LIC Housing Finance looks expensive, says Mehraboon Irani, Principal and Head- Pvt Client Group Business, Nirmal Bang.
Irani told CNBC-TV18, "In terms of valuations, LIC Housing Finance is a little rich and expensive that`s what I always felt as far as this particular clause goes. I personally feel that ultimately companies like an LIC Housing Finance or a Dewan Housing , would possibly make good by making some changes here and there of tinkering with the processing fee charges. But impact in terms of revenue, the income, which you earn from this prepayment fees works out to around 2%. But yes, it`s a blow, which is psychological, a stock, which has overvalued according to me, which most people are positive. The stock had to react and it`s reacting. But even in terms of valuation Rs 216- Rs 217, I feel it`s very rich as compared to most of the other companies in this sector."
