Fundamental Glossary / Indian Stock Market-Specific Fundamentals
Credit Rating Agencies
Firms registered with SEBI to rate securities and, under other mandates, bank facilities.
Formula
CRISIL, ICRA, CARE, India Ratings, and Brickwork are among the names an Indian filing will cite. Each rating is the opinion of the agency named on it.
What it means
Agencies are paid, usually by the issuer, to analyse the credit and publish a symbol. That business model is why the rationale and any conflict disclosure are part of the reading.
Two agencies can rate the same borrower differently. The split is information. It means the case is not obvious.
How to read it
Prefer the full rationale to the symbol. The rationale names the liquidity, the project risk, and the related-party funding that the letters compress.
What to watch
A withdrawn rating, or a shift from one agency to another after a disagreement, belongs in the same file as an auditor change. Ask what the outgoing agency last said.
This note explains the term. It is not a research recommendation, a target price, or a comment on any security. Ratios and regulatory thresholds change; use the latest filing or circular for a live figure.