Housing & Urban Development Corp. Ltd. (HUDCO) AI Stock Analysis

• Market Cap: ₹345.93B
• Dividend Yield: 2.92%
• Average Volume (3M): 355.67K
• Price to Earnings (P/E): 16.0
• Beta (1Y): 1.68
• Revenue Growth: 30.25%
• EPS Growth: 13.67%
• Country: IN
• Employees: 621
• Sector: Real Estate
• Sector Strength: 53
• Industry: Financial - Credit Services
• EPS (TTM): 3.56
• Shares Outstanding: 2,001,900,000
• 10 Day Avg. Volume: 227,563
• 30 Day Avg. Volume: 355,670
• PEG Ratio: 0.54
• Price to Book (P/B): 2.30
• Price to Sales (P/S): 4.00
• P/FCF Ratio: -1.31
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 14.77
• Revenue Forecast (FY): ₹44.82B

• Rating: 62 Neutral
• Price Target: ₹183.00 ▼(-14.88% Downside)
• Action: Reiterated Date: 10/31/25
• Date: Action: Reiterated 10/31/25

The overall stock score of 62 reflects strong technical momentum and reasonable valuation, offset by financial performance concerns due to high leverage and negative cash flows. The stock's positive price trends and bullish technical indicators are significant strengths, while financial stability and liquidity issues are key risks.

Positive Factors

Strong revenue growth

Sustained revenue expansion indicates a growing loan book and stronger market penetration in housing and urban projects. Over 2-6 months this trend supports higher core earnings potential and scale benefits, provided asset quality and funding access remain intact.

High gross profit margin

Exceptionally high gross margins signal operational efficiency and pricing strength in core lending and consultancy services. Durable margins give room to absorb credit costs, invest in projects and maintain service levels, strengthening resilience across business cycles.

Government-linked business model

Close alignment with government housing and urban programs provides a predictable project pipeline, policy support and preferential funding avenues. Access to capital markets and scheme funding supports long-term lending capacity and mission-aligned demand stability.

Negative Factors

Very high leverage

A debt-to-equity ratio near 6x indicates heavy reliance on borrowed funds, amplifying interest expense and refinancing risk. Over months, high leverage limits strategic flexibility, raises breakeven pressures if rates rise, and heightens vulnerability to asset-quality deterioration.

Negative operating and free cash flows

Negative operating and free cash flows point to dependence on external financing to fund lending and operations. Persisting cash outflows can force higher borrowing, increase funding costs, constrain loan book growth and reduce buffer for credit stress over the medium term.

Limited operating-margin disclosure

Absence of EBIT/EBITDA margins reduces transparency into core operating profitability and cost structure. This limits investors' ability to assess sustainable earnings quality and compare peers, complicating long-term risk assessment and capital-allocation decisions.

Housing & Urban Development Corp. Ltd. Business Overview & Revenue Model

Company Description

Housing and Urban Development Corporation Limited provides long term finance for the construction of houses and to undertake housing and urban infrastructure development programs in India. The company offers loans for housing projects, such as urban and rural housing, co-operative housing, community toilets, slum upgradation, staff housing, repairs and renewals, land acquisition, and building technology, as well as implementing agencies comprising state government bodies, co-operative societies, corporate borrowers, and joint sectors. It also provides financing for infrastructure projects in the sectors of water supply; sewerage; drainage; solid waste management; roads and transport; power generation, transmission, and distribution; telecom sector and industrial infrastructure; and social infrastructure component, such as National games village, stadiums, sports complexes, shooting ranges, parks and play grounds, health centers, government hospitals, working women hostels, schools and colleges, universities, State Vidhan Sabha Sadans, law chambers, police academies and stations, fire stations, courts/collectorates/office buildings, rehabilitation centers, auditoriums, convention halls, crematoriums, abattoirs, etc., as well as commercial infrastructure components, including office buildings, shopping centers, market complexes, theatres/multiplexes/auditorials, trade and business centers, hotels, etc. In addition, the company offers consultancy services, including URP services, environmental engineering, and government programs consultancy services; and disaster mitigation services. Further, it provides home loans for individuals. Housing and Urban Development Corporation Limited was incorporated in 1970 and is based in New Delhi, India.

How the Company Makes Money

HUDCO generates revenue primarily through the provision of loans and advances for housing and urban development projects. It earns interest income from these loans, which forms a significant portion of its revenue. Additionally, HUDCO charges fees for consultancy services and technical assistance provided to various state governments and urban local bodies. The company also benefits from government initiatives and partnerships, which can include funding from various schemes aimed at enhancing urban infrastructure. Moreover, HUDCO's operations are supported by the issuance of bonds and debentures in the capital markets, providing it with the necessary funds to finance its projects and maintain liquidity.

Housing & Urban Development Corp. Ltd. Financial Statement Overview

Summary

Housing & Urban Development Corp. Ltd. demonstrates strong revenue growth and efficient cost management, but faces challenges with high leverage and negative cash flows. While profitability metrics are decent, the financial stability and liquidity need careful monitoring due to high debt levels and negative cash flows.

Income Statement

The company has shown strong revenue growth of 30.49% in the latest year, indicating a positive trajectory. The gross profit margin is exceptionally high, suggesting efficient cost management. However, the net profit margin has slightly decreased compared to previous years, and EBIT and EBITDA margins are not available, which limits a full profitability assessment.

