Buy PNB Housing; target of Rs 980: Motilal Oswal

Motilal Oswal's research report on PNB Housing

PNB Housing (PNBHF), on 31st Jul’25, announced that its MD and CEO, Mr. Girish Kousgi, has decided to step down from his role effective 28th Oct’25 to pursue external career opportunities. While this announcement came as an abrupt surprise for stakeholders, Mr. Kousgi clarified that his decision was entirely personal and driven by career aspirations, and unrelated to the exit of the private equity investors from the company. Subsequently, on 2nd Aug’25, the Board appointed Mr. Jatul Anand (currently serving as Chief Credit and Collection Officer) as Executive Director. He will assume overall responsibility for the Prime and Emerging business segments, overseeing sales, credit, product, and collections. Additionally, Ms. Valli Sekar has been designated as Chief Business Officer (CBO) for the Affordable segment, with responsibility for sales, credit, product, and collections within that vertical. The Board shared that the NRC has initiated the process to identify a new CEO and will evaluate both internal and external candidates for the role.

Outlook

We reiterate our BUY rating with a TP of INR980 (based on 1.2x Mar’27E P/BV).