Psu stock to buy: The Navratna Company Housing and Urban Development Corporation Limited (HUDCO), which borrowed loans for housing and urban development projects in India, is a brokerage firm Bulish on stock. After the Q3 results, brokerage firm sharekhan has maintained its positive outlook on stock. Hudco’s net profit increased by 41.6 percent to Rs 735 crore during the October-December quarter of FY 2024-25. Currently, the central government is guaranteed at 75% exposure of Hudco, which reduces the risk.
Hudco: Brokerage retained positive outlook, 40% ups
Brokerage firm Sharekhan has retained its positive outlook on Housing and Urban Development Corporation Limited. Along with this, the brokerage house has targeted 40% upset on stock. This means that in the next 12 months, the prices of this PSU stock can increase by up to 40%.
The brokerage house said, “We are expecting a strong AUM (asset under management) CAGR of about 29% for Hudco during FY 2024-27. In this period, Roe (Return on Equity) is expected to improve by up to 17.3% with an increase of 410 bps. We remain positive and are expecting a possible gain of 40% in stock.
There are good development for HUDCO over the next three years as it is the largest beneficiary of the government’s focus on affordable housing and urban infrastructure finning requirements. Currently, the central government is guaranteed at 75% exposure of Hudco, which leads to low risk and a stable route for ROA (returns on assets).
Hudco’s share history
At BSE, today (January 30) was trading Hudco’s shares at a slight rise of 0.77% at the price of Rs 216.80 per share in the Intra-Day Trade. The stock of 52 weeks of stock is Rs 353.95 and 52 weeks low is Rs 152.65.
It has been feeling stock pressure for some time. The stock has fallen 4.72% in the last one month. Whereas in 6 months it has broken 31.82%. However, in the last one year, Hoodco has given a spectacular return of 30.79% to investors.
How was Hudco’s Q3 Result
Hudco’s net profit increased by 41.6 percent to Rs 735 crore during the October-December quarter of FY 2024-25. The company increased by 37.14% to Rs 2,760.23 crore from the operation in the December quarter.