Motilal Oswal Financial soars 17% in October, hits record high; here's why

Motilal Oswal Financial Services stock hit a record high of ₹1,044.40, gaining 2% on the BSE in Friday's intra-day trade, surpassing its previous high of ₹1,034.95 touched on December 11, 2024.

Shares price of Motilal Oswal Financial Services today

 

Shares of Motilal Oswal Financial Services (MOFSL) hit a record high of ₹1,044.40, gaining 2 per cent on the BSE in Friday’s intra-day trade in an otherwise subdued market. Thus far in the month of October, the stock has rallied 17 per cent.

 

The market price of the stock broking and allied services company surpassed its previous high of ₹1,034.95 touched on December 11, 2024. In comparison, the BSE Sensex was down 0.3 per cent at 84,303.58 at 11:27 AM.

MOFSL's Q2 results on October 30, 2025

 

MOFSL has informed the stock exchanges that the meeting of the board of directors of the company is scheduled on October 30, 2025, inter alia, to consider and approve unaudited financial results (standalone & consolidated) of the company for the quarter and half year ended September 30, 2025.

MOFSL's Q1 performance, outlook

 

MOFSL is a financial services company. Its offerings include Wealth Management, Capital Markets (Institutional broking & Investment banking), Asset & Wealth Management (Asset Management, Alternates & Wealth Management), Housing Finance & Equity based treasury investments.

 

MOFSL’s operating profit after tax grew by 21 per cent on a year-on-year (YoY) basis to ₹522 crore, mainly driven by asset and private wealth businesses besides the capital market business. Asset management company (AMC) continued to gain market share, both in mutual funds and alternate segments and reached a major milestone of ₹1.5 trillion of equity AUM.  ALSO READ | BEML shares rise 3% on signing an accord with Tesmec S.P.A Italy 

There is a potential of another ₹150 trillion market cap which can be created if the large unlisted companies go public, which in turn is a big opportunity for all the company’s businesses. This, apart from financialization of savings, is a megatrend, which will continue to serve as a tailwind for all the company’s businesses, the management said.

 

The company’s focus in the interim continues to increase share of its fee-based and trail-based revenues, which will be driven by the asset management business, the private wealth business, the distribution business and the lending book growth.

 

MOFSL’s management in Q1 earnings conference call said that the company is strengthening all the 5Ts: Technology, Talent, Training, Trust and Thinking big. Runway for growth is immense with strong double-digit growth expected in each of the company’s businesses. 

ICRA upgrades Motilal Oswal Financial Services’ long-term rating

 

ICRA has upgraded its long-term rating of MOFSL to “[ICRA] AA+ (Stable)” from “[ICRA] AA (Positive)” and reaffirmed the short-term rating at [ICRA]A1+. 

 

The upgrade reflects MOFSL’s strong market position in various capital market-related businesses, Strong profitability with a track record of healthy performance across cycles, comfortable capitalisation with large net worth and modest financial leverage.

 

ICRA, the rating agency, in its rationale said that it notes that the core operating profitability of MOFSL has moderated marginally in Q4 FY2025 and Q1 FY2026 due to the increase in employee expenses amid the scaleup of the teams and industry-wide intermittent headwinds in select segments.   ALSO READ | Sagar Cements falls 4% after Q2 results; weak QoQ numbers weigh on stock 

Nonetheless, the profitability trajectory remains strong. Also, while the group’s revenue from the retail futures & options (F&O) brokerage and related interest income remains exposed to regulatory risks, its dependence on these segments is significantly lower compared to discount brokers. Moreover, scale-driven operating efficiency in the asset and wealth management businesses is expected to continue to support profitability, ICRA said.

 

As per the management, the group intends to maintain a gearing of less than 2 times in the capital market businesses {consolidated, excluding the housing finance company (HFC)} and less than 4 times in the housing finance business. ICRA is cognisant of the large investments in listed and unlisted securities, mutual funds, and alternatives, which form a significant part of the group’s consolidated net worth and exposes it to market volatility.