Can Fin Homes (CANF IN) – Q3FY26 Result Update – Disbursements pick up; sustained margin outlook – Accumulate
Published on 19 Jan 2026
3Q disbursements saw a pick-up with a positive run-rate in Karnataka/ Telangana. While loan book grew 10% YoY in Q3, we build a loan growth of 11%/14% in FY26/ FY27E. Expect FY26/ FY27E NIM to trend in line with guidance at 3.75%, aided by a lower cost of borrowing. Cost/income ratio is expected to be elevated at ~18% over FY26-28E due to investments in business transformation and expansion. We revise our FY26/ FY27E estimates upwards factoring in a positive margin trajectory. However, lower growth and elevated opex weigh on earnings. We value the stock at 2.0x Dec-27E P/ABV, resulting in a TP of Rs 1,015. Maintain ACCUMULATE.
