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Last Updated on: 05 October, 2024
Author: Getaka|Social: Getaka Financial Services X (Earlier Twitter) Profile Getaka Financial Services LinkedIn Logo

Indiabulls Housing Finance Ltd: Intrinsic Value and Fundamental Analysis

Share Price and Basic Stock Data

Last Updated: July 26, 2024, 11:44 am

Market Cap 8,279 Cr.
Current Price 167
High / Low209/115
Stock P/E6.77
Book Value 268
Dividend Yield0.76 %
ROCE10.1 %
ROE6.55 %
Face Value 2.00
PEG Ratio-0.48
No data available for this post.

Competitors of Indiabulls Housing Finance Ltd

Stock NameMarket CapCurrent PriceHigh / LowStock P/EBook ValueDividend YieldROCEROEFace Value
Aptus Value Housing Finance India Ltd 17,942 Cr. 360392/27828.0 75.51.25 %14.7 %17.2 % 2.00
Repco Home Finance Ltd 3,231 Cr. 516595/3517.86 4630.58 %10.5 %14.6 % 10.0
PNB Housing Finance Ltd 24,551 Cr. 9451,202/60015.2 5750.00 %9.27 %11.8 % 10.0
Reliance Home Finance Ltd 256 Cr. 5.286.22/1.90 1.590.00 %17.2 %% 10.0
LIC Housing Finance Ltd 34,921 Cr. 635827/4327.35 5721.42 %8.79 %16.2 % 2.00
Industry Average11,323.67N/A10.85N/AN/A11.4011.77N/A

All Competitor Stocks of Indiabulls Housing Finance Ltd

Quarterly Result

MonthSep 2020Dec 2020Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023
Sales2,5342,5132,3722,3212,2332,2742,1892,0752,2302,3392,0751,9002,227
Expenses353346448386254257256179406522293147448
Operating Profit2,1812,1671,9241,9351,9792,0181,9331,8971,8241,8171,7821,7531,779
OPM %86%86%81%83%89%89%88%91%82%78%86%92%80%
Other Income47150503232141315
Interest1,7921,7061,5941,5521,5711,5771,5431,4951,4101,3891,3421,3541,350
Depreciation22252319192020182323221923
Profit before tax413437357369390424372386393405422394422
Tax %22%25%23%24%27%29%18%26%26%28%38%25%29%
Net Profit323329276282286303307287289291263294298
EPS in Rs4.664.753.984.064.134.344.364.054.094.113.714.164.14

Last Updated: Unknown

Quarterly Chart

Profit & Loss - Annual Report

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023TTM
Sales4,7305,8907,2439,22111,62814,95217,02013,2199,9988,9888,7198,542
Expenses5146328161,1051,4852,0331,6542,0401,4291,1191,4001,411
Operating Profit4,2165,2586,4278,11710,14412,91915,36611,1798,5697,8697,3197,131
OPM %89%89%89%88%87%86%90%85%86%88%84%83%
Other Income48149462662296833
Interest2,5993,2823,9444,9716,4118,0109,7268,5126,9396,2425,6365,435
Depreciation98192023374310897778686
Profit before tax1,6551,9822,4733,1293,7724,8785,6042,5611,5621,5561,6061,643
Tax %24%21%23%25%23%21%28%15%23%24%30%
Net Profit1,2661,5691,9012,3452,9063,8954,0912,2001,2021,1781,1301,146
EPS in Rs40.2746.8353.4755.6668.5791.3395.7151.4525.9925.1323.9524.19
Dividend Payout %50%62%50%81%39%45%42%59%33%0%5%

Profit & Loss Yearly Chart

YoY Net Profit Growth

Year2013-20142014-20152015-20162016-20172017-20182018-20192019-20202020-20212021-20222022-2023
YoY Net Profit Growth (%)23.93%21.16%23.36%23.92%34.03%5.03%-46.22%-45.36%-2.00%-4.07%
Change in YoY Net Profit Growth (%)0.00%-2.77%2.20%0.57%10.11%-29.00%-51.26%0.86%43.37%-2.08%

Indiabulls Housing Finance Ltd has shown an inconsistent trend in YoY Net Profit Growth (%) in the last 10 years from 2013-2014 to 2022-2023.

No data available for the compounded sales growth chart.

