Fundamental Analysis

CAN FIN HOMES LTD.

Ticker : 511196
BUY : Rs 561.75
Target : Rs 625

Can Fin Homes Limited is a housing finance company set up with the objective of promoting homeownership and increasing the housing stock in the country. On the standalone quarterly front, the company recorded net sales of Rs 502.71 crore for Q3FY21, which is a decrease of 2.72 per cent from its net sales of Rs 516.76 crore reported for Q3FY20. The operating profit declined by 3.8 per cent to Rs 469.24 crore in Q3FY21 from Rs 487.78 crore posted in Q3FY20. The net profit was recorded at Rs 106.61 crore in Q3FY20 to Rs 131.92 crore in Q3FY21, showing an increase of 23.74 per cent. The loan book of Can Fin Homes reached Rs 21,004 crore with a clientele base of 1.70 lakh in Q3FY21. The company continues to focus on the housing loans/non-housing loans segment. The lending has been focussed on salaried whereas, the non-salaried lending is focussed only on safe geographies. Predicting a positive growth outlook for the company, we recommend BUY for this stock.