Muthoot Finance (BOM:533398) 5-Year Yield-on-Cost %: 1.08 (As of Sep. 20, 2026) — 19% Below Median

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BOM:533398 Muthoot Finance Ltd BOM:533398
78 GF Score
Price ₹2,840.00
GF Value ₹3,931.02
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Muthoot Finance 5-Year Yield-on-Cost %?

Muthoot Finance BOM:533398 +2.45% 78 5-Year Yield-on-Cost % is 1.08 as of Sep. 20, 2026, which is 19% below its 10-year median of 1.34. GuruFocus rates BOM:533398 with a GF Score™ of 78/100 and a GF Value™ of ₹3,931.02 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 206 Credit Services companies, Muthoot Finance ranks worse than 79.61% on this metric.

Muthoot Finance's yield on cost for the quarter that ended in Jun. 2026 was 1.08.


The historical rank and industry rank for Muthoot Finance's 5-Year Yield-on-Cost % or its related term are showing as below:

BOM:533398' s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 0.66   Med: 1.34   Max: 4.45
Current: 1.08


During the past 13 years, Muthoot Finance's highest Yield on Cost was 4.45. The lowest was 0.66. And the median was 1.34.


BOM:533398's 5-Year Yield-on-Cost % is ranked worse than
79.61% of 206 companies
in the Credit Services industry
Industry Median: 4.64 vs BOM:533398: 1.08

Muthoot Finance  (BOM:533398) 5-Year Yield-on-Cost % Explanation

Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.


Muthoot Finance 5-Year Yield-on-Cost % Related Terms


BOM:533398 vs V, MA, AXP: 5-Year Yield-on-Cost % Comparison

For the Credit Services subindustry, Muthoot Finance's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Muthoot Finance 5-Year Yield-on-Cost % vs Credit Services Industry

For the Credit Services industry and Financial Services sector, Muthoot Finance's 5-Year Yield-on-Cost % distribution charts can be found below:

* The bar in red indicates where Muthoot Finance's 5-Year Yield-on-Cost % falls into.


BOM:533398
78GF Score
Muthoot Finance Ltd BOM:533398
5-Year Yield-on-Cost % is just one metric. See GF Score™, valuation, warning signs, and more.
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Muthoot Finance 5-Year Yield-on-Cost % Calculation

Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.

Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.

Therefore, Yield-on-Cost of Muthoot Finance is calculated as

Yield-on-Cost=Dividend Yield %*(1+Dividend Growth Rate)^5
Frequently Asked Questions Learn more about 5-Year Yield-on-Cost % →
What does a 5-Year Yield-on-Cost % of 1.08 mean?
Muthoot Finance (BOM:533398) has a 5-Year Yield-on-Cost % of 1.08 as of Sep. 20, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Muthoot Finance and its competitors. This is 19% below median its historical median of 1.34. Over the past decade, Muthoot Finance's 5-Year Yield-on-Cost % has ranged from 0.66 to 4.45. According to the industry distribution chart, Muthoot Finance ranks #164 out of 206 companies in the Credit Services industry, placing it in the top 79.6%.
Is Muthoot Finance's 5-Year Yield-on-Cost % too high?
Muthoot Finance's current 5-Year Yield-on-Cost % of 1.08 is 19% below median its 10-year median of 1.34. Over the past 10 years, this metric has ranged from a low of 0.66 to a high of 4.45. The Credit Services industry median 5-Year Yield-on-Cost % is 4.64. Muthoot Finance's value of 1.08 is 76.7% below this industry median. Based on the distribution chart, Muthoot Finance ranks #164 out of 206 companies in the Credit Services industry, which is in the bottom quartile relative to peers. Overall, Muthoot Finance has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Muthoot Finance's 5-Year Yield-on-Cost % compare to V and MA?
According to the Credit Services industry distribution chart, Muthoot Finance ranks #164 out of 206 companies for 5-Year Yield-on-Cost %. This places Muthoot Finance in the lower half of its industry. The industry median 5-Year Yield-on-Cost % is 4.64. Muthoot Finance's value of 1.08 is 76.7% below this benchmark. Historically, Muthoot Finance's own 5-Year Yield-on-Cost % has ranged from 0.66 to 4.45 over the past decade. While the company's 10-year median is 1.34 vs. the industry median of 4.64, Muthoot Finance has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year Yield-on-Cost % for a Credit Services company?
The median 5-Year Yield-on-Cost % among Credit Services companies is 4.64, based on 206 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Muthoot Finance's current 5-Year Yield-on-Cost % of 1.08 is 76.7% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Muthoot Finance and its competitors. For the Credit Services industry, the median 5-Year Yield-on-Cost % is 4.64 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Muthoot Finance's current 5-Year Yield-on-Cost % is 1.08, which is 19% below median its own 10-year median of 1.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Muthoot Finance stock overvalued right now?
Based on GuruFocus' analysis, Muthoot Finance (BOM:533398) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹3,931.02, compared to a current price of ₹2,840.00 — trading 27.8% below its estimated fair value. The current 5-Year Yield-on-Cost % is 1.08, which is 19% below median its 10-year median of 1.34 and 76.7% below the Credit Services industry median of 4.64. Muthoot Finance's overall GF Score™ is 78/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Muthoot Finance (BOM:533398), the current 5-Year Yield-on-Cost % is 1.08 as of Sep. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Muthoot Finance (BOM:533398) Overvalued in 2026?

Based on GuruFocus' analysis, Muthoot Finance stock appears to be undervalued. The current stock price of ₹2,840.00 is trading 27.8% below its estimated GF Value™ of ₹3,931.02. GuruFocus considers Muthoot Finance to be Modestly Undervalued.

Key valuation signals for BOM:533398:

  • 5-Year Yield-on-Cost %: 1.08 (19% below median its 10-year median of 1.34)
  • GF Value™: ₹3,931.02 vs. price of ₹2,840.00 (27.8% below fair value)
  • GF Score™: 78/100 with 4 warning signs
  • Industry Position: 76.7% below the Credit Services median (#164 of 206)

No single metric tells the full story. See the BOM:533398 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Muthoot Finance Business Description

Other Exchanges MUTHOOTFIN:India
Address Banerji Road, Ernakulam, 2nd Floor, Muthoot Chambers, Opposite Saritha Theatre Complex, Kochi, KL, IND, 682 018
Muthoot Finance Ltd is a non-deposit-taking, non-banking financial company with thousands of branches in India. The company's main business is providing personal and business loans to individuals who do not have access to formal credit. The loans are typically secured by gold jewelry. The company also offers some microfinance loans and housing loans to customer segments and areas that are underserved by banks. Interest income accounts for nearly all the company's revenue. It has operations in Sri Lanka and India, with India providing almost all the company's revenue.
78GF Score

Get the complete analysis for BOM:533398

5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹2,840.00
Price
₹3,931.02
GF Value