Star Housing Finance Hits 52-Week Low Amid Broader Market Resilience

Star Housing Finance, a microcap player in the housing finance sector, has seen significant activity today, hitting a new 52-week low of Rs 25.8. This marks a notable decline, as the stock has underperformed its sector by 6.05% and has experienced a consecutive fall over the past seven days, resulting in a total drop of 21.27%. The stock is currently trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a persistent downward trend.
In contrast, the broader market has shown resilience, with the Sensex recovering sharply after a negative opening, currently trading at 81,302.67. Despite this, Star Housing Finance's one-year performance stands at a staggering -50.48%, significantly lagging behind the Sensex's minimal decline of 0.07% over the same period.

On a positive note, the company reported a robust growth in net sales of 69.69% for the last quarter, with consistent positive results over the past 13 quarters. However, its long-term fundamentals remain weak, reflected in an average return on equity (ROE) of 5.73%. The stock's valuation appears attractive with a price-to-book ratio of 1.5, yet it continues to trade at a discount compared to its peers.