Can Fin Homes (BSE:511196) - Share price, News & Analysis

Q: What is the Fair Price of 511196 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

511196 (₹594.95) is trading above our estimate of [[fair value]] (₹315.75)

511196 fundamental analysis
Snowflake Score
Valuation	3/6
Future Growth	0/6
Past Performance	2/6
Financial Health	1/6
Dividends	3/6

511196 Stock Overview

Can Fin Homes Limited provides housing finance services primarily to individuals and builders/developers in India.

Rewards

Price-To-Earnings ratio (15.1x) is below the Indian market (21.4x)

Earnings have grown 13.5% per year over the past 5 years

Risk Analysis

Unstable dividend track record

Can Fin Homes Competitors

Home First Finance Company India

BSE:543259

₹70.6b

IIFL Finance

NSEI:IIFL

₹127.4b

PNB Housing Finance

BSE:540173

₹58.6b

Aavas Financiers

NSEI:AAVAS

₹175.5b

Price History & Performance

Summary of all time highs, changes and price drops for Can Fin Homes
Historical stock prices
Current Share Price	₹594.95
52 Week High	₹721.25
52 Week Low	₹408.00
Beta	0.30
1 Month Change	28.31%
3 Month Change	18.13%
1 Year Change	9.63%
3 Year Change	53.91%
5 Year Change	1.50%
Change since IPO	6,699.43%

Shareholder Returns

	511196	IN Mortgage	IN Market
7D	-2.1%	-1.1%	1.8%
1Y	9.6%	-14.2%	7.0%

Return vs Industry: 511196 exceeded the Indian Mortgage industry which returned -14.2% over the past year.

Return vs Market: 511196 exceeded the Indian Market which returned 7% over the past year.

Price Volatility

Is 511196's price volatile compared to industry and market?
511196 volatility
511196 Average Weekly Movement	5.2%
Mortgage Industry Average Movement	5.6%
Market Average Movement	6.6%
10% most volatile stocks in IN Market	9.2%
10% least volatile stocks in IN Market	4.3%

Stable Share Price: 511196 is not significantly more volatile than the rest of Indian stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: 511196's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1987	756	Girish Kousgi	https://www.canfinhomes.com

Can Fin Homes Limited provides housing finance services primarily to individuals and builders/developers in India. The company offers housing loans, such as individual housing loans, affordable housing loans, composite loans, and top-up loans; and non-housing loans, including mortgage loans, site loans, loans for commercial properties, loans against rent receivables, personal loans, loans for children education, and loans for pensioners, as well as fixed and cumulative deposits. As of March 31, 2020, it operated 165 branches, 21 affordable housing loan centers, and 14 satellite offices.

Can Fin Homes Fundamentals Summary

How do Can Fin Homes's earnings and revenue compare to its market cap?
511196 fundamental statistics
Market Cap	₹79.22b
Earnings (TTM)	₹5.24b
Revenue (TTM)	₹8.70b

15.1x

P/E Ratio

2.6x

P/B Ratio

Is 511196 overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
511196 income statement (TTM)
Revenue	₹8.70b
Cost of Revenue	₹281.78m
Gross Profit	₹8.42b
Other Expenses	₹3.17b
Earnings	₹5.24b

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	39.39
Gross Margin	96.76%
Net Profit Margin	60.29%
Debt/Equity Ratio	787.7%

How did 511196 perform over the long term?

See historical performance and comparison

Dividends

0.5%

Current Dividend Yield

8%

Payout Ratio

Does 511196 pay a reliable dividends?

See 511196 dividend history and benchmarks

When do you need to buy 511196 by to receive an upcoming dividend?
Can Fin Homes dividend dates
Ex Dividend Date	Aug 18 2022
Dividend Pay Date	Oct 07 2022
Days until Ex dividend	9 days
Days until Dividend pay date	59 days

Does 511196 pay a reliable dividends?

See 511196 dividend history and benchmarks

We’ve recently updated our valuation analysis.

Valuation

Is 511196 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 511196?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for 511196. This is calculated by dividing 511196's market cap by their current preferred multiple.
What is 511196's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	₹79.22b

511196 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	n/a
Enterprise Value/EBITDA	n/a
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does 511196's PE Ratio compare to its peers?

