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ICRA Ltd logo

ICRA Ltd

NSE: ICRA BSE: 532835

5531

(-1.62%)

Mon, 02 Mar 2026, 05:50 am

ICRA Analysis

dividend

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Pros

  • Dividends per share have increased over the past 10 years.
  • Dividends paid are well covered by earnings (3x coverage).
  • Dividends after 3 years are expected to be well covered by earnings (2.9x coverage).
  • Dividends per share have been stable in the past 10 years.
  • ICRA's pays a higher dividend yield than the bottom 25% of dividend payers in India (0.76%).
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Cons

  • ICRA's dividend is below the markets top 25% of dividend payers in India (3.08%).

future

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Pros

  • Cash flow for ICRA is expected to increase by more than 50% in 2 years time.
  • ICRA's earnings growth is expected to exceed the low risk savings rate of 7.2%.
  • ICRA's earnings are expected to exceed the low risk growth rate next year.
  • Performance (ROE) is expected to be above the current IN Capital Markets industry average.
  • An improvement in ICRA's performance (ROE) is expected over the next 3 years.
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Cons

  • ICRA's earnings are expected to grow by 14.1% yearly, however this is not considered high growth (20% yearly).
  • ICRA's earnings growth is positive but not above the India market average.
  • ICRA's net income is expected to increase but not above the 50% threshold in 2 years time.
  • ICRA is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
  • ICRA's revenue is expected to increase but not above the 50% threshold in 2 years time.
  • ICRA's revenue is expected to grow by 6.9% yearly, however this is not considered high growth (20% yearly).
  • ICRA's revenue growth is positive but not above the India market average.

health

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Pros

  • ICRA is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • ICRA is profitable, therefore cash runway is not a concern.
  • ICRA is profitable, therefore cash runway is not a concern.
  • ICRA has no debt, it does not need to be covered by operating cash flow.
  • ICRA has no debt, it does not need to be covered by short term assets.
  • ICRA's cash and other short term assets cover its long term commitments.
  • ICRA has no debt compared to 5 years ago when it was 3.8%.
  • ICRA has no debt, therefore coverage of interest payments is not a concern.
  • ICRA has no debt.
  • Low level of unsold assets.
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Cons

    management

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    Pros

    • The tenure for the ICRA board of directors is about average.
    • Amit's remuneration is lower than average for companies of similar size in India.
    • Amit's compensation has been consistent with company performance over the past year, both up more than 20%.
    • The average tenure for the ICRA management team is over 5 years, this suggests they are a seasoned and experienced team.
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    Cons

      past

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      Pros

      • ICRA's year on year earnings growth rate has been positive over the past 5 years.
      • ICRA used its assets more efficiently than the IN Capital Markets industry average last year based on Return on Assets.
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      Cons

      • ICRA's 1-year earnings growth is negative, it can't be compared to the 5-year average.
      • ICRA's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
      • ICRA has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
      • ICRA's 1-year earnings growth is negative, it can't be compared to the IN Capital Markets industry average.

      value

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      Pros

      • 532835 outperformed the Capital Markets industry which returned -21% over the past year.
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      Cons

      • ICRA's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
      • ICRA's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
      • ICRA is overvalued based on assets compared to the IN Capital Markets industry average.
      • ICRA is poor value based on expected growth next year.
      • ICRA is overvalued based on earnings compared to the IN Capital Markets industry average.
      • ICRA is overvalued based on earnings compared to the India market.
      • 532835 underperformed the Market in India which returned -14.5% over the past year.
      • BSE:532835 is down -4.7% underperforming the Capital Markets industry which returned 8.7% over the past month.
      • BSE:532835 is down -4.7% underperforming the market in India which returned 8% over the past month.

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