Dewan Housing - Strong visibility on business growth and margins, - TopicsExpress



          

Dewan Housing - Strong visibility on business growth and margins, superior asset quality, healthy provision cover - Reiterate BUY · DEWH continues to perform well on growth, margins and asset quality front. We expect the loan growth to remain healthy at a CAGR of ~23% over FY15-17. · Margins continue to hold well demonstrating the pricing power. Asset quality remains one of the best with almost GNPA of just 78bp and almost zero net NPAs. · Strong visibility on business growth and margins, superior asset quality, healthy provision cover and healthy return ratios are key positives. · The stock trades at an attractive valuation of 1.1x/0.9x FY15/16E ABV. Maintain Buy with a price target of INR540 (1.5x FY16 BV).
Posted on: Mon, 15 Dec 2014 05:25:38 +0000

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