From Rs 98 to Rs 218: This multibagger small-cap housing finance stock has doubled in less than six months!

On Tuesday, the shares of Star Housing Finance rallied more than 11 per cent, recording an all-time high of Rs 218.45 per share on the bourses

Star Housing Finance Limited, a rural-centric home finance company, has registered record operational performance for the first half of the current financial year. 

On Tuesday, the shares of Star Housing rallied more than 11 per cent, recording an all-time high of Rs 218.45 per share on the bourses. Heavy buying interest has been witnessed in this counter over the last one month as the stock surged 35.76 per cent. The scrip has skyrocketed 109 per cent over the last six months.      

Operational and financial highlights are as follows:   

Highest Disbursements: Star HFL has recorded highest disbursements and registered a year on year 358 per cent growth for H1 and quarter on quarter 85 per cent growth for Q2 FY’22-23. The loan book now crossed Rs 150 crore and is in line to the business plan of crossing Rs 500 crs AUM through its presence in Maharashtra, Madhya Pradesh, Gujarat, Rajasthan and Tamil Nadu. 

Branch Network: The company now has presence in over 20 locations through which it covers 40 districts in its operational semi urban/rural geographies and provides loans in the average range of Rs 10 lakhs. 

Revenue Growth: Interest income registered a year on year 42 per cent growth and quarter on quarter 49 per cent growth. Total income registered a year on year 64 per cent growth and quarter on quarter 40 per cent growth. 

Profit Growth: Profit after tax registered a year on year 480 per cent growth for H1 and quarter on quarter 60 per cent growth for Q2 FY’22-23. 

Bonus and sub-division of shares: Star HFL Board has approved issue of 1 bonus equity share for every 1 fully paid-up equity share and sub-division/split of 1 existing equity share of face value of Rs 10 into 2 equity shares of face value of Rs 5 fully paid-up. Post necessary approvals and subsequent to the record date, the bonus and split will be affected. 

Investors should keep this buzzing multibagger Small-Cap housing finance stock on their radar!