Nomura cuts PB Fintech target price by 31% citing IRDAI curbs

Nomura has reduced its target price for PB Fintech by 31% to Rs 1,100 per share, citing proposed curbs by insurance regulator IRDAI on website practices and commissions. The brokerage has also scaled down its earnings forecasts for the company in light of these regulatory headwinds.

The downgrade reflects concerns over how stricter IRDAI rules could impact PB Fintech's business model and profitability. Nomura's report suggests alternative valuation scenarios, with fair value estimates ranging between Rs 1,335 and Rs 1,366 depending on different assumptions about regulatory impact and business performance.

The move makes Nomura the latest in a series of brokerages to trim valuations for the insurance and financial services platform, signalling growing market caution over regulatory pressures affecting the sector.