HSBC raised Shriram Finance’s price target to ₹900 from ₹730, citing strong growth outlook, improved asset quality, and solid financial performance. While risks remain, the bullish stance underscores investor confidence in the NBFC’s sustained profitability and market positioning.
HSBC has revised the target price for Shriram Finance Ltd (SHMF.NS) upward to ₹900 from the previous ₹730, reflecting increased confidence in the company’s growth prospects and financial health. This upgrade signals a bullish outlook on one of India’s leading NBFCs amid strong operating performance and strategic clarity.
Target Price Revision
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HSBC’s new target price of ₹900 implies substantial upside potential from current levels, boosting investor sentiment.
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The increase factors in Shriram Finance’s consistent profit growth, improving asset quality, and robust business fundamentals.
Company Performance
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Recognized as a well-positioned NBFC with healthy metrics and a convincing operating period in over a decade.
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Continued focus on growth segments such as vehicle finance and personal loans underpins sustained earnings momentum.
Risks Noted
HSBC highlights risks including dependence on vehicle finance, potential AUM growth slowdowns, and asset quality pressures but remains optimistic overall.
Market Impact
Following the revision, Shriram Finance shares have shown strong trading activity, reflecting positive investor response.
Sources: Moneycontrol, Economic Times, HSBC analyst reports.