Aavas Financiers Limited

NSEI:AAVAS Stock Report

Market Cap: ₹151.8b

Aavas Financiers Valuation

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

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

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

Discounted Cash Flow
Simply Wall St
₹566.94
Fair Value
249.2% overvalued intrinsic discount
18
Number of Analysts

Below Fair Value: AAVAS (₹1980) is trading above our estimate of fair value (₹566.94)

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

Key Valuation Metric

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

Key metric: As AAVAS is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for AAVAS. This is calculated by dividing AAVAS's market cap by their current earnings.
What is AAVAS's PE Ratio?
PE Ratio27.8x
Earnings₹5.63b
Market Cap₹151.81b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for AAVAS vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average19.9x
IIFL IIFL Finance
25.5x68.7%₹140.3b
APTUS Aptus Value Housing Finance India
20.9x18.2%₹150.5b
AADHARHFC Aadhar Housing Finance
21.3x20.1%₹191.1b
PNBHOUSING PNB Housing Finance
11.8x15.3%₹216.7b
AAVAS Aavas Financiers
27.8x20.2%₹151.8b

Price-To-Earnings vs Peers: AAVAS is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the peer average (19.9x).

Price to Earnings Ratio vs Industry

How does AAVAS's PE Ratio compare vs other companies in the IN Diversified Financial Industry?

8 CompaniesPrice / EarningsEstimated GrowthMarket Cap
500439 Vardhman Holdings
4.9xn/aUS$118.95m
531310 Available Finance
2.1xn/aUS$24.92m
537069 Arnold Holdings
4.3xn/aUS$8.39m
539681 Dynamic Archistructures
4.8xn/aUS$2.89m
AAVAS 27.8xIndustry Avg. 24.3xNo. of Companies22PE020406080100+
8 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: AAVAS is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the Indian Diversified Financial industry average (24.3x).

Price to Earnings Ratio vs Fair Ratio

What is AAVAS'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.

AAVAS PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio27.8x
Fair PE Ratio17.8x

Price-To-Earnings vs Fair Ratio: AAVAS is expensive based on its Price-To-Earnings Ratio (27.8x) compared to the estimated Fair Price-To-Earnings Ratio (17.8x).

Analyst Price Targets

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

The above table shows the analyst AAVAS forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,980.00
₹1,983.28
+0.2%
8.2%₹2,200.00₹1,522.00n/a18
Mar ’26₹1,685.55
₹1,955.39
+16.0%
9.0%₹2,200.00₹1,522.00n/a18
Feb ’26₹1,688.60
₹1,961.83
+16.2%
9.1%₹2,200.00₹1,522.00n/a18
Jan ’26₹1,677.85
₹1,955.94
+16.6%
9.2%₹2,316.00₹1,487.00n/a18
Dec ’25₹1,673.15
₹1,956.61
+16.9%
9.1%₹2,316.00₹1,499.00n/a18
Nov ’25₹1,682.80
₹1,954.50
+16.1%
9.6%₹2,200.00₹1,454.00n/a18
Oct ’25₹1,850.60
₹1,939.56
+4.8%
9.4%₹2,200.00₹1,454.00n/a18
Sep ’25₹1,720.75
₹1,887.89
+9.7%
11.3%₹2,200.00₹1,454.00n/a18
Aug ’25₹1,664.10
₹1,895.67
+13.9%
11.6%₹2,200.00₹1,454.00n/a18
Jul ’25₹1,855.05
₹1,822.89
-1.7%
11.1%₹2,200.00₹1,435.00n/a18
Jun ’25₹1,596.80
₹1,806.22
+13.1%
10.1%₹2,100.00₹1,435.00n/a18
May ’25₹1,624.10
₹1,802.06
+11.0%
10.4%₹2,100.00₹1,435.00n/a18
Apr ’25₹1,418.55
₹1,724.11
+21.5%
10.8%₹2,025.00₹1,328.00n/a18
Mar ’25₹1,436.90
₹1,716.12
+19.4%
11.1%₹2,025.00₹1,328.00₹1,685.5517
Feb ’25₹1,504.85
₹1,749.13
+16.2%
12.2%₹2,050.00₹1,332.00₹1,688.6016
Jan ’25₹1,561.20
₹1,733.44
+11.0%
13.2%₹2,060.00₹1,220.00₹1,677.8516
Dec ’24₹1,425.75
₹1,723.44
+20.9%
13.6%₹2,060.00₹1,220.00₹1,673.1516
Nov ’24₹1,425.45
₹1,723.44
+20.9%
13.6%₹2,060.00₹1,220.00₹1,682.8016
Oct ’24₹1,739.30
₹1,737.75
-0.09%
15.5%₹2,155.00₹1,220.00₹1,850.6016
Sep ’24₹1,627.25
₹1,695.29
+4.2%
15.4%₹2,155.00₹1,220.00₹1,720.7514
Aug ’24₹1,555.70
₹1,617.00
+3.9%
16.0%₹2,050.00₹1,210.00₹1,664.1013
Jul ’24₹1,536.95
₹1,601.23
+4.2%
16.5%₹2,050.00₹1,210.00₹1,855.0513
Jun ’24₹1,390.85
₹1,599.17
+15.0%
17.1%₹2,050.00₹1,210.00₹1,596.8012
May ’24₹1,387.20
₹2,066.85
+49.0%
16.5%₹2,710.00₹1,410.00₹1,624.1013
Apr ’24₹1,610.75
₹2,264.92
+40.6%
12.8%₹2,845.00₹1,900.00₹1,418.5513
Mar ’24₹1,851.95
₹2,291.85
+23.8%
13.0%₹2,860.00₹1,900.00₹1,436.9013
Analyst Price Target
Consensus Narrative from 18 Analysts
₹1.98k
Fair Value
0.2% undervalued intrinsic discount
18
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/03/20 11:30
End of Day Share Price 2025/03/20 00:00
Earnings2024/12/31
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Aavas Financiers Limited is covered by 37 analysts. 12 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Raghav GargAmbit Capital
Udit KariwalaAmbit Capital
Nitin BhasinAmbit Capital