Equitas Holdings Ltd. share price target and research reports

Name: Latest research reports of Equitas Holdings Ltd. authored by Motilal Oswal and published by - Trendlyne research reports.
Item: Equitas Holdings Ltd.
Rating: 5
Author: Motilal Oswal

Latest analyst research reports with target prices and PDF download for EQUITAS, BSE:539844 Equitas Holdings Ltd.

Equitas Holdings Ltd.

01 Feb 2018

Equitas Holdings: Balance sheet de-risking continues; MF book clean-up leads to a loss

Buy: Equitas Holdings Ltd.

Target

Motilal Oswal

Equitas (EQUITAS) reported a loss of INR300m, as the bank chose to provide completely on its delinquent micro finance (MF) book, increasing the coverage ratio on the latter to 96%. PPoP declined 7% QoQ, as total income (INR2.7b) growth of 4% QoQ lagged opex growth of 6% QoQ (INR2.3b). The bank provided a total of INR869m during the quarter (INR700m toward MF book), effectively up-fronting all credit costs on the same. Balance sheet de-risking continues:In line with the goal of diversifying the loan book, micro finance AUMs fell to 32% of total v/s 36% in 2QFY18, as MF AUM declined 6.6% QoQ to INR24.7b, while vehicle finance and M-LAP/LAP AUMs grew 4.2% and 11.5% QoQ, respectively. Total AUM/loan book grew 7.5%/22.2% YoY (securitized book share fell to 6.8%). Unsecured AUMs fell to 36% v/s 39% in 2Q, with robust growth in secured lending products.

Equitas Holdings Ltd.

03 Nov 2017

Result Update:Equitas Holdings

Buy: Equitas Holdings Ltd.

Target

Axis Direct

Q2FY18 was weak marked by sluggish growth in loan book (~14% YoY) and further deterioration in asset quality (GNPAs up 85 bps QoQ at 5.76%). Consequently, PAT was 76 YoY lower than estimate (Rs 109 mn).

Equitas Holdings Ltd.

31 Oct 2017

Equitas (2QFY18): In Line. Maintain NEUTRAL

Neutral: Equitas Holdings Ltd.

Target

HDFC Securities

We maintain our NEUTRAL stance with a TP of Rs 160 (2.25x Sept'19E ABV). Equitas 2QFY18 performance came in largely in-line with our expectations. The loan book grew by 4.1% QoQ (3.5% YoY), as the company continued to focus on the Non-MF (secured) book. The share of the MFI book further declined to 36% from 42% in 1QFY18. Collection efficiency of the MF book stood at 94.6%. Operating cost declined 4% QoQ.

Equitas Holdings Ltd.

04 Aug 2017

Result Update - Equitas Holding

Buy: Equitas Holdings Ltd.

Target

Axis Direct

Equitas reported a weak Q1FY18 due to moderation in AUM growth (7% YoY), significant decline in margin (down 70 bps QoQ at 9.1%) and deterioration in asset quality (GNPAs up 138 bps QoQ at 4.9%).

Equitas Holdings Ltd.

02 Aug 2017

Equitas (1QFY18): Transition challenges. Downgrade to NEUTRAL

Neutral: Equitas Holdings Ltd.

Recommendation Target

HDFC Securities

We downgrade to NEUTRAL with a lower TP of Rs 150 (2.25x FY19E ABV). Equitas 1QFY18 performance was muted, owing to the twin impact of a decline in growth of the MFI segment and higher operating costs of liability branches. Collection efficiency of the MFI book stood at 94.6%. Disbursements were almost flat QoQ, owing to caution exercised in the MFI portfolio. AUM declined marginally QoQ at Rs 70.4bn, while NII declined by 10.5/4.8% QoQ/YoY. Non-interest Income was up sharply, owing to PSLC fee income of Rs 600mn. Opex cost further increased by 17.5% QoQ, owing to the rollout of 51 new liability branches, along with new products.

Equitas Holdings Ltd.

15 May 2017

Result Update:Equitas Holdings

Buy: Equitas Holdings Ltd.

Target

Axis Direct

Q4FY17 was subdued due to moderation in AUM growth, significant decline in margin and further deterioration in headline asset quality. Additionally, higher operating expenses (due to opening of liability branches)

Equitas Holdings Ltd.

08 May 2017

Equitas (4QFY17): Muted results. Maintain BUY

Buy: Equitas Holdings Ltd.

Target

HDFC Securities

Equitas 4QFY17 performance was muted, as the MFI segment continued to be impacted by lower collections post demonetisation. Collection efficiency of the MFI book stood at 95.8% (98.4% in 3QFY17), as compared to the normal level of 99% . Disbursements were down QoQ, owing to a cautious stance on the MFI portfolio, whose share declined 350bps to 45.3%.

Equitas Holdings Ltd.

21 Feb 2017

Equitas (Initiating Coverage): In transition, worth a ride. BUY

Buy: Equitas Holdings Ltd.

HDFC Securities

Equitas Holdings, headquartered in Tamil Nadu, is a lender to underserved segments in urban, semi-urban and rural India. With an AUM of Rs 72bn, it provides Microfinance, Used CV Vehicles, MSE and Housing Finance loans.

Equitas Holdings Ltd.

08 Feb 2017

Result Update:Equitas Holdings

Buy: Equitas Holdings Ltd.

Axis Direct

Equitas reported Q3FY17 PAT of Rs 449 mn, up ~4% YoY, in line with our estimate. NII growth was strong at 51% YoY with NIM at 10.5%. Operating expenses rose ~80% YoY,as SFB transition costs continued. Provisions doubled YoY, as it made additional provisions of ~Rs 150 mn to combat collection delays ..

No results found

Is Equitas Holdings Ltd. worth buying?

335 Votes:

Buy 78.51%

Sell 11.04%

Hold 10.45%