📌 At a Glance

Consolidated Finvest is an NBFC that doesn’t lend aggressively, doesn’t talk much, doesn’t pay dividends (until recently), and yet somehow posts 81% profit CAGR over 5 years. It’s trading at a 6x P/E and 0.64x book, despite belonging to the Jindal family tree. Value investors, assemble.

1️⃣ Intro: Meet India’s Most Boring 4-Bagger

This company’s business model is simple: invest in stocks, bonds, and Jindal group cos, sit quietly, and compound.

It’s a part of the B.C. Jindal Group, the folks behind:

• Jindal Poly Films
• Jindal India Thermal Power
• Jindal Photo
• And other low-key family entities.

The stock is up 4x from its COVID lows but is still trading at:

• P/E of 6.1x
• P/B of 0.64x
• And no one on CNBC has ever heard of it.

Let’s fix that.

2️⃣ WTF Do They Even Do?

🧾 NBFC Classification:
Systemically Important, Non-Deposit Taking NBFC

🎯 Business Model:

• Invests in equity shares, mutual funds, and bonds
• Places inter-corporate deposits (ICDs)
• Provides loans to group and external entities
• Almost entirely proprietary capital

📦 No branches. No retail lending. No lending app.
Just slow-moving capital recycling across the Jindal empire.

3️⃣ Financials – Silent But Profitable

🧾 6-Year P&L Summary (₹ Cr)

⚠️ FY23 had a one-off stake sale or mark-to-market gain. But even normalised, FY24 & FY25 are solid.

4️⃣ Valuation – Is It Cheap, Meh, or Crack?

CMP = ₹204
EPS FY25 = ₹33.45
P/E = 6.1x

Book Value = ₹317
P/B = 0.64x

🧠 This is classic “HoldCo discount meets NBFC chill” — but it also means there’s deep value.

🎯 Fair Value Calculation

1. P/E Method

• EPS FY25: ₹33.45
• Fair P/E: 10–12 (given debt-free balance sheet, high margins)
• FV Range = ₹334 – ₹401

2. P/B Method

• Book Value: ₹317
• Fair P/B Range = 0.9 – 1.2 (based on ROE + NBFC sector avg)
• FV Range = ₹285 – ₹380

🎯 Final EduInvesting FV Range: ₹285 – ₹395
CMP ₹204 → Discount of 30–48% to fair value

5️⃣ What’s Cooking – News, Triggers, Drama

🧾 FY25 Result (May 2025):

• PAT up 133% YoY
• Revenue ₹66 Cr
• First-time final dividend of ₹1.13/share (yield: 0.55%)

📣 Regulatory Filings:

• Clarification issued under SEBI Reg. 33
• Change in auditors and KMPs (May 2025) → Cleanup or shuffle?

📊 High FII Interest:

• FII holding climbed to 4.29%, up from 0% in mid-2022

6️⃣ Balance Sheet – All Assets, No Leverage

It’s basically a ₹1,100 Cr investment fund trading at ₹660 Cr valuation.

7️⃣ Cash Flow – Sab Number Game Hai

Classic NBFC-style reinvestment loop. No free cash flow. No burn either.

8️⃣ Ratios – Sexy or Stressy?

Only red flag? Still no clear payout policy and low visibility into investment disclosures.

9️⃣ P&L Breakdown – Show Me the Money

• FY25 Revenue = ₹66 Cr
• PAT = ₹108 Cr
• Implied: ₹40–50 Cr gain from investments
• Operating Expenses = Negligible
• EPS = ₹33.45

⚠️ Other Income = Kingmaker — Earnings are non-linear, and susceptible to market swings.

🔟 Misc – Jindal Link, Shareholding, Auditors

🧑‍💼 Promoters:

• B.C. Jindal Group
• Same group behind Jindal Poly Films
• Holding: 74.89% ✅

🏦 Shareholding Trends:

• FII buying → From 0% to 4.29% in 2 years
• Retail + DII slowly exiting

🧾 Auditor Change (May 2025) – May hint at governance shift or group restructuring

🧠 EduInvesting Verdict™

✅ Deep value stock – trades at < 0.65x book
✅ Zero debt, ₹1,100 Cr investment book
✅ 81% 5Y PAT CAGR (even if lumpy)
✅ Promoter holding near max
✅ FII buildup + dividend = signs of rerating?

🚫 Opaque business model – you don’t know what they hold
🚫 Investment income = volatile
🚫 One-off gains skew metrics

🎯 Fair Value Range: ₹285 – ₹395

CMP ₹204 → Margin of safety intact. Just don’t expect excitement.

If value investing had a mascot in India, this would be it — old money, no noise, no rush.

✍️ Written by Prashant | 📅 27 June 2025
Tags: Consolidated Finvest, Jindal Group NBFC, Deep Value Stock, Investment Holding Company, B.C. Jindal, Low PE NBFC, EduInvesting, Value Investing India