Karnavati Finance Ltd (KARNAVATI) Fair Value & Analysis

Financial Services · IN · Market cap ₹140M

Below-average quality, and screening another 70% overvalued on our models.

What matters now

• The price sits above even our optimistic bull case (₹0.4900). The favourable scenario is already priced in.
• Weak quality (38/100) and above fair value at the same time, the margin of safety is missing on both counts.
• The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
• A fairly wide model range (₹0.2600 to ₹0.4900) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹1.11 – ₹26.55 · fair‑value band ₹0.2600 – ₹0.4900 · the ₹1.34 price screens above the ₹0.4000 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.

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Analysis

Karnavati Finance Ltd (KARNAVATI) currently trades at ₹1.34, while our model-based Fair Value estimate is ₹0.4000, implying the stock looks roughly 70.2% overvalued today. The Quality Score stands 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: low).

It earns a return on equity of -81.1%. Net debt stands at ₹598M. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹0.2600 (bear case) to ₹0.4900 (bull case); at ₹1.34, 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 about 40% below its 52-week high and 24% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -45% fair-value upside, at -70%, KARNAVATI 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.

Key figures & financial health

Quality Score breakdown

About the company

Karnavati Finance Limited, a non-banking finance company, engages in the provision of various financial services in India. The company offers personal, business, gold, project, and vehicle, as well as loans against property to individual and non-individual customers; and money changing services.

Full company description

Karnavati Finance Limited, a non-banking finance company, engages in the provision of various financial services in India. The company offers personal, business, gold, project, and vehicle, as well as loans against property to individual and non-individual customers; and money changing services. It also provides digital and capital market-based lending; micro, structured, and corporate finance services; mortgage and wealth management services; and debt capital markets and syndication services. The company was formerly known as Karnavati Finance And Leasing Limited and changed its name to Karnavati Finance Limited in December 1989. Karnavati Finance Limited was incorporated in 1984 and is based in Jamnagar, India.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Karnavati Finance Ltd reported revenue of ₹53.1M in FY2026 versus ₹19.4M in FY2022, a compound +28.7%/yr. Reported net income was −₹59.0M in FY2026.

KARNAVATI screens 70% overvalued. Compare with Visa Inc →

Peer Group

Credit Services · 336 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.

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: 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.

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

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Frequently asked questions

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.