Tata Capital Ltd.
NSE: TATACAPNIFTY100
Analyst consensus:Constructive· 11 analysts
₹354.05—1Y
Last updated 02:55:33 IST· Public market feed (~15 min delay during market hours)
Tata Capital Ltd.: A 30-second snapshot
Tata Capital (TATACAP), an NBFC in the Banking sector, trades at Rs 300.95 — 18.06% below its 52-week high and 5.6% below the 50-DMA of Rs 319.02. Trailing PE stands at 25.6 against a forward PE of 14.4, with ROE of 12.0% and a 5-year earnings CAGR of 52.2%, though FCF has been negative in all tracked years and the consistency score is 20 out of 100.
P/E
25.6
Forward P/E
14.4
ROE
+12.0%
Debt / Equity
502.06
Profit Margin
+39.0%
Div. Yield
—
5Y ROE > 15%
0/5
5Y FCF > 0
0/5
Quality
46/100
News
2 headlines · 0 positive · 0 negative
Recent context
- ·News flow is sparse — only 2 articles captured, both neutral: a floating-rate bond issuance accepted by Tata Capital (May 21, 2026) and a bond coupon analysis for an existing instrument, indicating active capital-market activity in the debt segment.
- ·The stock is trading near identified technical support levels of Rs 300.15 and Rs 296.80, with resistance levels at Rs 328, Rs 346, and Rs 358.90 representing approximately 9-19% above current price.
- ·The forward PE of 14.4 versus trailing PE of 25.6 reflects analyst consensus that earnings are expected to grow materially — context that sits alongside a price decline of 9.98% over 3 months.
Strengths
- +5-year earnings CAGR of 52.2% indicates rapid growth in reported profitability from the base period, even as revenue growth of 7% over the same horizon has been moderate.
- +Profit margin of 39.0% is high in absolute terms, consistent with an NBFC model where net interest income flows largely to the bottom line after provisions.
- +Forward PE of 14.4 represents a 44% discount to the trailing PE of 25.6, implying that consensus earnings estimates project a material step-up in profitability in the coming period.
- +Analyst mean rating of 1.55 across 11 analysts (1-5 scale, lower = more constructive) reflects a constructive tilt in sell-side coverage.
Weaknesses
- −ROE of 12.0% has not exceeded 15% in any tracked year, and FCF has been negative in every tracked year — the combination of high D/E (502.1) with sub-15% ROE and zero FCF-positive years places the capital structure under sustained pressure.
- −Quality score of 43 (ranked 4th of 6 peers) and consistency score of 20 out of 100 position TATACAP near the bottom of the Banking/NBFC peer group on composite quality metrics.
- −Price is 18.06% below the 52-week high and 9.98% lower over 3 months, trading below the 50-DMA (Rs 319.02); 200-DMA is unavailable due to limited price history (157 bars), making longer-term trend assessment incomplete.
- −Revenue growth of 7% over 5 years diverges sharply from the 52.2% earnings CAGR — a divergence that warrants scrutiny as to whether the earnings trajectory is driven by operating leverage, non-recurring items, or changes in provisioning.
Open questions
- ?Does the 52.2% five-year earnings CAGR reflect a structural improvement in Tata Capital's business model, or is it partly explained by a low base, changes in provisioning norms, or one-time items?
- ?How does an NBFC with D/E of 502 and zero FCF-positive years in the tracked history manage funding costs and credit risk through a rising-rate or liquidity-stress environment?
- ?Given that ROE of 12.0% ranks 5th of 6 peers and has never crossed 15%, what conditions would need to change for Tata Capital to close the gap with higher-ROE peers like BAJFINANCE (17.9%)?
- ?What does the 7% revenue CAGR versus 52.2% earnings CAGR divergence imply about the sustainability of margin expansion — and how much of the forward PE compression to 14.4 depends on that margin holding?
Peer comparison: Banking
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| TATACAP | Tata Capital Ltd.You're viewing | 25.6 | +12.0% | 43 |
| Industry avg | across 5 peers | 31.2 | +14.2% | 39 |
| BAJFINANCE | Bajaj Finance Ltd. | 29.1 | +17.9% | 53 |
| AXISBANK | Axis Bank Ltd. | 15.1 | +13.2% | 50 |
| HDFCBANK | HDFC Bank Ltd. | 16.6 | +13.8% | 50 |
| BAJAJFINSV | Bajaj Finserv Ltd. | 28.8 | +14.6% | 23 |
| HDFCLIFE | HDFC Life Insurance Company Ltd. | 66.2 | +11.3% | 20 |
Technical state
Current price
₹300.95
SMA 50
₹319.02
SMA 200
—
RSI (14)
39.0 (neutral)
From 52w high
-18.1%
1Y return
—
3M return
-10.0%
50-DMA
Below
200-DMA
Below
Algorithmic support levels
₹300.15
₹296.80
Algorithmic resistance levels
₹328.00
₹346.00
₹358.90
Risk flags
- highD/E ratio of 502.1 is structurally characteristic of NBFC lending models, but when combined with ROE of 12.0% (zero years above 15% in the tracked history), zero FCF-positive years, and a consistency score of 20 out of 100, it signals a business that persistently consumes capital without generating commensurate returns on equity.
- mediumQuality score of 43 ranks 4th of 6 Banking/NBFC peers; ROE of 12.0% ranks 5th of 6, below AXISBANK (13.2%), HDFCBANK (13.8%), BAJAJFINSV (14.6%), and BAJFINANCE (17.9%). Revenue growth of 7% over 5 years contrasts with a 52.2% earnings CAGR, raising questions about whether earnings expansion is structural or driven by base-effect or non-recurring factors.
- mediumCurrent price of Rs 300.95 is below the 50-DMA of Rs 319.02 and 18.06% below the 52-week high. The 3-month price change is -9.98%. RSI at 39.05 sits in the lower portion of the neutral range. 200-DMA is unavailable due to insufficient price history (157 bars available, 200 required).
- lowOnly 2 news articles were captured (threshold is 3), limiting sentiment analysis reliability. 200-DMA and 1-year price change are unavailable for TATACAP. All 5 sector peers also lack 1-year price change data, making relative price-momentum comparison impossible.
Cross-section contradictions
- 5-year earnings CAGR of 52.2% is materially strong, yet ROE of 12.0% has never exceeded 15% in any tracked year and FCF-positive years = 0 — rapid earnings growth has not translated into sustained capital efficiency by these two measures.
- Forward PE of 14.42 is 44% below the trailing PE of 25.61, implying a significant expected earnings step-up, yet the price has declined 9.98% over 3 months and sits 18.06% below the 52-week high — the price trend does not reflect the implied earnings expectation.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 1 Jun 2026 · rotates through NIFTY 500 every ~5 days