Shares of Motilal Oswal Financial Services surged over 5% in Friday's trade, rising to Rs 873 on the NSE after global brokerage UBS initiated coverage on the stock with a 'Buy' rating. The brokerage assigned a sum-of-the-parts (SOTP)-based target price of Rs 1,150, implying an upside potential of nearly 32% from the current market price.
According to UBS, Motilal Oswal is well-positioned to benefit from India's ongoing financialisation trend, thanks to its diversified presence across wealth management, asset management, and capital markets. The brokerage highlighted the company's increasing exposure to fast-growing assets-under-management (AUM) pools, particularly in wealth and asset management businesses.
