Sakthi Finance

Why is Sakthi Finance Ltd falling/rising?

As of 04-Jul, Sakthi Finance Ltd's stock price is rising to 28.66, reflecting a 0.56% increase over the past month. However, it has significant long-term declines, with a year-to-date drop of 27.44% and a one-year decline of 42.10%, alongside decreasing investor participation.

As of 04-Jul, Sakthi Finance Ltd's stock price is rising, currently at 28.66, with a change of 0.16 (0.56%) upward. This increase can be attributed to its performance over the past month, where the stock has risen by 7.10%, outperforming the benchmark Sensex, which increased by 4.60% during the same period. <BR><BR>However, it is important to note that despite this recent uptick, the stock has experienced significant declines over longer periods, with a year-to-date decrease of 27.44% and a one-year decline of 42.10%. Additionally, the stock is currently performing below its sector average today, underperforming by 0.55%. <BR><BR>Investor participation appears to be declining, as evidenced by a 41.15% drop in delivery volume compared to the 5-day average. While the stock is trading above its shorter-term moving averages (5-day, 20-day, 50-day, and 100-day), it remains below the 200-day moving average, indicating a mixed outlook. <BR><BR>In summary, the recent rise in Sakthi Finance Ltd's stock price is supported by its positive monthly performance, but it is tempered by longer-term declines and decreasing investor participation.

Which are the latest news on Sakthi Finance?

Who are in the management team of Sakthi Finance?

The management team of Sakthi Finance includes M Manickam (Chairman), M Balasubramaniam (Vice Chairman & Managing Director), and several independent and non-executive directors, bringing diverse expertise to the company.

The management team of Sakthi Finance includes the following members:<BR><BR>1. **M Manickam** - Chairman & Non-Executive Director<BR>2. **M Balasubramaniam** - Vice Chairman & Managing Director<BR>3. **M Srinivaasan** - Non-Executive & Non-Independent Director<BR>4. **A Selvakumar** - Independent Non-Executive Director<BR>5. **P S Gopalakrishnan** - Independent Non-Executive Director<BR>6. **Priya Bhansali** - Independent Non-Executive Director<BR>7. **K P Ramakrishnan** - Independent Non-Executive Director<BR>8. **S Veluswamy** - Non-Executive & Non-Independent Director<BR><BR>This team brings a diverse range of experience and expertise to the company.

Who are the peers of the Sakthi Finance?

Sakthi Finance's peers include Crescentis Capit, Landmarc Leisure, Emerald Finance, Sangam Finserv, Credent Global, Paul Merchants, Beacon Trust, and Usha Financial. While Sakthi Finance has a good capital structure, it shows below-average growth and a 1-year return of -48.43%, lower than its peers.

Peers: The peers of Sakthi Finance are Crescentis Capit, Landmarc Leisur., Emerald Finance, Sangam Finserv, Credent Global, Paul Merchants, Beacon Trust., and Usha Financial.<BR><BR>Quality Snapshot: Excellent management risk is observed at Crescentis Capit and Beacon Trust., while Good management risk is found at Credent Global. Below Average management risk is present at Landmarc Leisur., Emerald Finance, Sangam Finserv, Sakthi Finance, Paul Merchants, Usha Financial, and the rest. Growth is Excellent at Emerald Finance and Credent Global, while Good growth is noted at Usha Financial and the rest show Below Average growth including Sakthi Finance, Crescentis Capit, Landmarc Leisur., Sangam Finserv, and Paul Merchants. Excellent capital structure is seen at Crescentis Capit, Landmarc Leisur., Emerald Finance, Sangam Finserv, Paul Merchants, Beacon Trust., and Usha Financial, while Sakthi Finance has a Good capital structure.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Crescentis Capit at 24.76%, while the lowest is Emerald Finance at -38.28%. Sakthi Finance's own 1-year return is -48.43%, which is lower than both. Additionally, the peers with negative six-month returns include Emerald Finance, Sangam Finserv, and Paul Merchants.

What does Sakthi Finance do?

Sakthi Finance Ltd is a Non Banking Financial Company specializing in loans for used commercial vehicles and construction equipment, with a market cap of INR 180 Cr and recent net sales of 49 Cr and net profit of 6 Cr as of March 2026. The company was founded in 1955 and is based in Coimbatore, Tamil Nadu.