511196 PE Ratio vs Peers

The above table shows the PE ratio for 511196 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	24.1x
543259 Home First Finance Company India	34.9x	21.1%	₹70.6b
IIFL IIFL Finance	10.2x	n/a	₹127.4b
540173 PNB Housing Finance	7.1x	16.1%	₹58.6b
AAVAS Aavas Financiers	44.4x	18.1%	₹175.5b
511196 Can Fin Homes	15.1x	n/a	₹79.2b

Price-To-Earnings vs Peers: 511196 is good value based on its Price-To-Earnings Ratio (15.1x) compared to the peer average (24.1x).

Price to Earnings Ratio vs Industry

How does 511196's PE Ratio compare vs other companies in the Asian Mortgage Industry?

Price-To-Earnings vs Industry: 511196 is good value based on its Price-To-Earnings Ratio (15.1x) compared to the Indian Mortgage industry average (16.7x)

Price to Earnings Ratio vs Fair Ratio

What is 511196's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

511196 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	15.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate 511196's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of 511196 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 511196 (₹594.95) is trading above our estimate of fair value (₹315.75)

Significantly Below Fair Value: 511196 is trading above our estimate of fair value.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Future Growth

How is Can Fin Homes forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

17.2%

Forecasted Banks industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Can Fin Homes has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Examine whether Can Fin Homes is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.
Can Fin Homes competitive advantages and company strategy can generally be found in its financial reports archived here.

Past Performance

How has Can Fin Homes performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

13.5%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: 511196 has high quality earnings.

Growing Profit Margin: 511196's current net profit margins (60.3%) are lower than last year (61.3%).

Past Earnings Growth Analysis

Earnings Trend: 511196's earnings have grown by 13.5% per year over the past 5 years.

Accelerating Growth: 511196's earnings growth over the past year (11.2%) is below its 5-year average (13.5% per year).

Earnings vs Industry: 511196 earnings growth over the past year (11.2%) underperformed the Mortgage industry 28.6%.

Return on Equity

High ROE: 511196's Return on Equity (17.1%) is considered low.

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Financial Health

How is Can Fin Homes's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

1/6

Financial Health Score 1/6

Asset Level
Allowance for Bad Loans
Low Risk Liabilities
Loan Level
Low Risk Deposits
Level of Bad Loans

Financial Position Analysis

Debt to Equity History and Analysis

Balance Sheet

Financial Institutions Analysis

Asset Level: 511196's Assets to Equity ratio (9.1x) is low.

Allowance for Bad Loans: Insufficient data to determine if 511196 has a sufficient allowance for bad loans.

Low Risk Liabilities: 511196 reports no customer deposits, 100% of its liabilities are made up of higher risk sources of funding.

Loan Level: Insufficient data to determine if 511196 has an appropriate level of Loans to Assets ratio.

Low Risk Deposits: 511196 reports no customer deposits, loans are made up entirely of externally borrowed funds.

Level of Bad Loans: Insufficient data to determine if 511196 has an appropriate level of bad loans.

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Dividend

What is Can Fin Homes's current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

0.50%

Current Dividend Yield

Upcoming Dividend Payment

Dividend Yield vs Market

Notable Dividend: 511196's dividend (0.5%) is higher than the bottom 25% of dividend payers in the Indian market (0.39%).

High Dividend: 511196's dividend (0.5%) is low compared to the top 25% of dividend payers in the Indian market (1.72%).

Stability and Growth of Payments

Stable Dividend: 511196's dividend payments have been volatile in the past 10 years.

Growing Dividend: 511196's dividend payments have increased over the past 10 years.

Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (7.6%), 511196's dividend payments are thoroughly covered by earnings.

Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.

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Management

How experienced are the management team and are they aligned to shareholders interests?

2.9yrs

Average management tenure

CEO

Girish Kousgi (51 yo)

2.92yrs

Tenure

₹13,395,139

Compensation

Mr. Girish Kousgi serves as a Managing Director, Chief Executive Officer and Executive Director at Can Fin Homes Ltd since September 5, 2019. He has Extensive Experience assets and liabilities and has gain...

CEO Compensation Analysis

Compensation vs Market: Girish's total compensation ($USD168.72K) is below average for companies of similar size in the Indian market ($USD373.18K).

Compensation vs Earnings: Girish's compensation has increased by more than 20% in the past year.

Leadership Team

Experienced Management: 511196's management team is considered experienced (2.9 years average tenure).

Board Members

Experienced Board: 511196's board of directors are not considered experienced ( 2.2 years average tenure), which suggests a new board.

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/08/08 00:00
End of Day Share Price	2022/08/08 00:00
Earnings	2022/06/30
Annual Earnings	2022/03/31