CSL Finance Ltd: Is It a Deep Value Opportunity?

CSL Finance Ltd has a deep value score of 30/100 (rated Weak). This score is calculated from three components

• Earnings Score: 3/40 — measures PAT growth momentum across quarters
• Underperformance Score: 17/35 — how much the stock trails Nifty 500 (deeper underperformance = higher contrarian signal)
• Quality Score: 10/25 — operational quality (margins, revenue growth, valuation)

CSL Finance Ltd's quarterly profit (PAT) growth trajectory

• Latest Quarter PAT Growth (QoQ): -14%
• Previous Quarter PAT Growth (QoQ): +15%
• 2 Quarters Ago PAT Growth (QoQ): +12%
• PAT Acceleration: -13.4pp (profits are decelerating)

CSL Finance Ltd is underperforming the market despite improving earnings — this is the core deep value thesis

• 1-Year Return vs Nifty 500: -30%
• 6-Month Return vs Nifty 500: -13%
• 3-Month Return vs Nifty 500: -20%
• Yet average quarterly PAT growth is +4% — earnings are improving
• The market often takes time to re-rate stocks with improving fundamentals. This gap between price performance and earnings improvement is what deep value research seeks to identify.

CSL Finance Ltd's earnings momentum is Decelerating — growth rate is slowing.

• PAT QoQ progression: +12% → +15% → -14% (2Q ago → 1Q ago → latest)
• Acceleration: -13.4pp
• PAT YoY Growth: +24%

CSL Finance Ltd's valuation metrics

• Price-to-Earnings (PE): 6.1x
• Price-to-Book (PB): 0.9x
• PEG Ratio: 0.2x

CSL Finance Ltd's revenue and margin trends

• Latest Quarter Revenue Growth (QoQ): +1%
• Average Quarterly Revenue Growth: +4%
• Revenue Acceleration: -2.2pp
• Latest OPM Change: -4.5pp (margins contracting)
• Average OPM Change: -0.8pp
• Revenue YoY: +21%

CSL Finance Ltd's trailing twelve month (TTM) performance

• TTM PAT: ₹85 Cr
• TTM PAT Growth: +18.1% YoY
• TTM Revenue: ₹244 Cr
• TTM Revenue Growth: +19.0% YoY

CSL Finance Ltd key facts

• Sector: Finance & Investments - Others
• Market Cap: ₹519 Cr
• Rank in Finance & Investments - Others: #5 by value score
• Overall rank among all deep value stocks: #88
• Classification: Financial (banking/NBFC scoring model applied)

CSL Finance Ltd shows limited deep value signals currently — score is 30/100 (Weak). Monitor for improvement.

• Value Score: 30/100 (Weak)
• Earnings: Not accelerating
• 1Y Underperformance: -30% vs Nifty 500

CSL Finance Ltd asset quality metrics (financial sector)

• Gross NPA: 100.00%
• GNPA Trend: STABLE
• Net NPA: 0.75%
• NNPA Trend: DETERIORATING

Other deep value stocks in Finance & Investments - Others

• Oswal Green Tech Ltd — Score 52/100, Average
• BF Investment Ltd — Score 48/100, Average
• The Investment Trust of India Ltd — Score 42/100, Average, earnings accelerating
• Fedders Holding Ltd — Score 33/100, Weak, earnings accelerating

Finance & Investments - Others deep value sector overview

• 5 deep value stocks in this sector
• Average value score: 41/100
• Avg PAT acceleration: -76.2pp
• Top pick: BF Investment Ltd

Deep value investing studies stocks that are underperforming the market despite showing improving fundamentals. The thesis is that the market has not yet recognized the earnings recovery, creating a potential valuation gap. It requires patience — recovery can take several quarters.

The deep value score (0-100) combines three factors:

- Earnings (0-40 pts): PAT growth across last 3 quarters, acceleration, and consecutive growth - Underperformance (0-35 pts): How much the stock trails Nifty 500 over 1Y, 6M, 3M (deeper underperformance = higher score) - Quality (0-25 pts): Revenue growth, margin trends, and valuation metrics (PEG, P/B)

Higher score indicates a stronger contrarian research signal.