PNB Housing Finance Shares Surge 11% Following Strong Q4 2026 Earnings

PNB Housing Finance Shares Surge 11% After Reporting Strong Q4 Performance

On Tuesday, 21 April, the share price of PNB Housing Finance jumped 11% as the company announced a strong performance for the fourth quarter of 2026. The mortgage lender reported a 19% year-over-year (YoY) increase in net profit to ₹656 crore, up from ₹500 crore in the corresponding period last year.

The company's net interest income grew around 11% YoY to ₹810 crore, in line with estimates. However, other income declined about 10% YoY to ₹120 crore, while operating expenses rose 17% YoY to ₹250 crore. The total income increased 6.6% to ₹2,172 crore in Q4FY26, compared with ₹2,037 crore in the year-ago quarter.

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For the full year, net profit stood at ₹2,291 crore in FY26, compared with ₹1,936 crore in the previous fiscal, reflecting a growth of 18%. The net interest margin (NIM) for the quarter dipped to 3.69% from 3.75% in the year-ago period. Asset quality strengthened during the quarter, with gross non-performing assets (GNPA) declining to 0.93% from 1.04% quarter-over-quarter (QoQ), and net non-performing assets (NPA) falling to 0.57% from 0.68%.

The company's assets under management (AUM) expanded 13% YoY to ₹90,921 crore. Its retail loan book grew 16% to ₹86,946 crore, while the company resumed corporate lending after a gap of around four years.

Brokerages said PNB Housing Finance reported a better-than-expected performance in the March quarter, supported by provision write-backs, stable asset quality, and steady loan growth. Motilal Oswal maintained its 'Buy' rating on the stock and noted that profit after tax exceeded its estimates by 14%. The brokerage said PNB Housing Finance currently trades at 1.2x FY27E price-to-book value (P/BV) and delivered a stable quarterly performance, driven by improving asset quality and supportive credit cost trends.

JM Financial also maintained its 'Buy' rating on the stock, with a target price of ₹950 per share, implying an upside potential of nearly 3% from the previous closing price. The brokerage noted that profit after tax beat its estimates by nearly 20%, primarily driven by improving growth trends and elevated recoveries, which kept credit costs in negative territory at -0.80% compared with -0.19% in the previous quarter.

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PNB Housing Finance's stock surged as much as 11% to its day's high of ₹1,006. It is now just 12% away from its 52-week high of ₹1,141.85, hit in June 2025. Meanwhile, it touched its 52-week low of ₹730 in March 2026. The stock has been positive in the recent past, rising 24% in 1 month. However, it lost over 2% in the last 1 year. It has also given multibagger returns in the last 5 years, rallying around 240%.