NBFC stocks in focus: Rising funding costs threaten margins despite robust loan growth and asset quality
· economictimes.indiatimes.com
The non-banking financial companies (NBFC) sector is set to enjoy robust earnings, thanks to strong credit demand and consistent asset quality. Nonetheless, the latter half of Financial Year 2026-27 could pose challenges with rising interest rates leading to higher funding costs. Analysts emphasize that successfully managing these costs will be key to sustaining growth, advising cautious investment in resilient NBFCs amid changing market dynamics.
Growth remains healthy
Pressures emerging
Valuations are reasonable
The NBFC (non-banking financial company) sector is expected to report healthy earnings fo...