Stories
UBS Upgrades Bajaj Finance, L&T Finance: Cites Strong Unsecured Credit Growth Potential.
C
CNBC Awaaz•23-09-2026, 15:48
UBS Upgrades Bajaj Finance, L&T Finance: Cites Strong Unsecured Credit Growth Potential.
- •UBS highlights strong unsecured credit growth in India, particularly in personal loans, driven by good loan quality and ample liquidity.
- •The brokerage upgraded Bajaj Finance from 'Sell' to 'Neutral' with a target price of ₹1,100.
- •L&T Finance saw its rating upgraded from 'Neutral' to 'Buy', with a target price set at ₹380.
- •UBS suggests a slowdown in gold loan growth could reduce competition in the personal loan business, creating opportunities.
- •UBS maintained 'Buy' recommendations on Poonawalla Fincorp, Cholamandalam Investment & Finance, and Shriram Finance.
Key Questions Answered
UBS upgraded Bajaj Finance from a Sell to a Neutral rating with a price target of ₹1,100, and upgraded L&T Finance from Neutral to Buy with a price target of ₹380.
UBS points out that India is entering a strong unsecured credit growth phase driven by personal loans, supported by good loan quality, stable unsecured household debt, abundant market liquidity, and potential moderation in gold loan growth.
UBS maintained a neutral stance on HDB Financial Services, SBI Cards, and M&M Financial Services, primarily citing weaker loan growth as the reason.
