Status: Pending

Age: New (12/08/2025)

TRACK
[social_warfare ]

Motilal Oswal Recommends Neutral on Repco Home Finance with Target of ₹430


Brokerage

Motilal Oswal

Analyst

Brokerage Team

Position

Neutral

Start Date

12/08/2025

Horizon

Long Term


Target Price and Expected Returns

Start Price

₹367.45

Target Price

₹430

Expected Returns

16.98%

Summary

Motilal Oswal advised a Neutral rating on Repco Home Finance with a target price of ₹430. The company's 1QFY26 performance showed modest growth, but the broker expects stronger loan growth in core home loan products to improve valuations.

Motilal Oswal's justification for Repco Home Finance target price prediction

  • The 1QFY26 PAT grew 2% YoY to INR1.1 billion, beating expectations by 6%.
  • NII grew ~8% YoY to ~INR1.8 billion, meeting expectations.
  • Opex rose ~17% YoY to INR530 million, lower than MOFSLe.
  • PPOP grew ~4% YoY to INR1.4 billion, beating estimates by 7%.
  • The company needs to deliver stronger loan growth to command higher valuations.
  • GNPA rose ~5bp QoQ to ~3.3%, while NNPA dipped ~10bp QoQ to ~1.2%.
We believe the company will have to start delivering stronger loan growth in its core home loan product to command higher valuations.

Sources:

(https://www.moneycontrol.com/news/business/stocks/neutral-repco-home-finance-target-of-rs-430-motilal-oswal-13484767.html)

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