Morgan Stanley on M&M Fin Overweight , Target Price Rs 225 F2Q23e disbursements ahead of MSe Disbursements & collections remained strong in Sept, aided by macro tailwinds Collection efficiency in Sept rose MoM, with Gross Stage 3 at 7%(vs F1Q23 at 8%) Both AUM & asset quality better than MSe BoFA Sec on M&M Fin […]

MS on M&M Fin OW, TP Rs 225 RBI directs to cease recoveries/repossessions via outsourcing until further order Impact on collections & hence asset quality will depend on: Share of outsourcing in collections Alternate arrangements co can make Length of time order remains in force

CLSA on M&M Fin (Management meet takeaways) Buy, TP Raised to Rs 260 (on roll fwd) Collections healthy; Management expects 2-2.2% credit costs in FY23 Cost of funds impact to be more gradual; expect elevated expense ratio Near-term RoE target is 12%, while medium-term is 15%