M&M FINANCIAL
MS ON M&M FINANCIAL : 27.07.2021
* Potential for reversal of provisions in rest of FY22 is key to focus for M&M Fin, Morgan Stanley in its report on the NBFC after Q1 results reported yesterday
* Saw A Large QoQ Increase In Stage 2 & 3 Loans Of 13.3 ppts Of Loans
* It Maintained High Provisioning Coverage On These Loans
* Key To Focus Is Potential For Reversal Of Provisions In Rest Of FY22
* MAINTAIN BUY TARGET: 240
CLSA ON M&M FINANCIAL : 27.07.2021
* M&M Financial's growth remained muted with disbursements at half of pre-COVID run-rate levels; the only silver lining is the large provision buffer of 11.3% of loans,
* Growth Remained Muted With Disbursements At Half Of Pre COVID Run-rate Levels
* Yields Down More Than 200 bps QoQ Due To Sharp Interest Reversals
* The Only Silver Lining Is The Large Provision Buffer Of 11.3% Of Loans
* MAINTAIN BUY TARGET: 180
M&M FINANCIAL
