Buy Cholamandalam Finance, target price Rs 655: Yes Securities

Yes Securities has buy call on Cholamandalam Investment & Finance Company with a target price of Rs 655.
The current market price of Cholamandalam Investment & Finance Company Ltd. is Rs 614.05.

Time period given by analyst is Intra Day when Cholamandalam Investment & Finance Company Ltd. price can reach defined target.


Cholamandalam Investment & Finance Company Ltd., incorporated in the year 1978, is a Large Cap company (having a market cap of Rs 50403.07 Crore) operating in NBFC sector.

Cholamandalam Investment & Finance Company Ltd. key Products/Revenue Segments include Interest, Fees & Commission Income, Sale of services and Income From Sale Of Share & Securities for the year ending 31-Mar-2021.


Financials
For the quarter ended 30-06-2021, the company reported a Consolidated Total Income of Rs 2481.91 Crore, up .09 % from last quarter Total Income of Rs 2479.80 Crore and up 16.76 % from last year same quarter Total Income of Rs 2125.61 Crore. Company reported net profit after tax of Rs 329.12 Crore in latest quarter.

Investment Rationale
The stock is on the verge of a breakout from an Ascending Triangle pattern neckline placed at 624, a successful breakout on volumes will resume the uptrend taking the stock higher to levels of 655. Further, RSI indicator is also confirming the bullishness.

Promoter/FII Holdings
Promoters held 51.57 per cent stake in the company as of 30-Sep-2021, while FIIs owned 21.36 per cent, DIIs 19.06 per cent.