Shares of Nippon Life India Asset Management Company (NAM-India) rallied more than 7 per cent on Tuesday to hit a 52-week high of ₹1,065 on the NSE, driven by strong March quarter earnings. The stock later pared some gains but remained firmly in the green, trading 5 per cent higher at ₹1,038.70 at 11.44 am.

The company reported a net profit of ₹385 crore for the March quarter, marking a 29 per cent increase y-o-y from ₹299 crore in the same period last year, supported by steady growth in assets under management and improved yields.

Brokerage HSBC maintained a “hold” rating on the stock but raised its target price to ₹890, noting that yield expansion and controlled operating cost growth led to an earnings beat versus its estimates. It added that continued AUM market share gains remain a key re-rating driver, though any weakness in net flows could pose downside risks, particularly as commodity-linked funds benefit from cyclical tailwinds.

Domestic brokerage JM Financial said the company delivered one of the strongest performances among asset management companies in Q4FY26, with PAT growth of 29 per cent y-o-y, though down 5 per cent q-o-q. Core revenue stood at ₹7.4 billion, broadly in line with expectations, while profit before tax came in at ₹4.6 billion. The brokerage highlighted that PAT exceeded estimates due to a lower tax rate, aided by some investments moving into the long-term capital gains bucket. It raised FY27 and FY28 earnings estimates by around 4 per cent each and expects earnings to grow at an 18 per cent CAGR, maintaining an add rating with a revised target price of ₹1,080.

Meanwhile, Emkay Global Financial Services retained a buy rating with a target price of ₹1,150. It noted that mutual fund QAAUM rose 3 per cent q-o-q to ₹7.25 trillion, with market share increasing by 24 basis points sequentially. Revenue yield improved to 41.3 basis points, supported by a favourable asset mix shift towards commodity ETFs, driving a 5 per cent q-o-q rise in revenue to ₹7.39 billion.

EBITDA margin expanded 200 basis points q-o-q to 68.6 per cent. The brokerage added that the company plans to offset the 3–4 basis points impact from new TER regulations by passing it on to distributors, while maintaining focus on absolute profit growth in line with or ahead of industry peers.

Published on April 28, 2026