CARE Ratings Ltd (Credit Rating Agencies) — fundamental analysis, earnings data, and key metrics. PE: 28.2. ROE: 18.0%. This stock is not currently in the Nifty 500 momentum outperformers list.
Based on Q3 FY26 earnings • Updated Feb 22, 2026
What: 15-20% sequential revenue growth potential as debt market activity normalizes in H2 FY26
Impact: +₹16.8 Cr revenue
“Management: "Looking ahead, we remain cautiously optimistic on the outlook, supported by improving credit demand, healthy capital market activity"”
What: Diversification reducing revenue volatility, adding 3-5% to overall growth rate
Impact: +₹3.4 Cr revenue
“Management: "Consolidated revenue from operations grew by 16% year-on-year in Q3 FY26 and by 17% in 9M FY26, supported by continued contribution from non-ratings businesses"”
What: Potential for 200-300 bps margin expansion as revenue grows
“Management: "The Company reported a robust standalone EBITDA margin of 46% for 9M FY26, underpinned by disciplined cost management and operational efficiencies"”
Earnings deceleration risks from management commentary
Trigger: Continued debt market weakness
Impact: -1000 bps margin impact
Management view: Management acknowledges cyclical nature but remains cautiously optimistic on improving credit demand
Monitor: Quarterly debt issuance volumes
Trigger: Continued low-yield cash holdings
Management view: No specific guidance on capital deployment strategy mentioned
Monitor: ROCE vs ROE gap
Key quotes from recent conference calls
“Even as the domestic debt market remained in a mixed state during Q3 FY26, CARE Ratings delivered a healthy performance during the quarter and the first nine months of FY26. — Director & Group CEO of CareEdge”
“Standalone revenue from operations grew by 15% year-on-year in Q3 FY26, while quarter-on-quarter or sequential basis. — Director & Group CEO of CareEdge”
“The Company reported a robust standalone EBITDA margin of 46% for 9M FY26, underpinned by disciplined cost management and operational efficiencies. — Director & Group CEO of CareEdge”
“Looking ahead, we remain cautiously optimistic on the outlook, supported by improving credit demand, healthy capital market activity, and our continued focus on governance, analytical rigour, and stakeholder trust. — Director & Group CEO of CareEdge”
Forward-looking targets from management for H2 FY26
Revenue Growth Target
15%
Implied PAT Growth
18%
OPM Guidance
46%
Key Milestones
• Debt market recovery
• Non-rating business contribution
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
CARE Ratings Ltd's latest quarterly results (Dec 2025) show
CARE Ratings Ltd's current PE ratio is 28.2x.
CARE Ratings Ltd's price-to-book ratio is 5.3x.
CARE Ratings Ltd's fundamental strength based on key financial ratios
CARE Ratings Ltd has a debt-to-equity ratio of N/A.
CARE Ratings Ltd's return ratios over recent years
CARE Ratings Ltd's operating cash flow is positive (FY2025).
CARE Ratings Ltd's current dividend yield is 1.19%.
CARE Ratings Ltd's shareholding pattern (Dec 2025)
CARE Ratings Ltd's promoter holding is 0.0%.
CARE Ratings Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.
CARE Ratings Ltd has 3 key growth catalysts identified from recent earnings analysis
CARE Ratings Ltd has 2 key risks worth monitoring
In Q3 FY26, CARE Ratings Ltd's management highlighted
CARE Ratings Ltd's management has provided the following forward guidance for H2 FY26
Based on quantitative research signals, here is why CARE Ratings Ltd may be worth studying
CARE Ratings Ltd investment thesis summary:
CARE Ratings Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