Balance Sheet

Last Updated: Unknown

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024
Equity Capital6267718485858584898990113
Reserves5,0065,6396,56110,61012,03814,27316,39715,45416,04516,58517,27219,679
Borrowings31,28635,54047,48761,08585,301111,056105,75679,67468,80561,35952,40348,493
Other Liabilities2,7873,1723,1103,9356,2747,1887,8667,6608,2993,9405,1804,781
Total Liabilities39,14144,41757,22975,714103,697132,603130,104102,87293,23881,97374,94573,066
Fixed Assets58115123136169169214450295327433325
CWIP000000000000
Investments2,3082,9476,16410,69313,61714,79219,71712,2776,1465,5465,3707,192
Other Assets36,77541,35450,94264,88689,912117,642110,17390,14586,79676,10069,14265,549
Total Assets39,14144,41757,22975,714103,697132,603130,104102,87293,23881,97374,94573,066

Reserves and Borrowings Chart

Free Cash Flow

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Free Cash Flow-27.00-30.00-41.00-53.00-75.00-99.00-90.00-68.00-60.00-54.00-45.00

Free Cash Flow = Income Generated from Operational Activities - Borrowings - Capital Work in Progress (CWIP)

Consistent positive free cash flow is crucial for businesses as it indicates their ability to generate cash from their core operations. It provides financial flexibility, allowing companies to invest in growth opportunities, pay dividends to shareholders, reduce debt, and weather economic downturns more effectively.

Free Cash Flow Chart

Financial Efficiency Indicators

MonthMar 2013Mar 2014Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023
Debtor Days00000111101
Inventory Days
Days Payable
Cash Conversion Cycle00000111101
Working Capital Days-353-256-129-247-273-135-103-87-16781103
ROCE %14%13%13%12%12%12%10%9%10%10%

Financial Efficiency Indicators Chart

Share Holding Pattern

MonthJun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024
Promoters21.69%21.69%9.72%9.66%9.59%9.60%9.60%0.00%0.00%0.00%0.00%0.00%
FIIs33.65%27.15%29.07%26.81%25.06%24.04%21.73%18.31%18.53%22.37%23.41%19.33%
DIIs12.88%12.37%14.21%13.11%9.81%11.09%13.10%13.04%16.12%16.08%8.53%7.15%
Public28.10%35.10%43.35%45.51%50.66%50.41%50.70%63.78%60.47%59.81%66.34%71.79%
Others3.68%3.68%3.66%4.91%4.88%4.88%4.88%4.88%4.88%1.75%1.71%1.71%
No. of Shareholders3,21,4874,16,6634,70,1045,45,7385,77,5315,51,6915,10,5215,22,0334,99,9574,54,3034,50,1414,93,288

Shareholding Pattern Chart

No. of Shareholders

Mutual Fund Holdings

Fund NameNo of SharesAUM (%)Amount Invested (Cr)Previous Number of SharesPrevious DatePercentage Change
Edelweiss Arbitrage Fund3,595,5000.9673.43,253,8002024-10-0410.5%
Nippon India Arbitrage Fund3,447,6000.5970.383,253,8002024-10-045.96%
Tata Arbitrage Fund3,100,8000.7963.33,253,8002024-10-04-4.7%
ICICI Prudential Equity - Arbitrage Fund3,906,6000.4163.253,253,8002024-10-0420.06%
SBI Arbitrage Opportunities Fund2,861,1000.2558.413,253,8002024-10-04-12.07%
UTI Arbitrage Fund3,253,8001.452.683,253,8002024-10-040%
HDFC Arbitrage Fund - Regular Plan2,850,9000.6146.163,253,8002024-10-04-12.38%
HDFC Arbitrage Fund - Wholesale Plan2,850,9000.6146.163,253,8002024-10-04-12.38%
Aditya Birla Sun Life Arbitrage Fund1,234,2000.425.23,253,8002024-10-04-62.07%
Axis Arbitrage Fund958,8000.5619.573,253,8002024-10-04-70.53%

