Poonawalla Fincorp Ltd Share Price Target 2026–2030
Poonawalla Fincorp Ltd (formerly Magma Fincorp) is a mid-sized non-banking financial company (NBFC) focused on retail lending across home loans, loan against property (LAP), and small business loans. Following its acquisition by the Poonawalla Group in 2021, the company underwent a complete balance sheet restructuring, including a ₹4,000 Cr equity infusion and asset-light strategy shift. While it has shown strong revenue growth since FY23, recent quarters have been impacted by elevated credit costs and provisioning, leading to a net loss in FY25. Investors are watching closely for signs of stabilization in asset quality and return to profitability. This article provides a data-backed outlook on the Poonawalla Fincorp share price target 2026–2030.
Poonawalla Fincorp Ltd: Company Overview
- Founded: 1988 (as Magma Fincorp); rebranded in 2022
- Headquarters: Pune, Maharashtra
- Key Segments: Home Loans, Loan Against Property (LAP), Small Business Loans
- Strategic Shift: Post-2021, shifted to secured retail lending with strict underwriting
- Ownership: Promoted by Poonawalla Group (63.95% stake)
The company’s advances stood at ₹32,695 Cr as of FY25, with a gross NPA ratio of 3.47% and net NPA of 1.02% (as per Q3 FY26 concall). While disbursements are growing, elevated slippages have delayed profit recovery.
Poonawalla Fincorp Ltd: Key Financial Snapshot
| Metric | Value |
|---|---|
| Current Share Price | ₹398.50 |
| Market Capitalization | ₹32,386.92 Cr |
| No. of Shares Outstanding | 81.27 Cr |
| 52-Week High / Low | ₹560 / ₹350 |
| P/E Ratio (TTM) | Not applicable (Net loss) |
| P/B Ratio | 3.25 |
| EPS (TTM) | ₹4.30 (positive due to one-off gains; core PAT: -₹98.34 Cr) |
| Book Value (TTM) | ₹122.72 |
| ROE | -1.23% |
| ROCE | 4.82% |
| Dividend Yield | 0.00% |
| Face Value | ₹2 |
| Operating Revenue | ₹4,189.76 Cr |
| Net Profit | -₹98.34 Cr |
| Sales Growth (YoY) | 34.57% |
| Profit Growth (YoY) | -104.78% |
| Promoter Holding | 63.95% |
Poonawalla Fincorp Ltd Share Price Target Forecast (2026–2030)
| Year | Target Price Range (₹) |
|---|---|
| 2026 | ₹420 – ₹480 |
| 2027 | ₹450 – ₹530 |
| 2028 | ₹480 – ₹590 |
| 2029 | ₹510 – ₹650 |
| 2030 | ₹540 – ₹720 |
Poonawalla Fincorp Ltd Share Price Target 2026
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2026 | ₹420 | ₹480 |
Poonawalla reported a net loss of ₹98.34 Cr in FY25 despite 34.57% revenue growth, due to high credit costs and provisioning for legacy assets. However, management expects normalization by H2 FY26. With a P/B of 3.25x—rich for an NBFC with negative ROE—the stock trades on future expectations, not current earnings. A 2026 target of ₹420–₹480 assumes gradual asset quality improvement and return to modest profitability.
Poonawalla Fincorp Ltd Share Price Target 2027
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2027 | ₹450 | ₹530 |
If slippages decline and the cost of funds stabilizes, the company could report ₹300–₹400 Cr annual PAT by FY27. Given its high promoter backing and clean post-restructuring balance sheet, investor sentiment may improve. Assuming EPS of ₹5–₹6 and a forward P/E of 80–90x (justified by turnaround narrative), the 2027 range is ₹450–₹530.
Poonawalla Fincorp Ltd Share Price Target 2028
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2028 | ₹480 | ₹590 |
By 2028, benefits from scale, digital underwriting, and lower GNPA should reflect in margins. The company aims for 20%+ ROE long-term, but execution remains key. A P/B of 3.0–3.5x on projected book value (~₹140–₹160) supports the ₹480–₹590 band.
Poonawalla Fincorp Ltd Share Price Target 2029
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2029 | ₹510 | ₹650 |
Long-term demand for affordable housing and LAP in Tier-2/3 cities offers tailwinds. If Poonawalla sustains 25%+ loan book growth and maintains GNPA below 3%, institutional interest could rise. Using a P/B of 3.2–3.8x on FY29 BV (~₹160–₹170), the 2029 target is ₹510–₹650.
Poonawalla Fincorp Ltd Share Price Target 2030
| Year | Share Price Target 1 | Share Price Target 2 |
|---|---|---|
| 2030 | ₹540 | ₹720 |
Over a five-year horizon, Poonawalla’s value hinges on the successful execution of its retail lending strategy. While risks remain, its backing by a credible promoter group, which provides confidence. A terminal P/B of 3.5–4.0x on FY30 BV (~₹170–₹180) justifies the ₹540–₹720 range.
Poonawalla Fincorp Ltd: Shareholding Pattern
| Category | Holding (%) |
|---|---|
| Promoters (Poonawalla Group) | 63.95% |
| Domestic Institutional Investors (DII) | 11.31% |
| Foreign Institutional Investors (FII) | 10.61% |
| Public & Retail | 14.13% |
| Others | 0% |
High promoter holding ensures strategic continuity. Rising institutional ownership reflects growing trust in governance.
Poonawalla Fincorp Ltd: Strengths vs Risks
Strengths:
- Backed by the financially strong Poonawalla Group
- Fully restructured balance sheet post-2021 (zero legacy stress)
- Strong revenue growth (34.57% YoY) and expanding loan book
- Focus on secured retail assets reduces systemic risk
Risks:
- Net loss in FY25 (-₹98.34 Cr) and negative ROE (-1.23%)
- Elevated GNPA (3.47%) and credit costs are delaying profit recovery
- Zero dividend history (0% yield) limits income appeal
- Rich P/B (3.25x) leaves little room for execution misses
Investment Suitability
| Factor | Assessment |
|---|---|
| Risk Profile | High |
| Ideal Time Horizon | 3–5+ years |
| Volatility | High (mid-cap NBFC with turnaround story) |
| Dividend/Income Potential | None (0% yield) |
| Best For | Aggressive investors betting on NBFC recovery with high risk tolerance |
Final Verdict
Poonawalla Fincorp is a high-risk, high-potential NBFC in transition. Its strong promoter backing and clean post-restructuring foundation offer hope, but near-term profitability remains uncertain. Our Poonawalla Fincorp share price target 2026–2030 (₹420 to ₹720) reflects cautious optimism—contingent on consistent reduction in NPAs and return to sustainable profits. Suitable only as a satellite position in aggressive portfolios.
Disclaimer: Price targets are estimates based on publicly available data and sector analysis. They are not investment advice. Consult a SEBI-registered advisor before making decisions.
Sources
- Screener.in – Poonawalla Fincorp Consolidated Page (FY2025 + TTM)
- Finology Ticker – POONAWALLA Financial Ratios & Valuation
- Poonawalla Fincorp Investor Presentation (Q3 FY26, Jan 2026)
- BSE India – Annual Report FY2025
- RBI NBFC Sector Guidelines
