India's Aavas Financiers rises on March-quarter profit growth

Aptus Value Housing Finance India

26/04/2024 08:16

** Shares of Aavas Financiers  AVAS.NS  rise as much as
5.23% to a six-month high of 1,689.30 rupees apiece; last up 2%
    ** Housing finance company posts 12% year-on-year rise in
consolidated net profit in March quarter
    ** Loan growth of 22% and disbursement growth of 19% in
March quarter is encouraging, says Jefferies; raises target
price to 2,000 rupees from 1,940 rupees earlier, reiterates
"buy" rating
    ** Expects return-on-equity to improve to 16% by fiscal 2026
from 14% currently
    ** Says valuation of AVAS is at a discount to peers
    ** The trailing 12-month (TTM) price-to-earnings (P/E)
ratio, a measure of valuation, of AVAS is 26.76, higher than
Aptus Value Housing Finance  APTS.NS , Home First Finance
 HOME.NS  - LSEG data
    ** Mean recommendation of 19 analysts tracking AVAS is
"buy"; median price target at 1,775 rupees - LSEG 

 (Reporting by Bharath Rajeswaran in Bengaluru)
 ((bharath.rajeswaran@thomsonreuters.com; +91 9769003463;))