Bernstein has maintained an ‘Outperform’ rating on Power Finance Corporation (PFC) with a target price of ₹525, implying an upside of 28% from the current market price of ₹411.45 (as of latest close).
The brokerage noted that PFC positively surprised by delivering a strong Q4, helping it meet its full-year loan book growth guidance of 13% for FY25. For FY26, the company has issued a 10–11% loan book growth guidance, slightly below street expectations of around 13%.
Bernstein remains confident in PFC’s ability to meet this guidance, citing that near-term power demand softness should normalise and revert to growth aligned with GDP levels. The firm also highlighted limited concerns on asset quality and appreciated the company’s proactive approach in recognising slippages—specifically referring to the treatment of accounts like Gensol, which are not under active coverage.
With a comfortable growth trajectory, strong management signalling, and robust financials, Bernstein continues to back PFC as a value pick in the power financing space.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a financial advisor before making any investment decisions.
