AAVAS FInanciers ltd - Q1 FY27 disbursements jumped 41% YoY

- Aavas Financiers is currently in a corrective phase after failing to sustain the July–August recovery towards ₹1,500, with the daily chart turning technically weak. Price has slipped below the Ichimoku cloud and the key Tenkan/Kijun levels, indicating that short-term momentum has shifted bearish; ₹1,250–1,260 is the immediate support zone, while a sustained break below ₹1,250 could drag the stock towards ₹1,200–1,180. On the upside, ₹1,320–1,345 is the first hurdle, followed by the ₹1,390–1,430 zone, and the recovery would regain strength only above these levels. Fundamentally, however, the picture remains considerably stronger than the chart: Q1 FY27 disbursements jumped 41% YoY, AUM grew 15.4% to ₹23,930 crore and PAT increased 23% YoY to ₹171 crore, while GNPA/NNPA remained low at 1.11%/0.71%. The affordable-housing finance sector also retains strong structural tailwinds from under-penetration, Tier-2/3 demand and banks increasingly focusing on larger-ticket borrowers. Overall, the fundamental recovery remains intact, but the chart needs to stabilise first; ₹1,250 is the key level to watch, with a reclaim of ₹1,340–1,345 providing the first meaningful signal that the uptrend is returning.