CSL FINANCE CMP 408No signs of reversals yet, expecting reversals at any point of time from here in CSL Finance
SL Below 385
Safe is to wait for any reversal signs , for volume candle confirmation
Not a recommendation
CSLFINANCE trade ideas
CSL FINANCE Market Cap
₹ 1,155 Cr.
Current Price
₹ 507
High / Low
₹ 518 / 285
Stock P/E
18.3
Book Value
₹ 208
Dividend Yield
0.48 %
ROCE
14.7 %
ROE
15.2 %
Face Value
₹ 10.0
Debt to equity
1.06
Debt
₹ 505 Cr.
OPM
77.9 %
Promoter holding
47.4 %
Sales growth
41.2 %
Profit growth
38.9 %
CMP / FCF
-7.55
Industry PE
23.9
Pledged percentage
0.00 %
Reserves
₹ 452 Cr.
Buy Call For CSLFINANCEsymbol cslfinance
company csl finance ltd.
type long term & swing trade
price 490.5
date of entry 01-02-2024
risk market slowdown
CSL FINANCENote:
1. Views are personal and for educational purposes only. Recheck and take the trade as per your RR.
2. Always remember SL is your lifeline, not the big target...
3. Follow us for more patterns and like, share so that we feel it is helpful to many and share more patterns...
3. Views given here is not a tip rather it is for educational purpose... Aftermarket opens, the condition might change so learn to handle different conditions...
Keep an eye ladies and gentlemen. Cheers and Happy Trading
CSLFINANCE - Weekly Chart AnalysisAfter breaking out of the previous all time high level of 307 it went into the consolidation of 13 weeks and finally showing strength and closed this week with almost 9% gains.
Ideally shall wait for it to close and sustain above 350 levels.
It has broke out and re-tested those levels and showed strength thereafter.
Stock is trading above all its key moving averages.
271 shall act as support now. Weekly close below this shall invalidate our view.
Disclaimer: This is just an analysis and not a buy/sell recommendation. If you intend to trade this counter then do your own due diligence and trade at your own risk.
CSL Finance🔹 Technicals:
▸ Base formation followed by a high volume shakeout breakout
▸ Shakeout was followed by a good recovery and the price moved nearly 23% from the low of the shakeout
▸ Price has reclaimed the base and may possibly consolidate before moving towards the ATH
▸ If the price moves out of the base, 400 can be seen as a reasonable target in the short-term
Disclaimer: I am NOT a SEBI Registered Analyst and the information provided here is NOT investment advice. This post is intended solely for educational purposes.
csl finance- technical + fundamentalThe Indian NBFC sector has witnessed exponential pace of growth in the past 5 years. This can be attributed to the growing demand for alternate sources of demand from small and medium enterprises on one hand and dismal financial prudence displayed by public Banks. Even though the SME sector is still reeling under a steep credit deficit of $50 billion owing to non-availability of finance from traditional sources. NBFCs have become the major source of working capital over the past few years. Inspite of SMEs contributing 45% of total output in India and 8% of GDP, government support is reaching them at snail's pace. (China's SME contribution is 60% of GDP!)
New age NBFCs have taken a step forward to combine technology with their operations to scale up their business under the Fintech umbrella. Online vendors are funded via tech progressive NBFCs, P2P lending is augmented through NBFC aggregation, NBFCs are investing in structured products offered by Fintechs and so on. Micro Lending via Fintechs as well as Micro Finance companies is on the rise too.
CSL Finance Ltd., a BSE listed realigned NBFC shifted its focus gradually from 2011-12 from capital market operations to SME lending in the NCR Region and plans to expand to Tier-2 and Tier-3 cities in the Northern part of the country. The loan book has grown from 32crore in FY12 to 160cr in April17 and the company has completely stopped its capital markets activity from Q2 FY17 to focus on the organised and unorganised SME lending sector. The methodical shift of business with the constant loan book growth and close to zero defaults till date is clap worthy for a company which was an investment focussed family run business 5 years back.
CSL also has a high promoter holding of close to 75% which is considered a positive sign in case of nano caps but may not be the best of parameters for a growing NBFC which needs to be driven by a professional and focused management. The company has managed to surprise even on this front with a strong management team in place hiring individuals with a strong lending background. One concern which is often highlighted by other shareholders as well as other bloggers is the high salary withdrawn by the Chairman which almost amounts to 6-7% of net profits when the company has been parsimonious in distributing dividends. The strong rate of growth in profits might make the salary look meagre but the concern hovers on the mindset rather than amounts.
Another important structural change by the company was the simplification of the promoter structure by eliminating multi level holding and merging its holding company with itself leading to individuals directly holding the company. Thus the dividend of Re.1 for shareholders for the first time :). The movement towards external borrowing from Kotak, SBI and AU Financiers is another gradual shift towards core focused lending business. The revenue growth would not be an important parameter due to elimination of the capital market business but the strong loan book growth over the past 5 years and the stable profits in past few quarters are key metrics which summarise the performance of CSL Finance. The future loan growth as the dragons of Demonetisation are fading away could be close to 20%+.
source- bhavik
