Housing & Urban Development Corporation Ltd.
Banking · NSE
52-week range
₹159 – ₹247
From 52w high
-6.0%
RSI (14)
82.7
vs SMA 50 / 200
↑ 50 · ↑ 200
HUDCO (Housing and Urban Development Corporation) is a government-backed housing finance company trading at ₹231.98, with a PE of 16.7 and a forward PE of 11.6. Revenue has grown at 16.1% CAGR over 5 years, but earnings growth is -3% over the same period, and free cash flow has been negative across all tracked years. The stock is 22.8% above its 50-DMA and RSI of 82.7 reflects a significant 3-month extension of 19.2%.
- ✓Profit margin of 61.5% reflects the high-margin nature of the lending business, with revenue growing at 16.1% CAGR over 5 years indicating consistent top-line expansion.
- ✓Forward PE of 11.6 represents a 30.5% compression from the trailing PE of 16.7, suggesting analyst earnings estimates embed meaningful near-term growth.
- ✓Dividend yield of 2.41% provides income distribution, supported by the government-owned structure which underpins capital access.
- ✓Price is 6% below the 52-week high with support levels identified at ₹208.2 and ₹201.4, reflecting a relatively shallow drawdown from peak.
- ✗Earnings growth of -3% CAGR over 5 years alongside rising revenue points to structural cost, provisioning, or interest-expense pressure eroding the bottom line over time.
- ✗Free cash flow has been negative in every tracked year, a persistent signal that the business consumes more cash than it generates from operations after investment needs.
- ✗ROE data is unavailable and roeYearsAbove15 is 1 (out of tracked years), with a quality consistency score of 30 out of 100 — placing HUDCO in the lower tier of the peer quality distribution.
- ✗Debt-to-equity of 705.8 with a rising debt trend reflects the capital-intensive model of an HFC; while structurally typical for the category, it limits financial flexibility under adverse credit or liquidity conditions.
- ·HUDCO and NBCC signed MoUs in April 2026 to accelerate urban redevelopment and asset monetisation projects, aligning with the Union government's stated plan to direct ₹1 lakh crore toward urban development over four years.
- ·HUDCO welcomed the launch of an Urban Challenge Fund targeting Tier-2 and Tier-3 city development, a policy signal that could expand the addressable market for housing finance disbursements.
- ·The Madras High Court quashed a HUDCO loan case against retirees after 22 years, a historical legal matter that drew public attention to legacy credit decisions without a material financial impact disclosed.
- ?Does the persistent gap between 16.1% revenue growth and -3% earnings growth reflect a structural increase in credit costs, or a transitional provisioning cycle that management expects to normalise?
- ?Given that FCF has been negative across all tracked years, how does HUDCO fund its dividend and growth capex — through equity raises, government capital infusion, or borrowings — and what does that imply for long-term dilution or leverage?
- ?How does HUDCO's lending book quality (NPA ratios, provision coverage) compare to other government-backed HFCs, and has asset quality been improving or deteriorating over the past three years?
- ?With RSI at 82.7 and price 19.2% higher over 3 months, what specific operating or policy catalysts drove the recent re-rating, and are those catalysts already reflected in the forward PE of 11.6?
PE
16.7
Forward PE
11.6
ROE
—
Profit margin
+61.5%
D/E
705.76
Dividend yield
+2.4%
Quality score
37/100
ROE 5y above 15%
1/5 yrs
FCF 5y positive
0/5 yrs
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.Analysis generated 11 May 2026.