Challani Capital

Why is Challani Capital Ltd falling/rising?

As of 07-Jul, Challani Capital Ltd's stock price is at 19.19, down 3.57%, and has underperformed its sector. The stock is in a bearish trend, trading below all key moving averages, with significantly reduced investor participation and negative performance over multiple time frames.

As of 07-Jul, Challani Capital Ltd's stock price is falling, currently at 19.19, which reflects a decrease of 0.71 or 3.57%. The stock has underperformed its sector by 4.12% today and has experienced consecutive declines over the last two days, totaling a drop of 7.46%. Additionally, the stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. <BR><BR>Investor participation has also diminished, with delivery volume on July 6 falling by 82.63% compared to the 5-day average. This decline in trading activity suggests a lack of confidence among investors. Furthermore, the stock has shown negative performance over various time frames, including a year-to-date decline of 13.05% and a one-year drop of 33.60%, contrasting with the broader market's performance. Overall, these factors contribute to the downward movement of Challani Capital Ltd's stock price.

Which are the latest news on Challani Capital?

How big is Challani Capital?

As of 10th June, Challani Capital Ltd has a market capitalization of 28.00 Cr, with recent net sales of 1.98 Cr and a net profit of 0.74 Cr. Shareholder's funds are 7.52 Cr, and total assets amount to 8.43 Cr.

As of 10th June, Challani Capital Ltd has a market capitalization of 28.00 Cr, classifying it as a Micro Cap company.<BR><BR>For the latest four quarters, the company reported Net Sales of 1.98 Cr and a Net Profit of 0.74 Cr.<BR><BR>The latest annual period for the balance sheet is March 2025, with Shareholder's Funds amounting to 7.52 Cr and Total Assets of 8.43 Cr.

Who are in the management team of Challani Capital?

The management team of Challani Capital includes Padam J Challani (Chairman & Managing Director), N Subramanian (Non Executive Independent Director), M J Lakshmi Narasimha Rao (Non Executive Independent Director), and Swapna P Kochar (Non Executive Director).

The management team of Challani Capital includes the following members:<BR><BR>1. **Padam J Challani** - Chairman & Managing Director<BR>2. **N Subramanian** - Non Executive Independent Director<BR>3. **M J Lakshmi Narasimha Rao** - Non Executive Independent Director<BR>4. **Swapna P Kochar** - Non Executive Director<BR><BR>If you have any more questions about the company or its operations, feel free to ask!

Who are the peers of the Challani Capital?

Challani Capital's peers include TCI Finance, Williamson Magor, Margo Finance, and others. TCI Finance has the highest 1-year return at 86.15%, while Challani Capital's return is -32.50%.

Peers: The peers of Challani Capital are TCI Finance, Williamson Magor, Margo Finance, TCFC Finance, Shricon Indus., IndiaNivesh, Ramsons Projects, Sulabh Engineers, and Richfield Fin.<BR><BR>Quality Snapshot: Excellent capital structure is observed at Margo Finance, TCFC Finance, Shricon Indus., IndiaNivesh, Ramsons Projects, Sulabh Engineers, Richfield Fin, and the rest. Below Average management risk is found at Margo Finance, TCFC Finance, IndiaNivesh, Ramsons Projects, Sulabh Engineers, Richfield Fin, and the rest. Average management risk is observed at Shricon Indus., while Challani Capital has Below Average management risk. Growth is Average at Challani Capital, while Good growth is noted at Shricon Indus., and Excellent growth is seen at IndiaNivesh and Ramsons Projects.<BR><BR>Return Snapshot: The peer with the highest 1-year return is TCI Finance at 86.15%, while Williamson Magor has the lowest at -29.21%. Challani Capital's 1-year return is -32.50%, which is lower than Williamson Magor's. Additionally, peers with negative six-month returns include TCFC Finance, Ramsons Projects, Richfield Fin, and Purshottam Inves.

What does Challani Capital do?

Challani Capital Ltd is a Micro Cap NBFC involved in hire-purchase, leasing, bill discounting, and forex services. Incorporated in 1990 and renamed in 2023, it reported net sales of 1 Cr and a net profit of 0 Cr for the quarter ending March 2026.