Overview:<BR>Sakthi Finance Ltd is a Non Banking Financial Company (NBFC) in the micro cap category that specializes in providing loans for used commercial vehicles and construction equipment.<BR><BR>History:<BR>Sakthi Finance Ltd was incorporated on March 30, 1955, originally as 'The Pollachi Credit Society Pvt. Ltd.' The company changed its name to Sakthi Finance Limited in 1967. The latest quarterly results reported net sales and profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>Most recent Net Sales: 49 Cr (Quarterly Results - Mar 2026) <BR>Most recent Net Profit: 6 Cr (Quarterly Results - Mar 2026) <BR>Market-cap value: INR 180 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>P/E: 10.00 <BR>Industry P/E: 20 <BR>Dividend Yield: 2.27% <BR>Debt Equity: 4.84 <BR>Return on Equity: 7.15% <BR>Price to Book: 0.73 <BR><BR>Contact Details:<BR>Address: 62 DR NANJAPPA ROAD, P B NO 3745 Coimbatore Tamil Nadu : 641018 <BR>Tel: 91-0422-2231471-74/4236200 <BR>Email: sakthif_info@sakthifinance.com <BR>Website: http://www.sakthifinance.com

Are Sakthi Finance Ltd latest results good or bad?

Sakthi Finance Ltd's latest results show a 49.87% increase in net profit quarter-on-quarter, but a 22.44% decline year-on-year, alongside falling sales and high debt levels, indicating a challenging outlook that many investors may view as unfavorable.

Sakthi Finance Ltd's latest results present a mixed picture. In Q4 FY26, the company reported a net profit of ₹5.62 crores, which is a significant increase of 49.87% compared to the previous quarter. However, this figure reflects a decline of 22.44% year-on-year. On the sales front, net sales fell to ₹49.28 crores, down 10.09% from the previous quarter and 6.49% year-on-year, indicating ongoing revenue contraction.<BR><BR>While the improvement in net profit and a higher PAT margin of 11.40% (up 456 basis points QoQ) may seem positive, it is essential to note that this was largely driven by a reduction in the effective tax rate rather than a robust operational performance. The company's elevated debt-to-equity ratio of 5.45 times raises concerns about financial stability, and its return on equity remains low at 6.99%.<BR><BR>Overall, while there are some positive indicators in terms of quarter-on-quarter profit growth, the year-on-year declines in both sales and profit, coupled with high leverage and weak capital efficiency, suggest that the results are not fundamentally strong. Therefore, the outlook for Sakthi Finance appears challenging, and many investors may view the latest results as unfavorable.

Should I buy, sell or hold Sakthi Finance Ltd?

When is the next results date for Sakthi Finance Ltd?

The next results date for Sakthi Finance Ltd is 23 May 2026.

The next results date for Sakthi Finance Ltd is scheduled for 23 May 2026.

How has been the historical performance of Sakthi Finance?

Sakthi Finance showed positive historical performance from March 2009 to March 2010, with net sales increasing to 78.30 Cr, operating profit rising to 61.35 Cr, and profit after tax growing to 5.86 Cr, alongside improved cash flow. Despite slight declines in profit margins, the overall trend indicated growth in key financial metrics.

Answer:<BR>The historical performance of Sakthi Finance shows a positive trend in key financial metrics from March 2009 to March 2010.<BR><BR>Breakdown:<BR>In the fiscal year ending March 2010, Sakthi Finance reported net sales of 78.30 Cr, an increase from 57.35 Cr in March 2009. The total operating income also rose to 78.30 Cr from 57.35 Cr, while total expenditure, excluding depreciation, increased to 16.94 Cr from 11.94 Cr. Operating profit, excluding other income, improved to 61.35 Cr from 45.41 Cr, leading to an operating profit margin of 78.36%, slightly down from 79.19% the previous year. Profit before tax increased to 10.11 Cr from 7.62 Cr, and profit after tax rose to 5.86 Cr from 4.77 Cr, resulting in a PAT margin of 7.49%, down from 8.31%. The earnings per share also improved to 1.95 from 1.58. In terms of cash flow, the company experienced a net cash inflow of 9.28 Cr in March 2010, compared to 1.39 Cr in March 2009, with closing cash and cash equivalents rising to 24.51 Cr from 15.22 Cr. Overall, Sakthi Finance demonstrated growth in sales, profits, and cash flow during this period.

Is Sakthi Finance overvalued or undervalued?

As of November 12, 2025, Sakthi Finance is considered undervalued with attractive valuation metrics, including a PE ratio of 16.17 and a PEG ratio of 3.44, despite its recent stock performance lagging behind the Sensex.

