PB Fintech rallies 9% after Morgan Stanley upgrades stock to Overweight

New Delhi: Shares of PB Fintech, which has Policybazaar as a wholly-owned subsidiary, soared 9 per cent in early trade on Monday following an upgrade by Morgan Stanley. The global brokerage firm upgraded PB Fintech to 'Overweight' post a sharp correction in the stock although it said that risks to growth and capital costs for insurance companies are rising.

Following the upgrade, shares of PB Fintech zoomed more than 9 per cent to Rs 795.60, before trading at Rs 772.10 at 10.40 am. The scrip had settled at Rs 727.95 on Friday.

The stock is, however, still trading 20 per cent below its issue price of Rs 980 and 45 per cent below its all-time peak of Rs 1,470 hit on November 17 2021, just two days after its listing.

#BrokerageRadar | Risks to growth and capital costs for insurance companies are rising, notes @MorganStanley; upgra https://t.co/NZw6NFvfoS

— ET NOW (@ETNOWlive) 1649035521000

Earlier in March, PB Fintech received a rating upgrade from JM Financial. It now has a 'buy' rating for the stock against 'hold' earlier, as it believes that the market is overly cautious on the insurance distribution platform. This brokerage has a target price of Rs 980 on the stock.