JPMorgan has reaffirmed its “overweight” rating on Cholamandalam Investment and Finance, setting a target price of ₹1550. This indicates a potential upside of 29% from the current market price of ₹1198.70.
The brokerage highlighted that the recent correction in the stock presents a favorable long-term risk-reward scenario. It emphasized the company’s ability to develop a diverse retail franchise over the medium term, backed by its pan-India presence and a strong focus on collections.
JPMorgan also pointed out the significant growth potential in the mortgage segment, which remains a key driver for the company’s expansion. The brokerage estimates a robust 26% compound annual growth rate (CAGR) in earnings per share (EPS) over FY25-FY27, further underscoring its positive outlook.
Disclaimer:
This article is for informational purposes only and does not constitute financial advice. Please consult a qualified financial advisor before making investment decisions.
