PNBHOUSING - Fundamental Analysis: Financial Health & Valuation

Last Updated Time : 05 Nov 25, 7:43 am

Fundamental Rating: 4.2

Html

Copy

📊 Fundamental Analysis Report

• Stock Code: PNBHOUSING
• Market Cap: ₹24,149 Cr
• Current Price: ₹927
• 52W High/Low: ₹1,142 / ₹746
• EPS: ₹84.4
• Stock P/E: 10.9 vs Industry P/E: 19.3 ✅
• PEG Ratio: 0.33 🟢 (Undervalued)
• Book Value: ₹690 | P/B Ratio: ~1.34 ✅
• ROE: 12.3% | ROCE: 9.46% 🟡
• Debt to Equity: 3.62 ❗ (Highly Leveraged)
• Dividend Yield: 0.54% 💰
• Quarterly PAT: ₹626 Cr (↑32.8%)
• RSI: 68.5 | MACD: 19.3 📈

✅ Positive

• Low P/E and PEG ratios suggest undervaluation relative to earnings and growth.
• Strong quarterly profit growth (+32.8%) indicates improving operational performance.
• Positive DII sentiment (+2.69%) reflects domestic institutional confidence.
• Price above DMA 50 & 200 with bullish MACD trend.

⚠️ Limitation

• High debt-to-equity ratio (3.62) increases financial risk and interest burden.
• ROCE below 10% suggests moderate capital efficiency.
• FII holding declined by 5.57%, indicating reduced foreign investor confidence.
• RSI nearing overbought zone (>68), caution for short-term entry.

📉 Company Negative News

• High leverage remains a concern despite profit growth.
• FII outflows may pressure valuation in the near term.

📈 Company Positive News

• Strong Q4 earnings with PAT rising from ₹532 Cr to ₹626 Cr.
• Improved asset quality and cost control measures boosting margins.
• Strategic focus on retail housing loans and digital transformation initiatives.

🏦 Industry

• PNBHOUSING operates in the housing finance sector, benefiting from rising demand for affordable housing.
• Industry P/E of 19.3 suggests room for valuation expansion.
• Government support for housing and infrastructure continues to drive sector growth.

🧭 Conclusion

• Entry Zone: ₹850–₹890 (technical support and RSI cooling)
• Long-Term View: Fundamentally undervalued with improving profitability. Suitable for long-term holding with watch on debt levels.

Sources: Based on latest financial metrics and sector trends.