Is this U.S.-China selloff a buy? A top Wall Street voice weighs in
On Sunday, UBS analyst Neeraj Toshniwal updated the price target for PB Fintech (NSE:PBFI) Limited (POLICYBZ:IN), the parent company of Policybazaar and Paisabazaar, to INR1,640.00, an increase from the previous target of INR1,550.00. Despite this adjustment, the firm maintained its Sell rating on the stock.
Toshniwal noted that PB Fintech’s revenue saw a 38% year-over-year increase in the fourth quarter of fiscal year 2025, aligning with UBS estimates. This growth was primarily attributed to a 35% year-over-year surge in the company’s existing business. The health insurance segment led the way with a 50% growth year-over-year, and the protection business also showed a robust increase of 34% year-over-year.
However, the savings segment of the company’s portfolio expanded at a slower pace than anticipated. The core new online insurance business, excluding the savings component, grew 21% year-over-year, which was below expectations, considering it reached 38% year-over-year growth when including the savings segment.
The company’s new business initiatives, including the PoSP agents driven channel, experienced a significant revenue jump of 50% year-over-year. The Policybazaar core business also demonstrated improvement in unit economics by 16 basis points sequentially.
On the other hand, Paisabazaar, the financial services marketplace, faced a 21% year-over-year revenue decline. This was mainly due to a 33% year-over-year drop in disbursals, particularly in the unsecured loan book. To address this downturn, Paisabazaar is aiming to augment its distribution of secured business through the PoSP model, which disbursed Rs52.8 billion in the fourth quarter.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.