Balance Sheet

The debt-to-equity ratio is quite high at 5.97, indicating significant leverage, which could pose financial risks. Return on equity is moderate at 15.08%, showing decent profitability relative to equity. The equity ratio is not provided, limiting the assessment of financial stability.

Cash Flow

The company has negative operating and free cash flows, which is concerning. The free cash flow to net income ratio is slightly above 1, indicating that free cash flow is aligned with net income. However, the negative cash flow growth and operating cash flow coverage ratio suggest potential liquidity issues.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	116.38B	103.44B	79.36B	70.81B	69.95B	72.75B
Gross Profit	38.94B	35.98B	29.76B	25.77B	24.63B	25.11B
EBITDA	37.76B	36.47B	28.53B	23.01B	23.54B	22.36B
Net Income	28.03B	27.09B	21.17B	17.01B	17.16B	15.79B
Balance Sheet
Total Assets	1.49T	1.28T	934.22B	809.69B	788.94B	769.57B
Cash, Cash Equivalents and Short-Term Investments	1.57B	645.40M	3.87B	143.20M	6.45B	14.28B
Total Debt	1.27T	1.07T	739.96B	629.03B	614.99B	609.56B
Total Liabilities	1.31T	1.11T	768.10B	655.26B	644.27B	637.68B
Stockholders Equity	180.35B	179.68B	166.13B	154.44B	144.67B	131.89B
Cash Flow
Free Cash Flow	-187.74B	-316.24B	-102.91B	-8.53B	-8.12B	21.50B
Operating Cash Flow	-187.68B	-316.03B	-102.87B	-8.51B	-8.06B	21.61B
Investing Cash Flow	-3.65B	-9.39B	4.35B	-3.52B	-9.30M	-144.10M
Financing Cash Flow	191.34B	322.15B	101.74B	6.91B	807.30M	-10.83B

Housing & Urban Development Corp. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 215.00
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:HUDCO, the sentiment is Negative. The current price of 215 is above the 20-day moving average (MA) of 185.90, above the 50-day MA of 198.39, and below the 200-day MA of 216.71, indicating a bearish trend. The MACD of -6.64 indicates Positive momentum. The RSI at 31.86 is Neutral, neither overbought nor oversold. The STOCH value of 37.98 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:HUDCO.

Housing & Urban Development Corp. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
RECLTD	75 Outperform	₹873.31B	5.80	―	5.56%	18.51%	16.04%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
PFC	65 Neutral	₹1.34T	4.66	―	4.62%	13.05%	16.78%
HUDCO	62 Neutral	₹345.93B	16.02	―	2.92%	30.25%	13.67%
LTF	62 Neutral	₹645.88B	26.76	―	0.91%	15.90%	4.53%
IRFC	53 Neutral	₹1.27T	22.58	―	1.52%	-0.41%	4.98%

Housing & Urban Development Corp. Ltd. Corporate Events

HUDCO Opens One-Year Special Window for Transfer and Demat of Physical Shares

Housing & Urban Development Corporation Limited has notified stock exchanges that it has published a newspaper announcement about opening a special window to process transfer and dematerialisation requests for physical securities. The special window will be available for one year, from 5 February 2026 to 4 February 2027, aligning with a recent SEBI circular and giving investors holding physical shares an additional dedicated timeframe to complete conversions and transfers under the updated regulatory framework.

HUDCO Secures ACUITE AAA Rating for Rs 4,500 Crore Perpetual Tier 1 Bonds

Housing and Urban Development Corporation Limited has received an ‘ACUITE AAA’ long-term rating with a Stable outlook from Acuite Ratings for its proposed Rs. 4,500 crore Perpetual Additional Tier 1 bonds. The rating underscores HUDCO’s strong government backing, with the Government of India holding a 75% stake, and its strategic role as a nodal agency for key affordable housing and urban development programmes.

Acuite highlighted HUDCO’s long operating track record, diversified funding profile, and growing loan book, with AUM rising about 35% year-on-year to Rs. 1,24,828 crore in FY2025 and profit after tax increasing 28% to Rs. 2,709.14 crore. The assessment also reflects improving asset quality, as gross NPAs fell to 1.67% and net NPAs to 0.25%, although the concentration of the loan book in its top 20 exposures and the need to manage slippages and maintain its strategic government role remain key sensitivities for stakeholders.

HUDCO Publishes Unaudited Q3 and Nine-Month FY26 Financial Results in Newspapers

Housing & Urban Development Corporation Limited has announced that it has published in newspapers its unaudited standalone and consolidated financial results for the quarter and nine-month period ended 31 December 2025, in line with disclosure requirements under SEBI’s Listing Regulations. The communication, addressed to stock exchanges BSE and NSE, underscores HUDCO’s compliance with regulatory norms on financial transparency and timely dissemination of results to investors and other stakeholders, reinforcing its governance standards as a listed public sector enterprise.

HUDCO Reports No Re‑lodgement Requests for Physical Share Transfers in SEBI-Mandated Window

Housing & Urban Development Corporation Limited has disclosed that, in line with a Securities and Exchange Board of India (SEBI) circular, it has received a report from its registrar and transfer agent, Beetal Financial & Computer Services Pvt. Ltd., on the special window for re-lodgement of transfer-cum-demat requests for physical shares for the period from December 1, 2025 to January 6, 2026. The report shows that no requests for transfer or dematerialisation of physical share certificates were received, processed, approved or rejected during this period, indicating that there was no shareholder activity under this specific SEBI-mandated re-lodgement facility in the reporting window.