HDFC AMC share price today, January 15: HDFC AMC shares climb 5% on Q3 profit surge; brokerages maintain positive ratings. Explore market trends and stock forecasts!
HDFC Asset Management Company shares surged 5% to an intra-day high of Rs 4,061.50 after the company reported a jump in Q3 net profit and revenue from operations. The brokerage houses have maintained their ratings and target price on the stock. This essentially indicates that they’re confident about the company’s outlook, especially the AUM growth trajectory
HDFC AMC: Nomura raises EPS estimates
Nomura, a brokerage house, has maintained a ‘Buy’ rating on the stock with a target price of Rs 5,250 per equity share. The company’s higher operating revenue and lower operational expenditure lead to higher operating profit, beating estimates. The brokerage house has raised the earnings per share (EPS) estimates by 2% for FY25 and 3% for FY27. The company’s performance was steady overall. However, its market shares in SIP flow declined by 60 basis points sequentially. Also, it expects that the company’s operating profit will see a CAGR growth of 20% over the next two years.
HDFC AMC: HSBC maintains ‘Hold’ rating
HSBC has kept its ‘Hold’ rating on the stock with a target price of Rs 4,350 per equity share. It said that the rationalisation of commission payouts and controlled operating costs left the company to report strong profit growth for the quarter under review. The company’s market share has stagnated in equity AUM & SIP flows, which can keep higher valuations under pressure. The brokerage firm raised the EPS estimates by 0.4% for FY25 and 4.1% by FY27
HDFC AMC: Morgan Stanley expects growth in revenue and net profit
Morgan Stanley in a research note said that the company’s higher operating profit was driven by higher equity yields. While the higher yields were on the back of commission rationalisation taken in Q2. It expects the company’s revenue and net profit growth to moderate 16% in FY26.
HDFC AMC: Jefferies bets on lower investment income
Another brokerage firm Jefferies said that the company’s lower investment income moderated earnings for the reporting quarter. Industry net inflows remain strong, but it will watch out for scheme performances and market share trends.
HDFC AMC: Citi keeps ‘Sell’ rating
However, taking a contrarian view, Citi has a ‘Sell’ rating on the stock with a target price of Rs 3,700. It said that the cost control and impact of back book repricing are key drivers for the company’s growth.
HDFC AMC’s Q3 earnings snapshot
The AMC reported a net profit of Rs 641 crore in Q3 FY25, an increase of 31% year-on-year. The company’s revenue from operations surged 39% on year to Rs 671.32 crore in Q3 FY25. The company’s total income declined by 2% quarter-on-quarter basis to Rs 1,028 crore in Q3 FY25 from Rs 1,058 crore in Q2 FY25.
Source: www.financialexpress.com