ROCE Trend

EPS Trend

Key Financial Ratios

MonthMar 24Mar 23Mar 22Mar 21Mar 20
FaceValue2.002.002.002.002.00
Basic EPS (Rs.)23.7825.1926.4227.7251.70
Diluted EPS (Rs.)23.5325.0526.3427.7251.69
Cash EPS (Rs.)22.9927.0928.1729.1554.25
Book Value[Excl.RevalReserv]/Share (Rs.)350.21387.01374.24362.27370.69
Book Value[Incl.RevalReserv]/Share (Rs.)350.21387.01374.24362.27370.69
Revenue From Operations / Share (Rs.)149.96194.37201.62222.91315.32
PBDIT / Share (Rs.)124.57163.31176.74193.06266.75
PBIT / Share (Rs.)123.07161.40175.01190.88264.17
PBT / Share (Rs.)29.1735.7534.9235.0761.10
Net Profit / Share (Rs.)21.4925.1826.4326.9851.67
NP After MI And SOA / Share (Rs.)21.4925.1826.4326.9852.48
PBDIT Margin (%)83.0784.0187.6586.6084.59
PBIT Margin (%)82.0783.0386.7985.6383.78
PBT Margin (%)19.4518.3917.3115.7319.37
Net Profit Margin (%)14.3212.9513.1112.1016.38
NP After MI And SOA Margin (%)14.3212.9513.1112.1016.64
Return on Networth / Equity (%)6.136.507.067.4414.15
Return on Capital Employeed (%)34.2440.6416.9816.4220.60
Return On Assets (%)1.661.501.431.282.13
Long Term Debt / Equity (X)0.000.001.702.162.40
Total Debt / Equity (X)2.453.023.684.265.13
Asset Turnover Ratio (%)0.110.110.090.090.10
Current Ratio (X)1.331.262.202.202.04
Quick Ratio (X)1.331.262.202.202.04
Dividend Payout Ratio (NP) (%)0.000.00-1.2934.6260.01
Dividend Payout Ratio (CP) (%)0.000.00-1.2132.0557.21
Earning Retention Ratio (%)0.000.000.0065.3839.99
Cash Earning Retention Ratio (%)0.000.000.0067.9542.79
Interest Coverage Ratio (X)1.331.301.261.241.31
Interest Coverage Ratio (Post Tax) (X)1.231.201.191.171.25
Enterprise Value (Cr.)53580.7451538.3658737.2960552.6868682.73
EV / Net Operating Revenue (X)6.325.916.546.105.20
EV / EBITDA (X)7.617.047.467.046.14
MarketCap / Net Operating Revenue (X)1.120.500.780.880.30
Retention Ratios (%)0.000.000.0065.3739.98
Price / BV (X)0.480.250.420.540.26
Price / Net Operating Revenue (X)1.120.500.780.880.30
EarningsYield0.120.250.160.130.54

Profitability Ratios (%)

Liquidity Ratios

Liquidity Ratios (%)

Interest Coverage Ratios (%)

Valuation Ratios

Fair Value

Fair Value of Indiabulls Housing Finance Ltd as of October 5, 2024 is: ₹119.74

Calculation basis:

  • Fair value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.

This formula allows us to gauge the fair value of the stock by analyzing its fundamental indicators.

As of October 5, 2024, Indiabulls Housing Finance Ltd is Overvalued by 28.30% compared to the current share price ₹167.00

Intrinsic Value of Indiabulls Housing Finance Ltd as of October 5, 2024 is: ₹102.96

Calculation basis:

  • Intrinsic value = P/E Ratio * (Return on Equity / 100) * Book Value * (1 + Dividend Yield / 100) * (1 + EPS CAGR for Last 5 Years)
  • P/E Ratio (Price-to-Earnings Ratio): Represents the price of the stock relative to its earnings per share. A higher P/E ratio indicates that investors are willing to pay a higher price for the stock.
  • Return on Equity (ROE): Measures a company's profitability relative to its shareholder equity. It showcases the company's ability to generate profits using the investment made by its shareholders, offering valuable insight into its operational efficiency and financial performance.
  • Book Value: Represents the net asset value of the company per share. It is calculated as the total assets minus intangible assets and liabilities, divided by the number of outstanding shares.
  • Dividend Yield: The ratio of the annual dividend per share to the current market price per share. It offers valuable insights into the profitability of an investment through dividends.
  • EPS CAGR (Compound Annual Growth Rate): Represents the geometric mean growth rate of earnings per share over the last 5 years. It provides insight into the historical growth trajectory of the company's earnings.

This formula allows us to gauge the intrinsic value of the stock by analyzing its fundamental indicators along with EPS growth.

As of October 5, 2024, Indiabulls Housing Finance Ltd is Overvalued by 38.35% compared to the current share price ₹167.00

Last 5 Year EPS CAGR: -14.01%

*Investments are subject to market risks

Strength and Weakness

StrengthWeakness
  1. The stock has a low average Working Capital Days of -142.36, which is a positive sign.
  2. The company has shown consistent growth in sales (9.42 cr) and profit (2.08 cr) over the years.
  1. The stock has a low average ROCE of 10.45%, which may not be favorable.
  2. The stock has a high average Cash Conversion Cycle of 0.45, which may not be favorable.
  3. The company has higher borrowings (65,687.08) compared to reserves (12,963.25), which may suggest financial risk.

