27.4%/yr. Reported net income was ₹11.0B in FY2026, compounding +24.8%/yr from FY2022.
of which total revenue +59.3 pp · buybacks/dilution −16.5 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).
FIVESTAR screens 13% overvalued. Compare with Visa Inc →
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.
Valuation Multiples vs Credit Services median · lower = cheaper
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.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
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% |
Compare Five-Star Business Finance Limited with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Financial Services stocks →
Frequently asked questions
Is Five-Star Business Finance Limited (FIVESTAR) overvalued or undervalued?
What is the fair value of FIVESTAR?
What is the quality score of FIVESTAR?
What is the revenue of Five-Star Business Finance Limited (FIVESTAR)?
What is the net profit margin of FIVESTAR?
Does Five-Star Business Finance Limited pay a dividend?
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.
Track Five-Star Business Finance Limited and try Pro for 14 days
One email gets you 14 days of full Pro (review alerts, the 35,000+ stock screener, the diversification check) plus the monthly Top-25 report of the most undervalued quality stocks. No card, cancel anytime.
Zero risk: nothing is ever charged. After 14 days you decide whether to stay.