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Outperforming Aditya Birla Group stock can rise another 21%, Kotak saysAditya Birla Capital operates as a diversified financial conglomerate. Most of its value lies in its flagship diversified NBFC business, which has assets under management (AUM) of ₹1.5 lakh crore.By Meghna Sen  March 12, 2026, 8:59:40 AM IST (Published)2 Min ReadShares of Aditya Birla Capital Ltd. will be in focus on Thursday, March 12, after brokerage firm Kotak Institutional Equities initiated coverage on the stock.

The brokerage has started coverage with a 'Buy' rating and a price target of ₹390 per share, implying a potential upside of about 21% from current levels.

Kotak said Aditya Birla Capital operates as a diversified financial conglomerate. Most of its value lies in its flagship diversified NBFC business, which has assets under management (AUM) of ₹1.5 lakh crore.

This is followed by a smaller but fast-growing housing finance business, with AUM of ₹42,200 crore. The brokerage expects the housing finance segment to clock a 51% CAGR between FY24 and FY26E.

The group's non-lending businesses further supplement its overall portfolio.

According to Kotak, growth trends remain strong across lending segments, while performance in non-lending businesses has been mixed.

Profitability, although moderate at present, is gradually improving as the businesses scale up.

Aditya Birla Capital on March 10 invested ₹750 crore in the equity shares of its wholly-owned subsidiary Aditya Birla Housing Finance on a rights basis.

Following the transaction, the shareholding of Aditya Birla Capital in Aditya Birla Housing Finance remains unchanged at 100%, and the entity continues to be a wholly-owned subsidiary of the company.

All 13 analysts tracking Aditya Birla Capital currently have a 'Buy' rating on the stock. HDFC Securities has the lowest target price at ₹345, followed by Kotak at ₹390, while most other targets range between ₹400 and ₹450.

Shares of Aditya Birla Capital ended Wednesday's session 3% lower at ₹322.50. The stock has declined 11% so far this year.Continue ReadingNote To ReadersDisclaimer: The views and investment tips expressed by investment experts on CNBCTV18.com are their own and not that of the website or its management. CNBCTV18.com advises users to check with certified experts before taking any investment decisions.TagsAditya Birla Capitalshare market today