PB Fintech Share Price: Will the Stock Be Able to Cross ₹2,200 per Share Anytime Soon?

Synopsis: Jefferies maintains a Buy on PB Fintech with a ₹2,200 target, despite commission cap concerns, citing long-term resilience through renewals, cost control, and structural changes.

This Fintech stock, engaged in online insurance aggregation via Policybazaar, digital lending through Paisabazaar, credit score services, and related financial products for consumers and partners, is in focus after ​Nomura gave a target of Rs. 2,200, which has an upside potential of 34.28.

With a market capitalization of Rs. 76,202.53 crore, the shares of PB Fintech Limited were currently trading at Rs. 1,647 per equity share, rising nearly 0.52 percent from its previous day’s close price of Rs. 1,638.40.

News

Jefferies, a prominent brokerage firm, has recommended a “Buy” call on PB Fintech Limited with a target price of Rs. 2,200 per share, indicating an upside potential of 34.28 percent from its previous day’s close price of Rs. 1,638.40. 

According to Jefferies’ scenario analysis, if first-year commissions are reduced to 20-30 percent from the current 25-40 percent, PB Fintech’s first-year profits could take a hit of around 10-30 percent. However, the brokerage believes this impact may not be negative in the long run, as higher renewal commission rates could help offset the initial decline.

Jefferies also highlighted that PB Fintech has multiple ways to manage the impact. These include adopting a Managing General Agent (MGA) structure, rationalising costs, and increasing focus on renewal commissions in life insurance.

While the stock is trading at a high valuation of around 44 times EV to adjusted EBITDA, Jefferies cautions that regulatory uncertainty could weigh on the stock in the short term, even as long-term prospects remain intact.

Business Updates in Q2 FY26

PB Fintech Limited delivered strong growth in Q2 FY26 across its key businesses. Total insurance premium rose to Rs. 7,605 crore, registering a solid 40 percent year-on-year increase, supported by higher policy sales. 

Meanwhile, total lending disbursals surged to Rs. 8,570 crore, marking a sharp 102 percent YoY growth, reflecting rapid expansion in its lending segment.

Management Guidance

PB Fintech Limited’s management has shared a positive long-term profit outlook. The company aims to achieve a profit after tax of around 3 percent of total premium by FY30, indicating improved profitability. For the medium term, management has guided for profits of nearly Rs. 1,000 crore by FY27, reflecting confidence in sustained growth and better operating efficiency.

Company Overview

PB Fintech Limited was founded in 2008 and is headquartered in Gurugram, India. The company leads India’s digital financial services via Policybazaar for insurance aggregation and Paisabazaar for lending. It empowers consumers to compare and purchase health, life, motor insurance, loans, credit cards, and credit scores online, while offering B2B solutions to insurers and lenders.

Recent Quarter Results

Coming into financial highlights, PB Fintech Limited’s revenue has increased from Rs. 1,167 crore in Q2 FY25 to Rs. 1,614 crore in Q2 FY26, which has grown by 38.30 percent. The net profit has also grown by 164.71 percent from Rs. 51 crore in Q2 FY25 to Rs. 135 crore in Q2 FY26.

PB Fintech Limited’s revenue has grown at a CAGR of 45.21 percent over the last five years. In terms of return ratios, the company’s ROCE and ROE stand at 5.90 percent and 5.13 percent, respectively. PB Fintech Limited has an earnings per share (EPS) of Rs. 10, and its debt-to-equity ratio is 0.05x.

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