APTUS - Fundamental Analysis: Financial Health & Valuation

📊 Financial Overview: Aptus Value Housing Finance shows solid financial performance with a ROCE of 14.3% and ROE of 16.0%, indicating efficient capital deployment in the lending space. The debt-to-equity ratio of 1.23 is typical for NBFCs, reflecting a leveraged but manageable capital structure. EPS stands at ₹13.4, and quarterly PAT rose to ₹202 Cr from ₹155 Cr, showing a strong profit variance of 47.6%. The stock is trading near both DMA 50 and DMA 200, suggesting a consolidation phase.

💰 Valuation Metrics: Aptus trades at a P/E of 23.9, slightly above the industry average of 19.3, indicating mild overvaluation. The P/B ratio is ~3.96 (₹319 / ₹80.5), and the PEG ratio of 1.03 suggests fair valuation relative to growth. A dividend yield of 1.41% adds modest income support for investors.

🏢 Business Model & Competitive Edge: Aptus focuses on affordable housing finance, targeting underserved segments in semi-urban and rural India. Its strong underwriting practices, low NPAs, and tech-enabled operations provide a competitive edge. The company benefits from rising housing demand and government support for financial inclusion, though it remains sensitive to interest rate cycles and credit risk.

📉 Entry Zone: A favorable entry zone lies between ₹290–₹310, below DMA levels and closer to the 52-week low, offering better valuation comfort.

📈 Long-Term Holding Guidance: Aptus is a suitable long-term hold for investors seeking exposure to affordable housing finance. Accumulate on dips and monitor asset quality, loan book growth, and regulatory changes.