Want to see IN:AAVAS full AI Analyst Report?
Top Page
Aavas Financiers Ltd.
(AAVAS)
Select Model
Select Model
Rating:64Neutral
Price Target:
₹1,466.00
▲(8.77% Upside)
Action:Downgraded
Date:08/09/26
The score is primarily supported by strong multi-year growth and solid profitability, with a reasonable P/E providing additional support. Offsetting this, high leverage typical of mortgage lenders and volatile cash-flow indicators raise risk sensitivity, and technicals are currently weak with negative momentum and the price trading below key moving averages.
Positive Factors
Strong revenue growth and margins
Consistent, accelerating revenue growth alongside healthy net margins indicates durable earnings power from core lending operations. This supports internal cash generation, capacity to reinvest in growth, and resilience to cyclical headwinds, underpinning multi-month to multi-year profitability.
Negative Factors
High leverage and funding sensitivity
A structural debt-to-equity near 3x is typical for mortgage lenders but materially increases sensitivity to funding-cost moves and liquidity squeezes. Reliance on external borrowings raises refinancing and margin-compression risk during tighter credit conditions and can constrain capital flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue growth and margins
Consistent, accelerating revenue growth alongside healthy net margins indicates durable earnings power from core lending operations. This supports internal cash generation, capacity to reinvest in growth, and resilience to cyclical headwinds, underpinning multi-month to multi-year profitability.
Read all positive factors
Aavas Financiers Ltd. (AAVAS) vs. iShares MSCI India ETF (INDA)
Market Cap
₹103.37B
Dividend YieldN/A
Average Volume (3M)29.61K
Price to Earnings (P/E)15.1
Beta (1Y)0.72
Revenue Growth13.18%
EPS Growth16.88%
CountryIN
Employees7,649
SectorGeneral
Sector StrengthN/A
IndustryFinancial - Mortgages
Share Statistics
EPS (TTM)86.73
Shares Outstanding79,294,330
10 Day Avg. Volume26,977
30 Day Avg. Volume29,608
Financial Highlights & Ratios
PEG Ratio0.93
Price to Book (P/B)1.69
Price to Sales (P/S)3.18
P/FCF Ratio11.25
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
₹1,800.00Price Target Upside33.56% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering1
EPS Forecast (FY)95.85
Revenue Forecast (FY)₹18.24B
Aavas Financiers Ltd. Business Overview & Revenue Model
Company Description
Established in 2011 and headquartered in Jaipur, India, Aavas Financiers Limited (known as AU Housing Finance Limited until February 2017) specializes in providing housing finance solutions. The company primarily serves self-employed individuals f...
How the Company Makes Money
Aavas Financiers primarily makes money through net interest income earned on its loan book. It raises funds (typically via bank borrowings, refinance lines, and market borrowings) and lends these funds to customers as secured loans such as housing...
