NSEI:CANFINHOME

Stock Analysis Report

Executive Summary

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

Rewards

Earnings are forecast to grow 19.32% per year

Earnings have grown 26% per year over the past 5 years

Pays a reliable dividend of 0.49%

Risk Analysis

No risks detected for CANFINHOME from our risk checks.


Snowflake Analysis

Average dividend payer with questionable track record.


Similar Companies

Share Price & News

How has Can Fin Homes's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: CANFINHOME has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

2.8%

CANFINHOME

-1.1%

IN Mortgage

-2.5%

IN Market


1 Year Return

61.8%

CANFINHOME

9.3%

IN Mortgage

5.0%

IN Market

Return vs Industry: CANFINHOME exceeded the Indian Mortgage industry which returned 9.3% over the past year.

Return vs Market: CANFINHOME exceeded the Indian Market which returned 5% over the past year.


Shareholder returns

CANFINHOMEIndustryMarket
7 Day2.8%-1.1%-2.5%
30 Day4.4%3.4%-1.3%
90 Day4.8%7.6%5.7%
1 Year62.7%61.8%10.8%9.3%7.0%5.0%
3 Year31.2%29.3%53.4%47.2%30.3%23.4%
5 Year385.4%331.7%105.4%91.6%42.1%29.3%

Price Volatility Vs. Market

How volatile is Can Fin Homes's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Can Fin Homes undervalued compared to its fair value and its price relative to the market?

17.11x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: CANFINHOME (₹411.8) is trading above our estimate of fair value (₹283.71)

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


Price To Earnings Ratio

PE vs Industry: CANFINHOME is poor value based on its PE Ratio (17.1x) compared to the Mortgage industry average (13.7x).

PE vs Market: CANFINHOME is poor value based on its PE Ratio (17.1x) compared to the Indian market (12.8x).


Price to Earnings Growth Ratio

PEG Ratio: CANFINHOME is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: CANFINHOME is overvalued based on its PB Ratio (2.8x) compared to the IN Mortgage industry average (1.1x).


Next Steps

Future Growth

How is Can Fin Homes forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

19.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CANFINHOME's forecast earnings growth (19.3% per year) is above the savings rate (6.5%).

Earnings vs Market: CANFINHOME's earnings (19.3% per year) are forecast to grow slower than the Indian market (19.8% per year).

High Growth Earnings: CANFINHOME's earnings are forecast to grow, but not significantly.

Revenue vs Market: CANFINHOME's revenue (17.3% per year) is forecast to grow faster than the Indian market (11.5% per year).

High Growth Revenue: CANFINHOME's revenue (17.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CANFINHOME's Return on Equity is forecast to be low in 3 years time (19.3%).


Next Steps

Past Performance

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

26.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CANFINHOME has high quality earnings.

Growing Profit Margin: CANFINHOME's current net profit margins (53.9%) are lower than last year (55.8%).


Past Earnings Growth Analysis

Earnings Trend: CANFINHOME's earnings have grown significantly by 26% per year over the past 5 years.

Accelerating Growth: CANFINHOME's earnings growth over the past year (2.1%) is below its 5-year average (26% per year).

Earnings vs Industry: CANFINHOME earnings growth over the past year (2.1%) underperformed the Mortgage industry 17.3%.


Return on Equity

High ROE: CANFINHOME's Return on Equity (16.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

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


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: CANFINHOME has a low level of unsold assets or inventory.

Debt Coverage by Assets: CANFINHOME's debt is covered by short term assets (assets are 1.2x debt).


Financial Institutions Analysis

Asset Level: CANFINHOME's level of assets compared to its equity is moderate.

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

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

Loan Level: Insufficient data to determine if CANFINHOME has an acceptable proportion of non-loan assets held.

Low Risk Deposits: CANFINHOME has advanced significantly more loans than the customer deposits it holds.

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


Next Steps

Dividend

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

0.49%

Current Dividend Yield


Dividend Yield vs Market

company0.5%marketbottom25%0.6%markettop25%2.5%industryaverage1.3%forecastin3Years0.6%

Current dividend yield vs market & industry

Notable Dividend: CANFINHOME's dividend (0.49%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: CANFINHOME's dividend (0.49%) is low compared to the top 25% of dividend payers in the Indian market (2.53%).


Stability and Growth of Payments

Stable Dividend: CANFINHOME's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (8.3%), CANFINHOME's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: CANFINHOME's dividends in 3 years are forecast to be thoroughly covered by earnings (6.8% payout ratio).


Next Steps

Management

What is the CEO of Can Fin Homes's salary, the management and board of directors tenure and is there insider trading?

1.4yrs

Average board tenure


CEO

Girish Kousgi 0

0yrs

Tenure

0

Mr. Girish Kousgi is Managing Director and Director at Can Fin Homes Ltd. He has Extensive Experience assets and liabilities and has gained expertise in mortage, retail lending, SME and Agri Business. Duri ...


Board Age and Tenure

1.4yrs

Average Tenure

57yo

Average Age

Experienced Board: CANFINHOME's board of directors are not considered experienced ( 1.4 years average tenure), which suggests a new board.


Insider Trading

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.


Management Team

  • M. Shamila

    General Manager

    • Tenure: 0yrs
    • Compensation: ₹1.82m
  • Prashanth Joishy

    Head of Finance & Accounts

    • Tenure: 0.6yrs
  • Veena Kamath

    Assistant GM

    • Tenure: 0yrs
    • Compensation: ₹1.48m
  • Girish Kousgi

    MD & Director

    • Tenure: 0yrs
  • Shreekant Bhandiwad (49yo)

    Deputy MD & Whole-Time Director

    • Tenure: 1.7yrs
    • Compensation: ₹2.05m

Board Members

  • Bharati Rao (71yo)

    Non Executive Independent Chairperson

    • Tenure: 1.4yrs
    • Compensation: ₹495.00k
  • Yeluri Vijayanand (71yo)

    Additional Non-Executive Independent Director

    • Tenure: 1.3yrs
    • Compensation: ₹350.00k
  • Debashish Mukherjee (53yo)

    Additional Director

    • Tenure: 0.8yrs
    • Compensation: ₹30.00k
  • Ganesan Naganathan (56yo)

    Independent Non-Executive Director

    • Tenure: 3.3yrs
    • Compensation: ₹535.00k
  • Girish Kousgi

    MD & Director

    • Tenure: 0yrs
  • Shreekant Bhandiwad (49yo)

    Deputy MD & Whole-Time Director

    • Tenure: 1.7yrs
    • Compensation: ₹2.05m
  • Shankara Subramanian (58yo)

    Additional Director

    • Tenure: 1.2yrs
    • Compensation: ₹155.00k

Company Information

Can Fin Homes Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Can Fin Homes Limited
  • Ticker: CANFINHOME
  • Exchange: NSEI
  • Founded: 1987
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: ₹54.047b
  • Shares outstanding: 133.15m
  • Website: https://www.canfinhomes.com

Number of Employees


Location

  • Can Fin Homes Limited
  • No. 29/1, Sir M N Krishna Rao Road
  • 1st Floor
  • Bengaluru
  • Karnataka
  • 560004
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
511196BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 1994
CANFINHOMENSEI (National Stock Exchange of India)YesEquity SharesININRDec 1994

Biography

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 loa ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/11 12:52
End of Day Share Price2019/12/11 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.