Aadhar Housing Finance Limited (AADHARHFC)
Large CapFinancial Services stocks · Large cap · NSE
Aadhar Housing Finance Limited is an HFC focused on the low-income housing segment in India, with an average ticket size of US$12K. It maintains a 100% secured retail loan book, primarily serving salaried customers. The company operates through 626 branches across 22 states and UTs, managing an AUM of $3,218 Mn and serving c.336k live accounts.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust needs verification, price trend argues for patience, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Average · 50/100Rev +17% YoY · PAT +19% YoY
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹993 Cr | +17.1% | +0.8% |
| EBITDA | NDF | NDF | NDF |
| Operating margin | NDF | NDF | NDF |
| PAT | ₹282 Cr | +19.0% | -9.3% |
| PAT margin | 28.4% | +45 bps | -317 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
Aadhar Housing Finance reported strong FY26 performance with AUM up 20% YoY to $3,218 Mn, PAT (ex-exceptional items) up 22% YoY to $116.7 Mn, and disbursements growing 17% YoY to $1,006 Mn. Spreads improved by 13 bps to 5.8%, while GNPA remained stable at 1.08%.
The company delivered robust FY26 results, demonstrating strong growth in AUM and disbursements, coupled with stable asset quality and improved profitability. The focus on low-income housing, diversified funding, and digital transformation supports continued performance, despite inherent asset quality risks in the target segment.
AUM Distribution by State (March 31, 2026)
Latest issuer-disclosed distribution across 10 reported categories.
Low-Income Housing Segment Focus
Company is focused on the low-income housing segment with average ticket size of US$12K, addressing a large underserved market.
Pan-India Distribution Network
Extensive presence with 626 branches covering 552 districts across 22 states and union territories, enabling deep market penetration.
Technology-Enabled Business Model
Digital-first operating model with end-to-end TCS-enabled core system and 40+ fintech integrations for efficient operations.
Data Science and AI/ML Integration
Utilizing AI/ML for strengthening risk analytics, optimizing collections, improving operational efficiencies, and enhancing AUM retention.
Branch Network Expansion
Increased branch count to 626 as of Mar-26, up from 580 in FY25, expanding physical reach.
Government Housing Schemes
Union Budget for 2024–2025 increased allocation for PMAY-U by 20.19% to $3,176 Mn, supporting affordable housing.
Urbanization and Demographic Shifts
Urban areas projected to host 40% of India's population by 2030, driving demand for housing and tailored loan products.
Low Mortgage-to-GDP Ratio
India's mortgage-to-GDP ratio of 12.34% (Mar-24) indicates significant growth potential compared to developed markets.
Focus on Financial Inclusion
Growing emphasis on reaching underserved populations with affordable financing options, aligning with the company's core business.
Asset Quality Deterioration
GNPA increased by 3 bps YoY to 1.08% in FY26, indicating potential stress in the loan book.
Loan-to-Value (LTV) Ratio
LTV on Gross AUM was approximately 60% as of Mar-26, which could imply higher risk in case of property value declines.
Concentration in EWS/LIG Segments
63% of Gross AUM is with Economically Weaker Sections (EWS) / Low Income Group (LIG) customers, a segment prone to economic shocks.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Annual (YoY) comparisons are crucial for assessing overall business growth and profitability trends. Quarterly (QoQ) comparisons are important for tracking sequential momentum in disbursements, asset quality, and operational efficiency in the NBFC sector.
AUM Growth
AUM grew by 20% YoY to $3,218 Mn in FY26.
Disbursements Growth
Disbursements grew by 17% YoY to $1,006 Mn in FY26.
Spreads
Spreads increased by 13 bps YoY to 5.8% in FY26.
Cost of Borrowings
Cost of borrowings was 7.7% in FY26.
Diversifying Funding Sources
Management is increasing focus on diversifying borrowings to reduce reliance on specific funding channels.
Strengthening Corporate Governance
The company is constantly strengthening corporate governance, including having 3 Independent Directors on the board.
Leveraging Digital Infrastructure
Management aims to leverage containerized cloud-ready infrastructure to streamline, scale, and accelerate analytics projects.
Enhancing Customer and Employee Experience
Focus on robust customer engagement and partner empowerment through mobility apps, and improving employee experience via virtual office.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| AUM Growth | +20% YoY (FY26) | Sustained double-digit AUM growth, particularly in the retail home loan segment, indicating continued market penetration. |
| Asset Quality (GNPA) | 1.08% (Mar-26) | Any significant deterioration in GNPA, especially given the low-income segment focus and potential economic volatility. |
| Spreads | 5.8% (FY26) | Maintenance or improvement in spreads amidst changing interest rate cycles and competitive pressures in the HFC sector. |
| Cost to Income Ratio | 35.9% (FY26) | Continued improvement in cost-to-income ratio through operational efficiencies and successful digital adoption initiatives. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
38BearishSMA20 -5.0% / mo · MACD +
Technical chart
AADHARHFCdaily · 1Y · AUTO+6.7%Daily technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 49. Wait for confirmation.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 falling (~5.3% over last month) — short-term momentum negative.
- RSI(14) at 49 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 14% off 52W high · 12% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is within 0.1% of the 30-week proxy.
- The 30-week proxy changed +0.2% over 20 sessions.
- The moving-average structure does not confirm Stage 2 or Stage 4.
Valuation & score drivers
U-Score 39 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 39 · WATCHLIST · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
WATCHLISTWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 33.6%.
- Growth contributes 19/25 to the score.
- Quality contributes 9/20 to the score.
Main drags
- Altman Z is 1.1, in distress territory.
- Balance sheet is weaker at 0/15; verify the latest quarterly trend.
- Cash flow is weaker at 0/10; verify the latest quarterly trend.
NBFC valuation: P/B, ROA, borrowing cost, and asset quality
Lenders can look optically cheap before credit losses emerge, so valuation is tied to book quality.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Weak Trust: Claim history is still being built. It ranks around the 10th percentile of the scored universe and 15th percentile within Financial Services. Main check: balance sheet trust is weak at 22/100.
Mixed Trust Lite: Promoter holding is 64.7%. Key concern: Promoter holding fell 10.7%.
Management or financial behaviour needs caution. Demand stronger valuation compensation.
overall median 67 · Financial Services: 15th pctile, median 62 · Large: 5th pctile, median 73
52 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Weak Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 64.7%.
- ▸Promoter pledge is zero.
- ▸4/4 latest quarters had positive YoY revenue growth.
- ▸4/4 latest quarters had positive YoY PAT growth.
Trust risks
- ▸Promoter holding fell 10.7%.
- ▸Operating cash flow is negative at ₹-2808 Cr.
- ▸Debt/equity is 2.49.
- ▸Altman Z is 1.10.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 18.40
- P/B
- 2.80
- EV/EBITDA
- 1174.50
- Market Cap
- 21189.00Cr
Profitability
- ROE
- 15.90%
- ROCE
- 11.40%
- ROA
- 4.16%
- Dividend Y
- —
Growth (CAGR)
- Revenue 5Y
- 19.00%
- EPS 5Y
- 27.00%
- Revenue 3Y
- 22.00%
- EPS 3Y
- 25.00%
Balance Sheet
- Debt/Equity
- 2.49
- Interest Coverage
- —
- Altman Z
- 1.10
- Book Value
- 173.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 0/5
- OCF
- -2808.00 Cr
- EPS TTM
- 26.23
Shareholding
- Promoter Hold
- 64.66%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 43%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
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Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.