UBS upbeat on Indian commercial vehicle lenders on improving asset quality

HDB Financial Services

05/03/2026 06:46

** UBS positive on commercial vehicle lenders Shriram Finance SHMF.NS, Cholamandalam Investment and Finance Co CHLA.NS, HDB Financial Services HDBF.NS

** Says January bureau data shows continued improvement in commercial vehicle asset quality for Indian non-banking financial companies

** Adds, potential EPS upgrade for SHMF on declining funding costs, likely growth acceleration in coming quarters

** Notes small-ticket business loans growth continued to slow YoY; personal loans segment improving

** However, warns Middle East war could harden bond yields, impacting companies with higher bond borrowings

(Reporting by Vijay Malkar)

((VijayDattaram.Malkar@thomsonreuters.com;))