Shares of Motilal Oswal Financial Services rose sharply on Friday after UBS started coverage with a buy rating and a target price of Rs 1,150. The move came on expectations of strong growth in assets under management and recurring revenue.
The brokerage highlighted benefits from India's ongoing financialisation trend as a key driver for the positive outlook. It also pointed to expansion in the company's wealth management business.
The stock reacted immediately to the new coverage, climbing 5 percent in early trading. This marked a notable gain for the financial services firm amid broader market interest in Indian asset managers.
UBS noted prospects for sustained AUM growth as a central factor in its assessment. The rating reflects confidence in the company's ability to capture recurring revenue streams over the long term.
