Reliance Home Finance Analysis

dividend

Pros

Cons

• Unable to calculate sustainability of dividends as Reliance Home Finance has not reported any payouts.
• Unable to evaluate Reliance Home Finance's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
• Unable to evaluate Reliance Home Finance's dividend against the top 25% market benchmark as the company has not reported any payouts.

health

Pros

• Reliance Home Finance's level of assets compared to its equity is moderate (i.e. an appropriate level of borrowing to fund lending).

Cons

• Reliance Home Finance reports no customer deposits, loans are made up entirely of borrowed funds.

management

Pros

• Ravindra's compensation has been consistent with company performance over the past year, both up more than 20%.
• The tenure for the Reliance Home Finance management team is about average.

Cons

• The average tenure for the Reliance Home Finance board of directors is less than 3 years, this suggests a new board.
• Ravindra's remuneration is higher than average for companies of similar size in India.

misc

Pros

Cons

• Reliance Home Finance is not covered by any analysts.
• Reliance Home Finance has significant price volatility in the past 3 months.

past

Pros

Cons

• Unable to compare Reliance Home Finance's 1-year earnings growth to the 5-year average as it is not currently profitable.
• Reliance Home Finance does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
• It is difficult to establish if Reliance Home Finance has efficiently used its assets last year compared to the IN Mortgage industry average (Return on Assets) as it is loss-making.
• It is difficult to establish if Reliance Home Finance improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
• It is difficult to establish if Reliance Home Finance has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
• Unable to compare Reliance Home Finance's 1-year growth to the IN Mortgage industry average as it is not currently profitable.

value

Pros

• Reliance Home Finance's share price is below the future cash flow value, and at a moderate discount (> 20%).
• Reliance Home Finance's share price is below the future cash flow value, and at a substantial discount (> 40%).
• Reliance Home Finance is good value based on assets compared to the IN Mortgage industry average.
• BSE:540709 is up 49.2% outperforming the Mortgage industry which returned 7.7% over the past month.
• BSE:540709 is up 49.2% outperforming the market in India which returned 8% over the past month.

Cons

• Reliance Home Finance is loss making, we can't compare its value to the IN Mortgage industry average.
• Reliance Home Finance is loss making, we can't compare the value of its earnings to the India market.
• 540709 underperformed the Mortgage industry which returned -26.3% over the past year.
• 540709 underperformed the Market in India which returned -14.5% over the past year.