Can Fin Homes eyes growth amid prepayment pressures

Can Fin Homes has been quietly building a reputation for stability in the housing finance space. The company’s loan book has crossed ₹40,000 crore, reflecting steady growth despite prepayments and balance transfers slowing momentum.

What stands out is the asset quality—gross NPAs are still under one per cent, which is rare in this sector and gives investors confidence that the fundamentals are strong.

Profitability has been consistent too, with net interest income and PAT moving in line with the expanding loan book. Management is aiming for around 12 per cent growth in FY26, and they’ve set themselves a healthy disbursement target for the coming quarters. That ambition signals they’re not just coasting; they want to push harder despite the competitive environment.

Of course, there are risks. Rising interest rates can always pinch housing finance companies, and competition from giants like HDFC and LIC Housing Finance means Can Fin has to fight to retain customers. The recent uptick in prepayments is a reminder that borrowers are quick to shift if they find better deals elsewhere.

But if you zoom out, the picture is encouraging. Strong governance, clean books, and a focus on sustainable growth make Can Fin Homes a strong candidate for long-term investors who prefer steady compounding over flashy short-term gains. The stock is trading near its average levels, so a staggered entry might make sense rather than jumping in all at once.

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* With inputs from agencies and various financial reports.