Aavas Financiers - Building Bricks In Place: Nirmal Bang

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.Disbursements are seeing healthy momentum with a pick-up expected in Q4 FY24; we expect loan growth of 22%/24% in FY24/FY25E. Competitive intensity remains high in housing loans; non-housing loans portfolio share is expected to expand to 35%, driven by micro, small and medium enterprise lending. Guiding for spreads at ~5%; opex remains elevated as Aavas Financiers Ltd. invests in the franchise (LOS & LMS roll-out). Expect costs to start moderating in FY25/FY26E. We expect assets under management to clock a compound annual growth rate of ~23% over FY23-FY26E and expect FY25E return on asset/return on equity at 3.2%/14.7%. We trim our December-25E price/adjusted book value multiple to three times (from 3.2 times earlier), factoring in the recent correction and maintain Buy with a target price of Rs 1,775..Click on the attachment to read the full report:.Accenture Slumps As Wall Street Pulls Back On IT Spending.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Aavas Financiers - Building Bricks In Place: Nirmal Bang

Disbursements gaining traction; AUM growth strong

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