CRISIL Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

CRISIL Ltd trades at ₹4,246, in a downtrend and 42 weeks into that stage. That is −2.5% against its own 200-day average. It sits at 35% of a 52-week range of ₹3,843 to ₹5,008. On relative strength it has been ahead of the NIFTY 500 on a trailing-13-week view for 1 straight week.

Today the stock is in a downtrend — week 42 of stage 4, confirmed. At ₹4,246 it trades −2.5% versus its 200-day average and sits at 35% of its 52-week range (₹3,843–₹5,008).

Against the market, two honest reads. Cumulative: over the last 10.3 years the stock moved +137% while the NIFTY 500 moved +274% — behind the index over the full window. Recent form: on a trailing-13-week view the stock has been ahead for 1 straight week — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

→ The trend is one thing; the bill is another. Are you paying up for it? Next: the P/E sits at the 21st percentile of its own range.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

CRISIL Ltd trades at 36.0× P/E, near the bottom of its own range — cheaper only 21% of the time. Its long-run median P/E is 45.6×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 36.0× is near the bottom of its own range — cheaper only 21% of the time, against a long-run median of 45.6× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +12.0% against a −28.1% price move — earnings outran the price, pushing the multiple DOWN its own range.

The price move, decomposed: over 5y, of the +9.1%/yr price move, ~+17.9%/yr came from earnings growth and ~−8.8 pp from the multiple (compressing); over 10y, of the +7.3%/yr price move, ~+11.1%/yr came from earnings growth and ~−3.8 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is low against its own past, so the story rests on the earnings line underneath it, not the multiple.

→ Cheap or dear rides on the earnings. Are they actually growing? Next: the fundamental stage — where the business sits in its arc, and how growth has compounded.

Stage: Consistent Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

CRISIL Ltd reads as consistent on its fundamental arc. Consistent — revenue, profit and EPS growth have stayed positive through the window, with ROCE at 35.3% and holding. The read is built from 12 quarters across 4 curves, on full evidence.

Why it matters: steady curves with healthy returns are the compounding setup — the risk is the price, not the business.

→ The stage names the trajectory. Next: the revenue line that produces it, quarter by quarter.

4-Factor Sector Score

66.1/100 — rank 2 of 3 in Credit Rating Agencies · 84% evidence confidence

CRISIL Ltd scores 66.1 out of 100 against the 3 companies it is compared with in Credit Rating Agencies, ranking 2. Acceleration candidate, not a confirmed leader: earnings are strong but sector-relative strength is -8.1% and the one-year return is -28.1%. Do not upgrade until sector-relative strength is above zero and another reported period confirms growth.

The four contributions add to the total exactly: 26.9 + 21.5 + 14.7 + 3 = 66.1. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

CRISIL Ltd reported ₹1,075 Cr of revenue in the Jun 26 quarter, +27.5% year on year. That is the 6th straight quarter of year-on-year growth. Over 10 years it has compounded at 10.2% a year. The last full year, FY25, came in at ₹3,649 Cr. The last four reported quarters add to ₹4,126 Cr.

CRISIL Ltd reported ₹1,075 Cr of revenue in the Jun 26 quarter, +27.5% year on year. That is the 6th straight quarter of year-on-year growth. Over 10 years it has compounded at 10.2% a year. The last full year, FY25, came in at ₹3,649 Cr. The last four reported quarters add to ₹4,126 Cr.

FY25 revenue came in at ₹3,649 Cr (+11.9% on the year), capping 10 years at 10.2% compound. The latest quarter (Jun 26) printed ₹1,075 Cr, +27.5% year on year — the 6th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +22.1% growth against the decade's 10.2% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +22.0% over the last 4 quarters against +13.7%/yr over the last 8 — accelerating; TTM profit +21.3% vs +16.6%/yr — accelerating.

→ Revenue grew — did margins hold as it scaled? Next: 29.0% this quarter (+1.0 pp YoY).

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

CRISIL Ltd's operating margin is 29.0% in the Jun 26 quarter, +1.0 percentage points against the same quarter a year ago. Across 12 fiscal years the operating margin has ranged 26.0% to 31.0%. The current quarter sits inside that band.

CRISIL Ltd's operating margin is 29.0% in the Jun 26 quarter, +1.0 percentage points against the same quarter a year ago. Across 12 fiscal years the operating margin has ranged 26.0% to 31.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 29.0%, +1.0 pp against the same quarter a year ago. Across 12 fiscal years the operating margin has ranged 26.0%–31.0%.

