Recent Price Movement and Market Context
On 27 Nov 2025, Star Housing Finance’s share price touched an intraday low of Rs 10.61, representing a fall of 16.26% during the trading session. The stock opened with a gap down of 13.18%, continuing a four-day losing streak that has resulted in a cumulative return of -28.21% over this period. This decline outpaced the sector’s performance, with the stock underperforming its peers by 9.16% on the day.
Volatility has been notably elevated, with an intraday volatility of 6.02% calculated from the weighted average price. The share price currently trades below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a persistent downward trend.
In contrast, the broader market has shown resilience. The Sensex opened 135.54 points higher and was trading at 85,745.53, just 0.07% shy of its 52-week high of 85,801.70. The index has gained 3.04% over the past three weeks, supported by strong performances from mega-cap stocks and trading above its 50-day and 200-day moving averages.
Long-Term Performance and Valuation Metrics
Star Housing Finance’s one-year return stands at -55.46%, a stark contrast to the Sensex’s 6.92% gain over the same period. The stock’s 52-week high was Rs 36.80, highlighting the extent of the decline from its peak. Over the last three years, the stock has also underperformed the BSE500 index across multiple time frames, including one year and three months.
The company’s valuation metrics reflect a cautious market stance. The price-to-book value ratio is approximately 1.2, which is considered fair but indicates the stock is trading at a discount relative to its peers’ historical averages. This discount aligns with the company’s subdued financial performance and market sentiment.
Rising fast and still accelerating! This Small Cap from FMCG sector is riding pure momentum right now. Jump in before the rally reaches its peak!
- - Accelerating price action
- - Pure momentum play
- - Pre-peak entry opportunity
Financial Performance and Profitability Trends
Star Housing Finance’s profitability has shown signs of contraction. The company reported a profit after tax (PAT) of Rs 3.17 crore for the latest six-month period, which reflects a decline of 47.86% compared to the previous corresponding period. This reduction in earnings contributes to the subdued investor sentiment and the stock’s downward trajectory.
The company’s return on equity (ROE) averaged 6.10% over the long term, with the most recent figure at 5.6%. These levels are modest within the housing finance sector, where stronger ROE figures are often expected to justify valuations. The combination of limited profitability growth and valuation pressures has influenced the stock’s performance.
Profit margins have also been affected, with a reported fall in profits of 27.8% over the past year. This decline in earnings, coupled with the stock’s price movement, underscores the challenges faced by Star Housing Finance in maintaining financial momentum.
Shareholding and Market Position
The majority of Star Housing Finance’s shares are held by non-institutional investors, which may impact liquidity and trading dynamics. The company operates within the housing finance sector, a segment that has experienced varying degrees of pressure due to macroeconomic factors and sector-specific developments.
Despite the stock’s recent lows, the broader housing finance sector continues to attract attention, with some peers maintaining relatively stable valuations and performance metrics. Star Housing Finance’s current market capitalisation grade is modest, reflecting its micro-cap status and the market’s assessment of its financial standing.
Why settle for Star Housing Finance ? SwitchER evaluates this Housing Finance Company micro-cap against peers, other sectors, and market caps to find you superior investment opportunities!
- - Comprehensive evaluation done
- - Superior opportunities identified
- - Smart switching enabled
Summary of Key Market Indicators
Star Housing Finance’s share price has demonstrated a clear downward trend over the past year, with a total return of -55.46%. This contrasts with the Sensex’s positive trajectory, which has gained 6.92% over the same period. The stock’s current trading level of Rs 10.61 is significantly below its 52-week high of Rs 36.80, highlighting the extent of the decline.
Trading volumes and volatility have increased in recent sessions, reflecting heightened market activity around the stock. The share price remains below all major moving averages, signalling continued pressure on the stock’s valuation.
While the broader market environment remains constructive, with the Sensex near its 52-week high and supported by mega-cap stocks, Star Housing Finance’s performance has diverged, reflecting company-specific factors and sectoral headwinds.
Conclusion
Star Housing Finance’s fall to a new 52-week low of Rs 10.61 marks a significant milestone in its recent price journey. The stock’s performance over the past year and recent months has been characterised by declining profitability, subdued return on equity, and valuation pressures. Despite a positive broader market backdrop, the company’s shares have experienced sustained selling pressure and elevated volatility.
Investors and market participants will continue to monitor the stock’s price action and financial disclosures closely, as the company navigates its current challenges within the housing finance sector.
Get 1 year of Weekly Picks FREE when you subscribe to MojoOne. Offer ends soon. Start Saving Now →
