Get App
Download App Scanner
Scan to Download
Advertisement

Canara Robeco AMC Gets Target Price Hike After Strong Q1, But PL Capital Retains Hold Rating — Here's Why

PL Capital retained its 'Hold' rating on Canara Robeco, citing the need for sustained improvement in fund performance and net inflows for a potential re-rating.

Canara Robeco AMC Gets Target Price Hike After Strong Q1, But PL Capital Retains Hold Rating — Here's Why
According to the brokerage, Canara Robeco saw a good quarter; as core PAT was a beat due to better revenue yield at 39.2bps versus brokerage estimate of 37bps mainly led by effective control in TER related costs.
(Photo: NDTV Profit/ AI generated image)
STOCKS IN THIS STORY
Canara Robeco Asset Management Company Ltd
--

NDTV Profit's special research section collates quality and in-depth equity and economy research reports from across India's top brokerages, asset managers and research agencies. These reports offer NDTV Profit's subscribers an opportunity to expand their understanding of companies, sectors and the economy.

PL Capital Report

Canara Robeco Asset Management Company Ltd. reported a strong performance for the June quarter, prompting PL Capital to raise its target price to Rs 285 from Rs 280. However, the brokerage retained its 'Hold' rating, citing the need for sustained improvement in fund performance and net inflows for a potential re-rating.

According to the brokerage, Canara Robeco saw a good quarter; as core PAT was a beat due to better revenue yield at 39.2bps versus brokerage estimate of 37bps mainly led by effective control in TER related costs.

Company expects blended yields to be within a band of 35-38bps. Cost to income for FY27 is guided to be between 38-42% (41% in FY26).

SIP flows fell by ~5% QoQ, which was attributed to industry-wide decline led by volatile markets.

PL Capital remains watchful of equity performance and net flows, as re-rating would hinge on the same.

Following the quarterly performance, PL Capital increased its FY27 and FY28 revenue estimates by roughly 5.5% and raised its earnings forecasts. The brokerage also nudged up its target price to Rs 285, reflecting improved yield assumption. 

Click on the attachment to read the full report:

Pl Capital Canararobeco.pdf
VIEW DOCUMENT

ALSO READ: Infosys Q1 Preview: DRChoksey Remains Bullish, Sees 17% Upside From Current Levels — Check Target Price

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

 

Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.

To continue reading this story
You must be an existing Premium User

Newsletters

Update Email
to get newsletters straight to your inbox
⚠️ Add your Email ID to receive Newsletters
Note: You will be signed up automatically after adding email

News for You

Set as Trusted Source
on Google Search
Add NDTV Profit As Google Preferred Source
Loading PDF...
Listen to the latest songs, only on JioSaavn.com