L&T Finance Holdings Half Yearly Results announced.
Let us analyse the same.
The Net Profit is 124 crores on a capital of 1714 crores, giving an annualised EPS of 2.9.
At Rs.51, the stock is quoting at a PE of 17.58 which is very expensive on the face of it.
Yes, you can similar stock at a PE of 10, meaning around 30-35, but do not forget the name behind the company., L&T!!!
At the same time, if we go by the Price to Book Value, then L&T Finance Holdings is definitely cheaper than India's leading Infrastructure Finance company, IDFC.
Even M&M Financial is quoting at a higher PBV.
The Company is a Great Future Multi bagger and a definite Blue Chip in the making.
L&T Finance Holdings is growing FASTER than the Industry and is set to become a major major player very soon.
In fact, the Net Profit would have been higher by if not for prudent accounting policy of keeping aside 2500 crores for provising towards exposure to Micro Finance exposure in AP.
It has a lot of hidden assets like
5% holding in Federal Bank
7% holding in Vijaya Bank
5% in City Union Bank
100% in L&T Mutual Fund
besides holding substantial percentage in L&T Insurance.
L&T Finance Holdings is also one of the largest frontrunners to becoming a bank.
The company enjoys a better quality loan book, has higher margins besides and the advantage of L&T parentage.
The long-term prospects of the company continue to remain attractive as shown by its strong Q2 results.
Long Term Investors accumulate at every decline and Hold tight.
You are sitting on a Gold Mine.
Also visit Also visit
http://goodfundsadvisor.blogspot.com THE BLOG/BLOGGER WILL NOT BE HELD RESPONSIBLE FOR ANY ACTIONS THAT MAY RESULT IN ANY LOSS TO THE PERSON ACTING ON THE INFO OF THE BLOG, AS THE BLOG MAY BE ALTERED/DELETED FROM TIME TO TIME.
Let us analyse the same.
The Net Profit is 124 crores on a capital of 1714 crores, giving an annualised EPS of 2.9.
At Rs.51, the stock is quoting at a PE of 17.58 which is very expensive on the face of it.
Yes, you can similar stock at a PE of 10, meaning around 30-35, but do not forget the name behind the company., L&T!!!
At the same time, if we go by the Price to Book Value, then L&T Finance Holdings is definitely cheaper than India's leading Infrastructure Finance company, IDFC.
Even M&M Financial is quoting at a higher PBV.
The Company is a Great Future Multi bagger and a definite Blue Chip in the making.
L&T Finance Holdings is growing FASTER than the Industry and is set to become a major major player very soon.
In fact, the Net Profit would have been higher by if not for prudent accounting policy of keeping aside 2500 crores for provising towards exposure to Micro Finance exposure in AP.
It has a lot of hidden assets like
5% holding in Federal Bank
7% holding in Vijaya Bank
5% in City Union Bank
100% in L&T Mutual Fund
besides holding substantial percentage in L&T Insurance.
L&T Finance Holdings is also one of the largest frontrunners to becoming a bank.
The company enjoys a better quality loan book, has higher margins besides and the advantage of L&T parentage.
The long-term prospects of the company continue to remain attractive as shown by its strong Q2 results.
Long Term Investors accumulate at every decline and Hold tight.
You are sitting on a Gold Mine.
Also visit Also visit
http://goodfundsadvisor.blogspot.com THE BLOG/BLOGGER WILL NOT BE HELD RESPONSIBLE FOR ANY ACTIONS THAT MAY RESULT IN ANY LOSS TO THE PERSON ACTING ON THE INFO OF THE BLOG, AS THE BLOG MAY BE ALTERED/DELETED FROM TIME TO TIME.
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