CLSA has maintained its hold rating on Piramal Enterprises with a target price of ₹1,200 after attending the company’s AI Day, where management showcased in-house artificial intelligence initiatives aimed at strengthening its lending business.
The brokerage said Piramal’s AI focus areas include underwriting, fraud detection, and workflow automation. These capabilities are improving credit risk management, speeding up loan approvals, and enhancing customer satisfaction.
The company’s retail assets under management have grown threefold in the past three years, from ₹22,000 crore in FY22 to ₹65,000 crore in FY25, driven by product diversification, geographic expansion, and cross-selling. Efficiency gains have also been evident, with the operating expense ratio falling by 230 basis points over the past nine quarters.
CLSA said that while these initiatives improve scalability and operational efficiency, it remains cautious on valuations and hence retained its hold rating.
Disclaimer: The views and recommendations made in this article are those of CLSA. This article does not constitute investment advice. Investors should consult their financial advisors before making any investment decisions.
