{"id":1807,"date":"2021-04-05T11:00:04","date_gmt":"2021-04-05T11:00:04","guid":{"rendered":"http:\/\/www.assetmultiplier.co.in\/blog\/?p=1807"},"modified":"2021-04-05T11:00:04","modified_gmt":"2021-04-05T11:00:04","slug":"expect-more-stability-hereon-indiabulls-housing-finance","status":"publish","type":"post","link":"https:\/\/www.assetmultiplier.co.in\/blog\/2021\/04\/05\/expect-more-stability-hereon-indiabulls-housing-finance\/","title":{"rendered":"Expect more stability hereon: Indiabulls Housing Finance"},"content":{"rendered":"<p><b>Update on Indian Equity Market:<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Markets started the first week of FY22E on a negative note as Nifty closed the day 230 points lower at 14,638. The fresh restrictions amid rising COID-19 cases might be the reason behind the move. Within the index, HCL TECH (3.2%), TCS (2.4%),and WIPRO (2.3%) were few of the gainers while BAJFINANCE (-5.7%), INDUSINDBK (-5.5%), and SBIN (-4.5%) led the losers. Among the sectoral indices, only IT (2.0%) and METAL (0.9%) led the winners while PSU BANK (-4.1%), BANK (-3.5%), and PVT BANK (-3.4%) led the losers.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Excerpts of an interview with Mr. Gagan Banga, Vice-chairman &amp; MD, Indiabulls Housing Finance (IBULHSGFIN)\u00a0with CNBC -TV18 dated 1<\/span><span style=\"font-weight: 400;\">st<\/span><span style=\"font-weight: 400;\"> April 2021:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">CRISIL has upgraded the rating outlook for IBULHSGFIN. This is the first rating upgrade for the company in two years. The asset-light model is now stabilized and is now starting to scale up. The ample amount of liquidity buffers created by the company is appreciated by CRISIL.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">He said that the macro picture in the country is improving and favorable. Home sales continued to inch up through the month of March-21. The current month (April) is looking much better compared to last year. The company expects more stability from hereon.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">There is a lot of work to be done on the collections front. The company is very careful about improving the collection efficiency of the company.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">IBULHSGFIN has raised a total of Rs 210bn capital through shareholders. The company continues to operate by investing in a corporate governance framework.\u00a0<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Some of the borrowers are paying ahead of the schedule. The company is also witnessing pick-up in sales in all realty markets including Delhi, NCR, Bengaluru, Hyderabad, etc.<\/span><\/li>\n<\/ul>\n<p><b>Asset Multiplier Comments:<\/b><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Post IL&amp;FS era, the rating upgrade is the first relief for the company in two years. This highlights the recovery of the quality of fundamentals aided by the asset-light model and may aid in building confidence in investors. The recent capital raising also highlights the same.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The focus on improving collection efficiency will lead to a reduction in gross stage 2 &amp; 3 assets in the coming months for the company. This will improve the quality of the loan book.\u00a0<\/span><\/li>\n<\/ul>\n<p><b>Consensus Estimates<\/b><span style=\"font-weight: 400;\">\u00a0<\/span><b>(Source: market screener)<\/b><span style=\"font-weight: 400;\">:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The closing price of IBULHSGFIN was\u00a0\u20b9\u00a0194\/- as of 5-April-2021.\u00a0 It traded at 0.47x\/ 0.48x the consensus Book Value estimate of \u20b9 412\/ 407 for FY22E\/23E respectively.<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">The consensus price target is \u20b9 155\/- which trades at 0.38x the BV estimate for FY23E of \u20b9 407\/-<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">Disclaimer: \u201cThe views expressed are for information purposes only. The information provided herein should not be considered as investment advice or research recommendation. The users should rely on their own research and analysis and should consult their own investment advisors to determine the merit, risks, and suitability of the information provided.\u201d<\/span><\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Update on Indian Equity Market: Markets started the first week of FY22E on a negative note as Nifty closed the day 230 points lower at 14,638. The fresh restrictions amid rising COID-19 cases might be the reason behind the move. Within the index, HCL TECH (3.2%), TCS (2.4%),and WIPRO (2.3%) were few of the gainers [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[711,101],"tags":[714,713,712],"_links":{"self":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts\/1807"}],"collection":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/comments?post=1807"}],"version-history":[{"count":1,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts\/1807\/revisions"}],"predecessor-version":[{"id":1808,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/posts\/1807\/revisions\/1808"}],"wp:attachment":[{"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/media?parent=1807"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/categories?post=1807"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.assetmultiplier.co.in\/blog\/wp-json\/wp\/v2\/tags?post=1807"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}