Smallcap Aavas Financiers’ shares jump 8% on Q4 disbursement uptick. Check details

Aavas Financiers shares surged 8% on NSE to Rs 1,551.95, driven by 20% disbursement growth. AUM was at Rs 17,300 crore with 22% uptick. 21 new branches have opened, totaling 367.

Shares of jumped nearly 8% on Friday and hit the day's high of Rs 1,551.95 on the NSE in the early trade after the housing finance company reported 20% year-on-year growth in disbursements in the quarter ended March 31, 2024 at Rs 1,890 crore. On the sequential basis, the jump was 39%, the company filing said.

As on March 31, 2024, the assets under management (AUM) stood at Rs 17,300 crore which was a 22% uptick over the corresponding quarter in the year ago period. The company opened 21 branches in FY24 taking the total tally to 367.

The incremental borrowings for Aavas stood at Rs 1850 crore for Q4FY24 while the incremental securitised loan portfolio was reported at Rs 400 crore. The liquidity position as on March 31 stood at Rs 3,000 crore.

The above information for quarter and financial year ended March 31, 2024 is provisional and being released ahead of the official announcement of the financial results for the quarter and financial year.

The stock has been a market laggard and has witnessed share price erosion of nearly 9% in the past 12 months. In 2024, so far the stock has delivered negative returns of 1.82%. In contrast, Bank has delivered returns of over 17% over a 1-year period though its returns in this year have been nearly negative 1%.

Notwithstanding its underperformance, the stock is still trading above its 50-day and 200-day simple moving averages (SMAs). Momentum indicators RSI and MFI as reported by Trendlyne are in a medium range of 59 and 52, respectively. A number above 70 shows that the stock is in an overbought zone while below 30 indicates that it is in the oversold territory.

Around 10 am, nearly 9 lakh shares were trading on the NSE with the total traded value touching Rs 130 crore mark.

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Source: Stocks-Markets-Economic Times