Reliance Home Finance Limited Fundamental Analysis (NSE: RHFL.NS)
Reliance Home Finance Limited Fundamental Analysis (NSE: RHFL.NS)
Reliance Home Finance Limited (NSE: RHFL.NS) shows moderate financial fundamentals with a PE ratio of 3.56, profit margin of 108.60%, and ROE of -37.14%. The company generates $0.0B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 7.2/100 based on profitability, valuation, growth, and balance sheet metrics. The F grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze RHFL.NS's fundamental strength across five key dimensions:
Efficiency Score
ExcellentRHFL.NS demonstrates superior asset utilization.
Valuation Score
ExcellentRHFL.NS trades at attractive valuation levels.
Growth Score
ModerateRHFL.NS shows steady but slowing expansion.
Financial Health Score
ModerateRHFL.NS shows balanced financial health with some risks.
Profitability Score
ModerateRHFL.NS maintains healthy but balanced margins.
Key Financial Metrics
Is RHFL.NS Expensive or Cheap?
P/E Ratio
RHFL.NS trades at 3.56 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, RHFL.NS's PEG of -0.01 indicates potential undervaluation.
Price to Book
The market values Reliance Home Finance Limited at -1.61 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at -11.30 times EBITDA. This is generally considered low.
How Well Does RHFL.NS Make Money?
Net Profit Margin
For every $100 in sales, Reliance Home Finance Limited keeps $108.60 as profit after all expenses.
Operating Margin
Core operations generate -18.52 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-37.14 in profit for every $100 of shareholder equity.
ROA
Reliance Home Finance Limited generates $15.28 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Reliance Home Finance Limited generates strong operating cash flow of $90.96M, reflecting robust business health.
Free Cash Flow
Reliance Home Finance Limited generates strong free cash flow of $90.96M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $0.19 in free cash annually.
FCF Yield
RHFL.NS converts 10.41% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
3.56
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
-0.01
vs 25 benchmark
P/B Ratio
Price to book value ratio
-1.61
vs 25 benchmark
P/S Ratio
Price to sales ratio
387.87
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-0.76
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.37
vs 25 benchmark
ROA
Return on assets percentage
15.28
vs 25 benchmark
ROCE
Return on capital employed
-2.61
vs 25 benchmark
How RHFL.NS Stacks Against Its Sector Peers
| Metric | RHFL.NS Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 3.56 | 21.03 | Better (Cheaper) |
| ROE | -37.14% | 647.00% | Weak |
| Net Margin | 10859.57% | -1591.00% (disorted) | Strong |
| Debt/Equity | -0.76 | 0.90 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 912.43 | Weak Liquidity |
| ROA | 1528.12% | -579.00% (disorted) | Strong |
RHFL.NS outperforms its industry in 4 out of 6 key metrics, particularly excelling in Net Margin, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Reliance Home Finance Limited's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
N/A
Industry Style: Value, Dividend, Cyclical
EPS CAGR
N/A
Industry Style: Value, Dividend, Cyclical
FCF CAGR
N/A
Industry Style: Value, Dividend, Cyclical