Why the margin moved: operating margin went +0.3 pp year on year while gross margin went +0.0 pp — the gain came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

→ Margins held — did that reach the bottom line? Next: profit +25.6% in the latest quarter.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

CRISIL Ltd earned ₹216 Cr of net profit in the Jun 26 quarter, +25.6% year on year. It is the 8th consecutive quarter of growth. Full-year FY25 profit was ₹766 Cr. The 10-year compound rate is 10.4%. That is 20.1% of the quarter's revenue. The same quarter a year earlier earned ₹172 Cr.

CRISIL Ltd earned ₹216 Cr of net profit in the Jun 26 quarter, +25.6% year on year. It is the 8th consecutive quarter of growth. Full-year FY25 profit was ₹766 Cr. The 10-year compound rate is 10.4%. That is 20.1% of the quarter's revenue. The same quarter a year earlier earned ₹172 Cr.

Jun 26 profit was ₹216 Cr, +25.6% year on year — the 8th consecutive quarter of growth. On the full year, FY25 printed ₹766 Cr (+12.0%), and the 10-year compound rate is 10.4%.

Why profit moved: revenue contributed +27.5% and the margin +1.0 pp — the quarter was revenue-led, with the margin roughly flat.

Pace comparison, last four quarters: profit +22.8% vs revenue +22.1%. Profit and revenue are moving roughly in step.

→ Profit rose — but did the cash follow? Next: 109% of the last 3 years' profit arrived as cash.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 109% of CRISIL Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY25 that was ₹756 Cr of operating cash against ₹766 Cr of profit. After ₹568 Cr of capital spending, ₹188 Cr was left as free cash.

FY25: operating cash of ₹756 Cr against reported profit of ₹766 Cr, leaving free cash of ₹188 Cr after ₹568 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 109% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 109%: the cash cycle stretched 12 days between FY20 and FY25 — more of each rupee of profit waits inside the cycle before arriving.

Router verdict: the bigger cash user is investment — capital spending ran 3.8× depreciation over three years, so the next section's job is to check what that build-out is buying.

→ So follow the cash to where it goes. Next: ₹1,140 Cr of building over 3 years.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

CRISIL Ltd's cash conversion cycle runs 69 days in FY25, up from 57 days in FY20. Capital spending ran ₹1,140 Cr over the last 3 years. At FY25 sales of ₹3,649 Cr each day of that cycle holds about ₹10.0 Cr, so roughly ₹690 Cr sits inside the business at any moment.

FY25: debtors at 69 days (an asset-light business — no inventory to speak of) — for a full cycle of 69 days, looser than FY20's 57.

In money terms: at FY25 sales of ₹3,649 Cr, each day of the cycle holds about ₹10.0 Cr — so the 69-day loop keeps roughly ₹690 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹1,140 Cr over the last 3 fiscal years against ₹303 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹30.0 Cr (FY25) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

→ Does all this activity actually earn its cost of capital? Next: ROCE is 33% and the ROIC − WACC spread is +23.4 pp.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

CRISIL Ltd earns a ROCE of 33% in FY25. Return on invested capital clears the cost of that capital by +23.4 percentage points, so growth here adds value rather than only size. The wiring behind it is 21.0% net margin on 0.80× asset turns.

FY25 ROCE is 33%.

Why the return is what it is — the wiring (FY25): 21.0% net margin × 0.80× asset turns × 1.51× balance-sheet leverage ≈ 25.4% on equity. Margin is doing the heavy lifting; leverage is modest — this is an earned return, not a borrowed one.

The capstone test — ROIC − WACC: 35.4% − 12.0% = a +23.4 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. A spread this wide means every rupee reinvested creates more than a rupee of value — the engine compounds.

→ Returns like these — is the balance sheet borrowing to make them? Next: debt-to-equity is 0.10.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

CRISIL Ltd carries total debt of ₹335 Cr against shareholder equity of ₹3,271 Cr as of Jun 26, a debt-to-equity of 0.10 — effectively unlevered. On the annual view that ratio went from 0.08 in FY22 to 0.10 in FY26. The returns elsewhere on this page are therefore earned rather than borrowed.

Jun 26: total debt of ₹335 Cr against shareholder equity of ₹3,271 Cr — a debt-to-equity of 0.10. On the annual view, debt-to-equity went from 0.08 (FY22) to 0.10 (FY26). The returns on this page are earned, not borrowed.

→ Who owns this, and are they adding or leaving? Next: the register is quiet.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of CRISIL Ltd moved a full percentage point over the last two years — the register is quiet. Domestic institutions moved +0.5 points over the same window, to 12.9%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Foreign institutions: −0.8 points over 8 quarters to 6.4%; Domestic institutions: +0.5 points over 8 quarters to 12.9%; Promoters: +0.0 points over 8 quarters to 66.6%.

→ One last check: does the safety math agree? Next: the balance-sheet safety line.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

CRISIL Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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