Where you learn stock markets in detail friends today, I will be doing an analysis of two very good companies.
Which I believe have the potential to perform very well from here they are very good fundamentally strong stocks.
So that’s why I am sharing these talks with you today and I believe any correction in these companies will be a very good opportunity to buy these stocks for amazing profits in the future.
So let’s see which are these stocks and let’s do their detailed analysis.
The first talk that I would like to share with you.
So first let’s look at the returns so if we see the returns this stock has given around three thousand percent of return.
In the last 10 years now the same kind of returns can be repeated in the future as well.
Continuously the stock has performed very well even today you can see that the stock was up around 7%.
It has a good dividend yield of 0.61% so that’s also a good sign so now let’s look at the detail.
Fundamental analysis of this company
This company is a south India-based housing finance company with a focus on tire two three and four cities.
The company was set up by Canada bank in 1987 which owns 29 of shareholding in it.
Its customer profile comprises salaried individuals who have around 72 percent of loans mostly low risk and self-employed and non-professionals are 28 percent of loans.
The company primarily caters to the medium ticket size segment average figure size of INR 18 lakh for housing loans.
Its fundamentals have improved considerably with gross NPS improving 0.68% in Q3FY21 from 1.06% in FY11 and loan book expanding at 38% CAGR over FY12-17.
With the other competitors in trouble (DHFL, Indiabulls Housing, etc.), the competitive intensity may reduce to an extent.
Which will be of course a positive for this stock and this company.
The firm has a moderate scale of operations in the domestic housing finance market.
It focuses on the relatively low-risk salaried home loan segment which has aided the company in maintaining healthy asset quality.
Its customer base primarily comprises first-time homebuyers, government employees, and the middle-income segment population (typically under the age of 40 years).
The firm mainly focuses on housing loans to individuals which accounted for about 89 percent of its portfolio as of March 31, 2019.
Its portfolio stood at 18 000 crew as of March 31 to unite of which sizeable share is sourced from the southern region mainly Karnataka.
Now from a new customer acquisition and growth perspective, the company stated that as the base of people filing increases the opportunity size for the company would.
Also, increase since the company gives loans only to people with formal income proofs.
Now the company has a life insurance tie-up with Canada HSBC OBC life insurance the company is also in the process of engaging Tata AIG, Birla, and Bajaj for general insurance.
Going ahead the company aims to translate the quantum of non-salaried loans rising over the last few quarters into higher yields.
Branch expansion to non-south tire 2 and 3 growth centers in recent years is if you see a full potential for that is yet to be tapped.
So that we can see some growth in that area and increasing low disbursements is of course positive.
So overall I believe it’s a good stock to buy for the future.
Can Fin Homes Ltd
The name of this stock is can Fin homes limited caffeine homes is the stock I believe it’s a very good company fundamentals are good.
One can look for investment if you’re looking for some investment I think this is a good stock to look at so if you see the profit and loss analysis the revenue has been continuously increasing.
Profit is also increasing every single year so that’s of course a very positive sign.
So now let’s look at the stock chart this stock it was trading at around 700 rupees in uh September, October period in 2021.
Then we saw some correction in it and the stock made lower lows lower highs and now finally looks like the trend has changed.
The stock is trying to go up looks like it will now continue its journey towards a higher level so I think it’s a good company and if you want to buy I believe 600 can be a price where one can look to enter a small correction.
Can be there which will be a positive sign if there is any small correction in the market in the coming days 600.
Can be the first entry point and any you know correction below that will be a very good opportunity to buy this great company for the future.
I believe uh it has the potential to perform I think it’s a great stock I believe it will generate some good returns in the next year as well as the next few years.
So you can do research in it it’s a good company canfield homes I shared my research now.