Overview:<BR>Challani Capital Ltd is a Micro Cap company operating in the Non Banking Financial Company (NBFC) sector, engaging in activities such as hire-purchase, leasing, bill discounting, and forex services.<BR><BR>History:<BR>Challani Capital Ltd was incorporated in 1990 and was formerly known as Indo Asia Finance Limited. The company was renamed to its current title on August 13, 2023, as per the Fresh Certificate of Incorporation issued by the Registrar of Companies, Government of India. The latest quarterly results reported net sales and net profit for the period ending March 2026.<BR><BR>Financial Snapshot:<BR>- Most recent Net Sales: 1 Cr (Quarterly Results - Mar 2026)<BR>- Most recent Net Profit: 0 Cr (Quarterly Results - Mar 2026)<BR>- Market-cap value: INR 28 Cr (Micro Cap)<BR><BR>Key Metrics:<BR>- P/E: 37.00<BR>- Industry P/E: 20<BR>- Dividend Yield: 0.00%<BR>- Debt Equity: 0.05<BR>- Return on Equity: 9.14%<BR>- Price to Book: 3.52<BR><BR>Contact Details:<BR>- Address: No 15 New Giri Road, T Nagar Chennai Tamil Nadu : 600017<BR>- Tel: 91-044-28342111<BR>- Email: investors@indoasianfinance.com<BR>- Website: http://www.indoasianfinance.com

Are Challani Capital Ltd latest results good or bad?

Challani Capital Ltd's latest results are concerning, showing an 82.11% decline in net profit and a 49.11% drop in revenue year-over-year, alongside a significant contraction in operating margin. These factors indicate a challenging financial outlook and a low advisory score of 26 out of 100, suggesting a "Strong Sell" recommendation.

Challani Capital Ltd's latest results indicate a challenging financial situation. In Q4 FY26, the company reported a net profit of ₹0.17 crore, which represents a significant decline of 82.11% year-over-year. Revenue also fell sharply by 49.11% year-over-year to ₹0.57 crore, although it did show an 83.87% increase compared to the previous quarter. This volatility in revenue highlights the company's erratic financial performance.<BR><BR>The operating margin has also contracted dramatically, down to 29.82% from 85.71% a year earlier. This decline reflects both revenue pressures and increased operating expenses. Furthermore, the company's overall financial trajectory has raised concerns among investors, as indicated by its low advisory score of 26 out of 100, placing it in "Strong Sell" territory.<BR><BR>Overall, the results suggest that Challani Capital is struggling with profitability and consistency, which are critical factors for investor confidence. The significant year-over-year declines in both profit and revenue, along with the erratic nature of its financial performance, point to a challenging outlook for the company.

When is the next results date for Challani Capital Ltd?

The next results date for Challani Capital Ltd is 19 May 2026.

The next results date for Challani Capital Ltd is scheduled for 19 May 2026.

Should I buy, sell or hold Challani Capital Ltd?

Is Challani Capital overvalued or undervalued?

As of December 3, 2025, Challani Capital is considered very expensive with a PE ratio of 21.94 and an EV to EBITDA of 26.65, indicating overvaluation compared to peers like Bajaj Finance and Life Insurance, despite its strong performance metrics and recent underperformance against the Sensex.

As of 3 December 2025, Challani Capital's valuation grade has moved from expensive to very expensive, indicating a significant shift in its perceived value. The company is currently overvalued. Key ratios include a PE ratio of 21.94, an EV to EBITDA of 26.65, and a ROE of 22.99%. <BR><BR>In comparison to its peers, Bajaj Finance has a much higher PE ratio of 34.68, while Life Insurance is notably more attractive with a PE of 10.75. This suggests that Challani Capital is trading at a premium relative to some of its competitors, despite its strong performance metrics. Additionally, while the stock has outperformed the Sensex over a three and five-year period, its recent one-month return of -6.07% contrasts sharply with the Sensex's gain of 1.34%, further supporting the notion of overvaluation.

How has been the historical performance of Challani Capital?

Challani Capital's financial performance improved significantly in the fiscal year ending March 2025, with net sales and total operating income both reaching 2.51 Cr, and profit before tax increasing to 1.86 Cr from 0.51 Cr the previous year. The operating profit margin rose to 64.54%, while total assets grew to 8.43 Cr, indicating a strong recovery and growth phase.

