Reliance Home Financ Stock Price Analysis and Quick Research Report. Is Reliance Home Financ an attractive stock to invest in?

Housing finance companies is a highly concentrated business-facing fierce competition and the industry has remained competitive for several years. The growth of the economy and also increase in the per capita income of individuals impact the housing industry as a whole.

These companies provide finance for housing in India to individuals and corporations. The housing finance companies majorly cater to low and middle-income individuals. The proportion of loans coming from housing companies is significantly increasing.

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Reliance Home Financ. 

Key Financials -

• Profitability: Profit margin (PAT margin) of the company shows how well a company controls its cost. It is one of the important indicators to show the financial health of the company. Net profit of Reliance Home Financ is Rs 5418.57 Cr. and the compounded growth of profit in the past 3 years is 154.256401425173%. The PAT margin of Reliance Home Financ is 1417.84284480728%.
• EPS growth: Investors should ensure the EPS figure is growing faster than revenue numbers because it indicates company management is increasing the efficiency with which it runs the company. In Reliance Home Financ , the EPS grew by 199.613439293472% YOY. 

 Financial Ratios -

• Return on Equity (ROE): Reliance Home Financ has a poor ROE track record. The ROE of Reliance Home Financ is at 0% for the latest year.
• P/E Ratio: Relative valuation metrics like the P/E ratio can be used to see if the stock of Reliance Home Financ is worth at the current levels at Rs 4.69. Reliance Home Financ is trading at a current P/E ratio of 0.022469033464537 and the average historical P/E for the last 5 years was 4.13428731701739.
• P/B ratio can be one of the best metrics to value such companies. Currently, Reliance Home Financ is trading at a P/B of -3.90800766602783. The average historical P/B for the last 5 years was -0.517478107543939. This can be compared with the Market price per share in order to know if the stock is undervalued or overvalued.

One can find all the Financial Ratios of Reliance Home Financ in Ticker for free. Also, one can get the intrinsic value of Reliance Home Financ by using Valuation Calculators, which are available with a Finology ONE subscription. 

Reliance Home Financ FAQs

Q1. What is Reliance Home Financ share price today?
Ans: The current share price of Reliance Home Financ is Rs 4.69.

Q2. What is the market capitalisation of Reliance Home Financ?
Ans: Reliance Home Financ has a market capitalisation of Rs 227.492585642 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Reliance Home Financ?
Ans: The PE ratio of Reliance Home Financ is 9.41011235955056 and the P/B ratio of Reliance Home Financ is -3.90800766602783, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Reliance Home Financ share?
Ans: The 52-week high share price of Reliance Home Financ is Rs 7.78, and the 52-week low share price of Reliance Home Financ is Rs 2.15.

Q5. Does Reliance Home Financ pay dividends?
Ans: Currently, Reliance Home Financ does not pay dividends. Dividend yield of Reliance Home Financ is around 0%.

Q6. What are the face value and book value of Reliance Home Financ shares?
Ans: The face value of Reliance Home Financ shares is Rs 10, while the book value per share of Reliance Home Financ is around Rs -1.2001. Face value is the nominal value set by the company, whereas book value reflects its accounting worth. 

Q7. What are the ROE and ROCE of Reliance Home Financ?
Ans: The ROE of Reliance Home Financ is 0% and ROCE of Reliance Home Financ is 250.034622258035%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q8. Is Reliance Home Financ a good buy for the long term?
Ans: The Reliance Home Financ long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q9. Is Reliance Home Financ undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Reliance Home Financ appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q10. How to check Reliance Home Financ’s financials?
Ans: You can review Reliance Home Financ’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.