A Less Known Certainty About multibagger stocks That Necessary To Know

Futurecaps Clients Gain 30X from Mazagon Dock – What Lies Ahead?

Clients of Futurecaps gained 30X returns from Mazagon Dock and 12X from Cochin Shipyard. So, what’s the next multibagger? – See our performance and new opportunity below!

Spotlight Pick – Can Fin Homes

Can Fin Homes is a public deposit-taking housing finance company. It targets affordable housing borrowers, salaried buyers, and also provides financing solutions to businesses.

Its product portfolio includes: individual housing loans, affordable housing loans, credit-linked subsidy schemes, and Pradhan Mantri Awas Yojana (PMAY). It also extends services to businesses and individuals through varied loan types including site loans and top-up credit.

For individuals, Can Fin also offers personal loans, children’s education loans, loans for pensioners, as well as fixed and cumulative deposits.

The company operates in three key segments: Housing Finance, Non-housing Finance, and Deposits. The average loan ticket size is ?18 lakhs for housing loans and ?9 lakhs for non-housing loans. It also accepts Fixed and Cumulative deposits under National Housing Bank guidelines.

Headquartered in Bengaluru, Can Fin has a pan-India presence with 205 branches, 21 Affordable Housing Loan Centers, 12 satellite offices, and a total of 219 outlets across 100+ cities in 21 states and Union Territories. Shri Suresh S Iyer is the current Managing Director & CEO.

Business Segments

• Housing Finance
• Non-Housing Finance
• Deposits

Strengths

• 205 branches across 21 states and UTs, serving diverse geographies.
• Plans free multibagger to expand network and penetrate new high-potential markets.
• Earnings CAGR of ~17.1% over the last 5 years.
• Intrinsic value estimated above 30%.
• Average borrowing cost at 6.5%, sustaining healthy spreads.
• Loan book crossed ?30,000 crore – strong business growth.
• 27% loan share from self-employed customers (?8,477 crore).
• Attractive valuation: P/E ~15X vs peer average ~24X.
• Better value than Indian diversified financial industry average (28.9X).
• Revenue forecasted at 14.7% growth vs Indian market 9.6%.
• Earnings growth forecast ~13.6%, higher than savings rate.

Risks

• Intense competition from banks and larger HFCs in Tier I & II cities.
• Credit risk due to borrower defaults.
• Macroeconomic factors like inflation, demand-supply, and interest rates can cause liquidity and funding risks.

Warren Buffett Checklist

• Economic Moat – Moderate
• Growth – Good
• Valuation – Good
• Debt – High
• Integrity – Moderate

Investment Outlook

The company shows strong fundamentals to generate 3–5X returns in the medium to long term. Full details are available in the complete article on our website.

Futurecaps Overview

Futurecaps is a licensed SEBI Research Analyst delivering investment insights since 2012. We follow Warren Buffett’s value investing principles and have created 50+ multibaggers in the past. Our pricing is investor-friendly, helping new investors benefit.