Shares of CreditAccess Grameen surged sharply on Wednesday after the lender reported a strong set of third-quarter earnings for FY26 and received multiple analyst upgrades.
The stock climbed as much as 10.1% intraday to Rs 1,367.90, marking its biggest single-day gain since May 2025. This even as the benchmark Nifty 50 slipped 0.1% around mid-morning trade. Trading activity was robust, with volumes running at nearly 53 times the 30-day average.
The rally helped the stock snap a two-day losing streak. Year-to-date, CreditAccess Grameen shares are up about 5 per cent, outperforming the Nifty 50, which is down roughly 3.5%.
Out of 17 analysts tracking the stock, the 12-month consensus target price stands at around Rs 1,510. Long-term return potential, as reflected in Bloomberg estimates, is pegged at over 40%. 14 analysts have a 'buy' rating on the stock, two have a 'hold' view, and only one has a 'sell' call.
Q3 Turnaround Lifts Sentiment
CreditAccess Grameen reported a sharp improvement in operating performance for Q3FY26. Consolidated revenue rose 8% year-on-year to Rs 1,490 crore. EBITDA jumped 126% to Rs 813 crore, leading to a significant margin expansion to 54.5% from 26.1% a year earlier. The lender posted a net profit of Rs 252 crore, reversing a loss of nearly Rs 100 crore in the corresponding quarter last year, aided by lower provisions.
Pre-provision operating profit increased 9.2% year-on-year to Rs 681 crore, while provisions for bad loans fell sharply to Rs 343 crore from Rs 752 crore a year ago. However, gross non-performing assets edged up sequentially to 4.04% from 3.65%.
Brokerages Turn Bullish
Analysts responded positively to the results. Emkay Global upgraded the stock to ‘Buy' from ‘Add', retaining its target price of Rs 1,550, citing improving margins, moderating credit costs and a favourable risk-reward after the recent correction.
JM Financial also upgraded CreditAccess Grameen to ‘Buy' with a target price of Rs 1,530, pointing to improving asset quality and a recovery in profitability, despite near-term credit cost guidance remaining elevated.
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