BUY - Can Fin homes for a target of 200 - GEPL

4 views

Skip to first unread message

RAJESH DESAI

unread,

Nov 16, 2012, 11:51:31 PM11/16/12

Follow us on:

Valuation

With reforms expected from the government for the real estate sector, we believe anticipate growth in tier I and tier II cities in coming time. With efficient management of CFHL, we believe it will be one of the major beneficiaries of this expected boom. The company's efforts to increase in branches network and diversifying in personal loan segment will further speed-up the growth engine of the company.

CFHL trades at cheapest of all housing finance companies at 0.65x FY13E price to book and P/E of 5.4x of FY13E EPS, which is the cheapest of all housing finance companies. We recommend a BUY rating on the stock with a target price of Rs200 at which the exit P/BV multiple is 1.1x and exit P/E multiple stands at 7.4x.

Click to view report


	4 EASY WAYS TO GET IN TOUCH	+91 22 66182400 \| in...@geplcapital.com \| Visit www.geplcapital.com \| SMS 'GEPL' to 575758