NSEI:GICHSGFIN

Stock Analysis Report

GIC Housing Finance

Executive Summary

GIC Housing Finance Limited provides housing finance services in India.


Snowflake Analysis

Undervalued established dividend payer.


Similar Companies

Share Price & News

How has GIC Housing Finance's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GICHSGFIN's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-9.0%

GICHSGFIN

-1.6%

IN Mortgage

-1.4%

IN Market


1 Year Return

-55.2%

GICHSGFIN

10.2%

IN Mortgage

6.4%

IN Market

Return vs Industry: GICHSGFIN underperformed the Indian Mortgage industry which returned 10.2% over the past year.

Return vs Market: GICHSGFIN underperformed the Indian Market which returned 6.4% over the past year.


Shareholder returns

GICHSGFINIndustryMarket
7 Day-9.0%-1.6%-1.4%
30 Day-32.1%-5.5%-3.3%
90 Day-30.4%-0.08%0.4%
1 Year-53.9%-55.2%11.7%10.2%8.4%6.4%
3 Year-64.4%-66.3%39.7%33.8%20.9%14.1%
5 Year-53.1%-57.3%66.9%55.4%30.7%18.5%

Price Volatility Vs. Market

How volatile is GIC Housing Finance's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is GIC Housing Finance undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GICHSGFIN (₹106.6) is trading below our estimate of fair value (₹214.36)

Significantly Below Fair Value: GICHSGFIN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GICHSGFIN is good value based on its PE Ratio (9x) compared to the Mortgage industry average (11.9x).

PE vs Market: GICHSGFIN is good value based on its PE Ratio (9x) compared to the Indian market (13.1x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate GICHSGFIN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: GICHSGFIN is good value based on its PB Ratio (0.5x) compared to the IN Mortgage industry average (1x).


Next Steps

Future Growth

How is GIC Housing Finance forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

3.3%

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 GIC Housing Finance 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.


Next Steps

Past Performance

How has GIC Housing Finance performed over the past 5 years?

4.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GICHSGFIN has high quality earnings.

Growing Profit Margin: GICHSGFIN's current net profit margins (22.4%) are lower than last year (53.2%).


Past Earnings Growth Analysis

Earnings Trend: GICHSGFIN's earnings have grown by 4.9% per year over the past 5 years.

Accelerating Growth: GICHSGFIN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: GICHSGFIN had negative earnings growth (-62.8%) over the past year, making it difficult to compare to the Mortgage industry average (16.1%).


Return on Equity

High ROE: GICHSGFIN's Return on Equity (5.2%) is considered low.


Next Steps

Financial Health

How is GIC Housing Finance'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: GICHSGFIN has a low level of unsold assets or inventory.

Debt Coverage by Assets: GICHSGFIN's debt is covered by short term assets (assets are 1.1x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is GIC Housing Finance's current dividend yield, its reliability and sustainability?

5.15%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: GICHSGFIN's dividend (5.15%) is higher than the bottom 25% of dividend payers in the Indian market (0.6%).

High Dividend: GICHSGFIN's dividend (5.15%) is in the top 25% of dividend payers in the Indian market (2.61%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (46.2%), GICHSGFIN's dividend payments are well covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

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

2.0yrs

Average board tenure


CEO

Neera Saxena (56yo)

1.5yrs

Tenure

₹3,330,231

Compensation

Mrs. Neera M. Saxena has been Chief Executive Officer, Managing Director and Director of GIC Housing Finance Limited since August 3, 2018. She is a Direct Recruit Officer of 1986 generalist batch of New In ...


CEO Compensation Analysis

Compensation vs Market: Neera's total compensation ($USD46.20K) is about average for companies of similar size in the Indian market ($USD50.06K).

Compensation vs Earnings: Insufficient data to compare Neera's compensation with company performance.


Board Members

NamePositionTenureCompensationOwnership
Neera Saxena
CEO, MD & Director1.5yrs₹3.33mno data
Kamlesh Vikamsey
Non-Executive & Independent Director6.4yrs₹330.00kno data
Ajit Saxena
Additional Independent Director0.3yrsno datano data
Ramasamy Venkataraman
Non-Executive & Independent Director6.4yrs₹480.00kno data
Gopalan Srinivasan
Additional Independent Director0.2yrsno datano data
N. S. R. Prasad
Non-Executive & Independent Director2.5yrs₹360.00kno data
Angara Girija Kumar
Non-Executive Director2.5yrsno datano data
Girish Radhakrishnan
Non-Executive Director1.3yrsno datano data
Mona Bhide
Non-Executive & Independent Director6.4yrs₹390.00kno data
Devesh Srivastava
Additional Non-Executive Chairman0.08yrsno datano data

2.0yrs

Average Tenure

59yo

Average Age

Experienced Board: GICHSGFIN's board of directors are not considered experienced ( 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.


Top Shareholders

Company Information

GIC Housing Finance Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GIC Housing Finance Limited
  • Ticker: GICHSGFIN
  • Exchange: NSEI
  • Founded: 1989
  • Industry: Thrifts and Mortgage Finance
  • Sector: Banks
  • Market Cap: ₹6.088b
  • Shares outstanding: 53.85m
  • Website: https://www.gichfindia.com

Number of Employees


Location

  • GIC Housing Finance Limited
  • National Insurance Building
  • 6th Floor
  • Mumbai
  • Maharashtra
  • 400020
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
511676BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 1996
GICHSGFINNSEI (National Stock Exchange of India)YesEquity SharesININRMay 1996

Biography

GIC Housing Finance Limited provides housing finance services in India. It grants housing loans to individuals, as well as to persons/entities engaged in construction of houses/flats for residential purposes. As of March 31, 2019, it had 75 offices. The company was formerly known as GIC Grih Vitta Limited and changed its name to GIC Housing Finance Limited in November 1993. GIC Housing Finance Limited was incorporated in 1989 and is based in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/25 12:54
End of Day Share Price2020/02/25 00:00
Earnings2019/12/31
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.