Aavas Financiers Ltd. Financial Statement Overview
Summary
Income Statement
86
Very Positive
Balance Sheet
63
Positive
Cash Flow
58
Neutral
| Breakdown | TTM | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 26.17B | 26.85B | 19.88B | 16.80B | 13.56B | 11.11B |
| Gross Profit | 15.06B | 26.42B | 6.35B | 5.24B | 4.96B | 4.30B |
| EBITDA | 7.94B | 8.84B | 7.74B | 6.63B | 5.81B | 4.80B |
| Net Income | 6.87B | 6.55B | 5.74B | 4.91B | 4.30B | 3.55B |
Balance Sheet | ||||||
| Total Assets | 217.85B | 212.13B | 186.18B | 165.19B | 134.10B | 110.17B |
| Cash, Cash Equivalents and Short-Term Investments | 20.64B | 18.43B | 15.60B | 205.58M | 15.40B | 16.60B |
| Total Debt | 160.71B | 156.86B | 138.50B | 123.98B | 98.87B | 80.12B |
| Total Liabilities | 165.65B | 161.62B | 142.58B | 127.46B | 101.40B | 82.11B |
| Stockholders Equity | 52.20B | 50.51B | 43.61B | 37.73B | 32.70B | 28.06B |
Cash Flow | ||||||
| Free Cash Flow | -1.42B | 7.59B | 5.63B | 5.13B | 4.82B | 4.00B |
| Operating Cash Flow | -1.27B | 7.91B | 5.93B | 5.46B | 5.21B | 4.15B |
| Investing Cash Flow | -1.76B | -22.94B | -20.77B | -31.93B | -22.49B | -20.13B |
| Financing Cash Flow | 4.71B | 17.20B | 14.75B | 24.91B | 18.58B | 16.23B |
Aavas Financiers Ltd. Technical Analysis
Negative
1347.75
Price Trends
1403.15
Negative
1393.20
Negative
1383.67
Negative
Market Momentum
-33.25
Negative
42.64
Neutral
62.36
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AAVAS, the sentiment is Negative. The current price of 1347.75 is above the 20-day moving average (MA) of 1333.77, below the 50-day MA of 1403.15, and below the 200-day MA of 1383.67, indicating a bearish trend. The MACD of -33.25 indicates Negative momentum. The RSI at 42.64 is Neutral, neither overbought nor oversold. The STOCH value of 62.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:AAVAS.
Aavas Financiers Ltd. Peers Comparison
UnderperformOutperform
Sector (55)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
81 Outperform | ₹22.46B | 4.70 | ― | 0.83% | 4.35% | 3.85% | |
64 Neutral | ₹103.37B | 15.07 | ― | ― | 13.18% | 16.88% | |
62 Neutral | ₹129.39B | 13.14 | ― | 1.76% | 20.54% | 23.05% | |
61 Neutral | ₹211.76B | 18.46 | ― | ― | 18.04% | 19.18% | |
59 Neutral | ₹126.53B | 21.63 | ― | 0.42% | 21.42% | 25.43% | |
58 Neutral | ₹107.41B | 9.51 | ― | 1.86% | 8.20% | 28.17% | |
55 Neutral | $6.65B | 3.83 | -15.92% | 6.20% | 10.91% | 7.18% |
* General Sector Average
IN:AAVAS
Aavas Financiers Ltd.
1,305.65
-289.65
-18.16%
IN:AADHARHFC
Aadhar Housing Finance Ltd
476.85
-33.30
-6.53%
IN:APTUS
Aptus Value Housing Finance India Limited
256.30
-82.94
-24.45%
IN:CANFINHOME
Can Fin Homes Ltd.
805.25
71.28
9.71%
IN:HOMEFIRST
Home First Finance Company India Ltd.
1,234.65
-26.15
-2.07%
IN:REPCOHOME
Repco Home Finance Ltd.
358.50
1.65
0.46%
Aavas Financiers Ltd. Corporate Events
Aavas Financiers Publishes Q1 FY27 Earnings Call Audio for Investors
Jul 21, 2026
Aavas Financiers Ltd. has released the audio recording of its earnings call held on July 21, 2026, where management discussed the company’s financial and operational performance for the quarter ended June 30, 2026. The recording has been mad...
Aavas Financiers to Raise Rs. 200 Crore via Secured NCD Issue
Jul 21, 2026
Aavas Financiers Ltd. has approved the issuance of up to 20,000 senior, secured, rated, listed, transferable, redeemable non-convertible debentures with a total nominal value of Rs. 200 crore on a private placement basis. The debentures, carrying ...
CARE places Aavas Financiers on rating watch amid senior exits
Jul 1, 2026
CARE Ratings has placed Aavas Financiers’ long-term bank facilities and non-convertible debentures, totalling about ₹13,522 crore, on rating watch with developing implications. The action follows a series of senior leadership changes, ...
Aavas Financiers Appoints Interim CFO and CRO as Senior Executives Resign
Jun 21, 2026
Aavas Financiers Ltd. has overhauled key finance and risk roles, appointing long-time executive Ghanshyam Gupta as interim chief financial officer and key managerial personnel from June 22, 2026. The board also named internal risk specialist Punit...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.