As of 12 November 2025, Sakthi Finance has moved from a fair to an attractive valuation grade. The company appears to be undervalued given its current metrics, with a PE ratio of 16.17, an EV to EBIT of 9.17, and a Price to Book Value of 1.19. These ratios suggest that the company is trading at a reasonable price relative to its earnings and book value, especially when compared to peers like Bajaj Finance, which has a significantly higher PE ratio of 34.41, and Life Insurance, which shows a more attractive PE of 11.14.<BR><BR>In comparison to its peers, Sakthi Finance's PEG ratio of 3.44 indicates a more favorable growth outlook relative to its valuation, while Bajaj Finserv's PEG of 2.44 suggests it is overvalued. Additionally, Sakthi Finance's recent stock performance has lagged behind the Sensex, particularly in the year-to-date return, which stands at -29.13% compared to the Sensex's 8.10%. This underperformance, combined with its attractive valuation metrics, reinforces the conclusion that Sakthi Finance is currently undervalued.

Who are the top shareholders of the Sakthi Finance?

The top shareholders of Sakthi Finance include Sakthifinance Financial Services Limited with 19.19%, Avdhoot Finance And Investment Private Limited at 8.69%, and individual investors holding 7.38%. There are no pledged promoter holdings, and the company currently has no mutual funds or foreign institutional investors.

The top shareholders of Sakthi Finance include the promoters, with Sakthifinance Financial Services Limited holding the largest stake at 19.19%. The highest public shareholder is Avdhoot Finance And Investment Private Limited, which owns 8.69%. Additionally, individual investors hold 7.38% of the shares. Notably, there are no pledged promoter holdings, and the company does not have any mutual funds or foreign institutional investors currently holding shares.

What is the technical trend for Sakthi Finance?

As of April 22, 2025, Sakthi Finance's technical trend is mildly bearish, with mixed signals from the MACD and moving averages, indicating a lack of clear direction.

As of 22 April 2025, the technical trend for Sakthi Finance has changed from bearish to mildly bearish. The weekly MACD indicates a mildly bullish stance, while the monthly MACD is mildly bearish, suggesting mixed signals. The daily moving averages are mildly bearish, reinforcing the overall bearish sentiment. The Bollinger Bands show a sideways movement on the weekly chart and a mildly bearish trend on the monthly chart. The KST is mildly bullish weekly but mildly bearish monthly, and Dow Theory indicates a mildly bullish trend on the weekly timeframe with no clear trend monthly. Overall, the current technical stance is mildly bearish, with key indicators such as the daily moving averages and monthly MACD contributing to this outlook.

how big is Sakthi Finance?

As of Jun 06, Sakthi Finance Ltd has a market capitalization of 320.00 Cr, classifying it as a Micro Cap company, with recent net sales of 214.99 Cr and net profit of 16.65 Cr over the last four quarters.

Market Cap: As of Jun 06, Sakthi Finance Ltd has a market capitalization of 320.00 Cr, which classifies it as a Micro Cap company.<BR><BR>Recent Quarterly Performance: For the latest 4 quarters, Sakthi Finance reported a sum of Net Sales of 214.99 Cr and a sum of Net Profit of 16.65 Cr. This data is based on Standalone financials.<BR><BR>Balance Sheet Snapshot: The balance sheet data is Consolidated and pertains to the reporting period of Mar'10. Shareholder's Funds are valued at 73.99 Cr, while Total Assets amount to 552.73 Cr.

Has Sakthi Finance declared dividend?

Yes, Sakthi Finance Ltd has declared an 8% dividend, amounting to ₹0.8 per share, with an ex-date of September 3, 2024. While recent returns have been volatile, the company has shown significant growth in total returns over the past several years.

Sakthi Finance Ltd has declared an 8% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 8%<BR>- Amount per share: 0.8<BR>- Ex-date: 03 Sep 2024<BR><BR>Dividend Yield: 1.26%.<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -15.3%, the dividend return was 0%, resulting in a total return of -15.3%.<BR><BR>Over the past year, the price return was -1.06%, the dividend return was 1.55%, leading to a total return of 0.49%.<BR><BR>In the 2-year period, the price return was 72.17%, the dividend return was 3.99%, which resulted in a total return of 76.16%.<BR><BR>For the 3-year period, the price return was 94.88%, the dividend return was 8.99%, culminating in a total return of 103.87%.<BR><BR>In the last 4 years, the price return was 200.0%, the dividend return was 11.66%, resulting in a total return of 211.66%.<BR><BR>Over the past 5 years, the price return was 258.44%, the dividend return was 23.57%, leading to a total return of 282.01%.<BR><BR>Overall, Sakthi Finance has declared a dividend, and while recent returns have shown volatility, the longer-term performance indicates significant growth, particularly in total returns over the past several years.