Repco Home Finance Ltd. (REPCOHOME) AI Stock Analysis

• Market Cap: ₹26.14B
• Dividend Yield: 1.61%
• Average Volume (3M): 46.04K
• Price to Earnings (P/E): 5.7
• Beta (1Y): 1.77
• Revenue Growth: 8.10%
• EPS Growth: 2.97%
• Country: IN
• Employees: 823
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Mortgages
• EPS (TTM): 17.10
• Shares Outstanding: 62,561,360
• 10 Day Avg. Volume: 32,072
• 30 Day Avg. Volume: 46,042
• PEG Ratio: 0.39
• Price to Book (P/B): 0.62
• Price to Sales (P/S): 2.81
• P/FCF Ratio: -3.36
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹426.00 ▲(1.94% Upside)

Repco Home Finance Ltd. has strong financial performance with high profitability, but faces risks due to high leverage and negative cash flows. The stock's undervaluation and potential technical rebound offer opportunities, though caution is advised due to liquidity concerns.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective business strategies, supporting long-term expansion and stability.

Profitability

High profitability through effective cost management enhances financial resilience and supports reinvestment in growth opportunities.

Market Position

A strong market position in diverse regions supports sustained customer acquisition and competitive advantage in the housing finance sector.

Negative Factors

High Leverage

High leverage can increase financial risk, potentially impacting the company's ability to invest in growth and weather economic downturns.

Negative Cash Flows

Negative cash flows may constrain liquidity, limiting the company's ability to fund operations and invest in future growth initiatives.

Cash Flow Management

Inefficient cash flow management can undermine financial stability, necessitating improvements to support sustainable operations.

Repco Home Finance Ltd. Business Overview & Revenue Model

Company Description

Repco Home Finance Limited operates as a housing finance company in India. It provides housing loans for the construction or purchase of homes; loans for the repairs, renovation, and/or extension of homes; loans for the purchase of plot for construction of a house; loans to non-resident Indians for the construction/purchase of house in India; loans against the mortgage of immovable property; and loans for the purchase and/or construction of non-residential and commercial properties. The company also offers loans for the construction/purchase of integrated buildings comprising residential and commercial structures; home loans to salaried individuals; and loans for construction on land owned by borrower's parents. As of March 31, 2022, it operated through a network of 155 branches and 24 satellite centers located in Tamil Nadu, Karnataka, Andhra Pradesh, Telangana, Kerala, Maharashtra, Odisha, West Bengal, Gujarat, Madhya Pradesh, Jharkhand, Rajasthan, and the Union Territory of Puducherry. The company was incorporated in 2000 and is headquartered in Chennai, India.

How the Company Makes Money

Repco Home Finance Ltd. generates revenue primarily through the interest income earned on the loans it disburses to customers. The company offers various types of loans, including home loans, which are its core product, and earns interest over the loan tenure. Additionally, REPCOHOME may charge processing fees, administrative fees, and late payment fees, contributing to its revenue streams. The company also benefits from partnerships with various real estate developers and builders, which can help in cross-selling loan products to prospective home buyers. Furthermore, the firm may invest in securities or other financial instruments, which can yield additional income. Overall, the combination of interest income, fees, and strategic partnerships forms the backbone of REPCOHOME's revenue model.

Repco Home Finance Ltd. Financial Statement Overview

Summary

Repco Home Finance Ltd. demonstrates strong revenue growth and profitability, supported by high margins. However, the company's high leverage and negative cash flows present potential risks. Improving cash flow management and reducing debt levels could enhance financial stability and long-term growth prospects.

Income Statement

Repco Home Finance Ltd. has shown consistent revenue growth over the years, with a notable increase of 5.16% in the latest year. The company maintains a strong gross profit margin of 100%, indicating effective cost management. The net profit margin is also robust at 60.97%, reflecting high profitability. However, the EBIT and EBITDA margins are unusually high due to the nature of financial reporting in the mortgage industry, which may not accurately reflect operational efficiency.

Balance Sheet

The company has a high debt-to-equity ratio of 3.25, indicating significant leverage, which could pose a risk if not managed properly. However, the return on equity is healthy at 13.47%, showing effective use of equity to generate profits. The equity ratio stands at 23.28%, suggesting a moderate level of equity financing relative to total assets.

Cash Flow

Repco Home Finance Ltd. faces challenges with negative operating and free cash flows, which could impact liquidity. The free cash flow to net income ratio is slightly above 1, indicating that cash flow generation is not keeping pace with net income. The company needs to improve cash flow management to ensure sustainable operations.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.12B	16.70B	15.15B	12.85B	12.92B	13.76B
Gross Profit	419.30M	6.02B	5.83B	5.84B	6.02B	5.68B
EBITDA	1.31B	6.15B	5.42B	11.17B	9.62B	12.10B
Net Income	4.64B	4.61B	4.13B	3.16B	1.94B	3.00B
Balance Sheet
Total Assets	0.00	147.16B	137.97B	125.96B	120.52B	124.20B
Cash, Cash Equivalents and Short-Term Investments	0.00	1.36B	5.14B	4.54B	4.53B	4.55B
Total Debt	0.00	111.39B	107.01B	99.24B	97.09B	102.17B
Total Liabilities	-34.27B	112.89B	108.11B	100.07B	97.62B	103.07B
Stockholders Equity	34.27B	34.27B	29.85B	25.89B	22.90B	21.13B
Cash Flow
Free Cash Flow	0.00	-6.33B	-7.08B	-3.71B	6.80B	8.47B
Operating Cash Flow	0.00	4.16B	-6.85B	-3.63B	6.91B	8.49B
Investing Cash Flow	0.00	-10.36B	-1.09B	1.60B	-1.63B	118.60M
Financing Cash Flow	0.00	4.08B	7.47B	2.05B	-5.31B	-7.30B

Repco Home Finance Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 417.90
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:REPCOHOME, the sentiment is Positive. The current price of 417.9 is above the 20-day moving average (MA) of 408.23, above the 50-day MA of 412.96, and above the 200-day MA of 394.35, indicating a bullish trend. The MACD of 5.24 indicates Negative momentum. The RSI at 53.96 is Neutral, neither overbought nor oversold. The STOCH value of 55.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:REPCOHOME.

Repco Home Finance Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MUTHOOTFIN	74 Outperform	₹1.53T	21.00	―	0.68%	41.32%	56.12%
CANFINHOME	73 Outperform	₹118.47B	12.86	―	1.37%	8.92%	12.32%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FIVESTAR	67 Neutral	₹149.48B	13.49	―	0.36%	20.44%	13.10%
AADHARHFC	64 Neutral	₹206.83B	20.82	―	―	―	―
REPCOHOME	62 Neutral	₹26.14B	5.70	―	1.61%	8.10%	2.97%
BAJAJHFL	56 Neutral	₹780.16B	33.03	―	―	―	―