HUDCO
Mid CapHousing & Urban Development Corporation Limited
Financial Services
HUDCO is a Public Financial Institution and Navratna CPSE, registered as an NBFC-IFC, with over five decades of expertise. It provides financing, consultancy, and capacity building for housing and infrastructure projects across India, with 75% ownership by the Government of India.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is acceptable, price trend is neutral, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
medium confidence · 3/6 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Excellent · 75/100Rev +25% YoY · PAT +172% YoY · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹3,563 Cr | +25.2% | +3.9% |
| EBITDA | NDF | NDF | NDF |
| Operating margin | NDF | NDF | NDF |
| PAT | ₹1,981 Cr | +172.1% | +177.8% |
| PAT margin | 55.6% | +3001 bps | +3482 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
FY26 Net Profit surged 48.92% YoY to ₹4,034.37 Cr, driven by record loan sanctions of ₹1.65 Lakh Cr (up 28.89%) and disbursements of ₹51,194 Cr. Asset quality remains robust with GNPA at 1.04% and NNPA at 0.05%.
HUDCO delivered strong FY26 performance with significant growth in profitability, sanctions, and disbursements. Asset quality remains pristine, supported by a high provision coverage ratio and a predominantly government-backed loan book. Strategic initiatives like UiWIN and diversified borrowings position it for continued infrastructure financing.
Policy & Procedural Reforms
Initiatives like policy & procedural reforms, PPP-based lending, and BD Cell led to highest ever loan sanctions and disbursements.
Urban Invest Window (UiWIN)
A dedicated platform launched to handhold Urban Local Bodies (ULBs) in creating UCF ready bankable urban infra projects, targeting 2x investments in next 5 years.
Lending against PPP Projects
Board approved guidelines for funding in sectors like Real Estate, Sea Port, Airport, Energy, and Roads, supporting private sector infrastructure creation.
Diversified Borrowings
Optimizing cost of funds through diversified borrowings (ECB, 54EC, ESG Loan, External Benchmark linked loans) and updated investment strategy.
Government Programs & Missions
HUDCO acts as a strategic partner in supplementing efforts of Govt. of India in programs like PMAY 2.0, Smart City, AMRUT, Swachh Bharat, and Jal Jeevan Mission.
Urban Challenge Fund (UCF)
GoI's recently launched UCF for ULBs presents an opportunity for HUDCO's UiWIN to assist in securing finance from multilateral agencies, FIs, and municipal bonds.
City Economic Regions (CERs)
Announced in Union Budget 2026–27, CERs focus on Tier II and Tier III cities, with HUDCO playing a catalytic role in financing integrated urban infrastructure.
Strategic MoUs
Signed MoUs for financial assistance totaling ₹1.5 Lakh Cr with MMRDA, ₹1 Lakh Cr with MP Govt., ₹1 Lakh Cr with Rajasthan, ₹11,300 Cr with NMRDA, and ₹1 Lakh Cr for Port Infrastructure Development.
Interest Rate Volatility
Management's focus on optimizing cost of funds and strengthening internal control mechanisms to address currency risk implies sensitivity to interest rate movements.
Concentration Risk in Government Lending
98.90% of the loan book consists of loans to Government and its agencies, which, while providing stability, also creates concentration risk.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The presentation primarily focuses on annual financial results (FY26 vs FY25) and year-on-year growth rates for key operational and financial metrics, which is appropriate for assessing long-term trends and the impact of strategic initiatives.
Loan Book (AUM)
Highest Ever Loan Book of ₹1,60,724 Cr in FY26, up 28.76% YoY from ₹1,24,828 Cr in FY25.
Disbursements
Highest Ever Disbursement of ₹51,194 Cr in FY26, up 28% YoY from ₹40,038 Cr in FY25.
Interest Spread (incl. EBR)
Interest Spread was 1.96% in FY26, compared to 2.06% in FY25.
Net Interest Margin (NIM) (incl. EBR)
Net Interest Margin was 2.91% in FY26, compared to 3.22% in FY25.
Targeting Zero Net NPA
Management is focused on achieving zero net NPA through robust appraisal, monitoring, and periodic policy reviews.
Sustainable Urbanization Focus
Repurposing initiatives like UiWIN aim for sustainable urbanization and UCF ready projects, improving the bottom line and governance.
