Shares of Jio Financial Services have secured ‘Buy’ rating from Geojit BNP Paribas with a target price of ₹273
Geojit BNP Paribas has issued a buy recommendation to Jio Financial Services Limited with a revised target price of ₹273 per share. The investment firm updated its financial outlook on Thursday, July 2, 2026, pointing to stable growth in the company’s core operations despite the recent significant market correction.
The revised projection implies a potential upside of approximately 14% from the current market price. Shares of the non-banking financial company recently traded around ₹239.73 on domestic stock exchanges. Over the past 52 weeks, the stock has been in a wide range, reaching a peak of ₹338.60 and a low of ₹223.30.
Analysts remain constructively focused on the platform’s long-term potential as it continues to grow its core business. Interest income, fee collection, and commissions are showing signs of improvement. However, the company faces some short-term headwinds, particularly the mismatch between its current high market valuation and short-term profitability metrics.
In its financial statements for the last quarter ended March 2026, the company reported a consolidated net profit of ₹272.22 crore. This represents a flat sequential growth of 1.20% compared to the December quarter. The company’s net profit margin declined slightly to 26.70% during the quarter.
Total quarterly income for the March period increased to ₹1,019.69 crore, a 13.17% increase from the previous three months. This revenue increase was primarily driven by increased lending operations through Jio Credit. The firm has actively expanded its retail loan books and digital financing options to attract consumer interest.
Meanwhile, total quarterly expenses increased to ₹421.90 crore, a sequential increase of over 19%. A significant portion of these expenses were attributed to rising finance costs and increased investments. The firm allocated 21.21% of its operating revenue for interest expenses and 11.02% for employee benefit costs.
Jio Credit leveraged the external debt market to support its aggressive operational growth. These rising costs have temporarily halted immediate bottom-line expansion, but analysts view this as a necessary phase. The financial institution is in a multi-year building cycle, meaning reported earnings may understate actual commercial momentum for another year.
On the operational front, the high-profile joint venture with BlackRock is progressing rapidly. The entity has already significantly expanded its asset base through digital wealth management services. Products like its artificial intelligence-driven flexi-cap fund are attracting significant inflows from the retail asset pool.
The digital ecosystem is also receiving significant support from its parent company, Reliance Industries. News of the draft initial public offering filing for Jio Platforms has brought market attention back to the group’s digital companies. Market experts believe this major listing will ultimately unlock significant value across all related group entities.
Investors are currently maintaining a neutral to cautious short-term stance as foreign institutional investors have reduced their exposure slightly in recent months. Broader stock market sentiment is likely to shift direction soon. Jio Financial Services is scheduled to announce its next quarterly earnings on July 22, 2026.
Disclaimer: All the information provided in this article is for educational and infomational purposes only. DateUpdateGo always advises seeking guidance from a certified financial advisor before making any investment-related decisions.
