Aadhar Housing Finance Ltd is a leading housing finance company in India, specialising in providing home loans to the underserved low- and middle-income segments. With a presence across 21 states, the company has a diversified resource profile and a strong asset quality, making it a significant player in the affordable housing finance sector.
Table of Contents
Company Overview
| Metric | Details |
|---|---|
| Company Name | Aadhar Housing Finance Ltd |
| Industry | Housing Finance |
| Founded | 1990 |
| Headquarters | Bengaluru, Karnataka, India |
| Market Capitalization | ₹22,633 crore (as of October 2025) |
| NSE Symbol | AADHARHFC |
Aadhar Housing Finance offers a range of home loan products, including loans for purchase, construction, home improvement, and loans against property. The company’s average loan ticket size is approximately ₹10 lakh, with a loan-to-value ratio of 58.3% as of December 2023.
Financial Performance (FY2025)
- Assets Under Management (AUM): ₹25,000 crore, reflecting a 21% year-on-year growth.
- Net Profit: ₹912 crore, a 21.64% increase from the previous year.
- Operating Profit: ₹2,371 crore, up 20.53% year-on-year.
- Net Interest Margin (NIM): Approximately 5.7%.
- Return on Assets (RoA): Sustained above 4% for five consecutive quarters.
- Gross Stage 3 (GS3) Assets: 1.09%, indicating strong asset quality.
These metrics underscore Aadhar Housing Finance’s robust financial health and operational efficiency.
Growth Drivers
- Government Initiatives: Supportive policies like the Pradhan Mantri Awas Yojana (PMAY) bolster demand for affordable housing.
- Urbanisation Trends: Increasing urban migration fuels the need for affordable housing solutions.
- Financial Inclusion: Expanding access to credit for underserved populations enhances market reach.
- Digital Transformation: Adoption of technology streamlines operations and improves customer experience.
Risks & Challenges
- Interest Rate Fluctuations: Changes in monetary policy can impact borrowing costs and demand.
- Credit Risk: Potential defaults in the loan portfolio could affect profitability.
- Regulatory Changes: Shifts in housing finance regulations may influence business operations.
- Market Competition: Intense competition from other housing finance companies and banks.
Aadhar Housing Finance Share Price Share Price Target
| Year | Bear Case | Base Case | Bull Case |
|---|---|---|---|
| 2026 | ₹550 | ₹633 | ₹670 |
| 2027 | ₹600 | ₹700 | ₹750 |
| 2028 | ₹650 | ₹800 | ₹900 |
| 2030 | ₹750 | ₹1,000 | ₹1,200 |
| 2040 | ₹1,500 | ₹2,000 | ₹2,500 |
| 2050 | ₹3,000 | ₹4,000 | ₹5,000 |
Note: These projections are based on estimated growth rates, profitability trends, and market expansion potential. They are educational and not financial advice.
Year-wise Detailed Analysis
Aadhar Housing Finance Share Price Share Price Target 2026
In 2026, Aadhar Housing Finance is expected to benefit from continued demand in the affordable housing sector, supported by government initiatives. The company’s focus on low- and middle-income groups positions it well for steady growth. The base case target price of ₹633 reflects this optimistic outlook.
Aadhar Housing Finance Share Price Share Price Target 2027
By 2027, with sustained AUM growth and improved profitability, the stock could reach ₹700 in the base case scenario. The company’s expansion into new markets and product offerings may contribute to this growth.
Aadhar Housing Finance Share Price Share Price Target 2028
In 2028, assuming continued economic stability and housing demand, the stock price may approach ₹800. Strategic partnerships and technological advancements could further enhance operational efficiency.
Aadhar Housing Finance Share Price Share Price Target 2030
By 2030, with a strong market presence and diversified portfolio, the stock could reach ₹1,000. The company’s emphasis on financial inclusion and digital transformation may drive this growth.
Aadhar Housing Finance Share Price Share Price Target 2040
In 2040, assuming a favourable economic environment and continued demand for affordable housing, the stock could trade between ₹2,000 and ₹2,500. Aadhar Housing Finance’s leadership in the sector may solidify its position.
Aadhar Housing Finance Share Price Share Price Target 2050
By 2050, with sustained growth and market leadership, the stock could reach ₹4,000 to ₹5,000. The company’s long-term strategies and adaptability to market changes will be key drivers.
Future Outlook
Aadhar Housing Finance is well-positioned to capitalize on the growing demand for affordable housing in India. Its strong financial performance, coupled with supportive government policies, provides a solid foundation for future growth. The company’s focus on low- and middle-income segments, along with its commitment to digital transformation, enhances its competitiveness in the market.
FAQs
What is Aadhar Housing Finance’s primary business?
Aadhar Housing Finance primarily offers home loans to low- and middle-income groups in India, focusing on affordable housing solutions.
What are the key growth drivers for Aadhar Housing Finance?
Key growth drivers include government initiatives like PMAY, urbanisation trends, financial inclusion efforts, and digital transformation.
What are the share price projections for 2030?
The base case share price projection for 2030 is ₹1,000, based on estimated growth rates and market conditions.
Conclusion
Aadhar Housing Finance Ltd stands out as a leading entity in India’s affordable housing finance sector. With a strong financial track record, supportive government policies, and a focus on underserved segments, the company is poised for sustained growth. Investors looking for exposure to the affordable housing market may find Aadhar Housing Finance an attractive option, keeping in mind the associated risks and market dynamics.
