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 14.793667
debtToEquity 307.971000
earningsGrowth 0.101000
revenueGrowth 0.175000
grossMargins 0.991560
operatingMargins 0.550150
trailingEps 75.450000
forwardEps 75.040000

The current ratio for AAVAS is 1138.982, indicating that the company can service its short-term debt using available cash and assets. This suggests AAVAS has strong liquidity, with more than enough resources to meet its immediate financial commitments.
AAVAS's Forward PE is at a healthy level, indicating that the stock price is well-positioned relative to its earnings. With the stock not being overvalued, there remains room for future growth, suggesting a balanced opportunity for investors seeking potential upside.
AAVAS'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 Financiers Limited's positive earnings and revenue growth signal that the company is expected to expand its business. The company's increasing profits and sales reflect strong financial health, suggesting continued growth and success in the coming periods.
Positive gross and operating margins for AAVAS highlight the company's profitability. These metrics reflect AAVAS's efficiency in controlling costs while generating strong revenue from its core operations, signaling robust financial health.
AAVAS's forward EPS being lower than its trailing EPS suggests the company is expected to see reduced profitability in the current financial year compared to the previous one. This signals a potential decline in earnings, raising concerns about future financial performance.

Price projections:

Price projections for AAVAS
Price projections for AAVAS

Over time, price projections for Aavas Financiers Limited have been gradually revised upward, reflecting increasing optimism about the company's future performance. This trend suggests analysts are growing more confident in Aavas Financiers Limited's ability to deliver strong results and achieve higher market value.

Insider Transactions:

Insider Transactions for AAVAS
Insider Transactions for AAVAS


1 transactions were made to sell Aavas Financiers Limited shares, with market price of 2092.5.The period under consideration did not see any sell transactions.Aavas Financiers Limited's current price levels are seeing more buying activity than selling, which might indicate a bullish sentiment. Investors appear to be confident, interpreting the buying trend as a sign of positive expectations for the stock's future performance.

Recommendation changes over time:

Recommendations trend for AAVAS
Recommendations trend for AAVAS


Analysts are favoring Aavas Financiers Limited with a buy bias, highlighting the stock's potential as a solid investment. This recommendation might drive more investors to consider Aavas Financiers Limited as a secure and profitable option for their money, contributing to a broader positive sentiment in the market.