Stock Analysis

  • Considering all of the following key financial indicators, prospective investors are encouraged to conduct thorough research and seek professional guidance before considering any investment in Indiabulls Housing Finance Ltd:
    1. Net Profit Margin: 14.32%
      • Net Profit Margin: This metric indicates the percentage of profit a company makes from its total revenue. A higher net profit margin is generally desirable as it reflects better profitability.
    2. ROCE: 34.24% (Industry Average ROCE: 11.4%)
      • ROCE (Return on Capital Employed): ROCE measures a company's profitability and the efficiency with which its capital is employed. A higher ROCE indicates efficient use of capital.
    3. ROE%: 6.13% (Industry Average ROE: 11.77%)
      • ROE (Return on Equity): ROE measures a company's profitability relative to shareholders' equity. A higher ROE indicates efficient use of shareholders' funds.
    4. Interest Coverage Ratio (Post Tax): 1.23
      • Interest Coverage Ratio: The interest coverage ratio measures a company's ability to cover its interest payments on outstanding debt. A ratio greater than 2 is generally considered healthy as it indicates the company can meet its interest obligations comfortably.
    5. Quick Ratio: 1.33
      • Quick Ratio: The quick ratio assesses a company's ability to cover its short-term liabilities with its most liquid assets. A ratio higher than 1 suggests the company can meet its short-term obligations without relying heavily on inventory.
    6. Stock P/E: 6.77 (Industry average Stock P/E: 10.85)
      • Stock P/E (Price-to-Earnings) Ratio: The P/E ratio compares a company's current share price to its earnings per share. A lower P/E ratio relative to industry peers or historical values may indicate that the stock is undervalued.
    7. Total Debt / Equity: 2.45
      • Total Debt / Equity: This ratio measures a company's financial leverage by comparing its total debt to its total equity. A lower ratio indicates lower financial risk and greater financial stability.
    The current analysis is available for review. It's important to conduct thorough research and consider consulting with financial professionals before making any investment decisions.
    Stock Rating:

About the Company - Qualitative Analysis

No data availabale for About the Company
INDUSTRYADDRESSCONTACT
Industry not foundAddress not foundContact not found
Management Data not Available

FAQ

What is the latest fair value of Indiabulls Housing Finance Ltd?

The latest fair value of Indiabulls Housing Finance Ltd is ₹119.74.

What is the Market Cap of Indiabulls Housing Finance Ltd?

The Market Cap of Indiabulls Housing Finance Ltd is 8,279 Cr..

What is the current Stock Price of Indiabulls Housing Finance Ltd as on 20 August 2024?

The current stock price of Indiabulls Housing Finance Ltd as on 20 August 2024 is 167.

What is the High / Low of Indiabulls Housing Finance Ltd stocks in FY 2024?

In FY 2024, the High / Low of Indiabulls Housing Finance Ltd stocks is 209/115.

What is the Stock P/E of Indiabulls Housing Finance Ltd?

The Stock P/E of Indiabulls Housing Finance Ltd is 6.77.

What is the Book Value of Indiabulls Housing Finance Ltd?

The Book Value of Indiabulls Housing Finance Ltd is 268.

What is the Dividend Yield of Indiabulls Housing Finance Ltd?

The Dividend Yield of Indiabulls Housing Finance Ltd is 0.76 %.

What is the ROCE of Indiabulls Housing Finance Ltd?

The ROCE of Indiabulls Housing Finance Ltd is 10.1 %.

What is the ROE of Indiabulls Housing Finance Ltd?

The ROE of Indiabulls Housing Finance Ltd is 6.55 %.

What is the Face Value of Indiabulls Housing Finance Ltd?

The Face Value of Indiabulls Housing Finance Ltd is 2.00.

About the Author

Author Avatar
Getaka

Getaka, CFA, a financial analyst with 15 years of experience in the industry. Getaka holds an MBA degree and the Chartered Financial Analyst designation, demonstrating his profound understanding of financial analysis and investment management. Throughout his career, he has conducted numerous financial analyses and due diligence processes for companies in the industry, and has a strong track record of identifying key trends and opportunities. He leverages his expertise to deliver a thorough financial analysis of a company, encompassing its financial performance, key ratios, future prospects, and risks. Getaka is committed to providing accurate, reliable, and trustworthy information to help readers make informed decisions about their finances and investments.

Disclaimer: This article is for informational purposes only and should not be construed as financial advice. The author is not a SEBI registered financial advisor and does not have any vested interest in Indiabulls Housing Finance Ltd. Investors are advised to conduct their own due diligence and consult with a financial professional before making any investment decisions. The information provided in this article is based on publicly available data and the author's analysis, but it may not be comprehensive or up-to-date. The author and getaka.co.in are not responsible for any errors or omissions in the content. This article is not intended to promote any particular investment strategy or recommendation, and readers should consult with their own financial advisors before making any investment decisions. Data Source: NSE