Dewan Housing Finance Corporation Ltd. share price target

Operating Income rose by 8.45% to Rs. 2610.04 Cr in Q2FY18 when compared to the previous quarter Operating Income rose by 8.45% to Rs. 2610.04 Cr in Q2FY18 when compared to the previous quarter

Valuation and view: DEWH continues to be a focused play on low-ticket housing. This, along with the new-found opportunities in LAP and builder finance, is likely to keep its AUM on a high-growth trajectory. We believe the continued focus on cost rationalization and a secular decline in cost of funds are likely to result in higher return ratios and further re-rating in the medium term. Buy with a TP of INR690...

Dewan Housing Finance Corporation (DHFL) promoted by the Wadhwan group, commenced operations in 1984. DHFL with a total AUM of INR 882bn is the 3rd largest housing finance company with a market share of nearly~ 4% and operates through a network spread across in 351 locations. It is the only Housing Finance Company with focus on LMI customer segment. Distribution footprint is primarily spread across Tier II / III cities and outside the municipal limits...

DHFL came out with yet another quarter of good results. AUM growth of 23% and PAT growth of 29.5% was in line with expectations.Stable credit cost and ability to hold on to strong NIM were the key highlights of the quarter. DHFL received Rs1,969 cr, via selling its 50% stake in its life insurance business, thus boosting its CAR by ~400 ..

Operating Income rose by 1.31% to Rs. 2406.58 Cr in Q1FY18 when compared to the previous quarter. Operating Income rose by 1.31% to Rs. 2406.58 Cr in Q1FY18 when compared to the previous quarter.

Operating Income grew by 0.58% to Rs. 2375.36 Cr in Q4FY17 when compared to the previous quarter.

Dewan Housing Finance Corporation (DHFL) primarily provides housing finance to individuals, especially in the lower and lower-middle-income groups in Tier II, III and IV cities. The company also offers non-housing loans such as loan against...

DHFL is a dominant player in niche markets (tier II & III cities) with strong foothold in the low and middle income (LMI) segment and caters to the middle and upper middle income groups. It operates in the mortgage financing business where the growth and asset quality have remained healthy over the past few years DHFL has a presence in the education loans, life insurance, and mutual funds segments through Avanse Education Loans, DHFL Pramerica Life Insurance and DHFL Pramerica Asset Managers Pvt Ltd,respectively....

The 12th Five year plan has estimated housing shortage (Period of 201217) of 18.78mn units in urban areas and 43.67mn units in rural areas. Further with the focus of new government in Housing for all by 2022 provides the thrust towards affordable housing. According to ICRA, the housing shortage is expected to increase from the current level of 19 million units to 25 million by 2021, based on a stable decadal growth rate. Based on an average ticket size of Rs 25 lakh per unit, ICRA estimates the...