Can Fin Homes: Analyzed by MOFSL
MOFSL, a financial services firm, recently gave Can Fin Homes a rating and price target. They believe Can Fin Homes is doing well, but there are some things to watch. This analysis focuses on the company’s recent results and future plans.
Key Points
- Can Fin Homes reported a 18.88% increase in profits (PAT) in Q2 FY26.
- Total income rose by 9% year-over-year, reaching ₹1,049.45 crore.
- Loan portfolio grew by 8% to ₹39,657 crore.
- The company expects profits to grow at 14%, 13%, and 13% over the next few years.
- Analysts predict Return on Assets (RoA) of 2.2% and Return on Equity (RoE) of 17% by FY28.
- MOFSL advises monitoring the company’s loan growth and the impact of a planned tech upgrade.
Can Fin Homes had a good quarter, with profits growing significantly. This was mainly due to higher interest income and lower borrowing costs. The company now has a larger loan portfolio, and they are confident about continued growth.
However, there are some challenges. Loan growth was slower than expected, partly because many borrowers were paying back their loans. The company is planning a major technology upgrade, which could temporarily slow down loan approvals. They are still aiming for strong growth in the long term, with a target of 12-13% for FY26 and 15% from FY27 onwards.
MOFSL expects the company’s profits to increase further, thanks to better interest rates and lower borrowing costs. They also believe that the company’s strong position in the lending market will help it continue to grow. The analysts will continue to watch the company closely to see if it can meet its goals.
“A cautious but optimistic outlook suggests monitoring loan growth and the tech transformation’s impact.”