Answer:<BR>The historical performance of Challani Capital shows a significant increase in net sales, reaching 2.51 Cr in March 2025, up from 0.83 Cr in March 2024. The total operating income also rose to 2.51 Cr in March 2025, compared to 0.83 Cr the previous year. Operating profit (PBDIT) excluding other income improved to 1.62 Cr in March 2025, from 0.14 Cr in March 2024, indicating a positive trend in profitability. The profit before tax for March 2025 was 1.86 Cr, up from 0.51 Cr in March 2024, while profit after tax also increased to 1.86 Cr from 0.51 Cr. The earnings per share (EPS) rose to 1.24 in March 2025, compared to 0.34 in March 2024. <BR><BR>In terms of expenses, total expenditure excluding depreciation was 0.89 Cr in March 2025, up from 0.69 Cr in March 2024. The operating profit margin (excluding other income) improved to 64.54% in March 2025 from 16.87% in March 2024. The company's total assets increased to 8.43 Cr in March 2025 from 5.28 Cr in March 2024, while total liabilities also rose to 8.43 Cr from 5.28 Cr. The cash flow from operating activities remained at 0.00 Cr in March 2025, consistent with the previous year. Overall, Challani Capital has shown a recovery in financial performance with increasing revenues and profits, despite some fluctuations in expenses and cash flow.<BR><BR>Breakdown:<BR>Challani Capital's financial performance has shown notable improvements over the years, particularly in the latest fiscal year ending March 2025. The company achieved net sales of 2.51 Cr, a significant increase from 0.83 Cr in March 2024, reflecting a strong growth trajectory. Total operating income mirrored this growth, reaching 2.51 Cr, while operating profit (PBDIT) excluding other income surged to 1.62 Cr, up from 0.14 Cr the previous year. Profit before tax also saw a positive shift, rising to 1.86 Cr from 0.51 Cr, and profit after tax followed suit, reaching 1.86 Cr compared to 0.51 Cr in the prior year. The earnings per share (EPS) increased to 1.24 from 0.34, indicating enhanced shareholder value. Despite a rise in total expenditure to 0.89 Cr from 0.69 Cr, the operating profit margin improved significantly to 64.54%. The company's total assets grew to 8.43 Cr, reflecting a healthy balance sheet, while total liabilities increased correspondingly to 8.43 Cr. Cash flow from operating activities remained stable at 0.00 Cr, indicating consistent operational performance. Overall, Challani Capital's financial metrics suggest a recovery and growth phase, with improved profitability and asset management.

Who are the top shareholders of the Challani Capital?

The top shareholders of Challani Capital are primarily the promoters, with Shobha Padam Challani owning 74.72% of the shares. Individual investors hold 22.03%, and there are no mutual funds or foreign institutional investors involved.

The top shareholders of Challani Capital are primarily the promoters, with Shobha Padam Challani holding the largest share at 74.72%. Additionally, individual investors collectively hold 22.03% of the company's shares. There are currently no mutual funds or foreign institutional investors (FIIs) holding shares in the company.

What is the technical trend for Challani Capital?

As of June 6, 2025, Challani Capital's trend is sideways with mixed signals: weekly and monthly MACD are bullish, daily moving averages are mildly bearish, and Bollinger Bands suggest a mildly bullish stance, indicating market indecision.

As of 6 June 2025, the technical trend for Challani Capital has changed from mildly bullish to sideways. The weekly MACD remains bullish, while the monthly MACD is also bullish, indicating some positive momentum. However, the daily moving averages are mildly bearish, suggesting short-term weakness. The Bollinger Bands show a mildly bullish stance on both weekly and monthly time frames, which supports the overall bullish sentiment. The KST indicates a mixed view with weekly mildly bullish and monthly mildly bearish signals. Dow Theory shows no clear trend in both weekly and monthly perspectives. Overall, the current stance is neutral with mixed signals, reflecting indecision in the market.

What is the bonus history of the Challani Capital?

Challani Capital announced a 2:1 bonus issue on March 18, 2010, allowing shareholders to receive two additional shares for every one share held as of the record date, March 19, 2010.

Challani Capital has a bonus history that includes a significant event on March 18, 2010, when the company announced a 2:1 bonus issue. The record date for this bonus was March 19, 2010. This means that shareholders received two additional shares for every one share they held as of the record date. If you have any more questions about Challani Capital or need further details, feel free to ask!

Has Challani Capital declared dividend?

Challani Capital Ltd has declared a 3% dividend, amounting to 0.3 per share, with an ex-date of September 8. However, the dividend yield is 0%, as the company has not provided dividend returns in recent years, despite significant price appreciation.

Challani Capital Ltd has declared a 3% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 3%<BR>- Amount per share: 0.3<BR>- Ex-date: 08 Sep 10<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the 6-month period, the price return was 11.34%, the dividend return was 0%, resulting in a total return of 11.34%.<BR><BR>For the 1-year period, the price return was 66.06%, the dividend return was 0%, leading to a total return of 66.06%.<BR><BR>Over the 2-year period, the price return was 169.08%, with a dividend return of 0%, culminating in a total return of 169.08%.<BR><BR>In the 3-year period, the price return stood at 127.09%, the dividend return was 0%, which resulted in a total return of 127.09%.<BR><BR>For the 4-year period, the price return was 587.5%, the dividend return was 0%, yielding a total return of 587.5%.<BR><BR>In the 5-year period, the price return reached 639.25%, with a dividend return of 0%, resulting in a total return of 639.25%.<BR><BR>Overall, while Challani Capital has declared a dividend, the dividend yield remains at 0%, indicating that the dividend payouts have not contributed to total returns in recent years. The company has shown significant price appreciation across all periods, reflecting strong performance despite the lack of dividend returns.