“The slowdown in advance momentum was in line with expectation amid lockdown. However, a sharp improvement in collection efficiency to around 30 per cent in micro banking is a strong positive,” ICICI Securities said in a note.
“The sharp deceleration of Bajaj Finance’s in advance momentum and slowdown in the pace of customer addition was anticipated amid lockdown in the first two months of Q1FY21. The decline in moratorium remains positive and has been factored in the recent run-up in stock price. The management indicated at the continuance of accelerated provisioning in Q1FY21E, which could keep profitability benign,” the brokerage firm said.
Among others, Ujjivan Small Finance Bank was locked in the upper circuit of 20 per cent at Rs 37 with only buyers were seen on the counter. The trading volumes jumped an over 15-fold with a combined 18.3 million shares changing hands on the NSE and BSE till 02.30 pm. There were pending buy orders for around 800,000 shares on both the exchanges.
MAS Financial Services, Ujjivan Financial Services, Housing and Urban Development Corporation (HUDCO), IDFC, Cholamandalam Investment and Finance Company, Aditya Birla Money, Geojit Financial Services, AU Small Finance Bank and CreditAccess Grameen were up in the range of 5 per cent to 9 per cent on the BSE.
Currently, the S&P BSE Finance index, the top gainer among sectoral indices, was up 1.6 per cent, as compared to a 0.25 per cent rise in the S&P BSE Sensex.