Strengthening International Footprints
Fresh ¥ borrowings of 70 Billion, exploring USD/EURO/YEN loans/bonds, and setting up a GMTN program for international capital market funding.
Multilateral Funding Partnerships
Finalized a loan with KfW and is in discussions with AIIB and World Bank for infra development funding.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Net NPA | 0.05% | Progress towards the stated goal of zero net NPA and sustained low levels. |
| Loan Sanctions Growth | 28.89% YoY | Sustained high growth rates in loan sanctions, particularly from new initiatives like UiWIN and PPP projects. |
| Cost of Borrowings | 7.17% (incremental FY26) | Further reduction in borrowing costs through diversified funding sources and international market access. |
| UiWIN Investments | Launched | Tangible progress towards the target of 2x investments in the next 5 years through the Urban Invest Window. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
The company plans to maintain its debt-to-equity ratio at around 8%.
HUDCO is committed to becoming a zero NPA company within 15 months.
HUDCO is targeting around INR 200 crores of distressed asset resolutions in Q3 FY26.
HUDCO targets a loan book of INR 1.6 lakh crores by March 2026 and INR 3 lakh crores by FY 2030.
Outcome check: Revenue YoY averaged 24.8% across 2 later quarter(s).
The company expects to maintain its loan book growth rate between 25% and 30%.
Outcome check: Revenue YoY averaged 24.8% across 2 later quarter(s).
HUDCO targets achieving INR 50,000 crores of disbursements for the current financial year.
Outcome check: Revenue YoY averaged 24.8% across 2 later quarter(s).
Trend score and candlestick chart
58NeutralSMA20 +2.4% / mo
Technical chart
HUDCOweekly · 5Y-4.4%Technical trend read
Bullish setupTrend is constructive — long-term trend unclear. RSI 54.
- SMA20 rising (~2.4% over last month) — short-term momentum positive.
- RSI(14) at 54 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 15% off 52W high · 31% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 68.6%.
- Valuation contributes 24/30 to the score.
- Growth contributes 20/25 to the score.
Main drags
- Altman Z is 0.4, in distress territory.
- Cash flow is weaker at 0/10; verify the latest quarterly trend.
- Balance sheet is weaker at 2/15; verify the latest quarterly trend.
NBFC valuation: P/B, ROA, borrowing cost, and asset quality
Lenders can look optically cheap before credit losses emerge, so valuation is tied to book quality.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Management has 67% delivered/partly-delivered outcomes on 3 checked claims, with 1 adverse claim outcome. It ranks around the 38th percentile of the scored universe and 56th percentile within Financial Services. Main check: balance sheet trust is weak at 22/100.
Healthy Trust: 3/6 extracted management claims have outcome checks; 67% were fully delivered and 0 were partially delivered. 1 claim(s) were contradicted or failed. Key concern: Operating cash flow is negative at ₹-33912 Cr.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · Financial Services: 56th pctile, median 62 · Mid: 22nd pctile, median 76
3/6 claims checked. Use as directional, not final.
3/6 claims checked · 1 contradicted/failed claim
How to read this Trust Score
Mixed Trust · medium confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 75%.
- ▸Promoter pledge is zero.
- ▸4/4 latest quarters had positive YoY revenue growth.
- ▸3/4 latest quarters had positive YoY PAT growth.
Trust risks
- ▸Operating cash flow is negative at ₹-33912 Cr.
- ▸Debt/equity is 7.09.
- ▸Altman Z is 0.38.
- ▸Only 1 years of positive FCF.
Intrinsic value
Fundamentals
Valuation
- P/E
- 10.10
- P/B
- 1.85
- EV/EBITDA
- 14041.54
- Market Cap
- 40863.00Cr
Profitability
- ROE
- 20.20%
- ROCE
- 8.41%
- ROA
- 2.42%
- Dividend Y
- 2.23%
Growth (CAGR)
- Revenue 5Y
- 13.00%
- EPS 5Y
- 21.00%
- Revenue 3Y
- 23.00%
- EPS 3Y
- 33.00%
Balance Sheet
- Debt/Equity
- 7.09
- Interest Coverage
- —
- Altman Z
- 0.38
- Book Value
- 110.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 1/5
- OCF
- -33912.00 Cr
- EPS TTM
- 20.15
Shareholding
- Promoter Hold
- 75.00%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 50%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.