DAILY

ANALYSIS
REPORT
 DAILY UPDATE
HOUSING DEVELOPMENT FINANCE CORP.LTD.
BSE: 500010 |NSE: HDFC |ISIN: INE001A01036 |SECTOR: HOUSING FINANCE
COMPANIES

Housing Development Finance Corporation Limited offers housing financing to both private persons and
businesses in India. It operates in the segments of Loans, Asset Management, Life Insurance, General
Insurance, and Others.
The company offers trust deposits as well as fixed deposits such trust deposits and yearly income plans,
annual income plans, non-cumulative interest plans, and monthly income plans. It offers loans for home
purchase and construction, home renovation and extension, plot, and top-up loans, loans to dairy farmers,
planters, horticulturists, and farmers, loans for salaried/self-employed people, loans for non-resident
Indians, loans against property, loans for commercial property and plots, as well as loans for education.

Strong growth in home sales and new construction was still being seen in the residential real estate
industry. Inventory levels have dropped overall. There is a high demand for home loans for a number of
reasons, including low interest rates, rising income levels, stable property values, greater affordability, and
sustained support of tax benefits for home loans.
They now have the know-how and digitalization technologies necessary to give a two-minute in-principle
home loan approval. They also acknowledge that many people still want guidance and support when they
shop for a home. Every client's experience is unique. Although buying a home is likely the single largest
purchase a person makes in their lifetime, all home buyers are similar.
Building a customer-centric organisation has been rewarding every day, every year, and every ten years.
They firmly feel that their 45 years of experience in Indian housing finance are unmatched. They stand out
in particular because of their tried-and-true, cost-effective operational approach.
FINANCIAL INFORMATION
INR MILLIONS FY22 FY21

Total Assets 9663492 8293549

EBIT 282518.2 242373

Profit after tax 240421.3 204875.5

Total Revenue 1066945.9 1390339.9

Source: Company financial Report

Results for the second quarter and six months ended September 30, 2022, were released by Housing
Development Finance Corporation Limited. The company's net income for the second quarter was INR
65,534.8 million, up from INR 52,580.1 million in the same period last year. Basic earnings per share from
continuing operations increased from INR 29.11 to INR 36.06 in the last year. In comparison to INR 28.8 a
year ago, diluted earnings per share from continuing operations were INR 35.9. Net income for the six
months increased from INR 102,991.8 million to INR 118,620.8 million. In comparison to INR 57.04 a year
ago, basic earnings per share from continuing activities were INR 65.32. Comparatively to INR 56.44 a year
ago, diluted earnings per share from continuing operations were INR 64.99.

Source: Company financial Report

Price Earning (TTM) 20.05

Dividend Yield (%) 1.13 %
Return on Equity 13.2 %
Debt to Equity Ratio 4.05
Price to Book (P/BV) 3.85
Source: Company financial Report
SHAREHOLDING PATTERN

Source: Company financial Report

Majority shareholders FIIs

Pledged Promoters Holdings
Mutual Fund
FIIs
Promoters with Highest Holdings
Highest Public Shareholder
Individual Investors holdings
Source: Company financial Report
None
Held in 499 Schemes (11.3%)
Held by 1433 FIIs (67.77%)
Housing Development Finance Corporation Limited
(indirect Foreign Holding) (16.62%)
Sbi Nifty 50 Etf (4.90%)
11.65%

SHAREHOLDING COMPARE (% Holding)

Majority shareholders 25.60% 25.73% -0.13%

FIIs 32.13% 32.43% -0.30%

Mutual Fund 18.00% 18.52% -0.52%

Insurance Companies 7.87% 2.86% 5.01%

Non institutional Investors 14.52% 14.60% -0.08%

Others 18.46% 18.55% -0.09%

Other DIIs -15.62% -10.00% -5.62%

Source: Company financial Report

COMPARE VALUATIONS WITH PEERS
Company PE P/B Debt to Equity

HDFC 20.18 2.52 2.82

GRUH Finance 52.02 12.38 8.73

LIC Housing Fin 6.70 0.84 9.03

APTUS VALUE 41.77 5.85 0.85

AAVAS Financier 39.22 6.53 2.84

Source: Company financial Report

LOAN SOURCING FROM DIFFERENT SEGMENTS

Source: Company financial Report

During the year, the Corporation and India Post Payment Bank entered into a referral agreement for retail
housing loans (IPPB). Through its 650 locations and extensive network of 1.55 million post offices, IPPB will
promote mortgage lending,and give the Corporation leads for potential consumers.
Given that it has more than 4.7 crore consumers, IPPB is crucial from a strategic standpoint for the
Corporation. The corporation will have easier access to tier 3 and home loans for clients in these regions
will be made easier and faster in tier 4 markets.
The goal of the corporation's digitalization strategy is to transform the customer experience throughout
the customer's lifecycle. The company has implemented the "DASH" philosophy, which stands for "Digital
first, Agile techniques, Seamless architecture, and HDFC for you," a platform to track results and input
metrics.
Nearly 91% of all new loan applications throughout the year were received online. The Corporation has
also tested a fully digitally equipped product where loans are automatically granted and all checks and
controls are completely driven by the system.
PRICE ACTION

Parameters Range

Volume Traded 25,88,669

Current Price 2,660.45

Face Value 2

Previous Value 2,697.20

Open Price 2,679.00

Today’s low/high 2,651.50/2,705.00

52 week low/high 2,026.00/2,999.25

Source: National Stock Exchange

Source: National Stock Exchange

HDFC Ltd. is trading higher than 5 day, 20 day, 50 day, 100 day and 200 day moving averages.
At the time of the closing of the market on 17-Nov-22 HDFC Ltd.'s stocks were trading at a price of INR
2,660.45, stock noted a decrease of approximately INR 36.75 or -1.36% as compared to the previous day’s
closing price which was INR 2,697.20 Approximately, 2.6m HDFC Bank Ltd.'s stocks were traded in the
market on the day.
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