Target: ₹350
CMP: ₹319
Angel One has posted robust earnings for Q4FY26, reporting a net profit of ₹320 crore, which marks a 19% increase quarter-over-quarter and an impressive 84% year-over-year growth, exceeding the firm’s estimates by 5%.
The strong performance was driven by a rise in revenue per order and effective cost management, leading to a consolidated EBDAT margin of 41.7% (44.4% when excluding one-off items). The broking and distribution (B&D) segment achieved an EBDAT margin of 44.6%. Moving forward, the company anticipates maintaining a B&D margin exceeding 45%, albeit with a 2.5-3% impact from new initiatives.
Angel One continues to pioneer financialization by attracting a growing number of investors to the markets. It has not exhausted its potential, as its large active client base offers significant cross-selling opportunities. The company’s strong operating leverage means that much of this growth contributes positively to its earnings. Analysts project an earnings growth trajectory of over 30% in EPS compounding from FY26 to FY28.
Since September 2025, the stock has appreciated 40%, and it is believed that the current stock price reflects the existing earnings momentum. Confidence remains in Angel One’s medium-term diversification strategy, prompting a valuation adjustment to 20 times the FY28 EPS of ₹18, up from ₹17, resulting in a revised price target of ₹350, an increase from the previous target of ₹333. Consequently, the stock rating is downgraded to “Add.”
Published on April 20, 2026
