UBS has downgraded PB Fintech from ‘Neutral’ to ‘Sell,’ setting a revised target price of ₹1,550, indicating a potential 7% downside from the current market price (CMP) of ₹1,670.80. Key insights from UBS’s analysis include:
- Q2FY25 Performance: PB Fintech reported a strong second quarter, with new initiatives expected to reach EBITDA break-even by FY27.
- Core Business Growth: The core insurance business continues to grow steadily, although slower disbursement has impacted credit offtake.
- Profitability Drivers: UBS highlights that a steady pool of renewals is expected to support profitability, though this factor is already priced into the stock.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.
