Anand Rathi Share and Stock Brokers Limited

BSE: ARSSBL · Stockbroking & Allied

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52W Range₹416 – ₹795

Snapshot

Unlock Anand Rathi Share and Stock Brokers Limited's vital signs

Growth · Profitability · Valuation · Strength · Conviction

Company Overview

Business

Anand Rathi Share and Stock Brokers Limited is a full-service brokerage firm offering equity broking, margin trading facilities, and the distribution of various investment products. The company serves a diverse clientele ranging from retail investors and high-net-worth individuals to institutional clients.

Business Model

The company generates revenue primarily through brokerage commissions on securities trading, interest income from margin trading facilities, and distribution fees for financial products. It leverages its position within the broader Anand Rathi Group to cross-sell financial services.

Growth Outlook

Growth is driven by the increasing financialisation of savings in India and the expansion of the company's client base across retail and institutional segments. Continued investment in digital infrastructure and product distribution remains a key focus.

Key Risks

  • Market Volatility. As a brokerage firm, the company's revenue is highly sensitive to fluctuations in stock market volumes and investor sentiment.
  • Regulatory Risk. The business is subject to stringent oversight by SEBI and other regulatory bodies, where changes in compliance norms can impact operational costs.
  • Competitive Pressure. The entry of discount brokers and fintech platforms has intensified price competition, putting pressure on traditional brokerage commission structures.
  • Credit Risk. The provision of margin trading facilities exposes the company to potential defaults by clients during periods of significant market downturns.

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Key Metrics

P/E

18.4×

Q2 FY27 · consolidated

18.4 vs 18.1x5Y avg

EV/EBITDA

10.3x

Q2 FY27 · consolidated

10.3 vs 9.7x5Y avg

NET PROFIT MARGIN

15.4%

Q2 FY27 · consolidated

+3.1 ppYoY

DEBT TO EQUITY

1.0x

Q2 FY27 · consolidated

+0.09xYoY

Peers · Stockbroking & Allied

CompanyMkt CapP/E (TTM)EV/EBITDARev Gr YoYEBITDA MgnROEROCE1Y Return
Anand Rathi Share and Stock Brokers LimitedARSSBL
₹2,925 Cr18.4×10.34—40.1%10.7%24.8%-7.5%
Share India Securities LimitedSHAREINDIA
₹3,827 Cr9.8×6.3828.9%41.5%14.1%72.0%-9.0%
Monarch Networth Capital LimitedMONARCH
₹2,790 Cr14.1×10.5427.1%66.5%19.8%27.4%+11.4%
SMC Global Securities LimitedSMCGLOBAL
₹1,901 Cr16.6×10.0718.2%19.8%9.0%—-31.5%
Geojit Financial Services LimitedGEOJITFSL
₹1,797 Cr28.6×12.260.4%22.6%5.7%7.3%-7.5%
5paisa Capital5PAISA
₹1,520 Cr27.7×17.869.0%29.6%4.7%6.1%+2.8%

As of Q2 FY27

Financials