Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Mortgage Finance

Aavas Financiers Limited provides housing finance services to customers belonging to low- and middle-income self-employed customers in semi-urban and rural areas in India. The company offers home loans for flats, houses, and bungalows, as well as resale properties; home construction loans for self-construction of residential house; and home improvement loans, including loans for tiling or flooring, plaster, painting, etc. It also provides loans against property; home equity loan; and micro, small, and medium enterprise loans, as well as home loan balance transfer, and Small Ticket Size loan. The company was formerly known as AU Housing Finance Limited and changed its name to Aavas Financiers Limited in May 2017. Aavas Financiers Limited was incorporated in 2011 and is based in Jaipur, India.

Revenue projections:

Revenue projections for AAVAS
Revenue projections for AAVAS

AAVAS is projected to experience a revenue decline compared to last year, a development that often leads to investor caution. The drop could negatively impact the company's bottom line, as lower revenues typically signal reduced profitability, prompting more conservative investment strategies.

Financial Ratios:

currentRatio 1138.982000
forwardPE 14.544568
debtToEquity 307.971000
earningsGrowth 0.101000
revenueGrowth 0.175000
grossMargins 0.991560
operatingMargins 0.550150
trailingEps 75.470000
forwardEps 102.650010

AAVAS's current ratio is 1138.982, signaling that the company has sufficient cash reserves and current assets to cover its short-term debt obligations. This suggests financial stability, as AAVAS should not face any issues meeting its short-term liabilities with available resources.
Aavas Financiers Limited's Forward PE ratio suggests that the stock is priced appropriately in relation to its earnings. Not being overpriced, it offers room for growth, signaling potential upside for investors looking for a stock with reasonable valuation and growth potential.
Aavas Financiers Limited's elevated debt-to-equity ratio suggests the company is leveraging debt heavily, increasing its financial risk. While this can support growth, it could also lead to challenges if the company's profitability or cash flow weakens.
AAVAS's positive earnings and revenue growth reflect an optimistic outlook for the company's future. The growth in these key areas indicates that AAVAS is expected to continue expanding its business and boosting its financial performance in the coming periods.
Aavas Financiers Limited's positive gross and operating margins suggest that the company is operating profitably. These strong margins indicate effective cost management and revenue generation, contributing to a solid financial foundation.
Aavas Financiers Limited's forward EPS surpassing its trailing EPS signals that the company is anticipated to be more profitable this year than last. This growth expectation highlights Aavas Financiers Limited's potential for increased earnings and a stronger financial performance in the upcoming year.

Price projections:

Price projections for AAVAS
Price projections for AAVAS

The price of Aavas Financiers Limited has remained consistently close to the lower limit of projections. This ongoing pattern raises concerns about the stock's performance and may reflect market hesitance regarding the company's growth prospects.

Insider Transactions:

Insider Transactions for AAVAS
Insider Transactions for AAVAS


In recent market activity, 1 sales of AAVAS shares took place, with market price at 2092.5.No sell transactions took place in the period under consideration.AAVAS's current price levels are experiencing more buying activity than selling, which may point to a favorable outlook. This trend suggests investor confidence in the stock's future, potentially indicating expectations of continued growth.

Recommendation changes over time:

Recommendations trend for AAVAS
Recommendations trend for AAVAS


Analysts' recent buy bias toward AAVAS suggests the stock is gaining favor as a strong investment choice. This optimism could drive more investors to see AAVAS as a smart place to invest, further bolstering confidence in the company's long-term growth and potential returns.