KFin Technologies shares gained more than 3% in early trade today after global brokerage Citi upgraded the stock to a ‘Buy’ rating and raised its target price to ₹1,215 per share. The brokerage firm believes KFin is strongly positioned to capitalize on multiple structural tailwinds within India’s growing financial services sector.
According to Citi, KFin Technologies stands to benefit from sustained mutual fund inflows, expansion in alternative investment products, a growing international client base supported by its Ascent acquisition, and continued buoyancy in primary markets. These factors, the brokerage said, reinforce the company’s long-term growth outlook.
Citi also highlighted that KFin faces lower pricing pressure compared to rival CAMS, owing to its diversified revenue mix. While mutual fund AUM-linked income contributes about 45–50% of KFin’s revenue, the same metric accounts for roughly 75% for CAMS. The report further noted that KFin’s larger base of smaller clients adds stability and resilience to its business model.
Additionally, KFin continues to broaden its product capabilities, driving further diversification and strengthening its revenue streams. However, Citi cautioned that the overhang of promoter stake sale remains, as private equity investor General Atlantic still holds around 22.9% in the company.
KFin Technologies shares were up 2.38% at ₹1,098.00 apiece around 9.20 am. It has declined28.94% this year, so far.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions. Author or Business Upturn is not liable for any losses arising from the use of this information.
