Shriram Finance Hits New 52-Week High of Rs.871.25 Marking Significant Milestone

New Peak in Share Price Highlights Momentum

On 28 Nov 2025, Shriram Finance's stock price touched Rs.871.25, marking its highest level in the past year. This peak follows a sequence of four consecutive days of gains, although the stock experienced a slight retreat today, trading within a narrow range of Rs.5.75. Despite the minor pullback, the stock remains positioned above its key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained upward momentum.

The stock's performance today aligned closely with its sector peers in the Non Banking Financial Company (NBFC) segment, reflecting broader industry trends. The Sensex, India's benchmark index, opened flat but moved into positive territory, trading at 85,807.16 points, just 0.29% shy of its own 52-week high of 86,055.86. This environment of cautious optimism has provided a supportive backdrop for Shriram Finance's price movement.

Strong One-Year Performance Compared to Market Benchmarks

Over the last twelve months, Shriram Finance has delivered a total return of 42.13%, significantly outpacing the Sensex's 8.51% return during the same period. This outperformance highlights the company's ability to generate value beyond broader market gains. The stock's 52-week low was recorded at Rs.493.60, illustrating a substantial price appreciation over the year.

Financial Metrics Underpinning the Rally

Shriram Finance's recent financial disclosures reveal a strong foundation supporting its stock price trajectory. The company reported its highest quarterly net sales at Rs.11,912.44 crores, accompanied by a peak PBDIT (Profit Before Depreciation, Interest and Taxes) of Rs.8,803.40 crores. Additionally, the PBT (Profit Before Tax) excluding other income reached Rs.3,104.12 crores, marking the highest quarterly figure to date.

These figures reflect a consistent pattern of positive quarterly results, with the company recording favourable outcomes for eight consecutive quarters. The long-term growth trend is further evidenced by an annual net sales growth rate of 22.00% and operating profit growth of 22.80%. Return on Equity (ROE) stands at 14.00%, indicating efficient utilisation of shareholder funds over time.

Institutional Holding and Valuation Context

Institutional investors hold a significant stake in Shriram Finance, accounting for 68.27% of the shareholding. This level of institutional participation often reflects confidence in the company's fundamentals and governance. However, the stock's valuation metrics suggest a premium positioning relative to peers. The Price to Book Value ratio is 2.7, which is higher than average historical valuations within the NBFC sector.

Profit growth over the past year has been recorded at 10.7%, while the stock's price appreciation stands at 42.13%, resulting in a PEG ratio of 1.8. This indicates that the stock's price reflects expectations of continued earnings growth, albeit at a valuation premium.

Market Position and Sector Dynamics

Shriram Finance operates within the NBFC sector, which has shown resilience and steady growth amid evolving economic conditions. The stock's ability to maintain trading levels above all major moving averages signals a positive technical stance relative to its sector peers. The broader market environment, with the Sensex trading above its 50-day and 200-day moving averages and led by mega-cap stocks, provides a constructive context for Shriram Finance's performance.

While the stock experienced a slight decline of 0.41% today, this movement came after a sustained rally, suggesting a potential consolidation phase rather than a reversal of trend. The narrow trading range observed indicates limited volatility, which may appeal to investors seeking stability within the NBFC space.

Summary of Key Price and Performance Indicators

To summarise, Shriram Finance's stock price has reached Rs.871.25, its highest level in 52 weeks, reflecting a year-to-date return of 42.13%. The stock's 52-week low was Rs.493.60, illustrating a strong appreciation over the period. The company’s financial results demonstrate robust net sales and profit figures, with consistent quarterly performance. Institutional ownership remains high, and the stock trades at a premium valuation relative to sector averages.

This milestone underscores Shriram Finance's position as a significant player within the NBFC sector, supported by solid fundamentals and positive market dynamics.

Get 1 year of Weekly Picks FREE when you subscribe to MojoOne. Offer ends soon. Start Saving Now →