KFIN TECHNOLOGIES LTD
Long

KFin Technologies Ltd

192
Company Snapshot:
Sector: Financial Services (Mutual Fund Services, RTA)

Market Cap: ₹21,000 Cr

Current Price: ₹1,239.20

Debt-to-Equity: 0.06 (very low)

ROE: 39% | ROCE: 49%

Financial Highlights:
Revenue Growth (3Y CAGR): ~22%

Profit Growth (3Y CAGR): ~32%

EBITDA Margin: ~48%

P/E Ratio: ~35x (TTM)

Industry Avg P/E: ~30-32x

Recent Price Action:
Stock broke out sharply in April 2025.

Support: ₹1,180 | Resistance: ₹1,300

RSI near 70 (mildly overbought, but momentum strong).

Key Strengths:
Dominant RTA player with 70%+ MF asset share.

Consistent cash flows and expanding international footprint.

High operating leverage driving margin expansion.

Key Risks:
Regulatory changes (SEBI reforms) could pressure fees.

High client concentration risk with top AMCs.

Valuation & Recommendation:
DCF Estimated Fair Value: ₹1,280–₹1,350

Recommendation: BUY on Dips / Accumulate

12-month Target Price: ₹1,320

Investment Horizon: 1–2 years

📈 Verdict: Strong business fundamentals, steady growth, and low debt make KFin Technologies attractive for long-term investors. Minor corrections can offer better entry points.

For Education Purposes only

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