Motilal Oswal has reiterated its buy rating on UTI Asset Management Company (UTI AMC) with a target price of ₹1,650, implying a notable upside from current levels. The brokerage’s optimism is driven by strong SIP inflows, stable AUM growth, and a positive earnings surprise in the recent quarter.
The profit after tax (PAT) exceeded expectations, primarily due to higher other income. According to the report, steady SIP contributions have continued to support consistent AUM expansion, positioning UTI AMC on a strong footing across mutual fund, pension, and international segments.
Motilal Oswal further projects a CAGR of 15% in AUM, 12% in revenue, and 15% in core PAT between FY25 and FY27, underlining its bullish long-term outlook on the AMC.
The brokerage highlighted UTI AMC’s broad-based performance and its ability to maintain momentum across various verticals, which provides a cushion against cyclical pressures in equity markets.
Disclaimer: The views and investment recommendations expressed in this article are those of Motilal Oswal and do not represent the opinion of this publication. Investors are advised to consult their financial advisors before making any investment decisions.
