India's Aptus Value, Home First rise after MS starts coverage with "overweight" rating

Can Fin Homes

18/04/2023 07:37

** Shares of Aptus Value Housing Finance  APTS.NS  and Home
First Finance Co  HOME.NS  rise over 4% and 2%, respectively
    ** Rise follows Morgan Stanley initiating coverage of both
cos with "overweight" rating 
    ** Also starts coverage with "equal weight" rating for Aavas
 AVAS.NS  and Can Fin  CNFH.NS ; both down over 1%
    ** MS sees "attractive" prospects for affordable housing
finance companies (AHFC) sector, expects it to see broad-based
secular growth     
    ** Prefers APTS and HOME over AVAS on higher loan growth
potential and greater or similar return on equity potential for
lower valuations
    ** Cites uncertain challenges for CNFH around ownership,
larger asset book and high leverage
    ** MS says all four cos to clock sharp uptick in assets
under management, aided by post-pandemic demand recovery
    

 (Reporting by Priya Sagar in Bengaluru)
 ((Priya.Sagar@thomsonreuters.com;))