SBI Funds Management 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.

SBI Funds Management Ltd trades at ₹561, between stages. That is −5.4% against its own 200-day average. It sits at 39% of a 52-week range of ₹530 to ₹610. On relative strength it is currently behind the NIFTY 500 on a trailing-13-week view (4 weeks and counting).

Today the stock is between stages. At ₹561 it trades −5.4% versus its 200-day average and sits at 39% of its 52-week range (₹530–₹610).

Against the market, two honest reads. Cumulative: over the last 2 months the stock moved −8% while the NIFTY 500 moved +0% — behind the index over the full window. Recent form: on a trailing-13-week view the stock is currently behind (4 weeks and counting; last ahead the week of 2026-09-11) — 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.

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.

SBI Funds Management Ltd trades at 36.9× P/E, near the bottom of its own range — cheaper only 30% of the time. Its long-run median P/E is 37.4×, measured across 0.2 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 36.9× is near the bottom of its own range — cheaper only 30% of the time, against a long-run median of 37.4× measured over 0.2 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

One caveat before moving on: margins are the best this company has ever printed — cheap against its own history on record margins is not the same thing as cheap. If profitability mean-reverts, today's multiple is higher than it looks.

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

The PEG ratio, which only the second data source carries, is not drawn on this page: its two data sources do not share enough overlapping reported history to be compared. A figure nobody could check is not used to price growth — the gap is a decision, not missing data.

Stage: No read 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).

SBI Funds Management Ltd reads as no read on its fundamental arc. Under eight usable quarters on the growth trio — not enough history for an honest trajectory read. The read is built from 4 quarters across 1 curve, on partial evidence.

Why it matters: with too little history, an honest page says so instead of guessing a trajectory.

Return readings here are annual, not quarterly — read as level and direction only; they can confirm the growth curves but never drive the stage on their own.

Fewer than eight usable quarters on the growth curves — this page will not guess a trajectory from a stub of history.

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

SBI Funds Management Ltd reported ₹1,153 Cr of revenue in the Jun 26 quarter, +15.2% year on year. Over 11 years it has compounded at 24.4% a year. The last full year, FY26, came in at ₹4,974 Cr.

FY26 revenue came in at ₹4,974 Cr (+17.4% on the year), capping 11 years at 24.4% compound. The latest quarter (Jun 26) printed ₹1,153 Cr, +15.2% year on year.

Pace check: the last four quarters averaged +15.2% growth against the decade's 24.4% — the current year is running slower than its own long-run rate.

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.

SBI Funds Management Ltd's operating margin is 80.0% in the Jun 26 quarter, +1.0 percentage points against the same quarter a year ago. That is the widest this company has ever printed on a full-year basis. Across 11 fiscal years the operating margin has ranged 41.0% to 82.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 80.0%, +1.0 pp against the same quarter a year ago. Across 11 fiscal years the operating margin has ranged 41.0%–82.0%, and FY26's 82.0% is the top of that band — a record year.

Why: the numbers show the operating margin move clearly, but the cost lines behind it sit below what we hold — so we state the move without inventing its driver.

Worth repeating from the valuation section: cheap against its own history on record margins is not the same thing as cheap — a record margin flatters every ratio built on top of it.

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

SBI Funds Management Ltd earned ₹880 Cr of net profit in the Jun 26 quarter, +3.7% year on year. Full-year FY26 profit was ₹3,067 Cr. The 11-year compound rate is 30.5%. That is 76.3% of the quarter's revenue.

Jun 26 profit was ₹880 Cr, +3.7% year on year. On the full year, FY26 printed ₹3,067 Cr (+20.7%), and the 11-year compound rate is 30.5%.

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 77% of SBI Funds Management Ltd's reported profit arrived as operating cash — most of the profit is real cash. In FY26 that was ₹2,488 Cr of operating cash against ₹3,067 Cr of profit. After ₹55.0 Cr of capital spending, ₹2,433 Cr was left as free cash.

FY26: operating cash of ₹2,488 Cr against reported profit of ₹3,067 Cr, leaving free cash of ₹2,433 Cr after ₹55.0 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 77% 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 77%: the cash cycle held roughly steady between FY21 and FY26 — so conversion tracks profitability rather than the cycle.

Router verdict: the bigger cash user is investment — capital spending ran 2.3× depreciation over three years, so the next section's job is to check what that build-out is buying.

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).

SBI Funds Management Ltd's cash conversion cycle runs 6 days in FY26, down from 9 days in FY21. Capital spending ran ₹279 Cr over the last 3 years. At FY26 sales of ₹4,974 Cr each day of that cycle holds about ₹13.6 Cr, so roughly ₹82.0 Cr sits inside the business at any moment.

FY26: debtors at 6 days (an asset-light business — no inventory to speak of) — for a full cycle of 6 days, tighter than FY21's 9.

In money terms: at FY26 sales of ₹4,974 Cr, each day of the cycle holds about ₹13.6 Cr — so the 6-day loop keeps roughly ₹82.0 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹279 Cr over the last 3 fiscal years against ₹121 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹0.0 Cr (FY26) — 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.

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.

SBI Funds Management Ltd earns a ROCE of 56% in FY26. That is up from a trough of 43% in FY16. Return on invested capital clears the cost of that capital by +170.2 percentage points, so growth here adds value rather than only size. The wiring behind it is 61.7% net margin on 0.77× asset turns.

FY26 ROCE is 56%, recovered from a FY16 trough of 43% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 61.7% net margin × 0.77× asset turns × 1.08× balance-sheet leverage ≈ 51.3% 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: 182.2% − 12.0% = a +170.2 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.

Debt Debt-to-equity says how much of the business is funded by borrowings; interest cover says how many times operating profit pays the interest bill. Low and high, respectively, is the safe corner.

SBI Funds Management Ltd carries ₹0.0 Cr of borrowings against ₹5,963 Cr of equity in FY26, a debt-to-equity of 0.00. Operating profit covers the interest bill north of 100×. Over 5 years borrowings went from ₹65.0 Cr to ₹0.0 Cr. Capital spending ran ₹279 Cr across the last 3 of those years.

FY26: borrowings of ₹0.0 Cr against equity of ₹5,963 Cr — a debt-to-equity of 0.00. Operating profit covers the interest bill north of 100×. Over 5 years borrowings went from ₹65.0 Cr to ₹0.0 Cr while capital spending ran ₹279 Cr in just the last 3 — the build-out is being paid for out of cash, not debt.

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 SBI Funds Management Ltd moved a full percentage point over the last two years — the register is quiet. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — .

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.

SBI Funds Management 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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